Hitachi Group Corporate Social Responsibility Report 2007

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Hitachi Group
Corporate Social Responsibility Report 2007

About the Hitachi Group CSR Report 2007
This report describes the corporate social responsibility (CSR) activities of the
Hitachi Group so that our many stakeholders will have as clear and accurate
an explanation as possible of the Group’s philosophy and activities.
This report covers our work ethic and the nature of our operations as
they have evolved since our founding, as well as our direction for the future.
This report is divided into three main sections: CSR Management,
which provides an overview of our CSR activities and corporate governance;
Next Society, which reports on the social dimension; and Next Eco, whichshows our environmental activities.
In this year’s report, we look at our business operations in relation tosocial issues and provide examples of the products and solutions offered by
Hitachi technology in the subsection entitled CSR Activities. We also focus on
the work we are doing to strengthen the monozukuri (manufacturing) technology that supports these products and solutions.
We hope this report will serve to further your understanding of the
CSR efforts of the Hitachi Group and facilitate our dialogue with you.

Scope of This Report
Period: The main period covered is fiscal 2006 (April 1, 2006 through March 31, 2007)
Companies: Companies covered under consolidated reporting of the Hitachi Group
Scope of data:
Financial data
Hitachi, Ltd. and 934 consolidated subsidiaries (including modified entities to which theequity method of consolidated reporting applies) and 165 affiliated companies that use
the equity method
Social data
Scope of data indicated under each item
Environmental data Hitachi, Ltd. and 250 consolidated subsidiaries (including companies outside Japan)
Inquiries:
Related Reports
We report on the financial performance of Hitachi, Ltd. in the “Financial Highlights” and Annual Report. Researchand development and intellectual property (intellectual property rights and brands), which are major aspects ofthe technology management of Hitachi, Ltd. and its major subsidiaries, are covered in the “R&D and Intellectual
Property Report.”
Thirty Hitachi Group companies and 9 production facilities publish their own reports on environmental and social
contribution activities. In addition, 46 Hitachi Group companies and four production facilities provide informationon their Web sites.
Guidelines Referred to in Preparing This Report“Environmental Reporting Guidelines” (FY 2003 version), Ministry of the Environment, Japan“Environmental Performance Indicators Guideline for Organizations” (FY 2002 version), Ministry of the Environment, Japan“Environmental Reporting Guidelines 2001—With Focus on Stakeholders,” Ministry of Economy, Trade andIndustry, Japan“Sustainability Reporting Guidelines 2002,” Global Reporting Initiative* This CSR Report will be published on an annual basis.

Hitachi, Ltd.
(For inquiries on this report or CSR activities overall)
CSR Promotion Department, Corporate Communications Division
1– 6 – 6 Marunouchi, Chiyoda-ku, Tokyo, 100-8280, Japan
Tel: +81-3-3258-1111, Fax: +81-3-4564-1454
http://www.hitachi.com/csr/(For inquiries on environmental activities)
Corporate Environmental Policy Division
1–18–13 Soto-Kanda, Chiyoda-ku, Tokyo, 101-8608, Japan
Tel: +81-3-3258-1111, Fax: +81-3-4564-4074
http://greenweb.hitachi.co.jp/en/
On the cover:
The cover photo is from Moana Loa Garden Park (Monkey Pod tree), Oahu Island,
Hawaii. This tree has become known as the “Hitachi Tree” through televisioncommercials over many years. The tree represents an abundance of the qualities
that we like to emphasize at Hitachi—Synergy, Growth, and Strength.

About the Hitachi Group CSR Report 2007
This report describes the corporate social responsibility (CSR) activities of the
Hitachi Group so that our many stakeholders will have as clear and accurate
an explanation as possible of the Group’s philosophy and activities.
This report covers our work ethic and the nature of our operations as
they have evolved since our founding, as well as our direction for the future.
This report is divided into three main sections: CSR Management,
which provides an overview of our CSR activities and corporate governance;
Next Society, which reports on the social dimension; and Next Eco, whichshows our environmental activities.
In this year’s report, we look at our business operations in relation tosocial issues and provide examples of the products and solutions offered by
Hitachi technology in the subsection entitled CSR Activities. We also focus on
the work we are doing to strengthen the monozukuri (manufacturing) technology that supports these products and solutions.
We hope this report will serve to further your understanding of the
CSR efforts of the Hitachi Group and facilitate our dialogue with you.

Scope of This Report
Period: The main period covered is fiscal 2006 (April 1, 2006 through March 31, 2007)
Companies: Companies covered under consolidated reporting of the Hitachi Group
Scope of data:
Financial data
Hitachi, Ltd. and 934 consolidated subsidiaries (including modified entities to which theequity method of consolidated reporting applies) and 165 affiliated companies that use
the equity method
Social data
Scope of data indicated under each item
Environmental data Hitachi, Ltd. and 250 consolidated subsidiaries (including companies outside Japan)
Inquiries:
Related Reports
We report on the financial performance of Hitachi, Ltd. in the “Financial Highlights” and Annual Report. Researchand development and intellectual property (intellectual property rights and brands), which are major aspects ofthe technology management of Hitachi, Ltd. and its major subsidiaries, are covered in the “R&D and Intellectual
Property Report.”
Thirty Hitachi Group companies and 9 production facilities publish their own reports on environmental and social
contribution activities. In addition, 46 Hitachi Group companies and four production facilities provide informationon their Web sites.
Guidelines Referred to in Preparing This Report“Environmental Reporting Guidelines” (FY 2003 version), Ministry of the Environment, Japan“Environmental Performance Indicators Guideline for Organizations” (FY 2002 version), Ministry of the Environment, Japan“Environmental Reporting Guidelines 2001—With Focus on Stakeholders,” Ministry of Economy, Trade andIndustry, Japan“Sustainability Reporting Guidelines 2002,” Global Reporting Initiative* This CSR Report will be published on an annual basis.

Hitachi, Ltd.
(For inquiries on this report or CSR activities overall)
CSR Promotion Department, Corporate Communications Division
1– 6 – 6 Marunouchi, Chiyoda-ku, Tokyo, 100-8280, Japan
Tel: +81-3-3258-1111, Fax: +81-3-4564-1454
http://www.hitachi.com/csr/(For inquiries on environmental activities)
Corporate Environmental Policy Division
1–18–13 Soto-Kanda, Chiyoda-ku, Tokyo, 101-8608, Japan
Tel: +81-3-3258-1111, Fax: +81-3-4564-4074
http://greenweb.hitachi.co.jp/en/
On the cover:
The cover photo is from MoanaLua Garden Park (Monkey Pod tree), Oahu Island,
Hawaii. This tree has become known as the “Hitachi Tree” through televisioncommercials over many years. The tree represents an abundance of the qualities
that we like to emphasize at Hitachi—Synergy, Growth, and Strength.

Contents
2

Company Profile
Economic Performance

4

Message from Hitachi’s Top Executives

6

Hitachi’s Response to Nuclear Reactor Turbine Problems

CSR Management

Encouraging every employee to become conversant with CSR
8Corporate Governance

9Compliance and Risk Management

11

CSR Promotion Activities

CSR Activities

Working to realize Hitachi’s vision of a sustainable society

16

The Hitachi Group’s Vision for a Sustainable Society

Next Society

Pioneering the future with our stakeholders

26

Customers and Hitachi

31

To Our Shareholders and Investors

32

Working in Harmony with Local Communities

36

Working Together with Suppliers

37

Employees Make Hitachi What It Is

Next Eco

Pursuing monozukuri for a sustainable society

44

Hitachi Group’s Environmental Action Plan

48

“Eco-Mind” & Global Environmental Management

52

Environmental Impact Data for Corporate Activities (Fiscal 2006)

54

Next-Generation Products & Services

59

Super Eco-Factories & Offices

65

Worldwide Environmental Partnerships

67

Dialogue with the Experts

68

Data on Hitachi Web Sites

Hitachi Global CSR Activities
14

North America

24

Europe

42

Asia

66

China

Symbols Used in This Report
For technical terms and proper nouns with a dagger (†), further explanations are
given in side columns on the same or following pages.
When more detailed information on topics covered in this report is available on,
symbols have been placed in the margins.
the Internet, the: This symbol indicates Web addresses on the Hitachi Web sites for complete texts of guidelines and corporate policy statements, details of activities,
and quantitative data.
: This symbol indicates the addresses of related Web sites, which can also
be accessed from the following address: http://www.hitachi.com/csr/
Graphs and other visuals use universal design for readers with color-impaired
vision. Customer and company names may be abbreviated or referred to without
their titles in this report.

Company Profile

Hitachi Group Profile

Corporate Name: Hitachi, Ltd.

Hitachi, Ltd. and the Hitachi Group make up a corporate group

Incorporated: Incorporated February 1, 1920 (founded in 1910)

consisting of 1,100 companies, including 450 consolidated

Head Office:subsidiaries within Japan, and 484 overseas, and 79 affiliatedcompanies in Japan that use the equity method and 86 outside

1– 6 – 6 Marunouchi, Chiyoda-ku, Tokyo 100-8280, Japan
Representative:

Japan. In terms of business activities, there are seven business
units, as indicated on Page 3, with revenues of about 10.2

Kazuo Furukawa, President and Chief Executive Officer

trillion yen. The Group employs about 380,000 employees.

Asia

EuropeNorth America

Number of companies: 266
Number of employees: 103,354
Revenues: 1,859,664 million yen

Number of companies: 98
Number of employees: 6,899
Revenues: 869,022 million yen

Number of companies: 74
Number of employees: 16,295
Revenues: 1,057,389 million yen

Japan
Number of companies: 451
Number of employees: 250,767
Revenues: 6,093,627 million yen

Other
Number of companies: 46
Number of employees: 7,129
Revenues: 368,201 million yen

Economic Performance
As of March 31, 2007

Period: Fiscal year ending March 31, 2007 (consolidated basis)

Capital Stock: 282,033 million yen
Number of employees (unconsolidated basis): 41,016
Number of employees (consolidated basis): 384,444
Number of consolidated subsidiaries:
934 (Japan: 450, outside Japan: 484)
Number of affiliated companies that use the equity method:
165 companies (Japan: 79, outside Japan: 86)

Revenues:
10,247.9 billion yen (108% compared with the previous year)
Operating income (loss):
182.5 billion yen (71% compared with the previous year)
Capital investment:
1,048.5 billion yen (110% compared with the previous year)
R&D expenditure:
412.5 billion yen (102% compared with the previous year)
Overseas output as a percentage of consolidated net sales: 22%
See Web site for economic performance reports.

http://www.hitachi.co.jp/IR-e/index.html

Financial Results (consolidated basis)
Revenues and Operating Income ( loss )Revenues by Industry Segment in Fiscal 2006 ( billions of yen )Revenues
Operating income ( loss )Revenues( billions of yen )10,0008,000

8,191.7

8,632.4

9,027.0

9,464.8

10,247.9

600

4,000

0

1,000

279.0
152.9

2002

Financial Services
500.0 (4%)
Logistics, Services & Others
1,213.5 (10% )Information
Telecommunication
Systems
2,477.2 ( 21% )

800

6,000

2,000

Operating income ( loss )( billions of yen )

184.8

2003

2004

256.0

2005

 Hitachi Group Corporate Social Responsibility Report 2007

High Functional Materials &Components
1,794.5 (15% )Electronic Devices
1,287.4 (11% )

400
182.5

2006 ( FY )200
0Digital Media &Consumer Products
1,506.0 (13% )Power & Industrial Systems
3,022.2 ( 26% )Total Sales by Industry: 11,796 billion yen
Consolidated Net Sales: 10,247 billion yen

Information & Telecommunication Systems

Small size finger veinauthentication device ✽1-terabyte 3.5-inch
hard disk driveby Hitachi Global
Storage Technologies

Large disk array
subsystem ✽Systems integration, outsourcing services, software, hard disk drives, disk array subsystems, servers, mainframes, PCs, telecommunication equipment, ATMs
Hitachi Communication Technologies, Ltd., Hitachi-Omron Terminal Solutions, Corp., Hitachi Computer Products (America), Inc.,
Hitachi Computer Products (Europe) S.A.S,Hitachi Global Storage Technologies Netherlands B.V., Hitachi Electronics Services Co., Ltd., Hitachi Information & Control Solutions, Ltd.,
Hitachi Information Systems, Ltd., Hitachi Software Engineering Co., Ltd., Hitachi Systems & Services, Ltd., Hitachi Data Systems Holding Corp.

Electronic Devices
HitachiHigh-Technologies’“CG4000”CD-SEM
for 45nm / 32nm
generation and beyond

2.9-inch-wide andhigh-definition ( VGA) IPS LCD
by Hitachi Displays, Ltd.

Hitachi Medical’s
high magnetic field
MRI system“ECHELON Vega”

Liquid crystal displays (LCD), semiconductor manufacturing equipment, testing and measurement, medical electronics equipment, semiconductors
Hitachi Displays, Ltd., Hitachi High-Technologies Corporation, Hitachi Medical Corp., Hitachi Display Devices (Suzhou) Co., Ltd., Hitachi Semiconductor Singapore Pte. Ltd.

Power & Industrial Systems

Clarion’s
car navigation
systemStandardized
elevators ✽Coal-fired
power plants ✽Nuclear power plants, thermal power plants, hydroelectric power plants, industrial machinery and plants, automotive products, construction machinery, elevators, escalators, railway vehicles
Babcock-Hitachi K.K., Clarion Co., Ltd., Hitachi Construction Machinery Co., Ltd., Hitachi Industrial Equipment Systems Co., Ltd., Hitachi Via Mechanics, Ltd., Japan Servo Co., Ltd., Guangzhou Hitachi
Elevator Co., Ltd., Hitachi Automotive Products (USA) , Inc., Hitachi Building Systems Co., Ltd., Hitachi Engineering & Services Co., Ltd., Hitachi Mobile., Ltd., Hitachi Plant Technologies, Ltd.

Digital Media & Consumer Products

Plasma TV ✽Prismatic lithium
ion rechargeable
batteries featuring
thin type and highcapacity by Hitachi
Maxell, Ltd.

Room air conditioner byHitachi Appliances, Inc.

Optical disk drives, Plasma TVs, LCD TVs, LCD projectors, mobile phones, room air conditioners, refrigerators, washing machines, information storage media, batteries, air-conditioning equipment
Fujitsu Hitachi Plasma Display Limited, Hitachi Appliances, Inc., Hitachi Maxell, Ltd., Hitachi Media Electronics Co., Ltd., Hitachi Home Electronics (America), Inc.,Shanghai Hitachi Household Appliances Co., Ltd.

High Functional Materials & Components

Hitachi Chemical’s
copper-clad laminates
for printed wiring boards

Hitachi Metals’
amorphous alloys
for transformers

Hitachi Cable’s
HEV power harnesses

Wires & cables, copper products, semiconductor materials, circuit boards and materials, organic/inorganic chemical products, synthetic resin products, display related materials, specialty steels,
magnetic materials and components, high-grade casting components and materials
Hitachi Cable, Ltd., Hitachi Chemical Co., Ltd., Hitachi Metals, Ltd.

Logistics, Services & Others

Financial Services

Hitachi Transport System has opened a joint
distribution center for the medical industry“Kansai Medical Distribution Center”
General trading, logistics, property management
Chuo Shoji, Ltd., Hitachi Life, Ltd., Hitachi Mobile Co., Ltd.,
Hitachi Transport System, Ltd.,Nikkyo Create, Ltd., Hitachi America, Ltd., Hitachi Asia Ltd.,
Hitachi (China) Ltd., Hitachi Europe Ltd.

Multifunctional IC card andelectronic toll collection
auto card
Leasing, loan guarantees, insurance services
Hitachi Capital Corporation, Hitachi Insurance Services, Ltd.

✽ in this table indicates Hitachi, Ltd. products.
Major Products & Services
Major Consolidated Subsidiaries*1 Hitachi Information & Control Solutions, Ltd. merged with Hitachi Engineering Co., Ltd. on April 1, 2006.
*2 Clarion Co., Ltd. became a consolidated subsidiary of the Company as a result of the tender offer which the Company conducted for the shares of Clarion Co., Ltd.
*3 Hitachi Engineering & Services Co., Ltd. merged with Hitachi Engineering Co., Ltd. through a corporate split on April 1, 2006.
*4 Hitachi Plant Engineering & Construction Co., Ltd. acquired a part of Industrial Systems Group of the Company through a corporate split,
merged with Hitachi Kiden Kogyo, Ltd. and Hitachi Industries Co., Ltd. and changed its name to Hitachi Plant Technologies, Ltd. on April 1, 2006.
*5 Japan Servo Co., Ltd. is no longer a consolidated subsidiary of the Company as a result of the sale of its shares in April 2007 in response to a tender offer.
*6 Hitachi Air Conditioning Systems Co., Ltd. merged with Hitachi Home & Life Solutions, Inc. and changed its name to Hitachi Appliances, Inc. on April 1, 2006.

Company Profile Message from Hitachi’s Top Executives

Contributing to Society through Technology
Based on Collaborative Creation and Profits

Climate change, poverty, information security breaches,
healthcare issues, and various other complex phenomena are happening throughout the world. Hitachi is now
advancing from the stage of problem identification to
the stage of determining what we ourselves should do
to address these issues. We believe it is crucial for ourcompany to endeavor, in consultation with our stakeholders, to determine how we can contribute to society
through the application of our businesses, technologies,
and human resources.

Restoring Public Trust in
Our Manufacturing
Fiscal 2006 was a challenging year for the HitachiGroup. Although every division saw increased revenues, we incurred a deficit overall. In Japan, we caused
customers and others great inconvenience and concern
with the turbine trouble at Hamaoka Nuclear Power
Station Reactor No. 5 and Unit 2 of the Shika Nuclear
Power Station, operated by the Chubu Electric Power
Co., Inc. and the Hokuriku Electric Power Company,
respectively. We take this problem very seriously because it raises questions about Hitachi’s production
and quality control. With the goal of restoring confidence, we have created the Supervisory Office for
Monozukuri and the Supervisory Office for Power
Systems to clarify all risks in monozukuri (manufacturing) and to review development and manufacturing
in all business areas. (Hitachi’s response to the turbine
issue is detailed on page 6.)

Pursuing Collaborative Creation and Profits
Hitachi has contributed to the advancement of Japanand the world through its unique businesses and technologies based on the Hitachi Founding Spirit of harmony, sincerity, and pioneering spirit. No matter how
the times and social context may change, this remains
our lasting ambition. Drawing on these roots, Hitachi

 Hitachi Group Corporate Social Responsibility Report 2007

announced a new corporate strategy in November
2006 based on the key phrase collaborative creationand profits, with the ultimate objective of achieving
sustainable growth and contributing to the resolutionof the various issues society faces.
This corporate strategy aims to create new value
through two key initiatives. First, we will comprehensively reorganize the Hitachi Group’s various businesses into social innovation business—consisting of
our social infrastructure, industrial infrastructure, life
infrastructure, and information infrastructure—and
infrastructure technology/products business, including high-functional materials and components. Second,
we will enhance the synergy among the members ofthe Hitachi Group and enrich our partnership withstakeholders. Always taking the perspective of the market and society, we aim to give new inspiration to thenext era by consistently implementing this corporate
strategy.

Steadily Implementing
CSR Activities Group-wide
Based on the Hitachi Group Three-Year CSR Roadmap
formulated in fiscal 2005, we have created a framework to promote CSR activities throughout the Groupand the world and have placed emphasis on building
employee awareness of CSR. In our CSR promotion
activities, we focus on encouraging a personal understanding of CSR and face-to-face discussions. We aim
to not simply communicate information about CSR,
but to have CSR pervade every aspect of our daily activities. To achieve this, it is crucial that every employee
be aware of the relationship between his or her workand society and be able to talk about CSR in his or her
own words. In Japan, the CSR Promotion Department
at each Group company has formed a CSR Caravan
and developed direct dialogue about CSR with em-

ployees at every office. Overseas, local employees haveinitiated CSR Workshops to explore the relationshipbetween their work and CSR. Our executives are also
visiting business divisions and branch offices to discuss Hitachi’s corporate strategy and have contact withyounger employees.
Through these persistent efforts, we are starting to see
new examples of “contributions to society throughbusiness activities,” including proposals for new environmentally friendly transportation systems andecosystem conservation. This report describes someof these activities, and we invite you to submit yourfrank comments and suggestions.
In fiscal 2007, we will evaluate the results of fiscal 2006
and steadily implement measures in line with our new
corporate strategy. In our CSR activities as well, we
will join hands with our employees to make concrete
progress toward realizing our activity goals and implementing our proposals based on the Hitachi Group
Three-Year CSR Roadmap. In addition, we will enhance
our ongoing communication with stakeholders.

Looking Ahead to Our Centennial
Hitachi, Ltd. will celebrate its centennial in 2010.
With the Corporate Credo of “contributing to society
through the development of superior, original technology and products,” the Hitachi Group has developed
into the company it is today thanks to your firm support. As we look ahead to our centennial, we aim to
demonstrate a synergy that integrates the knowledge
and technology of the Hitachi Group, to contribute to
the resolution of fundamental issues faced by the global
community, and to create prosperous lifestyles and abetter society based on Hitachi’s founding spirit.

Chairman of the Board

President andChief Executive Officer

June 2007

Message from Hitachi’s Top Executives Hitachi’s Response to Nuclear Reactor Turbine Problems
In June 2006, a malfunction occurred in the low-pressure steam turbine in the Hamaoka Nuclear
Power Station Unit No. 5 of Chubu Electric Power Co., designed and manufactured by Hitachi.
A similar problem occurred the following July in the identically designed Shika Nuclear Power
Station Unit No. 2 of Hokuriku Electric Power Co. Hitachi has since worked with Chubu Electricand Hokuriku Electric to identify the cause of these problems and is making every possible effort
to enhance reliability and prevent similar problems from reoccurring. Moreover, through these
efforts to address these problems, we are determined to reaffirm our commitment to Hitachi’s
corporate credo of “contributing to society through the development of superior, original technology and products,” to raise our technical strength and reliability to higher levels than ever, and to
bolster confidence in Hitachi’s monozukuri (manufacturing).
Investigation of Turbine Problem and Remedial StepsIn the Hamaoka Nuclear Power Station Unit No. 5 of Chubu Electric, damage was found in 663
out of 840 of the moving blades on the twelfth stage of the low-pressure turbine.†1 One of theblades was found to be fractured. In the Shika Nuclear Power Station Unit No. 2 of Hokuriku
Electric, damage was found in 258 out of 840 of the moving blades on the twelfth stage of the
low-pressure turbine.
Regarding the cause, it was determined that unanticipated vibration (random vibration†2 andvibration from flashbacks†3) during test operations caused metal fatigue that led to cracks at thebase of the blades, which progressively worsened. The turbines in question, embodying the latest in
high-performance turbine design, had been subject to repeated testing using a scale model. However, the phenomenon was something that engineers were unable to anticipate during the design
stage. Hitachi deeply regrets the trouble and anxiety that resulted.
To remedy these turbine problems, Hitachi redesigned and manufactured the turbines so thatthey can reliably tolerate any foreseeable vibration stress, this time taking full account of random
vibration and flashbacks. During the design stage, we used cutting-edge testing equipment to improve verification accuracy by analyzing the results of tests using a scale model and by simulating
actual operating conditions. We manufactured the new turbine blades based on this testing andanalysis.
At the same time, because the design and manufacture of the new turbine blades required
much time, we put in place an interim solution: taking out the moving and stationary blades on thetwelfth stage of the turbines and replacing the stationary blades with pressure plates. After doing
this, the Hamaoka Unit 5 was able to resume operation in March 2007.
Public Disclosure of the Problem
Aware of the importance of nuclear power stations and the circumstances of the incident, Hitachi
held a briefing on the causes on the same day that Chubu Electric and Hokuriku Electric submitted
their reports to Japan’s Nuclear and Industrial Safety Agency. Stakeholders were notified during abriefing that was conducted in the presence of an executive officer, who is also the head of the task
force charged with resolving the turbine problem, and the general manager of the Nuclear Systems
Division.
Boosting Technical Strength and Reliability
Hitachi regards the turbine problem as a serious incident that calls into question Hitachi quality
and monozukuri. Hitachi responded on September 15, 2006, by establishing a Supervisory Officefor Power Systems and a Supervisory Office for Monozukuri, both directly under the president, toreexamine and strengthen our core monozukuri technologies.
In the Supervisory Office for Power Systems, we are working tirelessly to restore both power
stations as soon as possible, while at the same time supervising the design, manufacture, and installation of the new turbines. In the Supervisory Office for Monozukuri, in addition to identifying andanalyzing all the potential risks of monozukuri, we have established six committees to review development and manufacturing processes in each of Hitachi’s business areas. Through these committees, we are working hard to prevent similar accidents in the future by improving the development
and design process, redoubling our commitment to quality assurance training, and strengthening
process management and human resource development. (For more on strengthening monozukuri,
see page 26.)
†1 Low-pressure turbine
A low-pressure turbine is a second-stage turbine designed to turn efficiently on steam that has lost pressure after passing throughthe first-stage high-pressure turbine, which is turned by high-temperature, high-pressure steam.
†2 Random vibration
An irregular vibration of the turbine blades caused by steam turbulence within the turbine†3 Flashback
A rapid reverse flow of steam caused by a drop in pressure within the turbine when, for instance, the turbine stops automatically Hitachi Group Corporate Social Responsibility Report 2007

Encouraging every employee
to become conversant with CSRCSRManagement

We work to strengthen corporate
governance and optimize risk management
in order to fulfill our social responsibilities as a business,and to instill the CSR mentality in all our employees.

CSR Corporate GovernanceManagement

By enhancing corporate governance, the Hitachi Group is promoting speedier,more efficient management and is meeting the expectations of our stakeholders
as a business that merits the public’s trust.

Group management†1 Committee system
A corporate governance system
where a board of directors makes
basic policy decisions andoversees the execution of businessby executive officers, while the executive officers, appointed by theboard of directors, are responsible
for execution of business matters.
Within the Hitachi Group, 15 listedcompanies, including Hitachi,Ltd., have switched over to thecommittee system.
†2 SOX (Sarbanes-Oxley Act)
Section 404 of this act, enacted
in July 2002, mandates company
management with the responsibility of establishing, maintaining
and evaluating internal control
over financial reporting, andalso requires that the control beassessed by independent auditors.
†3 J-SOX
A framework for evaluating andreporting internal control underJapanese Financial Products
Transaction Law, enacted inJune 2006, comes into effect inApril 2008.

document their operations, improve deficiencies

Hitachi, Ltd. has improved management flexibility

and assess internal controls based on common

and agility, and strengthened oversight, by adopting

guidelines every fiscal year. Management assess-the committee system†1 of corporate governance.

ment of each company, with a certification, is col-We made management oversight more effective bylected by Group companies and business groups,

bringing in outside directors. As well, we sped up

and is finally reported to Hitachi, Ltd.

decision making—by delegating authority to ex-

The Hitachi Group is strengthening organiza-

ecutive officers—set up internal controls, enhanced

tional structure and internal audit functions to ensure

governance, and improved management efficiency

that internal controls work correctly. Recognizing

to earn the confidence of all stakeholders.

the importance of deeper employee understanding

We also strengthened Group headquarters

and awareness, in fiscal 2006, we developed andfunctions through guidelines on the environment,

distributed 30,000 copies of the Internal Control

compliance, risk management, and internal audit-

Handbook (in Japanese, English, and Chinese)ing of companies within the Hitachi Group. Throughmainly to managers of Hitachi Group companies

communications with stakeholders, we are working

in Japan and overseas. In addition, approximately

to increase corporate value.

100,000 Group employees have now completed
an e-learning course. We will build internal control

Internal Control

principles into company training—of every type—to

As a company registered with the U.S. SEC,

ensure each Hitachi Group employee understands

Hitachi, Ltd. is subject to the U.S. Sarbanes-Oxleyinternal controls.

Act (SOX)†2. Setting up and maintaining internal

Fiscal 2006 was the first year that Japanesecontrols are legal and regulatory requirements, andcompanies were subject to Section 404 of SOX.

an important social responsibility as well. In the

Hitachi evaluated the effectiveness of Group com-

process of clarifying, examining, and visualizing

panies’ internal control systems, based on an an-

management and operational frameworks, we arenual schedule adopted in April 2006. At the samerebuilding them. At the same time, we will improvetime, monitoring by internal audit departments

operational transparency, business credibility andhelped to highlight issues and provide remedial

management infrastructure.

guidance. We completed independent audits in

Each company within the Hitachi Group isparallel with the management assessment. Fromindividually responsible for setting up and operat-

now on, our efforts will focus on compliance with theing internal controls. All divisions of Hitachi, Ltd.

regulations of both J-SOX†3—by the time it comes

and their 250 subsidiaries (including 90 overseas)

into force—and the anticipated revisions in SOX.

Governance Structure of Hitachi, Ltd.

Hitachi Internal Control Assessment Framework

General Meeting of Shareholders
Written oath
Board of Directors(13 members, including 5 from outside )Board of Directors

Hitachi, Ltd. CEO and CFO*2

SEC*1

Election

Audit Committee

ReportInternal Control Committee

Internal audit
reportReportInternal Auditing OfficeNominating Committee
Audit Committee Compensation Committee( 5 members, including ( 5 members, including ( 5 members, including
3 from outside )3 from outside )3 from outside )Election

Supervision

Executive Officers: Timely execution of company business

Project Management OfficeInternal audit
reportMonitoring

Written oath
Hitachi Group HQs( Hitachi Group HQs andHitachi, Ltd. Business Groups)

Hitachi Group Subsidiaries*1 SEC: Securities and Exchange Commission*2 CFO: Chief Financial Officer

 Hitachi Group Corporate Social Responsibility Report 2007

ReportAudit

Independent auditors

Internal Control Handbook

Strengthening GovernanceCompliance and Risk Management
With our involvement in businesses that impact public welfare
and operations that handle vital information,
the Hitachi Group places top priority on compliance and ethical business conduct,
and we are working ceaselessly to protect private information and manage every type of risk.

The Hitachi Group operates on the principles of

Basic Approach to Information
Security Governance“conformance with the law and business ethics”

The Hitachi Group emphasizes twoand “fair and disciplined competition.”

points in policies to protect personal
information and information security:

Total Commitment to Compliance

1. Building a strong prevention system and

At Hitachi, Ltd., we have both the Complianceresponding promptly to security breaches

Division reporting directly to the president and the

2. Raising employee ethics and aware-

Advisory Committee, a monitoring body of outside

ness of security.

Compliance workshop

members. We also have thorough compliance education, and monitor business activities, with the

Efforts to Protect Personal Information

prime goal of ensuring legal compliance for bidding

All employees, temporary workers included, striveon public contracts by Group companies. In April

to prevent information leaks and protect privacy,

2003, we instituted a company-wide whistle-blower

based on Hitachi’s Information Security Basicsystem to prevent, and quickly correct, illegal or

Policy and Information Security Standards. In Janu-

inappropriate conduct in all business divisions andary 2007, we revamped our Personal Information

to improve our capacity for self-correction.
Despite these efforts, however, it was determined that we had violated the Japanese Antimo-

Basic approach to information
security governanceProtection Policy to meet the recently revised JIS
Q15001†4 and made an all-out effort to educate
employees about these new standards.

nopoly Act on a contract bid in 2004 for ventilation

The Hitachi, Ltd. Information and Telecom-in the Metropolitan Expressway Shinjuku Line

munications Systems Group received Japan’stunnel, awarded by the Metropolitan Expressway“Privacy Mark”†5 certification in February 2003, andPublic Corporation (now Metropolitan Expressway

the company as a whole was certified in Febru-

Co., Ltd.). In September 2006, the Japan Fair Tradeary 2007. As of March 2007, this mark has been

Commission ordered us to pay a penalty, and inawarded to 37 companies in the Hitachi Group.

March 2007, we suspended business activity for
15 days in a specified field.

Enhancing the whistle-blower
systemEfforts toward Information Security

We deeply regret having brought about thisThe rapid spread of digital information and com-situation and are taking these actions: spread-puter networks has made it crucial for businesses

ing greater awareness of compliance among all

to keep information secure, if they are to keep the

employees by circulating compliance messages

public’s trust.

from our top executives; enhancing the scope and

The Hitachi Group is working to prevent se-

intensity of audits and compliance education; andcurity breaches by applying, more rigorously thanrevamping our whistle-blower system.

ever, the Three Rules for Preventing Leakage ofCompliance Education

mize damage in the event of a breach, we promptly

Now that the amended Antimonopoly Act is in ef-

contact customers, report to the responsible

Personal Information Protection
Policy†4 JIS Q15001
Japanese Industrial Standards“Requirements for Compliance
Program on Personal Information
Protection”†5 Privacy Mark
Certification given to corporations
and organizations by the Japan
Information Processing Development Corporation for proper
handling of personal information

Personal information protection
and information security cards

Confidential Information. Using this system to mini-fect, the Hitachi Group is implementing programs
to educate salespeople around Japan about thisMajor Compliance Education Activities

new law. We are involving the entire Group, hav-

Hitachi, Ltd. Automotive Systems Group“Compliance Made Simple” course implemented at 12 sites in Japaning invited outside attorneys to give workshops for

Hitachi Cable, Ltd.

Printing and distribution of Brand /CSR Guidebook

executives (April 2006) and for Group compliance

Hitachi Capital Corporation

Compilation and distribution of Compliance Manual

officers (March 2007).

Hitachi Construction Machinery Co., Ltd.

“Grassroots Compliance Education” implemented at all sites

Hitachi High-Technologies Corporation“Code of Conduct for Managers” adopted; workshops carried out at each site

CSR Management 

CSR Management | Corporate Governance | Compliance and Risk Management | http://www.hitachi.com/csr/

Compliance Framework

Guidelines forDeveloping Business Continuity Plans†1 BCP
Business Continuity Plan
A plan for ensuring continuanceof core operations and promptly
restoring operations to normal in
the event of a disaster or accident.

government agency, investigate the cause, andand are hard at work drawing up business continu-

take steps to prevent a reoccurrence.

ity plans (BCP†1). Aware that our operations extend

In fiscal 2006, Hitachi adopted measures de-globally and play an important role in society, we

signed to prevent information leaks from theft or

are working to enhance our BCPs to see that so-loss of equipment. Now, only “security PCs” with-ciety is not seriously impacted by an interruption

out hard disks can be taken out of the workplace.

in operations.

As well, recording data onto external devices, suchas USB memory keys, and the encoding of this

Adoption of BCP Guidelines

data are prohibited. To guard against slipups using

In August 2005, Hitachi, Ltd. set up an Expert

file-sharing programs, such as Winny, we prohibit

BCP Promotion Panel, which in December 2006

the business use of personally owned computerscompleted a set of Group guidelines for draftingand have employees check their computers for

BCPs. These guidelines outline the process forstored business information.

developing a BCP, clearly identifying priorities for

For Group companies outside Japan, we

restoring business operations. This was done

compiled a set of Global Security Guidelines, tobased on the estimated risk and impact of inter-ensure that policies and measures consistent withruptions, using, for example, scenarios where an

the guidelines take hold throughout the Group.

earthquake causes an electronic components plantThree Rules for Preventing Leakageof Confidential Information
Rule 1. In principle, confidential information cannot betaken from the workplace.
Rule 2. Permission must be obtained from an immediate supervisor to take any confidential informationfrom the workplace.
Rule 3. Security precautions should always be taken
when storing confidential data on a laptop computer,
external storage device, etc., and when taking such a
device out of the workplace.

to suspend production.
In February 2007, representatives from 110
Group companies came together for a thoroughbriefing on BCP policy. The basic idea of business
continuity planning is to prepare a written document that outlines the tasks needed to maintainbusiness continuity, especially advance planning for
operations continuing after major damage caused
by a disaster or accident. With an operational
system in place, we can now respond to almost
any contingency. By using the Hitachi Group BCP

BCP Efforts

Guidelines, each production facility and Group

Today, given the risk of major earthquakes, epi-

company can efficiently formulate a BCP, setting

demics, terrorist attacks, and other disasters, we

the stage for level-headed risk management based

understand the importance of risk management

on a variety of emergency scenarios.

reportConducting a Map Exercise fora Large-Scale DisasterIn fiscal 2006, we held a map exercise for a“6 upper” earthquake (on the Japanese scale)at the Kasado Works in Yamaguchi Prefecture,
Japan. This simulation drilled for lifesaving, community relief, equipment inspection, evacuation,and other procedures when wide-ranging damage might occur. Fifty employees were divided
into two teams; one issuing information andrequests for help; the other responding. Throughthis intense emergency drill, employees gain theexperience to make level-headed judgments.
Every year since 1998, the Hitachi Grouphas held map exercises for a major disaster at a
production facility, having now completed themat nine sites in Japan. “Our goal is for the entire
Group to adopt an attitude of readiness consistent with the policy of Group headquarters,”
says Toshiro Kojima, head of Hitachi, Ltd.’s Risk
Management Department.

10 Hitachi Group Corporate Social Responsibility Report 2007

CSR Promotion Activities
Corporate social responsibility (CSR) is founded on the understanding andpractice of each individual employee. Based on the “CSR Policy of the Hitachi Group,”
we have formulated a “Three-Year CSR Roadmap” andare promoting a wide range of activities to nurture this spirit of CSR.

The basic credo of Hitachi is to further elevate its founding concepts of harmony, sincerity and pioneering
spirit, to instill a resolute pride in being a member of Hitachi, and thereby to contribute to society throughthe development of superior, original technology and products.
Deeply aware that a business enterprise is itself a member of society, Hitachi is also resolved to strive asa good citizen of the community towards the realization of a truly prosperous society and, to this end, toconduct its corporate activities in a fair and open manner, promote harmony with the natural environment,
and engage vigorously in activities that contribute to social progress.
( Adopted June 1983, revised September 1996)

CSR Concept
Based on the founding concepts stated in our
fundamental credo, the Hitachi Group’s mission is
to “contribute to the solution of fundamental global
issues, and to pursue the realization of a better andmore prosperous global society utilizing the collec-

CSR Policy of the Hitachi GroupCSR Policy of the Hitachi Group

1. Commitment to Corporate Social
Responsibility (CSR)
2. Contribution to Society
through Our Businesstive strengths of the Hitachi Group, characterized

3. Disclosure of Information andStakeholder Engagementby its knowledge and technology.” This also defines

4. Corporate Ethics and Human Rights

our CSR vision.

5. Environmental Conservation

To fulfill this mission, we formulated the “CSR
Policy of the Hitachi Group” in March 2005 as aGroup-wide policy, and are building a structure for
global CSR promotion.

6. Corporate Citizenship Activities
7. Working Environment
8. Responsible Partnershipwith Business Partners(Adopted March 2005)

Structure of Hitachi Group CSR Promotion

President

SeniorExecutive
Committee
CSR
Promotion
Committee

Senior Executive Committee:
Decides CSR management policies
at executive level.
CSR Promotion Committee:
Consists of Executive Officers responsible for CSR.
Discusses policies and plans for CSR activities.
CSR Promotion Teams:
Consists of managers responsible for CSR
in each department. Prepares,
implements and follows-up on
detailed plans for CSR activities.

Corporate
Communications Division
CSR Promotion Department(Secretariat )CSR Promotion Teams:
Group Management,
Corporate Brand Management,
Customer Satisfaction, Overseas Operations,
Employee Relations & Human Resources,
Legal Affairs, Corporate Citizenship,
Environmental Conservation, Compliance,
Quality Assurance, Procurement,
Public Relations

Business groups
Group directors& CEOsCSR promotion officers

Production
facilities

Affiliated companies
President
CSR promotion officers

Affiliatedcompanies

Overseassubsidiaries

Hitachi, Ltd., 934 consolidated subsidiaries,
and 165 companies that use the equity method

CSR Management 11

CSR Management | CSR Promotion Activities | http://www.hitachi.com/csr/

Fundamental CredoThree-Year Roadmap Concept

Level of CSR evolution

Medium-term Business Plan

Towards an advanced global
CSR company
Realization of ideals
2010

Determination ofcurrent status based on“CSR Policy of the Hitachi Group”

April 2006

Verification andevaluation of CSR activities

April 2007

Towards Realization of
the “Three-Year Roadmap”

Optimization of CSR activities andimplementation of strategic CSR

April 2008

Group-wide efforts toresolve issues in society

March 2009

Ltd. holds CSR meetings for young and mid-level
employees.

In 2006, the Hitachi Group formulated the “ThreeYear CSR Roadmap” as a medium-term plan for

Global Promotion

CSR activities. The aim of this plan is to verify the

The Hitachi Group has established Group-wide

various CSR activities that have been undertaken

CSR platforms in each region, centered on regionalin light of the expectations and requirements ofheadquarters in North America, Europe, China, andsociety, and to steadily resolve social issues.

other parts of Asia and Hitachi Australia, Ltd.

In fiscal 2006, in order to promote the thoroughIn fiscal 2006, we widely promoted the “CSR

and effective implementation of the “CSR Policy

Policy of the Hitachi Group,” placing a strongof the Hitachi Group” at every Group company,emphasis on identifying CSR priorities in each

we conducted training by e-learning and CSR

region. For this goal, we held a number of ac-

employee awareness surveys. At our overseas of-tivities, including CSR strategy meetings in North

fices, we concentrated our efforts on establishing

America and Europe and CSR workshops for local

a structure for CSR promotion and formulating astaff in Singapore, China (Beijing, Shanghai, andpolicy for CSR activities.

Guangzhou), and Australia.

In fiscal 2007, in addition to visualizing CSR

From now on, while sharing the “CSR Policy ofactivities, we will strengthen the management cycle

the Hitachi Group,” the regional headquarters willthrough communication with stakeholders, andclarify priority CSR activities based on the regional

further promote CSR activities globally.

situation, formulate concrete plans for these activities, and implement them.

CSR Promotion Activities in Fiscal 2006
CSR Activities of Group Companies†1 SRI: Socially Responsible
Investment
Investment activities, such as
the selection of investment fund
portfolios, based on an assessment of companies from theviewpoint of CSR

Use of Simple CSR Self-Assessment Checklists

CSR specialist groups and committees were set up

To identify the priority issues at each Group com-

at each Group company, and full-scale activities,pany prior to starting CSR activities, simple CSR

such as issuing CSR reports, began. The penetra-

self-assessment checklists were prepared as antion of CSR awareness and encouragement of CSR

evaluation tool and used at about 120 Group com-

activities were also actively promoted.

panies in Japan. After referring to criteria—such

Unique activities to raise CSR awarenessas the CSR survey indicators provided by SRI†1

and encourage the exchange of ideas have been

evaluation organizations—social requirements

carried out by Group companies. For example,

were classified according to the eight areas of the

Hitachi Plant Technologies, Ltd. is engaged in CSR“CSR Policy of the Hitachi Group” and their levels

caravan campaigns to provide CSR education toof progress were quantified.

all of its offices in Japan, and Hitachi Chemical Co.,

The results of this survey revealed that acrossthe whole Group there was under achievement in
the areas of “communication inside and outside
the company,” “effective social contribution activities,” and “CSR sharing with suppliers.” The HitachiGroup will work—as a team—to resolve these issues and improve the level of CSR activities.

CSR Caravan (Hitachi Plant Technologies, Ltd.)CSR Meeting (Hitachi Chemical Co., Ltd.)

12 Hitachi Group Corporate Social Responsibility Report 2007

The following table is a summary of the main CSR activities and results in fiscal 2006 and plans for future activities,
based on the Hitachi Group “Three-Year CSR Roadmap.” In accord with the “CSR Policy of the Hitachi Group,”
we aim to steadily resolve issues through planned projects and to implement higher-level CSR activities.
CSR Policy of
the Hitachi Group

Activities in fiscal 2006

Results in fiscal 2006

Achievement
level

Page(s)1. Commitment tocorporate social
responsibility

Increased the learning rate of the
CSR e-learning program

Implemented by 103 Hitachi Group companies (in Japan)/ 90% of employees took part (Hitachi, Ltd.)

✦✦✦

P. 12

Employee survey of CSR awareness

80% of employees “understand Hitachi’s CSR activities.”(Hitachi, Ltd.)✦✦• Ensure that all employees of overseas Group
companies are familiar with the “CSR Policy of the
Hitachi Group” and formulate activity program in
response to social issues in each region• Select and visualize Hitachi Group’s CSR activities

2. Contribution to society
through our business

Strengthened the prevention ofreoccurrence of serious productaccidents

A Quality First (QF)*1 survey was conducted at six divisions
where serious product accidents occurred in fiscal 2005.
Remediation was confirmed to examine measures toprevent reoccurrences, and the Kepner-Tregoe Program*2
was applied at 23 divisions and Group companies.

✦✦

P. 6
P. 26 – 28

Developed a Group-wide system
for Customer Satisfaction (CS)
activities

Shared examples of CS activities among business groups/ Strengthened the Information and Telecommunication
Systems Group’s CS activities✦✦

P. 28 – 29

• Steadily implement various measures by Supervisory
Office for Monozukuri• Group-wide sharing of in-house good practices ofPS risk assessment*3• Identify themes for CS activities in each businessand promote activities to improve CS

3. Disclosure of
information andstakeholder
engagement

Strengthened the prevention of
information leakage

Acquired Privacy Mark certification for all of Hitachi, Ltd.
(February 2007)✦✦

P. 9 – 10

Expanded IR activities of businessdivisions

Held two IR explanation meetings for business groups
and one joint IR explanation meeting for Group
companies

✦✦✦

P. 31

4. Corporate ethics andhuman rights

Reviewed corporate ethics
education

Examined review of Business Ethics Handbook /Examined system for instilling ethics and complianceawareness

✦✦

P. 9

• Review Business Ethics Handbook and promotionof education

Analyzed present status of ethics
and compliance in all Group
companies

Studied a compliance system for main Group companies
and corporate behavior standards✦✦✦

Group-wide integration of environmental departments and acquisition of ISO 14001 environmental
management system certification

Acquired certification for environmental management
system, under the Hitachi Group Environmental Promotion Mechanism (September 2006)✦✦✦

P. 48 – 49

Introduced Super-Eco Products
and Super-Eco Factories

Registered 40 Super-Eco Products, start of Super-Eco
Factory certification system✦✦

P. 54 – 60

• Formulate separate integrated environmental
management system plans for business groups andfor Group companies• Increase Super-Eco Product ratio to 8%• Register 8 Super-Eco Factories

Group-wide and worldwide
implementation of social contribution activities

Expanded the operating area of Hitachi Young Leaders’Initiative (Vietnam)✦✦

P. 32 – 35

Expanded support programs in
education through employee
volunteering

Implemented support programs in education on theme ofuniversal design at 10 elementary schools, etc., in Japan✦✦• Implement programs using the global environment
as a theme• Expand support programs in education (expansion ofregions for promoting Universal Design)

Surveyed working environment
on business process and opinion
surveys*4

In response to results of survey, started to diversity
promotion projects (in-company intranet Web site fordisseminating information / Held forums for womenmanagers / Prepared a guidebook on support for
combining work and childrearing) (Hitachi, Ltd.)✦✦P. 37– 40

Cultivated global managers andpromote diversity through global
training programs

Implemented global manager training for 500 HitachiGroup employees from Japan and overseas /Implemented diversity promotion projects, mainly inJapan, North America, and Europe✦✦• Promote diversification of human resources• Enhance activities for diversity promotion(company-wide information sharing, appointment of
women managers)• Continue implementation of global manager training(1,000 trainees)

Ensured that overseas partners
were completely familiar withthe “Guidelines for Procurement
and Business Transactions” /Monitored the CSR activities of domestic and international partners

Ensured that overseas partners are completely familiar
with “Guidelines for Procurement Activities” (already
implemented for domestic partners in fiscal 2005) /Implemented a trial questionnaire survey at the 20 main
domestic partners, based on a checklist prepared by theJapan Electronics and Information Technology Association (Hitachi, Ltd.)

✦✦

P. 36

• Monitor CSR activities of business partners andestablish evaluation method• Qualitatively improve the environmental management systems of green suppliers through HI-KES*5
formulation courses and environmental procurement
coursesAchieved 100% green supplier ratio✦✦✦

5. Environmental
conservation

6. Corporate citizenshipactivities

7. Working environment

8. Responsible
partnership withbusiness partners*1 Quality First (QF) survey: Examination by a specialist team that points out problems and studies measures for improvement
in order to eliminate serious product accidents.
*2 Kepner-Tregoe Program: A systematic method of resolving issues and reaching decisions bysystematizing and formalizing four basic types of analysis.
*3 PS (product safety) risk assessment: A process for assessing risks related to product safety anddetermining whether or not the risks can be tolerated.
*4 Business process and opinion surveys: Surveys of employee opinions concerning work and life in the workplace(conducted once a year since fiscal 2001).
*5 HI-KES: Activities conducted by Hitachi to support environmental safety activities of business partners
based on the Kyoto Environmental Management System Standards (KES), a specified non-profit organization.

Fiscal 2007 goals/plans• Formulate global security guidelines• Determine appropriate contents and scope of
information disclosed to the media and investors• Regular progress reports on structural reform ofbusiness, based on management policies andimprovement of IR activities✦ ✦ ✦ : Achieved✦ ✦ : Partially achieved

CSR Management 13

CSR Management | CSR Promotion Activities | http://www.hitachi.com/csr/

Results of CSR Activities in Fiscal 2006 and Goals/Plans for Fiscal 2007

Hitachi Global CSR Activities
Chief Executive’s Message

Tadahiko Ishigaki
Senior Vice President andExecutive Officer,
Chief Executive for North America,
Hitachi, Ltd.

In this age of advancing information and consumer empowerment, constant change hasbrought a renewed dedication to corporatesocial responsibility within the Hitachi Group.
In 2006, Hitachi established a group CSR
promotion team in North America to develop
CSR initiatives to ensure that employees understand Hitachi’s responsibility as a good
corporate citizen.
Hitachi companies in North America areengaged participants in the environment andin conservation efforts, developing a sustain-

able supply chain and a diverse workforce, as
well as helping those who are most in need.
Today, we are working with more than 70
group companies as active partners within ourcommunities.
We welcome Hitachi employees and associates in North America to join together insustaining excellent relationships with our
stakeholders and to be an integral part of our
local communities and society. CSR is a vital
component of our business, as well as ourbrand, future and legacy.

Grassroots Community Activities throughthe Community Action Partnership and The Hitachi Foundation
Hitachi believes that the greatest benefits to the community, employees, andHitachiGlobalCSR Activities

North
Americathe company result when employees are able to take action to address real

Hitachi North America
Gateway site

community needs. The Hitachi Foundation and Community Action Committees(CAC)—driven by employees from 21 Hitachi North America Group companies—collaborate in the Hitachi Community Action Partnership. Together, we

Hitachi Foundation

are taking part in many community support activities, including making donations, volunteering, supplying food, and building houses for those in need, andproviding career guidance to middle and high school students.
For more than 20 years, The Hitachi Foundation has been apioneer and model for others for making social contributions tobetter the lives of the economically and socially isolated. Drawing
on this rich experience, the Hitachi North America Group is working
to ensure that all Group companies fulfill their social responsibility
as good corporate citizens.

Creating an Environmental Action Plan for North America
In November 2006, the Hitachi Environmental Conference in America was

North America Community
Action Committee:
Participants discuss how
to energize local activities.

held in Dayton, Ohio to share information on the Group’s environmental andadvanced environmental initiatives. A Group Environmental Action Plan willbe created in fiscal 2007, and ways will be developed to share information on
the environment among Group companies. The plan will provide the basis for
distinctive environmental programs by each company. At the same time, theGroup will focus on environmental issues shared by Hitachi Group companies, and its combined muscle will be used to develop alternative energy andsustainable business models.
Hitachi North America Group
Environmental Conference

Hitachi True Stories Show the Value Createdby Hitachi Technologies and Products
The gratitude we receive from customers is priceless. Since November 2006,
we have selected some of the messages we have received about Hitachi
products—such as optical telecommunications and medical equipment—andcreated 5-minute documentaries for a film series and Web site called Hitachi
True Stories to illustrate the social value created through our products andservices. One film, for example, is about a dentist /private pilot continuingwith everyday life while receiving therapy using Hitachi proton beam cancer
treatment technology. Another film is about Bandon, Oregon, a community
benefiting from Hitachi fiber-to-the-home telecommunications.

14 Hitachi Group Corporate Social Responsibility Report 2007

True Stories campaign siteWorking to realize Hitachi’s visionof a sustainable society

CSR

Activities

We contribute to building a sustainable society
through a wide range of businesses and activities
aimed at creating a more fulfilling and healthy
way of life leading to the future.

Compact chemistry benchtop analyzer: Allows clinics
and other small healthcare facilities to get quick, accurate,
on-the-spot results, and assists local primary physicians
when doing examinations to prevent metabolic syndrome.
Information technology systems for condominiums:
Provides security and comfort for condominium dwellers

with conveniences, such as IC card authentication for entering a condominium and a system that allows residents to
use their cell phones to make sure their doors are locked
while they are away from home
Induction cooking heater: A safe, easy-to-use flameless cooking appliance with powerful induction heating

For safe, secure, and comfortable living

16

that achieves high energy efficiency by eliminating wasted
heat.
Interactive whiteboard: Enables shared screen images
and two-way handwritten communication between whiteboards at multiple sites; useful for distance education,
meetings, etc.

Next-generation railway system: A safe, comfortable,
environmentally friendly next-generation aluminum rail car
developed by Hitachi using advanced technology and theconcept of Universal Design; already in use in many places,
including the Tokyo Metro.
Contact-less 0.4 mm IC chip: The μ-chip, one of theworld’s smallest radio frequency identification (RFID) IC
chips, used in traceability management of various products,
ticket validation, room access management, and more;enhances safety and confidence and increases businessefficiency.
Finger vein authentication systems: Used in ATMs, com-puter login systems, room access management, and more;
provides greater security through high-accuracy biometricidentification.
Powertrain systems for hybrid vehicles: Batteries, motors, inverters, and more for hybrid cars; designed to improve fuel efficiency and stem global warming.

Toward a safe and convenient society
where we can all live and work together

Flue gas treatment systems: Smoke treatment systems
to remove sulfur oxides (SOx) and nitrogen oxides (NOx)from gas emissions; a step toward reducing acid rain andother environmental problems caused by air pollution.
Advanced sewage treatment systems: Marshaling
the power of microorganisms to efficiently remove ni-

trogen from sewage in the oxic tank by adding “Bio-NCubes” containing a high concentration of immobilized
microorganisms in a polymer gel.
Energy solution service business (ESCO): ESCO
provides comprehensive energy conservation services
to factories, buildings, hospitals, etc., to save total en-

To leave the next generationa healthier global environment

ergy expenses through energy saving and reduction of
CO2 emission. (Photo shows ESCO equipment suppliedby Hitachi at Nihon Canpack Co., ltd’s Akagi plant)
Home appliance recycling business: A system forrecycling used household appliances to recover usable
resources.

Next-generation railway system: A safe, comfortable,
environmentally friendly next-generation aluminum rail car
developed by Hitachi using advanced technology and theconcept of Universal Design; already in use in many places,
including the Tokyo Metro.
Contact-less 0.4 mm IC chip: The μ-chip, one of theworld’s smallest radio frequency identification (RFID) IC
chips, used in traceability management of various products,
ticket validation, room access management, and more;enhances safety and confidence and increases businessefficiency.
Finger vein authentication systems: Used in ATMs, com-puter login systems, room access management, and more;
provides greater security through high-accuracy biometricidentification.
Powertrain systems for hybrid vehicles: Batteries, motors, inverters, and more for hybrid cars; designed to improve fuel efficiency and stem global warming.

Toward a safe and convenient society
where we can all live and work together

Flue gas treatment systems: Smoke treatment systems
to remove sulfur oxides (SOx) and nitrogen oxides (NOx)from gas emissions; a step toward reducing acid rain andother environmental problems caused by air pollution.
Advanced sewage treatment systems: Marshaling
the power of microorganisms to efficiently remove ni-

trogen from sewage in the oxic tank by adding “Bio-NCubes” containing a high concentration of immobilized
microorganisms in a polymer gel.
Energy solution service business (ESCO): ESCO
provides comprehensive energy conservation services
to factories, buildings, hospitals, etc., to save total en-

To leave the next generationa healthier global environment

ergy expenses through energy saving and reduction of
CO2 emission. (Photo shows ESCO equipment suppliedby Hitachi at Nihon Canpack Co., ltd’s Akagi plant)
Home appliance recycling business: A system forrecycling used household appliances to recover usable
resources.

The Hitachi Group’s Vision
for a Sustainable Society

CSR
Activities

Hitachi is working to “strengthen socially innovative businesses aimed at finding a solution to fundamental global issues.”
Our goal is a sustainable society where people can live more safely and comfortably
in their daily lives, in the society that supports them, and in the global environment.

Linear-Motor Subways:
The Future of Urban Mass Transit
Major Contemporary Issues and the Operations and Activities of the Hitachi Group
Fundamental global issues

Global environmental Issues

Increasingly evident climate change

Depletion of natural resources

Waste reduction, recycling

Product recycling systems

Destruction of ecosystems

Controlling water pollution
Controlling air pollution

Water purification systems
Atmospheric purification systems
Promotion of design and manufacturing aimed at reducing
environmental burdens

Discrimination on the basis of race, religion,
gender, physical challenge, etc.
Declining birthrate and aging population
Poverty, especially in developing nations
Child labor and oppressive working conditions

Providing products and services easily usedby anyone
Elimination of the “digital divide”
Promotion of diversity in hiring

Universal Design (home appliances, industrial machinery)
Ubiquitous networks
Human rights education
Promotion of diversity in human resources

Strengthening of social infrastructure andlivelihood
Expansion of educational opportunities

Support for mine-clearing operations and subsequent restorationof cleared land
Remote education systems (interactive whiteboards, etc.)
Cooperation with suppliers in CSR (CSR procurement)

Large-scale natural disasters
Warfare and terrorism

Prediction and prevention of natural disasters
Fast damage assessments
Rapid reconstruction of devastated areas
Limiting the damage caused by terrorism

Flood simulation systems
Navigation and support systems for disaster countermeasures
Airport security systems, such as explosives detectors
e-passports
Mine-clearing equipment
Formulation and implementation of BCP

Spread of chronic infectious diseases,
increase in treatment-resistant diseases andmodern diseases

Development of medical treatment technologies
Improvements in quality of life

In-home health monitoring systems
Portable automatic blood analyzer
MRI (magnetic resonance imaging) systems for use during surgery
Kokoro Gatari communication device for Lou Gehrig’s disease(ALS; amyotrophic lateral sclerosis) patients
Use of optical topography to investigate human mental activity

Leaks of personal information

Enhanced information security

Finger vein authentication systems
Security PCs
Education and management systems for information security

Food safety

Increase in transportation disasters

19

CO2 reduction

Major businesses, products, technologies, andactivities of the Hitachi Group

Issues from a social perspective

Major issues in society

Activities toward resolutionof these issues

Management of water and food safety

Provision of safe, pleasant transportation systems

Energy solutions business
Clean energy business, modal shift

Food product traceability
Processing and distribution systems for agricultural products
Wireless environmental monitoring systems for food-productfacilities
Cruise control systems for automobiles
Safe-driving support systems using ITS (intelligent transport systems)
Next-generation railways

The Nanakuma Subway Line in Fukuoka, Japan, which opened
in February 2005, is a linear-motor subway developed by Hitachi, Ltd.
Compact, good at handling curves and steep grades—and garnering attention as the regional mass transit system of the future.

Comparison of Linear-Motor andConventional Subways

2.49m
4.7m
5.3m

2.86m
6.1m
7.2m

Linear-Motor subway

Conventional subway

tight curves because of the magnetic
propulsion system and to enable
the rails to be laid beneath existing
roadways and intersections—reducing the constraints on new routes.
These characteristics of a linear-motor subway reduce the environmental impact: smaller-diametertunnels are less costly to build andthere is less excavated dirt and rocks.

Compact and Maneuverable
Subway Trains

Subway Design
Based on Citizen Input

A linear-motor subway is driven bya linear motor where magnetic energy is generated between magnets
in the train and plates in the track.
This allows the chassis of the cars to
be lower than conventional subway
cars, and a more compact design, inturn, allows the diameter of tunnels
to be reduced by almost half.
Another feature of a linear-motor subway is to allow exceptionally

Fukuoka City Subway’s Nanakuma
Line has a number of innovations inaddition to linear-motor propulsion,
focused on the goal of passengerfriendly regional public transportation. For developing the cars, thepriorities were noise reduction, roomy
interiors, and Universal Design. Input
from a design committee, made upof the Fukuoka City Transportation
Bureau, local residents and experts,

was closely evaluated.
Reduced tunnel diameters canalso mean increased noise, but thiswas minimized by soundproofed
wheels, antivibration materials,
and double-glazed windows. To
produce a sense of spaciousness,and to make the best use of limited
interior space, under-seat lighting
and other elements were used.
Other aspects of overall system and station design include theoperations control system designed
by Hitachi for greater safety andreliability, elevators for easy wheelchair access, and less gap between
trains and platforms. Abovegroundentrances were also given an innovative design, reflecting the local
cityscape.
The new line has become a convenient transportation system for local residents, linking residential areas
with the city center and alleviating
traffic congestion within the city.
In recognition of these achievements, at the 35th Machine Industry
Design Awards in 2005 (sponsoredby Nikkan Kogyo Shimbun), Hitachi
shared the Minister of Economy,
Trade and Industry Award with the
Fukuoka City Transportation Bureau and also won the Laurel Prizegiven by the Japan Railfan Club.
Hitachi will continue to provide comprehensive solutions forpeople-friendly regional public
transportation, from design andconstruction of the trains to thesystems used to monitor and control them.

Car Interior
Double-glazed windows reduce noiseand heat from outside

Clearly separated seats

Wall-mounted seats provide
lots of legroom

20 Hitachi Group Corporate Social Responsibility Report 2007

No luggage shelves oradvertising banners
means lots of headroom

Anti-vibration design for a quieter ride

Angled seats make it difficult
to extend legs into the center aisle

The Hitachi Group’s Vision
for a Sustainable Society

CSR
Activities

Hitachi is working to “strengthen socially innovative businesses aimed at finding a solution to fundamental global issues.”
Our goal is a sustainable society where people can live more safely and comfortably
in their daily lives, in the society that supports them, and in the global environment.

Linear-Motor Subways:
The Future of Urban Mass Transit
Major Contemporary Issues and the Operations and Activities of the Hitachi Group
Fundamental global issues

Global environmental Issues

Increasingly evident climate change

Depletion of natural resources

Waste reduction, recycling

Product recycling systems

Destruction of ecosystems

Controlling water pollution
Controlling air pollution

Water purification systems
Atmospheric purification systems
Promotion of design and manufacturing aimed at reducing
environmental burdens

Discrimination on the basis of race, religion,
gender, physical challenge, etc.
Declining birthrate and aging population
Poverty, especially in developing nations
Child labor and oppressive working conditions

Providing products and services easily usedby anyone
Elimination of the “digital divide”
Promotion of diversity in hiring

Universal Design (home appliances, industrial machinery)
Ubiquitous networks
Human rights education
Promotion of diversity in human resources

Strengthening of social infrastructure andlivelihood
Expansion of educational opportunities

Support for mine-clearing operations and subsequent restorationof cleared land
Remote education systems (interactive whiteboards, etc.)
Cooperation with suppliers in CSR (CSR procurement)

Large-scale natural disasters
Warfare and terrorism

Prediction and prevention of natural disasters
Fast damage assessments
Rapid reconstruction of devastated areas
Limiting the damage caused by terrorism

Flood simulation systems
Navigation and support systems for disaster countermeasures
Airport security systems, such as explosives detectors
e-passports
Mine-clearing equipment
Formulation and implementation of BCP

Spread of chronic infectious diseases,
increase in treatment-resistant diseases andmodern diseases

Development of medical treatment technologies
Improvements in quality of life

In-home health monitoring systems
Portable automatic blood analyzer
MRI (magnetic resonance imaging) systems for use during surgery
Kokoro Gatari communication device for Lou Gehrig’s disease(ALS; amyotrophic lateral sclerosis) patients
Use of optical topography to investigate human mental activity

Leaks of personal information

Enhanced information security

Finger vein authentication systems
Security PCs
Education and management systems for information security

Food safety

Increase in transportation disasters

19

CO2 reduction

Major businesses, products, technologies, andactivities of the Hitachi Group

Issues from a social perspective

Major issues in society

Activities toward resolutionof these issues

Management of water and food safety

Provision of safe, pleasant transportation systems

Energy solutions business
Clean energy business, modal shift

Food product traceability
Processing and distribution systems for agricultural products
Wireless environmental monitoring systems for food-productfacilities
Cruise control systems for automobiles
Safe-driving support systems using ITS (intelligent transport systems)
Next-generation railways

The Nanakuma Subway Line in Fukuoka, Japan, which opened
in February 2005, is a linear-motor subway developed by Hitachi, Ltd.
Compact, good at handling curves and steep grades—and garnering attention as the regional mass transit system of the future.

Comparison of Linear-Motor andConventional Subways

2.49m
4.7m
5.3m

2.86m
6.1m
7.2m

Linear-Motor subway

Conventional subway

tight curves because of the magnetic
propulsion system and to enable
the rails to be laid beneath existing
roadways and intersections—reducing the constraints on new routes.
These characteristics of a linear-motor subway reduce the environmental impact: smaller-diametertunnels are less costly to build andthere is less excavated dirt and rocks.

Compact and Maneuverable
Subway Trains

Subway Design
Based on Citizen Input

A linear-motor subway is driven bya linear motor where magnetic energy is generated between magnets
in the train and plates in the track.
This allows the chassis of the cars to
be lower than conventional subway
cars, and a more compact design, inturn, allows the diameter of tunnels
to be reduced by almost half.
Another feature of a linear-motor subway is to allow exceptionally

Fukuoka City Subway’s Nanakuma
Line has a number of innovations inaddition to linear-motor propulsion,
focused on the goal of passengerfriendly regional public transportation. For developing the cars, thepriorities were noise reduction, roomy
interiors, and Universal Design. Input
from a design committee, made upof the Fukuoka City Transportation
Bureau, local residents and experts,

was closely evaluated.
Reduced tunnel diameters canalso mean increased noise, but thiswas minimized by soundproofed
wheels, antivibration materials,
and double-glazed windows. To
produce a sense of spaciousness,and to make the best use of limited
interior space, under-seat lighting
and other elements were used.
Other aspects of overall system and station design include theoperations control system designed
by Hitachi for greater safety andreliability, elevators for easy wheelchair access, and less gap between
trains and platforms. Abovegroundentrances were also given an innovative design, reflecting the local
cityscape.
The new line has become a convenient transportation system for local residents, linking residential areas
with the city center and alleviating
traffic congestion within the city.
In recognition of these achievements, at the 35th Machine Industry
Design Awards in 2005 (sponsoredby Nikkan Kogyo Shimbun), Hitachi
shared the Minister of Economy,
Trade and Industry Award with the
Fukuoka City Transportation Bureau and also won the Laurel Prizegiven by the Japan Railfan Club.
Hitachi will continue to provide comprehensive solutions forpeople-friendly regional public
transportation, from design andconstruction of the trains to thesystems used to monitor and control them.

Car Interior
Double-glazed windows reduce noiseand heat from outside

Clearly separated seats

Wall-mounted seats provide
lots of legroom

20 Hitachi Group Corporate Social Responsibility Report 2007

No luggage shelves oradvertising banners
means lots of headroom

Anti-vibration design for a quieter ride

Angled seats make it difficult
to extend legs into the center aisle

Brain activity of a two-to-five-day-old infant
hearing spoken language (top), hearing spoken language played backwards (middle), andhearing nothing (bottom). Research conductedjointly with Jacques Mehler of the Scuola Internazionale Superiore di Studi Avanzati.

Optical topography, using light to investigate brain activity, is being used
not only for diagnostics and treatment of the brain
but also for research into the mechanisms of the brain, giving birth toa “science of humanity” that integrates natural science and the humanities.

Using a brain-machine interface,a woman moves a model train by thinking.

Mapping the Brain
Topography is the charting of landfeatures; Optical topography, an imaging technique for brain function,measures changes in blood flowusing near-infrared light, a part ofsunlight. The surface of the brain, or
cerebral cortex, supplies freshened
blood to other areas of the brain.
Blood flow to the language area, forexample, increases during speaking
and decreases in silence, and reflected (or absorbed) light changes withthe volume of blood. Optical topography shows changes in blood flow
(0.1 second increments), revealing
mental processes such as thinking
and calculating. This technique ismore than medical innovation; bycontributing to scientific understanding of the brain, it offers unlimited
possibilities for practical application
in a wide range of fields.

Birth of Optical Topography
From the 1980s, I worked on developing MRI†1 medical measuring
equipment. Optical topography
grew out of improving this technol-ogy. I initially focused on changes
in blood flow to show higher-level
MRI images of brain function andform. This work revealed the principles of magnetic resonance angiography. We then developed an optical
topography device using near-infrared light, making examinations
easier and more comfortable for the
subject. Measurements can be takenwith a small device using semiconductors, making diagnosis easier.
One effective approach: using optical topography for preliminary
tests and higher-resolution MRI for
closer examination.
Optical topography is now used
to analyze brain activity—sensation,
movement, language, memory, andso on. In 1997, we applied optical
topography for identifying where
epilepsy †2 originates, facilitatingcorrective surgery, in collaboration
with Tokyo Metropolitan Police Hospital. This technology is used in brainmachine interfaces in devices such as
Kokoro Gatari, used for communication by patients paralyzed with ALS(Lou Gehrig’s disease).

From Diagnostics to
New Frontiers of Brain Research
The dawn of optical topography, let-ting us see inside an active brain, has
opened up fields of study that integrate brain science with humanities
such as ethics, religion, and philosophy. It is now possible to see brain
activity in restless infants and children using a small, easily-worn probe.
In 2003, in collaborative research witha European cognitive psychologist, wediscovered that a newborn can recognize its mother tongue, which caused
a global sensation.†3
Looking ahead, optical topography opens up new technologies andareas of study for monitoring healthy
minds in children, allowing them tobecome well-rounded people.
(Hideaki Koizumi)†1 MRI
Magnetic resonance imaging: A technology that uses
magnetic fields and electromagnetic waves to generate
images of internal body structures†2 Epilepsy
A brain disorder that causes convulsions and other symptoms
when a certain area of the brain is overexcited†3
Research conducted jointly with Jacques Mehler of the
Scuola Internazionale Superiore di Studi Avanzati in Italy

Hideaki Koizumi, Ph.D.
Fellow, Hitachi, Ltd.

CSR Activities 21

CSR Activities | Linear-Motor Subways | Optical Topography | http://www.hitachi.com/csr/

The Potential for
Optical Topography:
Scientific Insights into the Brain
Herald a “Science of Humanity”

CSR
Activities

Ballast-Water
Purification System Reduces
Ecosystem Damage
The threat to ecosystems from ballast water discharged by ships isa problem in harbors around the world. Using original technology,
Hitachi has developed a ballast-water purification systemthat minimally impacts the environment.

Test operation in Tokyo Bay

The Growing
Ballast Water Problem
When a tanker or freighter unloads,
it rises in the water and needs to add
ballast for stability. For this reason,ships have ballast tanks that arefilled with seawater. A 300,000-ton
tanker takes on about 100,000 tonsof seawater, enough to fill over 50
fifty-meter pools. But the ship releases that water when it takes on
new cargo, discharging foreign organisms that can wreak havoc on
the local ecosystem.

System Generated
from Dialogue with Customers
I learned of the gravity of ecosystemdamage from ballast water when
speaking at the “Japan Today” seminar in the Middle East. In response,I devised a ballast-water purification system using a technology I
had developed in 2001 that uses a
superconducting magnetic separator
to coagulate and remove the blue-

green algae†1 that grows in lakes andponds, caused by excess nutrients.
The principle is the same as
the one used to collect iron particles
with a magnet. Adding iron powder
and long strings of polymers to seawater and then agitating it causesorganisms in the water to coagulate
into small clumps (or flocs), which
can then be collected with a magnet.
A superconducting magnet was
originally used, but while the magnetic field was strong, the cost was
high, and maintaining the proper
temperature was difficult. These
problems were overcome by using
Hitachi Metals’ compact, low-maintenance permanent magnet. Hitachi
Plant Technologies also participatedin the project, contributing expertisein water treatment. By trial and error, we exceeded the standards that
the International Maritime Organization (IMO) had set: only 5 organisms between 10 μm and 50 μm per
milliliter, no organisms over 50 μm,
and no E. coli bacteria.
The IMO requires the phasein of ballast-water treatment equipment, with all ships fitted by 2017.
The usual way to meet the IMO’s

water-quality standard is to use sterilization. However, this approachraises concerns over secondary pollution caused by residual chlorine orother disinfectants released into theocean. In addition, dead organisms
build up in the tanks causing rust.
In contrast, Hitachi’s coagulationand magnetic separation methodcollects the seawater organisms inflocs, without secondary pollution.
Hitachi’s system has attracted muchattention in Europe, where there is
deep interest in “green” ships.†2

Testing Underway with Goal ofCommercialization in 2009
At present, a land-based test is being conducted in Tokyo Bay, withthe goal of onboard testing in 2008.
Hitachi bioscience researchers arecarefully evaluating the ecologicalimpact with the goal of commercialization in 2009.
This technology can also be
applied to purification of the water discharged when oil is extracted
from oil sands, and is currently being eyed as a promising alternative
to conventional methods. Testing isalready underway in Canada.
(Akira Mochizuki)†1 Blue-green algae
A type of phytoplankton that appears as green particles
floating in water†2 Green ship
An oceangoing vessel with low environmental impact

Akira Mochizuki
General Manager of Business Relations,
Business Incubation Division, Hitachi, Ltd.

Ballast-Water Purification System
Magnetic powder ( iron powder ) flocculating agent
Intermixed
Seawater(raw water)

22 Hitachi Group Corporate Social Responsibility Report 2007

Flocs
Collected

Magnetic separation equipment

Filter separation equipment• Agitation causes• Flocs and sand are separatedorganisms in seawater and collected on rotating
to aggregate
magnetic disks• Addition of polymer
makes them clump( flocculate )Agitating tank

• Minute impurities removed

Purifiedwater

e-Meister:
Making Technical Mastery Visible

Conveying Information with
Video, Still Pictures, and Sounde-Meister organizes the introduction of important skills using familiar media—video, still pictures, andsound—that convey information inan easy-to-understand way, not possible from reading a manual or description of procedures.
For example, brazing metal is
divided into units: “Preparing theTools,” “Operating Instructions,”“Work Procedures,” “Job KnowHow,” and “Checking Your Work.”
After trainees select a topic, they see
a video showing a skilled operator
adjusting a welding-torch flame, theangle of the flame to the materials,
etc. Many examples of common
mistakes and acceptable results areshown, enabling a deep, practical understanding of the techniques.
By using e-Meister, differencesin educational levels are evened out,
training time is reduced, and exercise( Upper left ) Screen shot of instructions for brazing copper pipe
( Lower left ) Screen shot showing a finishing technique called kisage( Right ) Training new employees in China

The e-Meister Program:
Passing on Monozukuri
to the Next Generation
The Hitachi Group is sustained by highly developed monozukuri
capabilities—our accumulated design and manufacturing know-how.
The e-Meister program is a tool for teaching this technical mastery,both in Japan and overseas, that is increasing efficiency of production
and assuring high levels of product quality at our production centers.

review and repetition is possible.
Where e-Meister has been introduced, these benefits are increasing
production efficiency and productquality.

Widely Used Overseas
English- and Chinese-language versions of e-Meister have been produced for overseas affiliates, not onlyin North America and China, but in
Europe and the rest of Asia.
For example, in China’s rapidly growing economy, more than
10 Hitachi Group companies use eMeister. Because they are constantly
hiring new employees, fast acquisitionof skills is essential to ensure productquality and to meet deadlines. At the
production centers where e-Meister
is used, response has been positive:“Skills acquisition is easier, and employee morale has risen.”
One important task is to expand
the e-Meister program, especially toparts of Asia where other languages
are spoken.

Enhancing Japan’s
Monozukuri Capabilities
We are eager to introduce this program to organizations outside ourcompany, such as government ministries and agencies, the Japan Management Association, the Japan Instituteof Industrial Engineering, and othermanufacturing groups, to contribute more broadly to disseminating
Japanese manufacturing skills, aswell as developing our own humanresources.
(Mitsuhiro Ota)

Mitsuhiro Ota
Senior Project Manager
MONOZUKURI Technology Division, Hitachi, Ltd.

CSR Activities 23

CSR Activities | Ballast-Water Purification System | The e-Meister Program | http://www.hitachi.com/csr/

The techniques carefully cultivatedsince our founding are the basis of
Hitachi’s monozukuri—designing,
manufacturing, or repairing products—and the technical excellence
that underpins the quality of our
products.
Today, demographic changes inJapan have created concern that highly skilled technicians and instructors
will soon be in short supply, just whena high degree of precision is required
and production is shifting overseas.
Creating a reliable way to transfer
technical know-how has become urgent. At its core, teaching technicalskills is about how to efficiently passon intuitive “feel” and “the tricks ofthe trade” gained through deep experience.
To meet this need, since 2001, theHitachi Group has been developing
the e-Meister program: using information technologies to accurately recordand pass on experienced workers’
know-how to the next generation.

Hitachi Global CSR Activities
Chief Executive’s Message

Sir Stephen Gomersall
Senior Vice President andExecutive Officer,
Chief Executive for Europe,
Hitachi, Ltd.

In today’s markets, stakeholders expect companies to show their commitment to society
and the environment. Demonstrating CSR
therefore becomes a means of enhancing andprotecting corporate value. This CSR reportshows how Hitachi endeavours to implement
this commitment worldwide.
The goal of Hitachi throughout its 97-year
history has been to contribute to society
through technology, and to be good corporate
citizens in every international environment
where we operate. As a group of consumer-

and infrastructure-related companies with increasing roots in Europe, the strongest link in
implementing our CSR aims is our employees,
and our aim is to develop a workforce forwhom this commitment is embedded in ourbusiness culture and local relationships.
We believe that achieving this will raise theappreciation of our European operations, increase Hitachi’s brand value, and contribute
positively to our competitiveness and growthwithin Europe.

The EU-Hitachi Science and Technology ForumAt the EU-Hitachi Science and Technology Forum, the public policies that will
improve the daily lives of EU citizens are discussed. The ninth forum was held

HitachiGlobalCSR Activities

Europein Warsaw, Poland in May 2006. Scientists, academics, government officials,
and business leaders met for three days of discussion
on the theme “The impact of Information and Communication Technologies (ICT) on the safety, trust andsecurity of European citizens.” After the forum, a summary of the findings was published and distributed to
EU officials, members of the European Parliament, as
well as academia and industry, as a contribution to
the EU public policy debate.

Creating Work-Friendly Workplaces

EU-Hitachi Science andTechnology Forum

Hitachi Europe appoints local employees to lead efforts to create a workfriendly workplace. This year, 22 people from eight Hitachi Group companies
participated in the “High Potential Development Programmes” that Hitachi
Europe has designed to foster future executives and advance our business.
After studying strategic management skills, participants were divided into
strategic project teams to spend six months working on themes such as “theCzech Republic as an Emerging Market.” They then presented the results of
their analysis and made recommendations.
Europe’s many countries make it vital to promote open communication
and understanding of other people’s values. Hitachi Europe, Ltd. provides all
its employees with cultural awareness training, where they learn about the
impact of history and culture on communication, how to develop relationships
with people from different countries and areas, as well as business customs
Hitachi Group employees participatingin cultural awareness training

and practices in other cultures. Understanding of non-verbal communicationis also deepened.

Hitachi Environment Film Competition in Poland
In July 2006, Hitachi and the Center of Japanese Art and Technology held
the Hitachi Environment Film Competition with the cooperation of the Andrzej
Wajda Master School of Film Directing in Warsaw.
To raise interest in environmental issues, high school students in Krakow,
Poland, were invited to create short films on the theme of “the Significanceof the Natural Environment and Protection of Natural Beauty in Poland.” The
Award ceremony for the Poland
Hitachi Environment Film Competition

winning film was presented at the Tokyo International Women’s Film Festival,
where it was well received.

24 Hitachi Group Corporate Social Responsibility Report 2007

Hitachi Europe
Gateway site

EU-Hitachi Science andTechnology ForumPioneering the future with our stakeholders

Next
Society

We work to provide highly dependable products and services
and to create a comfortable work environmentthat encourages diversity.
Through dialogue with our stakeholders,
we are continually creating new social value.

Next Customers and Hitachi
Society“Thinking and acting from the perspective of our customers.”
This is the basic philosophy behind all the corporate activities of the Hitachi Group.
Customer satisfaction and providing highly reliable products and services are the top priorities.

†1 monozukuri
Monozukuri is a Japanese term
combining two words—mono
meaning product and zukuri
meaning manufacturing. Hitachi’s
monozukuri represents our total
manufacturing solution, which
includes software and hardware
know-how and development
expertise. As such, Hitachi’s
monozukuri provides maximum
value for customers by providing
end-to-end planning, design,
manufacturing and quality control
for every product.

Strengthening Monozukuri

technology, and quality assurance, then promotes

Since our founding, the Hitachi Group has carried onthese improvements throughout the Hitachi Groupa tradition of “quality first” monozukuri †1. At Hitachi,

as part of a Group-wide campaign. The two funda-

we approach monozukuri from the customer’s

mental principles that support quality and reliability

perspective, holistically applying a wide range ofin monozukuri are technical capability and manage-technologies, know-how, and management skills torial expertise.

the total process—from product development andCommittee 1 strengthens development anddesign to production, sales, and service. However,design; Committee 3 improves quality and reli-when broken turbine blades were discovered in aability based on the Hitachi founding spirit; andnuclear power station in Japan in June 2006, we

Committee 4 standardizes and makes knowledge

established the Supervisory Office for Monozukuri

about monozukuri widely available (information onunder the president the following September toprevious accidents or failures, expertise, technol-

further strengthen monozukuri capabilities and toogy, and know-how).

restore customer confidence.

For enhancing managerial expertise, Committee 2 strengthens risk and project management,†2 PM
project management
A method of managing the
progress of a project as a whole
while coordinating staff, funds,
equipment, materials, scheduling, etc.

Six Committees Committed toStrengthening Core Technologies

Committee 5 works on enhancing monozukuri

The Supervisory Office for Monozukuri, with six

ment, and Committee 6 promotes human resource

committees, strategically introduces the latest

development.

competence, which forms the bedrock of manage-

simulation technology and specialized personnel.

Every committee simultaneously works to

At the same time, it works to strengthen existingenhance monozukuri and on-site skills by con-development and design processes, production

tinually sharing the results of its activities with theCommittees of the Supervisory Office for Monozukuri and Their Activities
Existing activities• Simulation technology• Project management• Quality assurance• Production technology• Skills Olympics• Engineering ethics• Management training

Strengthen & complement

Committee 3 ( Reliability )Strengthen activities related to quality
assurance by renewed efforts toward more
rigorous quality testing, reliability training,
and a wider use of quality management
evaluation techniques.

Committee 2 ( PM†2 )Improve the management of individual
projects by creating a PM system andtraining PM specialists.

Committee 4 ( Knowledge )Support the establishment of best practices
by standardizing and building a database of
information on previous accidents andfailures, as well as expertise, technology,know-how, etc.

…

Committee 1 ( Development & Design )Improve the development and design
process by expanded the application ofanalysis-driven design using the latest
simulation technology, etc.

Committee 5 (Monozukuri )Strengthen new technologies and improve the collection of the latest information, revitalize existing
activities relating to monozukuri, such as the transmission of special techniques exploiting IT.

Committee 6 ( Human Resource Development )Strengthen monozukuri human resource development through renewed efforts to instill thefounding spirit in all employees, revising the Hitachi Ethics Handbook, etc.

Partnerships and complementary relationships among committees

26 Hitachi Group Corporate Social Responsibility Report 2007

Hitachi Evaluation System for Quality Management
Division

Framework( Work rules )Product development projectWork process
Plan Specifications Design Procurement Manufacture

Product

Evaluation( Based on ISO 9001)

Improvementcompany’s business divisions and rigorously applying the PDCA†3 process.

Quality Assurance (QA) Activities
Using an integrated quality assurance (QA) system,

Application of best practices
to other production facilities
Hitachi evaluation
system for quality
management system

Accumulation of best practices

Best practices†3 PDCAA system for managing anorganization in a continuous way
by approaching the four steps ofPlan-Do-Check-Action as a single
process.

the Hitachi Group focuses on QA at every stage ofthe product cycle—from planning to shipping andity assurance employees with practical training

service. Through continual improvement of workin “QC seven tools.”†4 As well, lectures are given

processes and other measures, we work hard forby experts on such topics as “Attitude for Quality

high-quality monozukuri that leads to the ultimate

Assurance Personnel.”in customer safety. We also do our best to develop
personnel on the understanding that “quality begins

Total Commitment to Product Safetywith people.”

At Hitachi Group we focus all our knowledge andtechnical know-how in planning, research, design,

Employee Training to
Improve Quality and Reliability

manufacture, quality assurance, and maintenanceAt the Hitachi Group, we develop courses tailoredvices.

†4 QC seven tools
Seven statistical methods needed
to pursue quality control (QC):(1) pareto diagram, (2) cause-andeffect diagram, (3) histogram,(4) check sheet, (5) scatter
diagram, (6) control chart, and (7)stratification (grouping of data bycommon factors).

Quality Assurance
Flow Charton the goal of providing safe products and ser-to every technical and skill level for divisions involved

Design and verification during product devel-with design and quality assurance, including “Reli-opment, places the highest priority on protecting

ability: Fundamentals and Applications,” “Productlife, health, and property. In consumer electronics,

Safety,” and “Engineering Ethics.” Our “Engineering

we incorporate the most reliable safety mechanisms

Ethics” course introduces managers to the views

available to protect against serious secondaryof experts and reviews examples of applied ethics.

damage, such as fire or electric shock, if a com-As well, discussions are held on real-life workplaceponent fails. We also conduct risk assessments,

issues, recognizing that it is vital for every engineer

incorporating the opinions of other production andto think and act ethically as an individual.

research facilities. In addition, we take rigorousMore than 40,000 employees have taken our

steps to ensure consumer safety, in the unlikely

general e-learning course “Introduction to Engi-

event of fire, through forced ignition testing of ourneering Ethics.”

products.

Promoting Compliance withTechnical Laws

OCHIBO HIROI(Program to prevent
recurrences)

Individual production facilities have also been
implementing their own employee training programs for specialized skills. At Hitachi Ltd. Hitachi

Hitachi-Quality Monozukuri
through Improved Work Processes

Works, for example, we have set up a training

To provide excellent products and services, itcenter to upgrade manufacturing, inspection, andis necessary to improve the quality of individual

maintenance skills and also provide young qual-

work processes, such as planning, design, andmanufacture. For this reason, we constantly apply
and continually improve the PDCA cycle during
each process. At the Hitachi Group we use the
Hitachi Evaluation System for Quality Management
developed in-house.
For divisions seriously in need of remediation,
we use more intensive measures, sending a special
team to evaluate the quality of work processes andto fix weak points. In these cases, work-process

Quality training at the Hitachi Works Training Center

Next Society 27

Next Society | Customers and Hitachi | http://www.hitachi.com/csr/

Implementation( Compliance with rules )Customer Center, Hitachi Building Systems Co., Ltd.
Monitoring elevators and other building equipment

ing to create the best value for our customers,”

CS Efforts in the Information & Telecommunications Systems Group

based on the concept of uVALUE.†1 This approach
Society, customers
Collaboration to create value

adopts the customer’s viewpoint, using an annual
and services. Within the company, employees

Correct incorporation intouVALUE-based operations

Employee attitude survey

Achievinga higher order of CS

Employee self-evaluation

Requests/demands

Suggestions/complaints

questionnaire from customers on our products

Synthesis of survey results

conduct self-evaluations to understand customer
needs and issues, quality and speed of response torequests, and other items. In addition, we conduct
an employee opinion poll on the workplace environment, including internal communications and decision-making speed. The results of these surveys

Customer questionnaires

are combined with customer questionnaires andanalyzed from various angles to assess how daily
activities are reflected in customer satisfaction.

†1 uVALUEThe Hitachi concept for integrating
IT into a wide range of businessdomains within the Hitachi Group
that will create value in the coming
ubiquitous information society,thereby enriching society as awhole.

evaluations using the Hitachi Evaluation System

Through these efforts, we strive to raise em-for Quality Management have proven effective.

ployee awareness and incorporate—as completely

Through this system, it is possible to deter-as possible—the customer’s viewpoint into ourmine—quantitatively and in clear detail—the extent

operations.

to which a project is following set processes andwhether there are problems with those processes.

CS Efforts in Consumer Electronics

Any problems that are exposed are remedied us-

For consumer electronics, we receive wide-ranging

ing good practices, stored within the system, fromfeedback, including questions and complaints onother production facilities. At present, this systemitems ranging from plasma TVs to washing ma-

is being used in 12 production facilities, but in thechines through our Customer Support Center andfuture we plan to apply it to every company within

Web sites. In addition, we constantly use consumer

the Hitachi Group.

questionnaires as feedback on the products theyuse, to improve products and services.

Action Guidelines for CS Management

How the Customers’ Voices Are
Reflected

Regarding DVD camcorders, for example,

Building Customer Feedback
into Our Products

many consumers wanted longer recording times.

At Hitachi we have made our Customer Satisfac-

We responded by installing an HDD (hard disk drive)tion (CS) Management Guidelines one of the pillars

to supplement the DVD as a recording medium,of business management, and we continue toboosting recording times to about 11 hours.

improve CS with the goal of the “creation of inno-

We will continue listening attentively to ourvation through collaboration with customers.” Wecarry out a Customer Satisfaction Survey tailoredto each business operation and market, analyzing
the opinions submitted to our Customer Support
Center. We then incorporate this information into
product development and business activities.
CS Efforts in the Information &Telecommunications Systems GroupThe Information & Telecommunications Systems
Group is working for a better society by “collaborat-

28 Hitachi Group Corporate Social Responsibility Report 2007

DVD camcorder
Hybrid Cam Wooo (DZ-HS503)

customers and will work to incorporate their needs
into our products, as quickly as possible.

Next Society | Customers and Hitachi | http://www.hitachi.com/csr/

Inspection of elevator machinery, Hitachi Building Systems Co., Ltd.
All elevators are subject to rigorous inspections for vibration and noise. Only products thatpass these tough inspections are shipped.

computer network.
With our new remote monitoring and diagnostic system, we can detect warning signs andResponse to Product Quality Issues

respond proactively to prevent breakdowns be-

In Japan in September 2006, in some of the 24,043

fore they occur. In the event that people becomedual-voltage “minus ion” hairdryers manufactured

trapped in an elevator, the Customer Center canbetween November 2004 and September 2006,

release them remotely—even before maintenancethe ceramic anti-noise condenser broke. Inad-

engineers arrive.

equate voltage surge protection caused smoke to

During the July 2005 earthquake in north-come out from the handle, which posed the risk

western Chiba Prefecture in Japan, many eleva-of fire. In response, on October 24, 2006, Hitachi

tor systems shut down, trapping people inside.

placed notices in 55 major Japanese newspapers

In response, Hitachi Group developed a way toand set up an office to deal with this issue. Data

quickly restart elevators after wide-area disasters.

was collected at specially set up centers and we

We have also secured housing for maintenancepromptly recalled the dryers and exchanged themengineers in Tokyo—where elevators are concen-

for upgraded products at no charge.

trated—to improve our readiness responce and to

Since then, we have replaced defective partsand materials, and taken other steps, to avoid arestore service on weekends, holidays and during
the night.

similar incident from occurring. We have also applied
the lessons learned to other products by strengthen-

Universal Design

ing safety measures during development, including

Universal Design (UD) is the concept that all goods

parts selection and product safety testing.

and services, available throughout society, should
be useable by anyone, regardless of age, gender,

Ensuring Elevator Safety

nationality, or physical limitation.

The number of elevators and escalators, “vertical

The Hitachi Group is widely involved withmodes of transportation” adapted to the verticalsociety and people’s lives through consumer elec-

growth of cities, is increasing in stations, under-

tronics, information services, or public systems,

ground shopping malls, and other public facilities—

making the UD perspective indispensable. We area part of barrier-free building design. Many people

continually offering better products and services

are seriously inconvenienced when elevators and“for each and every customer.”

escalators break down due to malfunctions, power
failure, or earthquakes and other disasters.

Our UD process has three steps: basic research; product development; and measures to

The Hitachi Group is working hard to provide

inform and educate. During each step, we consult

highly reliable elevators and escalators, together

and deliberate to ensure that improvements arewith quality maintenance services, to ensure “safety,

continually built into our products and services.

comfort, and convenience.” Our maintenance engi-

Our development of a standard elevator sizeneers are continually upgrading their acknowledged

incorporating the UD concept illustrates how theseexpertise and technical capabilities by training on

three steps work together.

equipment. In addition, with the Customer Centerof Hitachi Building Systems Co., Ltd. as a hub,

Steps in Universal Design

we now have 350 satellite maintenance centers

During basic research, we began by establishing athroughout Japan operating 24 hours a day, 365

research objective based on what people are look-days a year, dispatching maintenance engineers

ing for in an elevator, considered within the context

as soon as we get an abnormal signal through theof society and our business operations. Then we

Next Society 29

Universal Design Process

Participating in an elevator field study

Evaluating an elevator prototype

Creation of a database, guidelines

Support forbusiness activities, education

PR activities

Presentation handbook for elevator salespeople

went out into the community accompanied byapplied to product development, such as a flash-people who have vision or hearing disabilities, oring destination floor button and a color LCD (liquid

those in wheelchairs, to observe and study first-

crystal display).

hand how they use elevators.

†1 IAUDInternational Association
for Universal Design

Measures to inform and educate
PR, support for educational activities,
creation of guidelines & a database

Application to products

Prototype creation & evaluation

Idea evaluation

Product development
Multiple monitoring studies and tests conducted using prototypes
and results incorporated into products

Analysis

Questionnaire surveys
Field studies

Setting objectives

Basic researchStudies to characterize various
users and their behavior

Idea selection

Customer needs, social context, business context

Our work to achieve Universal Design rests on three pillars: basic research, product development, andmeasures to inform and educate, which in turn are based on customer needs, with feedback continually guiding our efforts.

To inform and educate, we launched PR

We also surveyed 358 people by question-

activities, such as product announcements, andnaire, including the elderly, wheelchair users, andheld presentations for customers and sales units

foreigners living in Japan, then analyzed the results

to promote understanding of UD and to gather

to pinpoint the problems that these people were

feedback. At the same time, to spread the acquired

experiencing.

knowledge about UD activities throughout theDuring product development, we prioritizedcompany, we are standardizing the results of these

the problems that were revealed and began study-

efforts, creating “tools,” such as design guidelines

ing and proposing specific solutions. Focusing on

and a database.

the solutions with the most promise, we created

We not only use UD in manufacturing, we edu-

prototypes (full-scale test models) and had themcate people about this subject as one of our CSR

evaluated by 120 subjects, including people ininitiatives. For example, we are working to spread

wheelchairs, the elderly, the vision or hearing im-

understanding and consideration for the disabled

paired, and healthy people. On the basis of theseand the elderly through a hands-on curriculum toevaluations, we adopted a number of ideas to be

get children thinking about UD (see page 32).

reportParticipating in the International
Conference for Universal Design
The 2nd International Conference for Universal
Design was held in the Kyoto International
Conference Hall in October 2006. The growinginterest in UD attracted 14,700 people from 28
countries.
As special corporate co-sponsor, Hitachi
Ltd. delivered a keynote address, presented
papers in sub-sessions, gave a presentation
on UD examples at the plenary session of the

IAUD,†1 and participated in a 48-hour design
marathon.
In the exhibition, Hitachi displayed a wide
range of CSR-oriented products—including
some still under development—and introduced
a few CSR activities. Receiving high marks fromparticipants were our landmine removal equipment (Hitachi Construction Machinery Co., Ltd.),
for its international role, and hearing-impaired
Hitachi employees for sign-language explanations.

The Hitachi booth in the conference’s exhibition hall.

30 Hitachi Group Corporate Social Responsibility Report 2007

To Our Shareholders and Investors
Hitachi is dedicated to enhancing communication with shareholders
and investors while providing them, in a fair and appropriate way, with the information
they need to make sound investment decisions.

available. As well, we created

The Hitachi Group approaches investor relations

a section for individual inves-(IR) proactively, working from the basic principle

tors. In this way we are strivingof ongoing public disclosure of information in

for full, public disclosure ofcompliance with all relevant laws and regulations.

information that promotes a

We believe that providing timely, fair, unbiased, andbetter understanding of theaccurate information on the corporation’s current

Hitachi Group. We are also

status and future prospects is an essential ele-

working to make access toment of IR. Through the open, ongoing disclosure

information on our Web siteof information, we are working to both enhance

as fair as possible by providing the English as well

the transparency of corporate management andas the Japanese presentation materials used in

to promote IR initiatives that meet the needs of ourstrategy briefings.

IR presentation on Hitachi’s
hard disk drive business

Investors

shareholders and investors.

Proactive IR Approach
At Hitachi, Ltd., our top executives, as well as ourfinancial, legal, and corporate communications divi-

General Meeting of
Shareholders

Publications Providing Business Information• Financial Reports• Business Reports• Annual Report• Financial Highlights• R&D and Intellectual Property Report• Hitachi Group CSR Report

Results of External SRI
Assessments in Fiscal 2006

sions, and each of our business divisions, work
together on a wide range of IR initiatives. These
include holding corporate strategy briefings andTrends in Shareholder Composition ( % )tours of production and R&D facilities for institutional investors and analysts, as well as participating ininvestor meetings sponsored by securities firms.

Other institutions
3.96

Financial institutions& securities firms

Individuals

Foreign investors

27.90

31.67

36.47

March 2005

In fiscal 2006, we delivered presentations to
introduce our R&D activities, hard disk drive business, and automotive operations, in addition to a

3.75
0.00
March 2006

27.12

29.54

39.59

major presentation on the new Hitachi Corporate
Strategy covering the period ending March 2010.

National &local governments
0.00

3.79
0.00
March 2007

27.63

28.09

40.49

The R&D presentation, held at the Systems Development Laboratory of Hitachi, Ltd., introduced
investors to our R&D and intellectual property
strategies.
In addition, we hold more than 350 meetingsa year for institutional investors and analysts, bothreportTop Executives DiscussBusiness Operations

Japanese and foreign. Moreover, we work hardto ensure that the feedback given by institutional
investors and analysts at these meetings is incorporated into the company’s management andbusiness operations.
In January 2007, for example, we redesigned
our IR Web pages, making information thatshareholders and investors need clear and easily

We believe that providing an opportunityfor Hitachi executives to explain business
operations is an important aspect of investor relations. At the corporate strategy
briefing held in November 2006, Hitachi
President Kazuo Furukawa explained
Hitachi’s corporate strategy for the period ending in March 2010 to institutional
investors and analysts.

Next Society 31

Next Society | To Our Shareholders and Investors | http://www.hitachi.com/csr/

Hitachi’s IR Philosophy

Next Working in Harmony with Local Communities
Society

Nurturing People, Connecting to the Future
Based on these commitments, the Hitachi Group engages in social contribution activities
in the areas of education, the environment and social welfare.

Hitachi’s policy on social
contribution activities

Hitachi Group’s social contribution
activities

Social Contribution Philosophy and Policy
Philosophy
The Hitachi Group strives to demonstrate its corporate
citizenship in response to social needs and expectations, while endeavoring to enrich the quality of lifeand realize a better society.
PolicyThe Hitachi Group promotes various social contribution activities to build a vibrant society based on
fostering leadership to implement reformation for the
next era. This is achieved by making optimal use of
our knowledge and information technology in three
specific areas, namely, education, the environment,
and social welfare.

246 teachers have participated in the exchange
program.
This program includes an educational forum
for the teachers visiting Japan, which is also open
to the general public. In celebration of HISTEP’s
20th anniversary, in 2006 we invited the screenwriter Mieko Osanai and two other intellectuals to
discuss the future of education. They focused on
the theme of education emphasizing humanity, or
education fostering compassion for others.
Universal Design Classes

Employees of the Hitachi Group volunteer toprovide support for education. One initiative is to

Awareness of Social Issues

hold classes on Universal Design (see page 29)

The business operations of the Hitachi Groupduring integrated learning hours at elementary

depend on having a shared sense of values withschools. These classes provide basic information

people in many countries and communities—andon Universal Design, feature talks by people withby building mutual trust with them. Hitachi stays

disabilities living nearby, and have students work

constantly focused on the issues facing society,in groups to think of and present products using

whether it is the problems of environmental con-

Universal Design. The classes look at productservation or fewer young people studying sciencedevelopment from many perspectives and convey

or the need to honor diversity. We believe that an

the importance of compassion for others.

ongoing dialogue and fulfilling the inherent respon-

In fiscal 2006, the class was conducted 15

sibilities of a company supported by society willtimes at ten elementary schools in the Tokyo area.

An American teacher sharing local
legends as a part of HISTEP’s
Japan exchange program

lead to a brighter future for all and will facilitate our

The smiles of children discovering ideas and inno-

own development.

vations hidden within everyday products continue

Hitachi International School Teachers
Exchange Program (HISTEP)

Educational Initiatives

to motivate Hitachi’s volunteers.

†1
The Hitachi International School
Teachers Exchange Program(HISTEP) is an educational
program for teachers from Japan,
Europe and North America to visit
one another’s countries and giveclasses, have discussions withlocal teachers, and stay with local
families.
†2
The Kyoto Edison Program is a
program in which industry andschools partner on field trips
to production plants and otheractivities to promote school-age
learning about technology andproduct manufacturing.

Hitachi runs a teacher exchange program, ac-Class for Making Dry-Cell Batteries

cepts international students and researchers, and

The Kyoto Office of Hitachi Maxell helps sponsor

conducts other initiatives on a global scale to help

the Kyoto Edison Program†2, run by the Kyoto

foster the next generation’s leaders. We also de-Industrial Association and other organizations thatvote much energy to science education, given that

get children interested in science, technology, andincreasing numbers of young people are turning

manufacturing.

away from the sciences.

In fiscal 2006, a class was held for elementary
school children in Oyamazaki, where the office is lo-

20th Anniversary of HISTEP

cated; the children made dry-cell batteries together

The year 2006 marked the 20th anniversary of thewith their parents. Fifty people (21 sets of parents

Hitachi International School Teachers Exchange

and children) participated.

Program, or HISTEP†1, which began in 1986.
In 2006 we sent seven Japanese teachers

Fostering the Spirit of Inquiry

to Europe and North America and accepted eight

Hitachi High-Technologies Corporation, whichteachers from those regions to Japan. To date,develops and manufactures electron microscopes,

32 Hitachi Group Corporate Social Responsibility Report 2007

Support for Science Education,
Hitachi High-Technologies Corporation (Japan)

Spring Science Camp, Hitachi, Ltd.

conducted a program to support science educa-

products. One of the students commented, “Ition using tabletop electron microscopes. The

learned the importance for product development

students, prepared observation samples (plants,of the physics and math concepts that I’m currently

insects, etc.) themselves, with the focus on letting

learning in school.”the children touch, experience directly, and see
with their own eyes. This program has spread to

Hitachi Fellowship Program in China

branches around Japan and has even been con-

Hitachi, Ltd. and Hitachi (China) Ltd. have partnered

ducted by our San Francisco office in the U.S.

with Chinese think tanks†3 to bring to Japan someIn addition, Hitachi Plant Technologies, Ltd.

of the mid-level researchers who will lead China’s

holds the “We-Love-the-Earth Class” every year tonext generation. Each year, four researchers areteach elementary school children the importanceprovided with the opportunity to research a subjectof environmental protection. Tabletop electronof their own choosing at Japanese research insti-

microscopes and other instruments are used totute for three to six months. Through this program,

introduce water treatment technologies.

we hope to deepen understanding between Japanand China and to build a foundation for a forward-

Spring Science Camplooking cooperative framework that will serve as a

Hitachi, Ltd. participates in the Spring Sciencebridge for Sino-Japanese relations.

†3 Chinese Think Tanks
Hitachi’s Four Think Tank Partners
in China:• Academy of Macroeconomic
Research, National Development
and Reform Commission• Chinese Academy of International Trade and Economic
Cooperation, Ministry of Commerce of the People’s Republicof China• Development Research Centerof the State Council• Chinese Academy of Social
Sciences

Camp administered by the Japan Science andTechnology Agency. High school students are in-Environmental Initiatives

vited into research labs and given the opportunity to

The Hitachi Group’s social contribution activities

experience the latest, cutting-edge technologies.

protect the environment and foster an environmen-

In fiscal 2006, 12 high school students weretally oriented mindset, with the aim of realizing a

invited to our Mechanical Engineering Researchsustainable society.

Laboratory and given the opportunity to learn about
the mechanisms used in ATM machines, to run

Environmental Education Symposium

experiments on air conditioning heat pumps andEstablished in 1972, The Hitachi Environment

to participate in other activities. This program isFoundation surveys and researches environmen-

designed to allow students to directly experiencetal problems, honors organizations that contributethe advanced technologies hidden in mechanicalto environmental protection, and conducts otherreportCompassion Fosteredby Universal Design Class

Participation in the Hitachi Fellowship
Program for Chinese Researchers

Akiko Oyama,
Deputy Head Teacher, Komagome Elementary School,
Toshima-ku Public School, Tokyo

Liu Tingwei, Director, International Exchange,
Academy of Macroeconomic Research,
National Development and Reform Commission

I want our children to see the importance of building a caring society.
Hitachi volunteers teach easy-to-understand classes on Universal Design
so students develop a perspective forliving together in society. I think experiences like this will foster people capable of changing
society.

I carried out research on Japan’s energy conservation policy at the Instituteof Energy Economics, Japan for six
months starting in August 2006. I amvery grateful for having had this opportunity, and hope to leverage Japan’s
successes towards China’s energy conservation policies
and to promote cooperation in this field between Japanand China.

Next Society 33

Next Society | Working in Harmony with Local Communities | http://www.hitachi.com/csr/

Kyoto Edison Program, Hitachi Maxell, Ltd.

Environmental Education Symposium (Sendai)

Hitachi Young Leaders Initiative: Students conducting water quality
surveys on a river in the Hanoi area with children from an orphanage

related activities. Since fiscal 2005, the “Citizens

Cleanup Activities

Taking the Initiative in Environmental Education

Many companies in the Hitachi Group have cleanup

Symposium” was held around the country in co-programs near their offices, at local beaches, along

operation with the Ministry of the Environment. The

rivers, and other areas to protect the local environ-goal of the symposium is to steadily expand thement and to preserve the surroundings. For exam-

scope of activities for creating a sustainable societyple, Hitachi’s Information and Telecommunication

through the participation of every citizen in envi-

Systems Group holds the “10,000-Person Cleanupronmental education and learning. In fiscal 2006,

Campaign” with other group companies as a partthe symposium was held in Sendai and two otherof its local community activities. In fiscal 2006, 17

regions in Japan, and information was presented

companies—around 8,700 people—helped in theon examples of activities by local government bod-cleanup and beautification of local communities

ies, non-profit organizations, and companies, as

and areas near their offices.

well as trends overseas and other issues. The hopeis that the symposium will lead to more regionally

Social Welfare Initiatives

rooted environmental activities directed at creating

Hitachi engages in these activities to create aa recycling-based society.

better society by enriching lives—through support
for the healthy development of young people andAsian University Students Discuss
Water Resources

activities that help the socially and economicallydisadvantaged reintegrate into society.

The 8th Hitachi Young Leaders Initiative was held

Hitachi Young Leaders Initiativein January 2007 in Hanoi, Vietnam. The initiative

Helping Prevent Crime and Delinquency

comprises a forum, workshops and a social con-

Since its establishment in 1967, The Hitachi Mirai

tribution program designed to broaden the views

Foundation has built understanding and fosteredof participating Asian university students on com-the public’s cooperation for preventing crime andmon issues in Asia and to help them develop intodelinquency and for assisting in social reintegra-

future leaders in the region. This year, in addition
to the theme of regional economic integration, thestudents discussed and drew up recommendations on how to manage water resources for Asia’s
sustainable development. They also partnered withlocal orphans, conducting water quality tests inwaterways and a purification plant in order to raise
the children’s awareness of water issues.

Crime and Delinquency,
a periodical issued
by The Hitachi Mirai
Foundation

reportHitachi Tree Alive and Well
Hitachi Tree, the tree used in commercials for the
Hitachi Group, is located in Moanalua Garden
park on the island of O’ahu in Hawaii. There
was temporarily some concern that the gardens might be sold and the tree cut down. But,
based on the belief that the gardens should be

34 Hitachi Group Corporate Social Responsibility Report 2007

preserved and open to the public and tourists,they were purchased by Kaimana Ventures, Ltd.,and Hitachi committed to ongoing cooperation
for their preservation. We plan to continue tocarefully look after this tree, which serves as asymbol of the Group’s solidarity and the sense oftrust and affinity people have for Hitachi.

Hitachi employees performing volunteer work,
Hitachi Global Storage Technologies ( U.S.A.)

tion. The foundation publishes the periodical Crime

Japan and the U.S. that are active in many areas,

and Delinquency to more widely publicize initiatives

including promoting family and science education,

on crime prevention, correctional education, andinviting university teachers and researchers fromrehabilitation.

Southeast Asia, protecting the environment, sup-In addition, with the goal of helping to bringporting the healthy development of young people,

about a bright, healthy society without crime or

and working on corporate citizenship initiatives indelinquency, the foundation provides support for

the U.S.

people involved in related day-to-day activities.
For example, in fiscal 2006 it provided funding for
the Stockholm Prize in Criminology, which was recently established and based on a proposal by the
Swedish Ministry of Justice. The prize is awarded toscholars who have produced exceptional work—on

Hitachi’s Foundations

Hitachi foundations• The Odaira Memorial Hitachi Education Foundation• The Hitachi Environment Foundation• The Kurata Memorial Hitachi Science and Technology Foundation• The Hitachi Mirai Foundation• The Hitachi Scholarship Foundation• The Hitachi Foundation ( U.S.A.)

a global basis—in the field of criminology or to
distinguished individuals who have contributed

Support for Volunteer Activities

to the prevention of crime and the protection of

Hitachi provides the support—information, time,

human rights. A criminology symposium was heldand funds—that allows our employees to partici-

in conjunction with the awards ceremony.

pate in volunteer activities.

Supporting NPOs Involved in Helping People

activities through seminars, introductions on our

Community Action Committees (CACs)†1 made up

intranet, and by other ways. For time, Hitachi,of employees of Hitachi Group companies in North

Ltd. has a special annual paid leave system that

America provide support for non-profit organiza-

employees can use for volunteering or self-devel-tions involved in social welfare activities and otheropment. For funding, we hold a volunteer support

initiatives that benefit local residents.

program every half-year and provide funds to

To provide information, we publicize volunteer

Hitachi America, Ltd. (New York) has supported Green Chimneys since 1996, a social welfare

non-profit organizations where our employees arevolunteers.

†1
Community Action Committees
promote community initiatives
in North America throughthe voluntary participation of
employees. They are formed by asingle business site or by multiple
business sites in the same area.
Funds for activities are provided
by the company and The Hitachi
Foundation. Activities are currently
underway at around 30 businesssites.
†2
Animal-based therapy is a form of
therapy that seeks to lessen stressand calm the emotions of troubled
children by having them interact
with and look after animals.

facility that provides animal-based therapy†2 forchildren requiring special emotional support.
Hitachi Global Storage Technologies (Minnesota)
supports PossAbilities of Southern Minnesota,
a non-profit organization dedicated to providing
work assistance to people with developmental
disabilities. In addition to providing financial assistance, the company also supports activities thatinvolve person-to-person interaction. For example,
volunteer employees go in person to work at, andperform repairs on, daycare centers run by theorganization.

Six Foundations Promote Diverse Activities
Starting with The Hitachi Environment Foundation and The Hitachi Mirai Foundation mentioned

reportUnderstanding and Supporting
the Fight against Depression
Ritsuko Yamaguchi
Hitachi Capital Insurance Corporation

In Japan, over 60% of
people report feelingstress at work andthe number of people
experiencing depression and other relateddifficulties is increasing.
I participate in the non-profit organization Mood Disorders Association
Japan. Since 2002 the organization has
run programs that help people return towork and has conducted seminars toraise awareness and further understand-ing of depression. Many people and theirfamilies participate.
This year the organization received
a grant from Hitachi’s Volunteer Support
Program and is planning to hold a seminar at the Sonpo Kaikan in Ochanomizu,
Tokyo in September 2007. It is my hopethat everyone will learn that, with appropriate understanding and support,
people suffering from depression arecapable of returning to a normal life.
Volunteer Support Program in Japan
This program works to promote volunteerism byproviding grants for the social contribution activities of
non-profit organizations in which Group employees are
involved. There were 18 grant applications in 2006, and2.68 million yen in grants was provided to 11 applicants.

above, Hitachi has six foundations located both in

Next Society 35

Next Society | Working in Harmony with Local Communities | http://www.hitachi.com/csr/

Cleanup activities, Information and Telecommunications Systems Group of Hitachi, Ltd. (Japan)

Next Working Together with Suppliers
Society

The Hitachi Group procures raw materials, parts and services from companies
around the world, an activity rooted in strong partnerships with suppliers.
We are committed to developing harmonious,
mutually prosperous relationships with our suppliers.

Basic Policy on Procurement

port to a large number of suppliers, both in Japan

Hitachi, Ltd. values partnerships and openness

and overseas, in order to ensure that their technol-with suppliers above all. We are committed toogy and quality levels meet Hitachi standards.

maintaining and improving the mutual understand-For example, we provided SJJ Railway Materi-†1 SJJ Railway Materials &Supply Limited

ing and trust of our suppliers over the long term.

als & Supply†1, a specialized Chinese manufacturer

While providing equal business opportunities, weof parts for railroad cars, with guidance on railroad†2
Green procurement refers to
procuring parts and materials with
reduced environmental impact
from suppliers that are actively
protecting the environment.

select suppliers from around the globe based on

car welding technologies and helped them improve

the principle of open competition.

their quality and production management. After do-†3
The RoHS Directive is a directive
banning the use of hazardous
substances related to waste
electronic equipment (EU Directive
2002/95/EC).

To build relationships of mutual prosperity withWe are expanding our supplier base globallyour suppliers, it is necessary that they share ourthrough this kind of long-term partnership building,

viewpoint on CSR. In April 2005 we revised ourwhich also helps to develop supporting industries in

Guidelines for Procurement Activities from a CSR

the countries and regions where they are located.

†4
KES is a Japanese environmental
management system promoted by
the KES Environmental Organization.

ing this, we began full-fledged transactions with the

Sharing CSR with Suppliers

company in the second half of 2006.

perspective and communicated these guidelines
to our approximately 4,700 suppliers in Japan. We

Green Procurement

also requested that they carry out activities to raise

In order to provide environmentally conscious

CSR awareness.

products, the Hitachi Group has created and dis-

†5
The green supplier (GS) ratio is
the ratio of principal suppliers thathave acquired certification.

In fiscal 2006 we asked the same of our nearly

tributed Green Procurement Guidelines for sharing

400 principal suppliers in North America, Europe,

our approach on green procurement†2 with our

Asia and China.

suppliers.

In addition, using the Supply Chain CSR De-

The guidelines were revised in December

Guidelines for Procurement Activities

ployment Guidebook created by Japan Electronic

2006 in conjunction with amendments to the Law

and Information Technology Industries Association,

for Promotion of Effective Utilization of Resources

we sent out a trial questionnaire to 20 domestic

and enforcement of the EU’s RoHS Directive†3.

Green Procurement Guidelines

Hitachi Group authorization system

Hitachi procurement

suppliers to gauge the state of CSR promotion

In addition, we are registering companies thatby suppliers. Based on the results, we will work

understand Hitachi’s approach to green procure-

together with suppliers on how to deal with CSR

ment as green suppliers, a measure intended

issues.

to increase the number of suppliers engaged inenvironmental protection. This registration system

Collaborative Creation with Suppliers

targets small- and medium-sized companies that

Collaborative creation ( joint activities) with trust-

have acquired environmental management certi-

worthy, technologically advanced suppliers is

fications, such as ISO 14001 and KES†4. Theseessential for product development.

companies attend Hitachi’s environmental seminar

The Hitachi Group carries out joint develop-

and are registered as green suppliers.

ment with suppliers that possess cutting-edge

In connection with the use of this system, we

technologies. We also provide guidance and sup-are working to increase environmental activities byusing the green supplier ratio as an indicator. OverTechnical guidance for Chinese suppliers

5,000 suppliers are cooperating with us to reduce
our impact on the environment. In March 2007 weachieved a green supplier ratio†5 of 100%.

36

Employees Make Hitachi What It Is
Hitachi is what it is today because of the day-in, day-out efforts of our employees.
Hitachi is committed to creating a work environment that respects individuality,
one where employees can develop to their full potential and aspire to high goals.

creating a better work environment for women. The

Hitachi, Ltd. is working hard to nurture human“F.F. Plan II” was subsequently launched to bring

resources that can meet the requirements of theabout a change in the awareness and behavior

new age and to create a better work environmentof our employees for balancing work and family

where all employees can give full expression to theirlife, and to ensure that this new awareness andindividual capabilities. This endeavor is guided bybehavior take root.

three key words: (1) “openness” to encourage

Specifically, Hitachi is making every effort tofrank communication and to provide employees

better inform all employees about how womenwith opportunities to express their full potential,

employees work by showing examples of problems(2) “challenge” to aspire to high goals and personal

confronting women in the workplace, by encour-transformation, and (3) “diversity” to respect indi-aging everyone to work together to solve theseviduality.

problems, and by creating an environment where
every individual can realize their potential.

Open systems supporting
employee capacity building

Supporting a balance between
work and family life

Hitachi’s approach toward
HIV/AIDS

Promoting Diversity
Vital to the sustained growth of both society andRe-employing Retirees

companies is how to respond to social change,

Hitachi wants to use the rich experience, skills andsuch as the shrinking labor force—caused by de-know-how of our employees to create an attractive,

clining birth rates and the aging of society—and

motivating work environment.

problems with pension systems.

In Japan, a “life-plan selection system” (re-Hitachi believes that by developing the po-

employment for over-60s) has been introduced totential and widening the scope of action of theoffer re-employment opportunities in specific jobs

people who will be meeting this challenge, we canat Hitachi, Ltd. and Group companies to interested

promote new value creation and open the way for

employees who have reached the age of 60.

sustained corporate growth respecting individuality
and accepting diverse values. Based on this belief,
Hitachi has introduced a range of measures that

Promoting Employment
for the Physically Challenged

encourage diversity.

At the Hitachi Group, employees with physicalhandicaps work as part of our team. Hitachi is striv-

Supporting a Work-Family Life Balance

ing to improve the work environment for challenged

Since March 2000, Hitachi, Ltd. has been following

employees by including Braille signs on elevators

the “Gender-Free and Family-Friendly Plan” (F.F.

and other company facilities, and by introducingPlan)—designed to create a better work environ-

auxiliary tools, such as software that reads informa-

ment—to eliminate gender considerations fromtion out loud from a computer screen and bone

personnel assignments and by urging employees tomaintain a balance between work and family life.
However, analysis of the results of a B.O.
survey†6 of employees suggests that while progress has been made within the systemic work
structure, it is still necessary to promote greaterawareness and understanding of this balance inthe workplace.
To remedy this situation, in 2006, Hitachi introduced the “Diversity Promotion Project,” an organi-†6 B.O. Survey
The Business Process and Opinion
Survey is used to assess employees’ views on their jobs andcompany lives. Launched in fiscal
2001, it is conducted annually.

reportCreating a Work-Friendly
Environment
Kazuko Nishioka
Diversity Promotion Project, Hitachi, Ltd.

The Diversity Promotion
Project is a Group-wide
initiative. For example,
in workplaces wherean employee is goingto have a child or israising a child, we have begun providing
materials that give examples of communication and other issues that could be
useful in thinking about how to push work
forward. Rather than just putting systems
into place, we are providing operational
support to create a work-friendly environment where diverse individuals can
express their full potential.

zation directly under the president that focuses on

Next Society 37

Next Society | Working Together with Suppliers | Employees Make Hitachi What It Is | http://www.hitachi.com/csr/

Creating a Work-Friendly Corporate CultureRatio of the Physically Challenged
2.05( No.)

1,300
1,150
1,000

1.88

(%)

2.0

1.93

Statutory
requirement

1.80

1.76
1,007

968

926

1.66
822

850

1.5

731
700
0

June
2002

June
2003

June
2004

June
2005

0

June
2006

* Data: Hitachi, Ltd.

conduction telephones.

models for fostering women executives, introducing

Across the Hitachi Group, to promote themore diversity into the workplace, and promoting

employment of the physically challenged, all Groupcross-cultural exchanges.

companies participate in joint interviews of chal-

The many executives and staff from the Hitachi

lenged people. Some staff travel to provide advice

Group of companies in North America that attended

and information to those Group companies thatthe symposium built cross-border networks andhave yet to reach the legally required ratio for theshared common awareness of the issues.

employment of the physically challenged.
At the end of June 2006, the Hitachi Group

Diversity Training in Europe

ratio of employment for physically challenged per-Believing that it is critically important to have ansons reached 2.05% at Hitachi, Ltd. and 1.70%, on

open corporate culture that embraces diversity,

average, among major Group companies in Japan.

Hitachi Europe, Ltd. introduced a diversity training
program in 2006 with compulsory participation for
all Hitachi Europe directors and employees working

Creating a Dynamic Workplacethrough Diversificationin the United Kingdom.

As one of Hitachi’s main CSR activities in North

This program, working to deepen employee

America, Hitachi America, Ltd. is putting strong

awareness, teaches that diversity includes not justemphasis on a partnership with the Global Orga-differences in gender, ethnicity, and physical handi-nization for Leadership and Diversity (GOLD), a

cap levels, but other attributes as well, such as age,

non-profit organization (NPO) that supports global

sexual orientation, and religion. Participants also

women leaders. Contributing to the development

learn about issues such as the UK’s age discrimina-of women leaders is one of Hitachi’s major themestion prevention regulations, workplace harassment,for promoting workplace diversity.

and bullying. In addition, Hitachi Europe, Ltd. has

Hitachi America, as part of its activities todeveloped in-house regulations to cover these

support this NPO, sponsored a symposium held

We believe that diversity in human resources

21st Century Women Leaders: Building Bridges

and employment strengthens the company-em-

Across the Pacific.

ployee relationship and lowers employee turnover,GOLD’s work is part of a drive to promotemaking it a critical issue for the sustainability ofwomen’s leadership in the U.S. and Japan. GOLD

Hitachi’s business operations. A Web site thataims to raise awareness of women’s leadershipfeatures diversity was set up on Hitachi Europe’s

issues at the global level by establishing innovative

intranet in March 2007.

Number of People
Taking Maternity Leave

Number of Women Managers

250

400

338
255

281

0

100
100

2000

210
1

189
6

215
1

209

( No.)

214

10

2005

2006 ( FY )

0

2004

* Data: Hitachi, Ltd.
* Index represents FY 2000 total as 100%

38 Hitachi Group Corporate Social Responsibility Report 20072005

2006 ( FY )* Data: Hitachi, Ltd.

0

96

100

17

81

107
0
2

0

7
6

50
2004

Men
Women
( No.)

20

11
183

Number of People
Taking Shorter Working Hours

Men
Women

150

200
100

200

Number of People
Taking Long-Term Care Leave
Men
Women

( No.)
Compared to FY 2000
(%)

300

issues.

by GOLD in Los Angeles in March 2007 entitled

50

7
2

5

5

2004

2005

81

94

107

2005

2006 ( FY )102006 ( FY )* Data: Hitachi, Ltd.

0

2004

* Data: Hitachi, Ltd.

Male/Female Employee Ratio

Number of New Graduate Recruits in Fiscal 2006

( March 2007 )FemaleFemaleFemale14%

16%

Total new graduate
recruits
84%

86%

11%

37%

Engineeringand science
graduates

Liberal arts
graduates

89%

63%

Male

Next Society | Employees Make Hitachi What It Is | http://www.hitachi.com/csr/

Male

Male

FemaleMale* Data: Hitachi, Ltd.

*Data: Hitachi, Ltd.

Securing the Safety and
Health of Employees

Supporting Enriched Livesfor Employees and Their Families

Hitachi, Ltd. strives to maintain and improve highHitachi has instituted a range of measures de-safety and hygiene standards under the motto,

signed to support richer and more stable lives for“Protecting the safety and health of employees

our employees and their families.

comes before all else.”
Promoting Employee Safety and Hygiene

Supporting Employee
Self-Help Efforts and Independence

The knowledge and experience of management,

A new program designed to support employee self-

education, facilities, and the environment that

help efforts and independence was introduced in

Hitachi has accumulated over many years of safety

2000 at Hitachi, Ltd. The “Cafeteria Plan” systemand hygiene practice have been compiled as theenables employees to select the benefits they willcompany’s “safety and hygiene knowledge” andreceive. By adding new options, such as skills

put into daily use.

development, childcare, nursing care and health

For example, we promote employee healthpromotion to traditional benefits—dormitories,

by providing counseling from industrial physicians

company housing, medical care, and various

for staff who work a lot of overtime and by offering

sickness benefits—Hitachi has created a “menu”

health guidance based on the results of regularthat employees can tailor to their individual lifestyles

medical checkups.

and needs.

Promoting Mental Healthwhen they need it within the scope of their “caf-In recent years, maintaining the mental health ofeteria points.” Hitachi has other systems in place

employees has emerged as a major social concern.

that can respond to social and household issues,

Employees can select the support they needWe have put up a stress-level checklist on

such as childcare and nursing care.

our intranet so that employees can easily ratethemselves. We also address mental healthcare byproviding access to specialists and counselors.

Employee Life-Planning Support
through Corporate Pensions

An EAP†1 Center has been established toWith Japan’s declining birth rate, the aging of so-

help employees resolve their worries and concerns

ciety, and the growing diversity of post-retirement

through person-to-person, telephone, and in-house

lifestyles, corporate pensions seem positioned toonline counseling. After ensuring privacy, findings

play an increasingly important role.

from these programs are relayed to management
for use in improving the work environment.

†1
Employee Assistance Program
Provides employees withpsychological, physical, and social
support.

In response to the diversification of post-retirement lifestyles and other similar changes, the Hitachi

reportKashiwa Reysol Invites Hitachi
Employees and Their Families
The Hitachi Group supports Japanese proffessional soccer team Kashiwa Reysol. The team
had a tough year in 2006, dropping down toDivision Two. To encourage the team, Hitachi
Kashiwa Reysol Co., Ltd. arranged “Hitachi

Toughness 6 Days,” handing out 9,213 freepasses to Hitachi Group employees and theirfamilies for six matches and organizing various
pre-match events. With support from thesefamilies and the Group as a whole, as well asfrom the team’s loyal fans, the team could returnto Division One in a year, now that they’re enjoying a strong 2007 season.

Next Society 39

Labor Accident Rates, Japan ( per million hours)(%)

All industries
Manufacturing industries
Electrical industries
Hitachi

2.0
1.8
1.6
1.4
1.2
1.0
0.8
0.6
0.4
0.2
0.0

2002

2003

2004

2005

2006 ( Y )Group has fundamentally revamped retirement al-

institutions, such as the Hitachi Institute of Tech-lowances and pensions. Defined contribution andnology, the Hitachi Institute of MONOZUKURI

defined benefit plans have been introduced within

Skills and Engineering, and the Hitachi Institute of

the systemic infrastructure—across the Group—toManagement Development.

provide life planning support for employees.

For career development, Hitachi is working

For defined contribution plans, Hitachi encour-

to deepen the mutual understanding of employ-ages the active participation of employees in theirees’ own wishes and goals and the company’s

post-retirement planning through, for example,

expectations. Accordingly, we provide a variety

education on asset management and investments.

of opportunities for self-realization and personal

For defined benefit plans, Hitachi has boosted thegrowth through work.

number of benefit options in response to employees’ diverse needs.

In addition, in order to expand educational
opportunities for employees, Hitachi has also
developed a unique e-learning system to support

Human Resource Development andHuman Resource Utilization

voluntary capacity building. To encourage use of

At Hitachi, we pay close attention to capacity build-and overseas, Chinese and English Web sites were

ing and career development because we believe

added in fiscal 2006.

this system by Group companies both in Japanthat maximizing employee potential is critical toproviding new value and resolving the fundamental
challenges of a global society.

Training Hitachi Group Managers
for the Global Scene

For capacity building, Hitachi supplements

With Hitachi’s operations taking on an increasingly

in-house education—based on on-the-job train-

global perspective, the Hitachi Group trains man-ing—with group education. This group education

agers for this challenge through “global manager

has six educational programs: “Management

training” offered primarily to managers in Hitachi’s

Development,” “Education for Engineers,” “Pro-overseas subsidiaries. Three courses are available:

duction Worker Training,” “Education for Interna-

the Global Basics Course (GBC), the Internationaltionalization,” “Sales Education,” and “Training by

Management Course (IMC), and the Global Strat-

Job Function.” These programs are offered acrossegy Course (GSC).

the Hitachi Group in conjunction with educational

newly appointed Group managers. Participants

reportTaking Part in
the Global Basics Course
Mark Checkley
Hitachi Europe Ltd.

I participated in the
September 2006
Glob­al Basics Course“Ready to Inspire.” This
course had 16 members from Hitachi’s
European companies, and focused onwhat the elements of the company’s
founding spirit—“harmony,” “sincerity,”and “pioneering spirit”—mean for Hitachi
employees.

The GBC was launched in fiscal 2006 forreceive basic management training and learn about

Learning about each other’s jobs
and experiences enabled us to develop
a deep understanding of Hitachi’s diverse
culture and wide-ranging business operations, and provided us with the expertiseand skills that a manager needs. I found
the four days extremely enjoyable andchallenging, and was highly stimulatedby the experience.
I’ll continue to work toward a bright
future for the Hitachi Group, bearing in
mind the conviction of Hitachi’s founder,
Namihei Odaira, that the company should
contribute to society.

Hitachi’s corporate philosophy. In the IMC, young
managers learn the intercultural management skills
indispensable in global business. The GSC focuses
on strategic issues in group management.
Bringing together Hitachi Group managers
from around the world to participate in thesecourses and exchange diverse views contributes
to group unity and strengthens solidarity.
Supporting Career Development

At Hitachi, Ltd., the goal management system andthe in-house career counseling system are corecomponents of career development. They deepen

40 Hitachi Group Corporate Social Responsibility Report 2007

Hitachi Group e-Learning System(English version)
Hitachi-LearningGate

career between employees and their supervisors so that both parties can tackle
their jobs with a clear vision.
Hitachi also operates the “Career
Development Workshop,” a development
support program designed to foster independent

made a “substantial contribution.”

human resources. It helps participants achieve self-

In order to improve the transparency ofrealization, enabling them to develop a deeper self-

payments for invention rewards and assure that

understanding, including their reasons for working

they are being treated fairly, the Employee Inven-and living and their values in relation to work, and totion Rewards Internal Arbitration Committee was

set their personal career goals accordingly.

established to receive inventors’ claims and to

To energize our human resources, Hitachi has

determine the amount of payment for invention

established a “Group Open-Placement System”

rewards offered. An Invention Information systemfor employees in Japan to express their will andhas also been created to promote communication

desires through job transfers. Divisions advertise

between inventors and business divisions, enabling

the job openings for which all employees are freeinventors to make inquiries themselves to businessto apply. As of March 2006, 21 Group companies

divisions for information on internal and /or external

were participating in this system; in fiscal 2006,

use of patents and to confirm the basis for payment

there were 57 transfers.

for invention reward calculations.

Hitachi also adopted an “Intracompany Free

The “Annual Top 100 Rewards for Use of

Agent (FA) System” allowing employees to apply

Patents” presidential award was launched in fis-

directly for transfers to other divisions. During fiscal

cal 2005. Also, the “Top 50 Rewards for Patent

2006, 102 applications were received, leading toApplications” presidential award has been given,

17 transfers in Japan.

beginning in 2006, to inventors aged 35 years andyounger based on their records for their first fiveRaising Motivation throughthe Rewards System
for Employee Inventions
Many Hitachi employees are engaged in researchand development, including some 1,200 with
doctorates. In order to stimulate research activities
and to create new inventions, Hitachi revised the
Reward System for Employee Inventions in April
2005.
Inventions rewards include rewards for patentapplications and registrations, and rewards for useof patent (e.g., used for Hitachi products and /orcontributes to patent licensing income). The revisions put special emphasis on rewards for use ofpatents and have increased the objectivity of evaluations of patent contributions to Hitachi’s business.
The levels of payment for invention rewards wereyears at Hitachi.
reportReceiving a Presidential
Prize for Developing Image
Compression Technology
Yusuke Yatabe
Consumer Electronics Laboratory
Hitachi, Ltd.

I received a fiscal 2006
“Top 50 Rewards forPatent Applications”
presidential award for
my work in developing
high-performance image compression technology that allows
long-running, high-quality recording ofterrestrial digital broadcasting images.
Hitachi was looking beyond thecompression methods currently used for

terrestrial digital broadcasting to develop
a high-performance, next-generation
compression method. My patents were
invented as part of the work during thecommercialization process.
Customer demand for long-running, high-quality recording including
high-definition broadcasts lead to thisinvention.
I am currently working on applying
these patents to televisions, cameras andother digital consumer electronics. I lookforward to continuing to deepen Hitachi’s
proprietary technology and develop
user-friendly digital consumer electronic
devices with high picture quality.

also revised to boost rewards for patents that have

Next Society 41

Next Society | Employees Make Hitachi What It Is | http://www.hitachi.com/csr/

mutual understanding of the employee’s

Hitachi Global CSR Activities
Chief Executive’s Message

Shunsuke Ohtsu
Chief Executive for Asia andChief Innovation Officer for Asia,
Hitachi, Ltd.

Asia is a celebration of diversity. On the one
hand, we have developed nations while, on
the other, we have emerging markets vying
for international attention. There is much diversity within the region as Asian nations areat varying stages of economic, social, andenvironmental growth.
This diversity brings various opportunities
to “glocalize.” This is what Hitachi in Asia iscommitted to achieve. While we expand ourbusiness reach to various markets, we apply
our technology and share valuable resourcesfrom our group synergy to respond to thesocial or cultural needs of Asian countries as
well, wherever we are.
In the past year, we have supported programs enhancing education and technologicalexpertise, and raised much needed funds forrelief work in rebuilding communities. These
activities are just some of the ways we continually demonstrate our commitment as a
responsible industry partner to meet the diverse needs of Asia.

Participating in the Eco-Products International Fair
In October 2006, 11 Hitachi Group companies participated in the Eco-ProductsInternational Fair (EPIF), Southeast Asia’s largest environmental fair, which was

HitachiGlobalCSR Activities

Asia

held in Singapore. The latest green products and services were demonstrated
in line with the fair’s theme: A Better Environment for All. Hitachi Chairman

Hitachi Asia Gateway site

Eco-Products International Fair

Emeritus, Dr. Tsutomu Kanai, delivered a keynote presentation in the adjoining
international conference room.
EPIF 2006 attracted more than 35,000 visitors—government officials, business representatives, students, andmembers of the public—making it a great opportunity to tell awide audience about Hitachi’s environment technologies andeco-products.

Christmas Light-Up in Singapore
Since 1991, Hitachi has been the main sponsor of the Orchard
Road Christmas Light-Up. This event promotes Singapore tourism and contributes to more than 150 social welfare programs
that help those less fortunate. In fiscal 2006, the sixteenth
year that Hitachi has sponsored the Christmas Light-Up, Hitachi raised funds
for four programs: Nurturing Children to Succeed, Dignifying the Lives of theElderly, Keeping Families Together, and Helping People with Disabilities Lead
Independent Lives.

Donation to the Chaipattana Foundation in Thailand
In September 2006, the 21 Hitachi Group companies in Thailand donated104,000 baht (around 350,000 yen) to the Chaipattana Foundation. The Foundation helps local communities with development projects such as polluted
Hitachi Group booth at EPIF 2006

water development programs and irrigation.

Supporting Disaster Victims in Indonesia and the Philippines
In June 2006, to help victims of the earthquake in central Java, the HitachiGroup in Indonesia presented the Indonesian government with two hydraulicexcavators and other machinery to assist in restoration, as well as donatingblankets and other basic items to support aid organizations.
The Hitachi Group in the Philippines and Hitachi, Ltd. donated one million pesos (around 2.5 million yen) to the Department of Social Welfare andDevelopment in the Republic of the Philippines for the relief operation and
Hitachi Construction Machinery Indonesia
presenting a hydraulic excavator

rehabilitation of the victims of the major landslide that occurred in Southern
Leyte in February 2006.

42 Hitachi Group Corporate Social Responsibility Report 2007

Orchard Road Christmas Light-Up

Pursuing monozukuri
for a sustainable society

Next

Our goal is to achieve a sustainable society
by pursuing the advances in design and manufacturingthat enable the creation of environmentally friendly
products and services.

Next Hitachi Group’s Environmental Action PlanEco

To realize our environmental management objectives, we have formulated a long-term plan,or “Environmental Vision,” based on our Hitachi Action Guidelines for Environmental Conservation.
We then create yearly action plans, guided by our Sustainability Compass, verifying andimproving our environmental performance, along the way using our GREEN 21 program.

Hitachi Action Guidelines
for Environmental Conservation

Hitachi Action Guidelines forEnvironmental Conservation (excerpt)

throughout the product lifecycle (from production

The basic philosophy of these Guidelines is based on
the “Hitachi, Ltd. Standards of Corporate Conduct”(Rule No. 2272, established on June 28, 1983). These
guidelines are intended to set forth Hitachi’s action
guidelines for addressing environmental conservationin relation to its business activities.

the design stage, which determines the overall

to final disposal). We make improvements at both
environmental load of a product, and at the production stage, which creates the emissions thathave a direct impact on the environment.
We introduce environmentally conscious design at the R&D stage to improve the environmental

PurposeIn order to realize an environmentally harmonious andsustainable society through products and services,
Hitachi is committed to meeting its social responsibilities by promoting globally applicable “MONOZUKURI”(designing, manufacturing, or repairing of products),
which is aimed at reducing environmental burdens of
products throughout their entire life cycles, ensuring
environmental conservation.

efficiency of our products. At the production stage,
we set annual targets to reduce the environmentalload.
To make cuts at both stages in a balanced
way, we are set to become “emission neutral” by
fiscal 2015. This will reduce emissions at equal
rates in both the direct environmental impact—imposed by procuring raw materials, production, andAwareness of Environmental Issues

distribution—and the societal environmental impact

The Hitachi Group considers the reduction of global

created by finished products after they are sold.

warming, resource recycling, and conservation of

In fiscal 2006, we started developing systems forecosystems to be especially important. That isquantitatively evaluating our progress toward thiswhy we strive to reduce our environmental impact

goal.

Flow of Hitachi Group’s Environmental Activities

Fundamental Credo
Business ethos since foundation of the company

P. 11

CSR Policy of the Hitachi Group
Environmental conservation included within the eight points of the policy

P. 11

Environmental Activities

Hitachi Action Guidelines for Environmental Conservation
Environmental management policy

P. 44

Hitachi’s Environmental Vision ( Sustainability Compass )Direction for environmental management

GREEN 21 ( Version 3 )Environmental Action Plan
Action plan based on the Environmental Vision

44 Hitachi Group Corporate Social Responsibility Report 2007

P. 45

P. 46

Evaluation of results of the Action Plan

P. 49

Sustainability Compass

E
N
S
W

Eco-Mind & Global Environmental Management

Next Eco | Hitachi Group’s Environmental Action Plan | http://greenweb.hitachi.co.jp/en/

Eco-mind & global environmental management
Throughout our entire group, we will create an advanced eco-mind and the power
to transform it into action and build/operate a global management and evaluation
system.

Next-Generation Products & Services
Provision of next-generation products and services
We will continue to make innovations for highly competitive products and services
that will contribute to structuring a sustainable society and deploy new businessmodels.

Super Eco-Factories & Offices
Factories and offices with a high-level of consideration for the environment
We will thoroughly carry out activities for the prevention of global warming andcontinue our efforts to promote recycling, and at the same time, to build up ourbases with consideration for the environment.

Environmental Vision 2015
As a global citizen, we will promote innovation

Worldwide Environmental Partnerships

throughout the world while developing the poten-

Collaboration with stakeholders
We will strengthen environmental communications and actively endeavor to realize
concrete partnerships with our stakeholders while clarifying our objectives andachievements.

tials of the future generation to pioneer next-generation products and services.

Progress with Environmental Activities

formulated the Stage 2 Environmental Strategy,

Using the Fundamental Credo for Corporate

which looks ahead to fiscal 2010.

Activities, we have written Action Guidelines for

In fiscal 2006, the first year of the new strategy,

Environmental Conservation that set out policies for

we certified and registered 40 Super Eco-Products

environmental management, drawing up roadmaps

and 9 production facilities as Super Eco-Factories,that match these guidelines to each of the four

the top level of environmental efficiency in the in-categories shown in Environmental Vision 2015

dustry. As well, we reinforced our environmental(Sustainability Compass).

management systems by obtaining ISO 14001 cer-

Based on these roadmaps, and consideringtification for integrated EMS†1 in our environmental

factors such as social circumstances and laws andmanagement divisions. In these ways, we promoteregulations, we formulated an Environmental Action

the wider use of environmentally responsible de-Plan up to fiscal 2010, setting targets for each year.

sign and modification of production to reduce the

The plan handles a wide range of topics, including

environmental load.

preventing global warming, using resources more

To share information on Stage 2 Environmental

effectively, expanding our lineup of environmentally

Strategy targets, and the environmental concept

friendly products, and active environmental com-behind them, with our production facilities aroundmunication. To check our performance and makethe world, we produced an environmental manage-

continual improvements, we evaluate progress onment handbook and held environmental

56 items in 8 categories and show the results on

seminars in North America and China.

a radar chart.

We are promoting mutual understand-†1 EMS: Environmental
Management System
System introduced to reduce
environmental impact caused by
the activities of a company or an
organization

ing between top management and

Results from the First Year of
the Stage 2 Environmental Strategy

working-level employees, as well as

Following the Stage 1 Environmental Strategy

tal strategy.

broadly implementing this environmen-(completed in fiscal 2005), the Hitachi Group has
Seminar for environmental management staff in China

Next Eco 45

Fiscal 2006 Environmental Action Plan and Achievements
For each item of the Environmental Action Plan, results achieved in fiscal 2006 are compared with targets.
Fiscal 2007 targets were also set with a view to fiscal 2010, the final year of the Stage 2 Environmental Strategy.
Category/Item

Corresponding
page

Action target

Fiscal 2006 target

Eco-Mind & Global Environmental Management
Establish environmental management system

P. 48 – 49

Establish and deploy integrated environmental management system

ISO certification of EMS for Hitachi Group Environmental
Promotion Mechanism

Raise level of environmental activities (Green Points [GPs])

P. 49

Raise GPs of GREEN 21 activities

768 GPs

Nurture environmental literacy (ability to apply knowledge)

P. 50

Promote Hitachi Group-wide training

Promote Internet-based training

Promote environmental accounting

P. 50 – 51

Establish environmental evaluation system

Promote internal use of indicators for efficiency in environmental
impact reduction and other parameters

P. 54 – 57

Increase percentage of registered Eco-Products (application rate)
Increase percentage of Super Eco-Products (registration rate)

80%*1/over 60%*2
Introduction

Enhance environmental efficiency of products(for object product, basis: FY 2000)

Improve global-warming prevention factor
Improve resource factor

17%*1/7%*2
24%*1/7%*2

Use resources effectively(for object product basis: FY 2000)

Increase use of recycled plastic
Reduce volume of packaging used

7%
4%

Promote control of hazardous substances used in products

Establish comprehensive definitions and data for hazardous
substance control

Establish individual product systems to control 13 substancegroups prohibited by the Hitachi Group (including substances
subject to the RoHS directive) (June 2006)

Next-Generation Products & Services
Expand Eco-Products

Promote green procurement

P. 36

Increase rate of green suppliers

Increase rate of green suppliers to 100%Develop a sustainable business model

P. 58

Systematically promote business models that will reduce theenvironmental burden for the next generation

Draw up development and sales expansion plans and formulate
strategies

P. 59 – 62

Super Eco-Factories & Offices
Promote Super Eco-Factories

Build industry-leading factories

Develop certification standards for Super Eco-Factories

Reduce CO2 emissions from energy sources

Reduce CO2 emissions (basis: FY 1990) [Japan]
Achieve specific industry targets or reduce CO2 per unit ofproduction (basis: FY 1990) [Japan]
Reduce CO2 per unit of production (basis: FY 2003) [Outside Japan]

7%
Achieve specific industry targets or reduce CO2 per unit ofproduction by 21%
2%

Reduce emissions of greenhouse gases other than CO2

Reduce SF6 (basis: FY 2003)
Reduce PFC (basis: FY 1995) [Semiconductors]
Reduce PFC (basis: FY 2000) [LCDs]

31%
6%
8%

Reduce energy used in transportation

Reduce transport energy per unit of real production (basis: FY
2006) [Japan]

Calculate energy volumes related to transport (products, waste)
and formulate energy conservation plans

Thoroughly manage chemicals and reduce emissions

P. 62– 63

Reduce VOC emissions to the atmosphere (basis: FY 2000) [Japan] 41%
Reduce VOC emission ratio to total consumption (basis: FY 2005) 2%[Outside Japan]

Use resources efficiently

P. 64

Reduce volume of waste (basis: FY 2000)
Increase resource recycling rate (basis: FY 2005) [Japan]
Reduce volume of water used (basis: FY 2005) [Outside Japan]

12%
2%
2%

Promote green purchasing (basis: FY 2006)

Purchase eco-friendly products; expand items designated forgreen procurement

Purchase eco-friendly office supplies, etc.
Worldwide Environmental Partnerships
Information disclosure and dialogue

P. 65

Enhance publicity and Web sites

Actively participate in environmental activities sponsored byorganizations
Exchange opinions with environmental experts, local residents,and other stakeholders

Global citizenship activities

P. 65

Promote social contribution activities

Participate in the “Environmental Minister of Our Home” program
Consider adding an environmental component to education
support program
Conduct social contribution activities related to the environment

46 Hitachi Group Corporate Social Responsibility Report 2007

E
N
S
W

Achievement
level

Fiscal 2007 target

Fiscal 2010 target

Certification obtained (Sept. 2006)✦✦✦

Formulate plan for obtaining integrated EMS certification for each Obtain integrated EMS certification for each business group /business group/group company
group company
Obtain integrated EMS certification for each business group/groupcompany

845 GPs

✦✦✦
✦✦✦
✦✦✦

896 GPs

1,280 GPs

55% of employees complete training

70% of employees complete training

92%*1/79%*2
Introduced (2.4%)✦✦✦

85%*1/over 60%*2
8%

100%*1/over 60%*2
30%

60%*1/17%*2
70%*1/10%*2✦✦✦

25%*1/10%*2
35%*1/10%*2

50%*1/20%*2
70%*1/20%*2

7%
4%

✦✦✦

10%
5%

20%
10%

System construction completed✦✦✦

Conduct full survey of hazardous substances used in products (25substance groups controlled by the Hitachi Group)

Establish data management system compliant with the EU’s
REACH regulation

Achieved green supplier rate of 100%

✦✦✦
✦✦✦

Maintain/enhance the level of green suppliers
Complete planning

100% achievement of development and sales expansion plans

✦✦✦
✦✦✦

8 production facilities

30 production facilities

7%
Achieve specific industry targets set by the Japan Electrical Manufacturers’ Association or reduce CO2 per unit of production by 21%
2%7%
Achieve specific industry targets or reduce CO2 per unit ofproduction by 25%
5%

70%
33%
97%

✦✦✦

50%
7%
8%

50%
—
—

Calculate actual volumes and completed energy conservation
plans

✦✦✦

1%

4%

44%
2.6%

✦✦✦

42%
4%

45%
10%

Reduced overall volume by 20% across Group, reduced basic unit
by 15% across Group
3%
3.6%

✦✦✦

14%

20%

4%
4%

10%
10%

Used e-sourcing mall✦✦✦Green purchasing rate 30% (basis: FY 2006)

50%

Conducted Hitachi Eco Campaign
Exhibited at the International Eco-Products Exhibition and EcoProducts 2006 Exhibition✦✦✦

Improve communication with homemakers and young people
Exhibit at the Tokyo and International Eco-Products Exhibitions

Maintain ongoing communication with stakeholders
Exhibit at the Tokyo and International Eco-Products Exhibitions

Created environmental education program
Cooperated in habitat survey for endangered butterfly species
Conducted clean-up in wild bird reserves✦✦✦

Launch environmental education programs / conduct environmental, planting, and cleanup activities in cooperation with local NGOs

67,958 people completed training
Reduced volume of energy used in production by 3 million
kWh/100 million yen
Reduced volume of final waste disposal from production by 180
t/100 million yen

Established strategy considering regions and products

Completed development of certification standards
14%
CO2 per unit of real production reduced by 52% [production facilities
belonging to the Japan Electrical Manufacturers’ Association]
2.3%

Link environmental activities to management(Establish environmental accounting that incorporates external economic effects)✦ ✦ ✦ : Achieved✦ ✦ : Partially achieved*1 Information & Telecommunication Systems, Digital Media & Consumer Products*2 Electronic Devices, Power & Industrial Systems, High Functional Materials & Components, Logistics, Services & Others

Next Eco 47

Next Eco | Hitachi Group’s Environmental Action Plan | http://greenweb.hitachi.co.jp/en/

Fiscal 2006 result

Next “Eco-Mind” & Global Environmental Management
Eco

From firmly establishing the “Eco-Mind” vision as a part of our corporate culture tobuilding a systematic environmental management system,
Hitachi is striving to improve and enhance the ongoing promotion ofefficient environmental management and activities.

Environmental Management System

Corporate
Environmental Policy
Division

Environmental
Management
Operations Committee

Eco-Management
Committee

Eco-Products
Committee
Environmental
Committee
Eco-Factory
Committee

Business groups
Group directors, CEOs
Environmental operations
officers

Business groups
Environmental management
systems

Major affiliated companies
Presidents
Environmental operations
officers

Sustainable BusinessCommittee

Environmental Management System
under the Hitachi Group Environmental Promotion Mechanism** The Hitachi, Ltd. Corporate Environmental Policy Division and environmental operations divisionsof business groups and affiliated companies form the core of this mechanism.

Environmental Management System
List of ISO 14001-certified sites

Affiliated companies
Environmental management
systems

Production facilities
Operation heads
Environmental management
officers
Affiliated companies
Presidents
Environmental management
officers

Production facilities
Operation heads
Environmental management
officers

Regional Environmental Committee

Senior Executive
Committee forEnvironmental Policy

President

Affiliated companies
Presidents
Environmental management
officers

Hitachi, Ltd., 934 consolidated subsidiaries,
and 165 equity method affiliates

The Environmental Committee and all subcom-

The Hitachi Group has built a consolidated environ-mittees work toward goals and resolve problems

mental management system. The Senior Executive

by investigating and developing technologies andCommittee for Environmental Policy, chaired by theevaluation methods. Organizations are set up topresident, assesses and sets the entire Group’s

promote environmental activities, and environmen-

environmental policies and strategies, which aretal operations officers are appointed within Hitachi,then delegated to the Environmental Manage-Ltd., Group companies, subsidiaries, and affiliatedment Operations Committee and communicatedcompanies.

throughout the Hitachi Group.

In September 2006, the Hitachi Group Environmental Promotion Mechanism obtained an
ISO 14001 certification to carry out environmental

Status of ISO 14001 Certification ( as of March 2007)
Japan

No. ofcertified sites

activities via the plan-do-check-act cycle and to

Outside Japan

Production
Sites

Non-Production
Sites

Production
Sites

Non-Production
Sites

Total

169

81

79

5

334

use the combined strengths of the Group to reachenvironmental goals. The mechanism is centeredon Hitachi, Ltd.’s Corporate Environmental Policy
Division, the six business groups, the R&D group,
as well as environmental operations officers andenvironmental operations units in 18 Hitachi Group

Europe
8

China
28

Japan
250

North America
17

Asia
31

companies. This mechanism’s scope of control extends to 250 Group companies and about 300,000
employees, or almost 90% of the Hitachi Group’s
environmental impact.
ISO 14001 certifications have also been
gained for 334 environmental management sys-

48 Hitachi Group Corporate Social Responsibility Report 2007

E

performance, are used as an incentive to raise theof March 31, 2007). Certifications will be spread tolevel of environmental activities to improve boththe entire Group, as we move toward 2010.

CSR and profitability. Top management in eachAll production facilities continually improvegroup uses GREEN 21 assessments to check

operations through internal audits combined withlevels of achievement, and to further improve andregular inspections by external certification bod-

inject new energy into activities. In fiscal 2006, aies. Internal audits are carried out by about 2,000Group average score of 845 GPs was achieved,

specially trained and certified auditors. Moreover,exceeding the target of 768 by 77 points. Improve-all sites, including those outside Japan, perform

ments over the previous year were made in theseenvironmental audits within their business opera-

categories: Eco-Mind, Eco-Products, Next-genera-tions as part of their management audits.

tion Product/Service Strategy, Resource Recycling,

Next Eco | “Eco-Mind” & Global Environmental Management | http://greenweb.hitachi.co.jp/en/

tems in business groups and Group companies (asand Worldwide Environmental Partnerships.

GREEN 21 ( Version 3) Activities Begin
Analysis of Fiscal 2006 Results

GREEN 21 Awards

To ensure continual improvements and raise the

The GREEN 21 Award program—focusing onlevel of environmental activities, we use the GREEN

advanced environmental activities, products, and21 evaluation system in every business group andservices—was established to energize environmen-

affiliate. We assess the way these activities havetal activities and apply successful examples to thebeen structured to achieve goals in a given year,

entire Group. Items eligible for awards include top

the specifics of the goals, and the degree to which

environmentally friendly products and technologies,

they are achieved. Version 2, used from 2002 to

as well as facilities with groundbreaking energy and2005, has been upgraded to Version 3, and wasresource savings and recycling. Prize winners are

implemented in fiscal 2006.

judged on overall performance, using GP scores

The results of GREEN 21 assessments,
reflected in evaluations of the Group’s businessfrom GREEN 21 assessments. Six activities earneda GREEN 21 Award in fiscal 2006.

reportMechanism for GREEN 21
Assessments

Categories and Evaluation Items

To rate an activity, the GREEN 21 systemevaluates 56 items in 8 Sustainability Compass
categories from fiscal 2006 to 2010. Activities
are rated on a scale from 0 to 5, with 2 being
average, 4 showing that the goal was achieved,
and 5 that the target was exceeded. The ratings
are then multiplied by a weighting coefficient,with a maximum of 200 GPs in each category,giving a maximum possible rating of 1,600 GPs
for all 8 categories. An adjustment is made if acategory does not apply because of the typeof business.

2. Eco-Mind
Employee training and education

Green Point Average: Results and Targets

1. Eco-Management
Action plan, environmental accounting, risk management

3. Eco-Products: Manufacturing
Eco-design management system, Eco-Products,
control of hazardous substances contained in products
4. Eco-Products: Green Procurement
Green procurement, green purchasing
5. Next-Generation Product /Service Strategy
Business and product strategy,
sustainable business, publicity
6. Eco-Factories: Reducing Global Warming
Energy saving at production facilities,
environmentally responsible distribution
7. Eco-Factories: Resource Recycling
Waste reduction, chemical substance management
8. Worldwide Environmental Partnerships
Information disclosure, communication activities,
global citizen activities

FY 2006: 845 GPs
FY 2010 target: 1,280 GPs

Eco-Management
130 GPs

Worldwide Environmental 160
Partnerships
104 GPs

Eco-Mind
126 GPs
80

Eco-Factories:
Resource Recycling
113 GPs

0

Eco-Factories:
Reducing Global Warming
98 GPs

Eco-Products:
Manufacturing
94 GPs

Eco-Products:
Green Procurement
71 GPsNext-Generation
Product /Service Strategy
109 GPs

Next Eco 49

Environmental Education and Training System
Leaders

General employees
Group training

Specialized
education

Training foreach company/site
based on ISO 14001

Required and actual numbers oflegally certified staff

Auditor training

Executive management level

Senior auditor training

Eco-Products development training

Generaleducation

Eco-Mind education (via the Internet)

Specialized
education
Specialized
education

Training for employees working in certain operations

Education about environmental management

Eco-Mind education for every company/site

Environmental Education

ment. It provides them with information on how we

To foster “Eco-Mind,” all Hitachi Group employees

allocate management resources for environmental

are given general training to raise their knowledge

activities and on the value created by environmental

and awareness of environmental activities; thosetechnologies and Eco-Products.

working in specialized fields receive specific training

Our environmental accounting includes depre-

that encourages them to learn and apply environ-ciation costs. The effectiveness of our activities ismental technologies.

evaluated for both economic and physical effects,

General training is offered via the Internet inwhich are based on the degree that environmen-

Japanese and English, and 67,958 employees

tal impacts are reduced. Economic effects arehave taken courses (March 2007). Executive-levelcalculated based on solid financial data. Physicalmanagers are given comprehensive training on

effects—applying Hitachi’s fundamental philoso-

the importance of environmental management;phy of contributing to society by developing our

the deeper awareness gained is reflected in theirown advanced technologies and products—are

management practices.

calculated based on the reduction of environmental

Environmental management system auditors

impact, not only during the manufacturing process,receive specialized education, while design andbut also during use of our products. Moreover, wemanufacturing personnel are trained to develop

are reducing environmental impact by using an

Eco-Products. ISO 14001-based training is given to“environmental impact reduction ratio” to assessbolster environmental activities, resource conserva-

how much each type of environmental impact istion, and energy saving at production facilities. Emer-

reduced per unit of expenditure.

gency drills and other special procedures training for
reducing the environmental burden are given for work

2006 Resultsthat has a significant impact on the environment.

In fiscal 2006, we reduced our environmental
impact by measures that reduce global warming,• Cost Ratio by Industry Segment• Investment Ratio by Industry
Segment• Investment Ratio by Countermeasure• Economic Effect by Industry
Segment

Environmental Accounting

and in other areas. As a result, costs increased 9%

Purpose of the Systemover the previous fiscal year while economic effects

The Hitachi Group has used an environmental

through energy and resource savings increased

accounting system since fiscal 1999 to promote

30% over the previous fiscal year.

efficiency and continual improvements of environ-

Expenditures for R&D and design to reduce

mental investments and activities. This system has

the environmental impact of products accounted foralso helped stakeholders to gain a deeper under-

42% of costs, while energy consumed through use

standing of our corporate approach to the environ-of our products was reduced by 810 million kWh.

reportGREEN 21 Award Winner:
ESCO Projects
The Urban Planning and Development Systems
Group won a GREEN 21 Award for CO2 emission reductions for its energy solution service
business (ESCO projects). For energy conservation, the projects introduced equipment thatbalances electric and thermal energy at a wide
range of sites, including factories, hospitals, andlocal government offices. As a result, between
2000 and 2006 it achieved an aggregate reduction of about 160,000 tons per year of CO2
emissions, contributing to the reduction of global
warming.
The projects won a 2006 Minister of theEnvironment Award for global warming prevention and a gold medal for the second year at theSecond ESCO Excellence Awards in Japan.

Gold medal winner in the fiscal 2006 ESCO Excellence Awards(for equipment supplied to Nitto Denko Corporation)

50 Hitachi Group Corporate Social Responsibility Report 2007

E

Costs

Expenses

Overview

Costs (Unit: billion yen)
FY 2004

FY 2005

FY 2006

Business area costs

Costs of maintenance of equipment with low environmental impact, depreciation, etc.

31.82

32.46

39.24

Upstream/downstream costs

Green procurement expenses, recovery and recycling of products and packaging, recycling
expenses

2.69

2.59

2.89

Management activities costs

Labor costs of environmental management, implementation and maintenance of environmental
management system

10.76

9.76

10.31

Research and development
costs

R&D for the reduction of environmental impacts caused by products and production processes,
product design expenses

39.51

42.16

41.66

Social activity costs

Environmental improvements such as afforestation and beautification, PR and publicity expenses

0.61

0.38

1.20

Environmental damage costs

Environment-related measures, contributions, and levies

2.23

2.49

2.89

87.62

89.84

98.19

14.10

13.80

15.48

Total
Total investment

Investment in energy-saving equipment and equipment that directly reduces environmental impacts

Next Eco | “Eco-Mind” & Global Environmental Management | http://greenweb.hitachi.co.jp/en/

Item

Depreciation expenses on equipment investments are calculated using the straight-line method over 5 years.

Effects
Economic Effects *Item

Overview

Effects (Unit: billion yen)
FY 2004

FY 2005

FY 2006

Net income effects

Profit on sales of recycled waste

6.25

7.72

12.28

Reduced expenses effects

Reduction in material costs due to resource saving, reduction in waste treatment costs due toreduced waste, reduction in power expenses due to energy saving

12.77

17.29

20.15

19.02

25.01

32.43

Total

Physical Effects

Item

Amount Reduced(parentheses:
equivalent no. of households)

Overview

FY 2004

FY 2005

FY 2006

Reduction in the amount of energy
used during production

Decrease in amount of energy used due to installation of energy-saving equipment

125 million
kWh(36,000)

157 million
kWh(45,000)

159 million
kWh(46,000)

Reduction in the amount of
final waste disposal

Decrease in final waste output volumes due to separation and recycling activities

5,922 t(20,000)

5,254 t(18,000)

6,375 t(22,000)

Reduction in the amount of energy
consumed during product usage

Decrease in energy requirements of Hitachi products

730 million
kWh(210,000)

723 million
kWh(208,000)

813 million
kWh(234,000)

FY 2004

FY 2005

FY 2006

33

36

30

1,690

1,620

1,800

Benefits on equipment investment are calculated using the straight-line method over five years, as with costs.
* Economic Effects includes the following items.
1. Net income effects: benefits for which there is real income, including income from the sale of resalable material and income from environmental technology patents.
2. Reduced expenses effects: reduction in electricity and waste treatment expenses arising from environmental impact reduction activities.

Efficiency of Environmental Impact Reduction*
Category
Reduction in energy used during production (million kWh/billion yen)
Reduction in amount of waste for final disposal (t/billion yen)

* This is an indicator of the efficiency of environmental impact reduction, calculated as the amount of environmental impact reduction divided by expenses needed for the reduction.

Next Eco 51

Next Environmental Impact Data
Ecofor Corporate Activities (Fiscal 2006)

Corporate Activities ( Japan )This chart shows resource inputs and environmental impacts pertaining to
the fiscal 2006 corporate activities of the 250 Hitachi Group companies covered by this report.

Total energy consumption (crude oil equivalent)
Electricity
Oil (crude oil equivalent)
New energy types

Electricity
Heat

Metals 1,266 kt

Plastics 191 kt

Iron (including steel sheeting)

17,000 kℓ

44 kt
94 kt

Copper277 ktOther nonferrous metals

129 kt

Thermoplastics

164 kt

Thermohardened plastics

21 kt
9 kt

Other materials
Chemical substances

1,012 kt

Aluminum

Rubber418 ktHandling volume for chemical substances covered under the PRTR law 236 kt
Handling volume for ozone-depleting substances

32 tHandling volume for greenhouse gases

989 t

61.12 million m3

Water consumption

Corporate Activities ( Outside Japan )367,000 kℓ
70 million kWh

Total input of materials

Stainless steel

Input and Output
Input represents the total
volume of energy, materials (rawmaterials, chemicals, etc.), andwater used in manufacturingof products and other business
operations. Output represents
the products themselves, as wellas the environmental impacts
caused in the course of business
operations, including CO2 andother chemicals, waste products,
and wastewater.

1,610,000 kℓ
4.92 billion kWh

Surface water

7.06 million m3

Industrial water

27.54 million m3

Groundwater

26.05 million m3

Rainwater

0.02 million m3

Total energy consumption (crude oil equivalent)
Electricity
Oil (crude oil equivalent)

630,000 kℓ
1.87 billion kWh
166,000 kℓ

Total input of chemical substances
Chemical substances

Handling volume for chemical substances covered under the PRTR law 11 kt

14.79 million m3

Water consumption

52 Hitachi Group Corporate Social Responsibility Report 2007

Surface water

4.84 million m3

Industrial water

7.20 million m3

Groundwater

2.75 million m3

E

2,803 kt (2,803 kGWPt †1) *0.2% (FY 2005)

CO2 emissions

3,379 kt including packages

Volume of chemical substances discharged or transferred
Discharge or transfer volume for chemical substances covered under the PRTR lawVolume of discharge for ozone-depleting substances
Greenhouse gas emissions 23 t (412 kGWPt) SF6

4.5 kt *0.39% (FY 2005)
4.0 t (0.22 ODPt †2)
5 t (127 kGWPt)

PFCs

7 t (54 kGWPt)

HFCs

7 t (1.0 kGWPt)

Substances subject to emissions regulations SOx

119 t *0.01% (FY 2002)

NOx

953 t *0.17% (FY 2002)

Total volume of waste generated

590 ktWaste generated

590 kt *0.01% (FY 2003)

Waste reduction
Recycling (rate) 524 kt (97%)

43 kt *0.018% (FY 2003)
Volume re-used

97 kt (18%)

Volume of material recycled

396 kt (75%)

Volume of thermal recycled
Final disposal (rate)

52.50 million m3

Total volume of wastewater
Breakdown of wastewater by destination
Volume ofwater reused
64.95 million m3
Water quality

38 kt (7%)
16 kt (2.8%) *0.04% (FY 2003)

Public waters

42.33 million m3

Sewerage system

9.38 million m3

Underground infiltration, etc.

0.79 million m3

BOD

364 t

COD

246 t

CO2 emission

1,626 kt (1,626 kGWPt)

Volume of chemical substances released or transferred* Ratio of national total, and fiscal
year used for comparison. Source
for the total figures for Japan
was the fiscal 2004 PRTR results
listed in the Annual Report on
the Environment in Japan 2005.
(Ministry of the Environment)

Discharge or transfer volume for chemical substances covered under the PRTR law 0.6 kt
SOx
NOx
Total volume of waste generated

Water quality

177 ktWaste reduction

11 kt

Recycling (rate)

121 kt (73%)

Final disposal (rate)

45 kt (26%)
9.43 million m3

Total volume of wastewater
Volume ofwater reused
73.1 million m3

309 t
177 ktWaste generated

Breakdown of wastewater by destination

154 t

Public waters

4.63 million m3

Sewerage system

4.80 million m3

BOD

113 t

COD

288 t

†1 GWPt
Global warming potential(global warming coefficient, in CO2
equivalent tonnes). Converted toamount of CO2 (t) by multiplying
greenhouse gas emissions by
the global warming coefficient.
The global warming coefficientshows the extent of impact on
global warming from a greenhousegas, compared to the equivalentamount of CO2.
†2 ODPt
Ozone depletion potential
converted to CFC equivalent
tonnes by multiplying ozone
depletion emissions by the ozone
depletion coefficient.

Next Eco 53

Next Eco | Environmental Impact Data for Corporate Activities (Fiscal 2006) | http://greenweb.hitachi.co.jp/en/

Total volume of products manufactured and soldNext Next-Generation Products & Services
Eco

The Hitachi Group will continue contributing to a sustainable, recycling-oriented society
by offering products and services that reduce the impact on the environment
by conserving energy and natural resources, reducing global warming, andreducing the use of hazardous chemicals.

Expanding Lineup of Eco-Products“super eco” symbol“eco” symbol

consumption.

In 1999, the Hitachi Group introduced Assessment

This product evalu-

for DfE (Design for Environment) to reduce theation index is used toenvironmental impact at each stage of a product’s

calculate two measures

lifecycle. Products are assessed using eight criteria,of efficiency of a product’s

including resource reduction, product longevity,

value for function andresource recycling, and ease of decomposition.

lifespan. The first mea-

Products that score at least 2 (from 0 to 5) for all

sure is the ratio of thecriteria with an average score of 3 or higher are

product’s value to thedesignated “Eco-Products.” These products are

raw materials used in its

shown in catalogs and Web sites with an “eco”

production and the amount of waste remaining

symbol. As of March 2007, 1,012 products (5,491

when it is disposed (resource efficiency); the sec-models) were certified as Eco-Products, account-

ond is the ratio of a product’s value to the quantity

ing for about 83 percent of Hitachi’s total net salesof greenhouse gases generated during its lifecycle

across all departments.

(efficiency of global warming prevention). We use

Environmental Efficiency of
Hitachi Products Based on Factor X

another factor to express a product’s environmental
efficiency relative to a base year.

Environmental Efficiency

Environmental Efficiency of Hitachi
Products Based on Factor X

To use natural resources more effectively, Hitachi

We calculated the environmental efficiency of

introduced an “Environmental Efficiency” index

representative Hitachi Group products and pub-that measures environmental impact and resource

lished this information in a brochure: Environmental
Efficiency of Hitachi Products Based on Factor X.
In lifecycle assessment, we conducted a pilot

Definition of Environmental Efficiency• Resource Efficiency =• Efficiency of Global Warming Prevention =Product lifespan*1 × Product function

Product lifespan*1 × Product function

Volume of greenhouse gas emissions throughout
the product lifecycle∑ Resource value coefficients × (new resources usedin lifecycle*2 + resources disposed of in lifecycle*3 )Definition of Factors• Factor of Global Warming Prevention =Efficiency in prevention of global warming ofevaluated productsessment that also covers chemicals and scarce
resources†1, applying it to a water-saving washingmachine. We are further looking at a combined en-• Resource Factor =vironmental-economic impact assessment which

Resource efficiency of evaluated productResource efficiency of reference product

Prevention of global warming efficiency ofreference producttest of the integrated environmental impact as-*1: The specified usage period of a product*2: The quantity of resources used to manufacture a product, minus the quantity of resources reused or recycled*3: The quantity of resources used to manufacture a product, minus the quantity of reusable or recyclable resources

factors in chemical risk (impact on biodiversity, etc.)
and accompanying costs.
Development of Super-Eco Products

Hitachi is currently developing “Super-Eco Products,” which have an Environmental Efficiency†1
Hitachi is part of a study groupdeveloping technology to assess
the environmental risk of electricaland electronic products from alifecycle perspective. This groupis led by Musashi Institute ofTechnology Associate Professor
Norihiro Itsubo.

Percentage of products certified as Eco-Products(target value in parentheses)

Eco-Products Certification Trends

Factor of 10 or more, are industry leaders, and are

Percentage of products certified as
Eco-products ( % of net sales )No. of certified products( no. of models in parentheses )
(% )

100

817
[ 3,294 ]80
72( No. ofproducts )

1,012
940
[ 5,491][ 4,506 ]83

76highly regarded by others. We intend to boost sales

1,200of these products to more than 30 percent of total

1,000

Eco-Product sales by 2010.

800

Supporting Global Eco-Friendly Design

60

600

Hitachi is working with German research institute

40

400

Fraunhofer IZM to develop an eco-friendly design

20
0

29
[ 714 ]
3
2000

200
2004

2005

2006 ( FY )54 Hitachi Group Corporate Social Responsibility Report 2007

0

support system that measures recycling costs andenvironmental impact based on the recycling methods used in the region of final product disposal.

Approach to Complete Lifecycle Product Design
Resource Conservation
Materials

Production

Distribution

Usage

RecoveryAppropriate
anddisposal
decomposition

Reuse / Recycling

Environment Assessment

Wooden crates previously fit
four units per pallet.

Assessment criteria: Resource reduction, product longevity, resource
recycling, ease of decomposition and processing, environmental conservation, energy efficiency, information disclosure, packaging materials

Reinforced cardboard packaging
now fits six units per pallet.

Nto the EU and to file reports and apply for authorization for the chemicals contained in products. The

in each region where the products are shipped,

Hitachi Group has begun preparing for preliminary

used, and recycled. This will contribute to the global

registration, starting with products incorporating

development of products with a lower recycling

the categories of materials requiring registration.

cost and a lower environmental impact.

Because we regard communicating the information necessary for reporting and authorization

Management of
Product Chemical Content

under the REACH regulation as a task for the whole

Compliance with the RoHS Directive

JAMP†5 to develop an effective information system.

To comply with the European Union’s RoHS Direc-

Hitachi will also use this system for communicating

tive, the Hitachi Group has worked to completely

information on SVHCs†6 in molded articles where

eliminate the six chemicals specified in the directive:

reporting is required.

supply chain, we are using our participation inlead, hexavalent chromium, cadmium, mercury,

Resource Conservation Initiatives

PBB†2, and PBDE†3.
By working in cooperation with suppliers, andImproved Packaging

through our own engineering development initia-

In October 2006, Hitachi-Omron Terminal Solu-tives, we have shifted to lead-free and hexavalent

tions, Corp. and Hitachi Transport System, Ltd.

chromium-free parts. As a result, we achieved com-began using cardboard packaging for Worldwide

plete compliance in July 2006. Moreover, information

Cash Modules, for cash in/out in ATMs†7.

on 380,000 parts was registered in our chemical
management database, as of March 2007.

Because these modules are precision machines and weigh a hefty 35 to 45 kilograms,
they were previously carried in wooden crates.

Preparation for Compliance with
REACH†4 regulation

Reinforced cardboard became the new packaging

The Hitachi Group has begun working towardability to withstand moisture and other conditions.

compliance with the REACH regulation that came

A review of the space between the unit and its

into force on June 1, 2007.

packaging shows that it halved the volume.

material after passing tests for strength and the

The EU’s REACH regulation promotes the

As a result, the number of units loaded into

safety evaluation of existing chemicals, covering

each container has increased by 1.6 times, with thethousands of chemical types. REACH makes itvolume of CO2 emissions for transportation being

obligatory to register chemical substances exported

cut by around 43 percent.

Commission Volumes for Containers and Packaging†2 PBB
Polybrominated biphenyl, a type of
specified brominated fire retardant.
†3 PBDE
Polybrominated diphenyl ether, atype of specified brominated fire
retardant.
†4 REACH
Registration, Evaluation,
Authorization, and Restrictions ofChemicals
Under this EU regulation initiative,
all businesses within the EU zonethat manufacture chemicals
governed by the regulations, or
products containing the chemicals, as well as all that import thechemicals into the EU zone, will
be obligated to keep records ofand file reports on the chemicals
they handle.
†5 JAMPJapan Article Management
Promotion-consortium†6 SVHC
Substances of Very High Concern†7 ATM
Automated Teller Machine†8 Polylactic acid
A lactic acid, produced by fermenting starch or sugars, such as
corn and potatoes, used as a raw
material in manufacturing plastic.
†9 Biomass MarkLabel identifying biomass-derived
products as a means of promoting
an eco-friendly and sustainable
society.

reportBioplastic Cell Phone Adapter
Low environmental impact plant-based plastics
are drawing attention as petroleum alternatives.
The Hitachi Group has been working with Casio
Hitachi Mobile Communications Co., Ltd. andToray Industries, Inc. to develop products using
plant-based resins derived from raw materials
such as corn.
The body of the W43H adapter delivered toKDDI in September 2006 contained a resin using
polylactic acid†8, a material that, compared withpetroleum-based resins, reduces petroleum use
and CO2 emissions across the entire lifecycle.
The W43H has received Biomass Mark†9 certification from the Japan Organics Recycling
Association. This adapter will be improved formass production, and the technology is being
used on adapters for other cell phones.

Next Eco 55

Next Eco | Next-Generation Products & Services | http://greenweb.hitachi.co.jp/en/

When complete, this system will assess—atthe design stage—environmental impact and costs

Super-Eco Products
Hybrid Camcorder—“Wooo”†1 WEEE Directive
Waste Electrical and Electronic
Equipment Directive 2002/96/EC,
which mandates a way to recoverand dispose of waste electricaland electronic equipment.

Eco-friendly features• Annual power consumption cut by approximately 30 percent(compared with Hitachi models in 2000)• Compliant with RoHS and WEEE†1 Directives• CO2 emissions reduced by easy dubbing on the camcorder itself(down 10 percent from previous Hitachi models)• Bromine-free, flame-retardant materials used in case
• Smaller box reduces the amount of cardboard used(winner of the Electric Equipment Packaging Category Award at
the 2006 Japan Packaging Contest)• Prevention of global warming factor: 51• Resource factor: 85
Product features• Video recorded to HDD can be easily edited on the camcorderwithout a PC or external burner connection• Approximately 2x high-speed dubbing to DVD drive (Hitachi, Ltd.)of video recorded to HDD (Hitachi Global Storage Technologies,Ltd.); save-time halved; easy dubbing on the camcorder itself• Approximately 3.31 megapixel resolution (triple previous models),
924cc volume (66 percent of previous models), approximately
11 hours recording in fine mode (about 11 times longer thanprevious models)

Refrigerator—“Tappuri Big Sumizumi Cool”
Hitachi Appliances, Inc.

†2 J-Moss (JIS CO950: 2005)“The marking of the presence ofthe specific chemical substancesfor electrical and electronic equipment.” Revision of the Law for
Promotion of Effective Utilization of
Resources has mandated application of a J-Moss content label for
products containing any of the six
chemical substances designatedin the RoHS Directive. An optional
Green Mark may be applied to
products that do not contain thesesubstances, or contain less than
the specified level.

56 Hitachi Group Corporate Social Responsibility Report 2007

Eco-friendly features• Double cooling from cold air and cool panels keeps temperature constant and even throughout the refrigerator, while use ofPulse-Amplitude Modulation (PAM) and low-speed control, as
well as high-performance vacuum insulation, cuts annual power
consumption by 35 percent• Saves energy through continuous optimization based on data
drawn from 7 temperature sensors• Refrigerator doors shut automatically as they near the refrigerator
cabinet, preventing cold air escaping from half-open doors• Uses non-HFC (hydrofluorocarbon) refrigerant R600a (isobutane),
which has an extremely low global warming potential (GWP)• RoHS Directive and J-Moss†2/Green Mark compliant• Recycled plastic used for mounted board case, etc.
• Prevention of global warming factor: 2.3• Resource factor: 2.1
Product features• Freezer compartment located in the middle; high-performance
vacuum insulation; thinner panels using “highly fluid urethane,”etc., produce the industry’s largest-capacity (535 L) refrigerator
with a 685mm width (R-SF54WM)• Winner of the ECCJ (Energy Conservation Center, Japan) Chairman’s Prize at the 2006 Energy Conservation Grand Awards

N†3 PCB
Polychlorobiphenyl, a highly stable
insulating oil, the manufacture anduse of which was discontinued in
the 1970s.

Hitachi High-Tech Control Systems Corporation

Eco-friendly features• Reduction in power consumption by downsizing the vacuum
pump• Reduction in impact on the ozone layer by changing the air
conditioner refrigerant• Prevention of global warming factor: 25• Resource factor: 34
Product features• Online and real-time analysis of PCBs in flue gas from a PCB
decomposition plant• Highly sensitive and highly precise analysis using Hitachi’s originalionization technology• 24-hour continuous online measurement using dioxin precursor
monitoring technology• Robust and stable operation using real-time calibration andautomatic recovery system from instant power failure• Winner of the 33rd Environment Prize
Delivery to the Toyota office of
the Japan Environmental Safety Corporation

Anisotropic Conductive Films for Displays
Hitachi Chemical Co., Ltd.

Eco-friendly features• Substitute for lead solder; lowers environmental impact• Short time and low-temperature bending contributes to energy
saving during manufacturing• Prevention of global warming factor: 2.5• Resource factor: 2.5
Product features• Adhesive film with conductive particles• A particular electrical property (anisotropic conductivity†4) by bonding between two substrates by means of heat and pressure• For connecting very fine circuits on flat panel displays or chips
to those on substrates• 38th Japan Chemical Industry Association Technology Award(Special Prize) (2006)• IMAPS John A. Wagnon Technical Achievement Award (2005)• Advanced Display of the Year 2004
• National Commendation for Innovation:
The Prime Minister Prize 2004
• The Award of the Society of Polymer Science, Japan (2003)†4 Anisotropic conductivity
A characteristic of a film whereby
conductive particles adhere andprovide conductivity between
facing circuits and insulation fromadjacent circuits.

Next Eco 57

Next Eco | Next-Generation Products & Services | http://greenweb.hitachi.co.jp/en/

PCB†3 Online Micromeasurement Apparatus—“CP-2000P”

Recycling using supercritical alcoholSupercritical alcohol

Alcohol
Recovery

Decomposition reaction

Waste power cable insulation material(silane cross-linked polyethylene)

Reclaimed polyethylene

Sustainable Business Modelcross-linked polyethylene produced in the manu-

To help realize a sustainable society, the Hitachi

facturing and disposal of power cables, so that it

Group is committed to building a sustainable busi-

can be used again as power cable insulation.

ness model.

While an estimated 10,000 tons of waste si-

Recycling materials is one way to do this.

lane cross-linked polyethylene are produced every

The Hitachi Group is developing plastic recycling

year in Japan, this material’s lack of thermoplasticity

technologies to pursue materials recycling.

obstructs recycling. Hitachi Cable has successfully
developed a continuous recycling process that

†1 Supercritical alcohol
Alcohol in a state in which thecritical temperature and pressure
points at which gas and liquid
coexist are exceeded. Supercriticalalcohol has both the diffusion
properties of a gas and thematerial solubility of a liquid.

Development of Recycling Technology for
Cross-Linked Polyethylene

exposes cross-linked polyethylene to supercritical

Hitachi Cable, Ltd. has developed a continuous(silane cross-linked polyethylene) into thermoplastic

processing technology for recycling the silane

polyethylene that can be molten-molded. Researchalcohol†1 to transform the waste insulation material

is underway on practical applications of this technology.
Artificial Zeolite

Hitachi Setsubi Engineering Co., Ltd. has developed machinery that makes porous, inorganic zeolite from incinerated ash. This artificial zeolite has
Artificial zeolite used in
Hitachi air purifier filtersabsorptive, ion exchange, and catalyst properties,
allowing it to absorb heavy metals and odorous
gases. Hitachi Appliances, Inc. is using artificial

Chemical recycling of waste urethane

zeolite as a deodorizer in its air purifier filters.

Refrigerator urethane resin ( insulation )Mixing, foaming,and injection

Isocyanate component

Refrigerator Urethane Resin
Recycling Technology

Rigid polyurethane, an outstanding insulator with
Polyol component(recycled liquid compound)good mechanical strength, is used as thermal
insulation in refrigerators. However, urethane has
traditionally been difficult to recycle.

Household appliancerecycling

The Hitachi Research Laboratory has devel-

Recovery

oped a recycling technology that chemically decomposes waste urethane resin from refrigerators

Waste urethane insulation

into raw urethane.
This technology opens the way for recycling
through the use of a glycol-based decomposerwith barium oxide, which decomposes easily at a

Urethane powder

low temperature, or a glycol-based decomposerwith an added amine.
Chemical recycling
Decomposition using glycol

Recycled liquid

58 Hitachi Group Corporate Social Responsibility Report 2007

Super Eco-Factories & Offices
Super Eco-Factories are designed for the prevention of global warming, efficient use of resources,
and management of chemical substances. To reduce the environmental impact of production
facilities and offices, the Hitachi Group is setting ambitious goals,
such as striving to achieve certification of Super Eco-Factories as quickly as possible.

S

pure water discharged fromThe Hitachi Group’s Super Eco-Factories Certifica-

the process is recycled using

tion for production facilities took effect in 2007. Thisa water treatment device.

initiative will promote industry-leading environmental action and develop pioneering case studies, byrecognizing the efforts of Hitachi sites to reduce

High-efficiency Energy
Utilization

their impact on the environment.

To improve energy-use ef-

We present case studies here for three Hitachi

ficiency, Hitachi Maxell,Group facilities: Fujitsu Hitachi Plasma Display

Ltd.’s Kyoto plant has beenLtd.’s Miyazaki plant, Hitachi Maxell, Ltd.’s Kyoto

implementing ESCO (energy

plant, and Hitachi Engineering & Services Co., Ltd.

service company) projects since 2002. In additionin Japan.

to introducing a cogeneration system fuelled bynatural gas and eliminating VOC†2 emissions using

Super Eco-Factories
Certification Criteriaa thermal combustion VOC incinerator, the plant

Production facilities that achieved 100 percent of their
GREEN 21 target values in the applicable year (ecofactories) and performed especially well in six areas:
1. Energy efficiency
2. Improvement in resource recycling
3. VOC emissions reduction
4. Water recycling
5. Renewable energy use
6. Other (special commendation or use of originaltechnologies to meet targets)

using steam generated by the waste heat from thehas taken other steps, including air conditioning

Inverter-type freezer at
Fujitsu Hitachi Plasma
Display that can be operated
at high efficiency throughcontrol of rotational speed tomatch the seasons†2 VOC
Volatile Organic Compounds

VOC incineration. Through measures such as this,the plant managed to cut CO2 emissions by 31
percent in absolute terms, or 52.4 percent per real
production unit.
The Latest in
Environmentally Conscious Offices

As a base for energy solutions, Hitachi Engineering& Services Co., Ltd. has built a three-story design

Putting Together Technology for
Environmental Impact Reduction

center at its Onuma plant. Following the basic concept of “constructing an environmentally friendly

The Miyazaki plant of Fujitsu Hitachi Plasma Display
Ltd. makes display panels for plasma TVs. Thoughproduction volume is growing every year, the plant
has reduced its environmental impact. To improveenergy efficiency, we optimized operational efficiency by integrating control of all heat-generating
equipment (such as turbo refrigerators, chilledwater pumps, and cooling towers). As a result,energy efficiency per panel produced has improvedby 10 percent. Moreover, resource efficiency was
improved by reducing display panel thickness from
2.8 to 1.8 mm, and by increasing the blank-cutting
efficiency for panels. At the same time, throughrecycling, the final waste disposal rate was cut to
0.1 percent. Alkaline waste liquid is concentrated
and dried using waste heat from a cogeneration
system, reducing the volume of waste. Further, theThermal VOC incinerator at Hitachi Maxell

Next Eco 59

Next Eco | Super Eco-Factories & Offices | http://greenweb.hitachi.co.jp/en/

Super Eco-Factories

Trend in CO2 Emissions in Japan†2
Trend in CO2 emission rate reduction
CO2 emissions per real production unit
CO2 emission( Target values are given in parentheses )

100
86

86

(%)

( 93 )

100( 72 )

80( kt CO 2 /yr )

4,000
3,312

45
2,803

3,000

48

60

2,803

40

2,000
0

20
1990

2005

2006

2010 ( FY )0

( target )Data of sites that belong to the Japan Electrical
Manufacturers’ Association

Solar panels and wind generator at Hitachi Engineering & Services

CO2 Emissions outside Japan
CO2 emissions
CO2 emissions per unit of production( target in parentheses )high-efficiency office,” the building features a variety• CO2 Emissions by Industry
Segment• Trends in composition ofenergy use• Volume of new energies†1 Air-conditioning systemusing thermal storage inbuilding mass
A system for reducing daytime
power consumption of air
conditioning systems by using theheat stored in the concrete roof
during the night†2
Due to revision of the Law
Concerning the Promotion of
Measures to Cope with Global
Warming (effective April 2006),
calculations of emissions in fiscal
2005 and 2006 were made using
CO2 emission coefficients foreach electric power company,
as published by the Ministry ofEnvironment. For fiscal 1990, thetotal average power was used.

of energy-saving technologies, including wind and( kt CO 2 /yr )solar power generation, an air-conditioning system

2,000

100
1,597

using thermal storage from building mass,†1 total

99.5

97.7

1,637

1,626

( 95 )

(%)

100
80

1,346

heat exchangers, and an automatically controlled
lighting system. Combining these measures yields

101

60
1,000
40

an energy saving of 33 percent.

20

CO2 Reduction in Production Processes
CO2 Emission Reduction in Japan

0

2003

2004

2005

2006

2010 ( FY )0

( target )The Hitachi Group is striving to achieve two essential CO2 emission reduction targets—cutting

Facilities but Type 2 Facilities as well. Among theits total CO2 emissions by 7 percent below theincluded 130 facilities, 53 percent have achieved

1990 level by fiscal 2010, and in the same period

their targets.

either meeting specific emission targets set by in-

At the same time, as a result of energy-sav-

dustry groups, or reducing CO2 emissions per unit

ing investments of 5.3 billion yen in Japan, Hitachi

of production by 25 percent (at Hitachi’s offices,managed to limit total CO2 emissions to the same

hospitals, etc.).

level as 2005, despite the fact that a new plasma

The CO 2 emission reduction system (in-display plant began operating in 2006. The Group’s

troduced in 2003) ranks designated production

total CO2 emissions for 2006 were 2,803 kt, whichfacilities according to their progress in meetingis 14 percent below the 1990 level.

reduction targets. In fiscal 2006, we switched

Twenty-eight production facilities reduced

from an across-the-board CO2 emissions reduc-energy use per unit of production (5 year average)tion target of 7 percent to targets set voluntarily byof 6 percent per year. This level of reduction is one

each facility. In the same year, we also extendedof the criteria for certification as a Super Eco-Fac-

the range of facilities in this system by including

tory. In the coming years, by converting from using

not only Type 1 Designated Energy Management

heavy oil as a fuel to gas and electricity, and by

60 Hitachi Group Corporate Social Responsibility Report 2007

S

adopting energy-saving technology, the HitachiGroup will promote further reductions.

Reduction of SF6 in
Semiconductor Properties Inspection Processes

Electronics Co., Ltd. in Japan manufacture and test

The Hitachi Group is setting the target of reducing

high-voltage semiconductor products capable ofCO2 emissions per unit of production by 2010 towithstanding 100 to over 10,000 volts. If the volt-

5 percent below the 2003 level.

age-resistance testing process is conducted in the

As Hitachi shifts production lines and builds

open air, electrical discharges will occur, resulting

new factories outside Japan, the number of pro-in problems, including destruction of the product.

duction bases subject to energy conservation

For this reason, semiconductor property inspec-

management has doubled since 2003, from 31 totions have conventionally been conducted in an

62. As a result of growing efforts to reduce CO2

atmosphere of SF6 gas. However, with a view toemissions outside Japan, in fiscal 2006 we cut

preventing global warming, we have switched tototal CO2 emissions per unit of production to 1.8

using alternatives to SF6.

percent below the 2005 level.

Next Eco | Super Eco-Factories & Offices | http://greenweb.hitachi.co.jp/en/

Hitachi, Ltd.’s Hitachi Works and Hitachi Haramachi
CO2 Emission Reduction outside Japan

Since the alternate solvent to SF6 (GWP:
320) that we investigated is a liquid, we needed to

Reducing Greenhouse Gas Emissions

convert it to a gas before using it for testing semi-

The Hitachi Group is working to reduce emissions

conductor properties. We developed a techniqueof greenhouse gases other than CO2 (specifically
PFCs, HFCs, and SF6), and has already met thetargets set by industry associations. However, sinceSF6 is used in large quantities, Hitachi is pursuing aGroup-wide target of reducing SF6 emissions by 35
percent (relative to the 2003 level) by 2010.
Through measures such as switching to alternative gases, widespread adoption of technology toneutralize these gases, and improving reutilization
rates, in fiscal 2006 we cut emissions by 61 percent(relative to fiscal 2003), significantly outpacing ourtarget. We are committed to maintaining this trend
to help reduce global warming.
Voltage-resistance inspection device at
Hitachi Haramachi Electronics

Greenhouse Gas Emissions and Breakdown( kGWPt/year )

500

HFC
PFC
SF6

490
70

410

NO

70
240

250
420
340

70

170
0

2003

2004

High-voltage Resistance Measurement System for
Semiconductor Property Inspection (substitute for SF6)

2005

190
10
50
130
2006 ( FY )

Item

1

Gas to prevent electricaldischarge

2

GWP (t)3

Quantity used (kg/month)4CO2-equivalent emissions(kGWPt /year)(figures in brackets area percentage of previous values)

Before change

After change

SF6Specified alternate
solvent to CFC
23,900

320

220

50

63
(100%)

0.4(0.67%)

Next Eco 61

Schematic Illustration of Modal Shift
Hitachi Industrial Equipment Systems, Narashino Plant
Improvement ( 1 )Increase loading
efficiency using
stacking jig

5,400 t/year

JR FreightTokyo terminal
Customers

Joint transport
10,200 t/year

Improvement ( 2 )Planned loading andshipping using
interim container storage

Most products of Hitachi Industrial Equipment

4,800 t/year
Neighboring freight owners

Systems Co., Ltd. are heavy, such as industrial motors. Due to their variations in shape, they could not
be stacked, limiting loading efficiency. In response,
we developed a transport jig with free height adjust-for stably transforming this liquid into a gas using

ment for stacking products, substantially increas-a carburetor. By gasifying this CFC substitute, we

ing load efficiencies. Also, the company set up

managed to totally eliminate the use of SF6.

an interim container-collection base to cooperatewith neighboring companies for jointly collecting

Hitachi Group
Transport Data
Transport qty.
(100 Mt-km)
Road

10.97

Sea

1.26

Rail

0.36

Air

0.04

Total

12.63

Ratio of low-emission vehicles tototal owned by company

Boosting Transportation Efficiency

and transporting containers over 40 kilometers

Reducing CO2 Emissions in Transportation

between factory and freight depot, and decided

The revised Energy Conservation Law (April 2006)

to transport three containers at a time on trailers.

in Japan, obliges freight owners to implement

Now, CO2 emissions are 400 tons less per year,

transportation energy savings. Thus, in 2006 weand use of wooden pallets and other packaging

began collecting CO2 emissions data for productmaterials was reduced by 100 tons per year.

and waste transportation for all Hitachi Group
production facilities involved in product transporta-

Management of Chemicals

tion. Total product transportation in 2006 was 1.26

Chemical Risk Managementbillion t-km, or 1,226 kt in CO2 emissions.

In 1998, Hitachi introduced an on-line system
in Japan for the Group-wide management of

A Model Businessfor the Green Distribution Partnership Conference

chemical substances, CEGNET (Chemical Environ-

The transportation modal shift jointly implemented

management.

ment Global Network), and began chemical risk

in Japan by Hitachi Transport System Ltd. andWhen introducing a new chemical, informa-

Hitachi Industrial Equipment Systems Co., Ltd. wastion is collected on hazardous properties andrecognized as a model at the “Green Distribution

applicable laws. The Special Committee forPartnership Conference” co-hosted by the Ministry

Chemical Substances then decides whether toof Land, Infrastructure and Transport, the Ministry

use this substance. For proper management ofof Economy, Trade and Industry, and the Japanany controlled hazardous chemicals, handling is

Institute of Logistics Systems.

closely coordinated with all departments at every

reportEco Rail Mark Certification
For transport energy conservation, Hitachi ispromoting the “Hitachi Group Guidelines forTransport Energy Conservation,” transportation
modal shifting, and acquisition of Eco Rail Markcertification.
The Railway Freight Association (Japan)
awards its Eco Rail Mark to companies that use
rail to transport more than 15 percent of theirfreight carried over distances greater than 500
km. In fiscal 2006, Hitachi Maxell, Ltd. and Hitachi,Ltd. were each awarded the Eco Rail Mark.
Two Hitachi Maxell alkaline dry-cell products were also awarded the Eco Rail Mark. The
fact that only 10 products have earned this markshows that these products are recognized as
leaders in eco-performance. Hitachi is planning
to present the Eco Rail Mark to consumers byshowing it on products.

62 Hitachi Group Corporate Social Responsibility Report 2007

“We promote eco-friendly transportation.”
Japan’s Eco Rail MarkSurvey Results for Substances Covered by Japan’s PRTR Law( Reported release and transfer quantities for fiscal 2005 )Qty. released

Qty. transferred

Other
Styrene1.0% 1.0%
Qty. handled
248kt

14%
2%
4%

Methylene chloride
Ethyl benzene

Qty. released 41%
2.5kt

8%

98.0%

Toluene31%
Used in products(incl. qty removed and treated)

XyleneQuantities handled, released, and transferred

Breakdown of releases

Sfacility responsible for design, manufacturing, orpurchasing.

sewage systems.
Data is collected on all substances handledamount is below the minimum for mandatory

In response to an amendment to the Air Pollution

reporting. In 2006, Hitachi used 127 of the 354

Control Law in Japan in April 2005, Hitachi worked

substance groups covered by PRTR. The volume

to reduce VOC emissions at all facilities. To satisfy aof chemicals handled was approximately 248,000

plan by the Ministry of Environment to reduce emis-

tons. Of this volume, the amounts released andsions by 2010, the Group formulated a reduction

transferred were 1%. The three most used PRTR

plan for 41 selected VOCs.

substances were toluene, xylene, and ethyl ben-In fiscal 2006, total VOC emissions at Hitachi’s
Japanese plants were 5.7 kt—44 percent below

Next Eco | Super Eco-Factories & Offices | http://greenweb.hitachi.co.jp/en/(10 kilograms or more per year), even when the
Reducing VOC Emissions

zene. In fiscal 2006, 115 facilities submitted PRTR
reports to local governments.

the level of 2000. Total VOC emissions at sites

Hitachi has voluntarily agreed to classify 1,400

outside Japan for the year were 0.96 t. Hitachi issubstances that are not PRTR regulated into cat-committed to cut domestic VOC emissions by 45

egories of “eliminate,” “reduce,” and “control,” andpercent (base: 2000) by 2010.

to monitor and control their release and transfer.

Even at overseas facilities, where increasesin VOCs will match production growth, we set thetarget of lowering VOC emissions per unit of usage

Preventing Pollution of
Soil and Groundwaterby 10% (base: 2005) by 2010. In fiscal 2006 alone,

Hitachi is working to prevent leaks of chemical

we managed to achieve a 2.6 percent drop in thissubstances into the soil or groundwater by convert-

index.

ing underground piping, pits, and tanks to above
the ground, making inspections easier. To prevent

Survey of Chemicals Coveredby PRTR Law

leaks, underground tanks not yet converted are

According to Japan’s Pollutant Release andsuch techniques as ultrasonic testing.

rigorously tested for corrosion and inspected using

Transfer Registers (PRTR) Law, introduced in April

A full 90 percent of facilities that have used

2001, Hitachi must control all releases of PRTR

chemicals confirmed that they have completed

substances into the atmosphere and public waters,

groundwater and soil decontamination, or thatand all solid-waste transfers or liquid discharge into

there is no contamination. The remaining facilities

Chemical Risk Management

Trend in VOC Emissions (Japan)( kt/year )CEGNET System
Info. on laws & regulations Recording of total quantities
released and transferred
Info. on voluntary control

PRTR
reporting

15

10
Risk information Release data

100

10.3

VOC emissions
VOC reduction rate trend( targets are in brackets )62

Feedback
6.3

Preliminary inspection for
new chemical substances

Handlingof chemicals

Prevention of leakage

Reduction of releases• PRTR investigation results• Percentage of PRTR chemicals
handled, by industry segment• Emission and transfer volumesof PRTR chemicals by industry
segment

56

(%)

100

( 55 )
50

5.7

5

0

2000

2004

2006

2010 ( FY )0

( target )Next Eco 63

Reduction in Waste Generation
Outside JapanJapan
Trend in total waste
Trend in waste
per unit of production

100

85

( kt/year )

1,000

836

784

(%)

100

( 80 )

80
767

218

187

177

618

597

590

60

500

0

†1 Zero emission
The Hitachi Group defines “zeroemission” as “reducing final
disposal to no more than 1 percent
of total generated waste and lessthan 5 tons per year.”†2 LCA
Lifecycle Assessment
A method for evaluating theenvironmental impact of a
product throughout all stages of its
life—from manufacturing and use
to disposal and recycling

80

40

2000

2005

2006

20
2010 ( FY )0

( target )are taking countermeasures and monitoringtion (“reduce”), the number of Hitachi facilities thatgroundwater.

achieved “zero emission†1” at final waste disposal
reached 119 sites (up 22 over the previous year).

Efficient Use of Resources

In addition, the Group is also improving

Reduction of Generated Waste

methods for reducing final waste disposal, shifting

The Hitachi Group promotes monozukuri (manu-

from thermal recycling and materials recycling tofacturing) that does not use unnecessary resources

reuse. Through this approach, Hitachi is hoping toand generates little waste. As part of this effort, we

increase the resource recycling rate by 10 percent

are taking measures to meet the goal of cutting

over the level of 2005 by fiscal 2010. To quantify

total waste to 20 percent below the 2000 level by

resource recycling, recycling rates are calculated byfiscal 2010. In connection with this, Hitachi has

coefficients according to type of waste and waste

classified facilities into two groups, according toprocessing methods, based on the environmental

the characteristics of their operations. One group

impact from an LCA †2 perspective. Using thisaims to reduce the total amount of generated

method, we improved our resource recycling rate

waste, while the other strives to cut waste per unitby 3 percent in fiscal 2006.

of production, with each group working to meetits particular reduction target. In fiscal 2006, theEfficient Use of Water Resources

first group managed to cut total emissions by 20

To cut water use (at overseas facilities) to 10 per-percent; the second cut its total waste per unit

cent below the 2005 level by fiscal 2010, Hitachi

of production by 15 percent. Through these mea-

is striving to reduce industrial water consumptionsures, total waste fell by 8 percent.

by recycling cooling water. During fiscal 2006, theNote that from the viewpoint of resource recycling, materials such as scrap metal, which canGroup cut water use at 62 outside Japan sites by
3.6 percent.

be a valuable resource, are counted as generated
waste.

At Hitachi Displays, Ltd.’s China plant, water
use was reduced by 43.2 kt/year by recycling thehighly turbid wastewater discharged from its pure

• Zero Emissions Sites• Flowchart for the Treatmentof Waste and Reusable Waste
Products• Breakdown of Recycling
Methods

Improvement of the Resource Recycling Ratewater manufacturing equipment. Currently, we are

By exploring methods and applications for ef-

planning to start collecting and using wastewaterfectively using waste as a new resource (“reuse,”with high electrical conductivity. This is expected“recycle”), in addition to reducing waste genera-

to yield 144 kt/year in water savings.

reportCultivating Corn
Using Organic Packaging
As production output at Hitachi Automotive
Products (U.S.A.) Inc. has increased, the volumeof styrene foam used for packaging parts fromJapan has grown. Since there is no recycling
system for styrene in America, all this waste
ended up in landfills, prompting us to switch tousing an organic material for packaging.
We now grow corn on our site using this64 Hitachi Group Corporate Social Responsibility Report 2007

used packaging material as a fertilizer. In August,when harvesting corn, we had a barbecue party
for employees, their families and members of thelocal community, including the mayor, and thestate governor.
Thus, in addition
to improving resource
utilization, this initiative enabled a social
exchange with the local
community.

Worldwide Environmental Partnerships
The starting point of all Hitachi Group activities is creating a sustainable society together with our
stakeholders—customers, local community members, shareholders, investors, suppliers, and employees.
For this reason, we engage in dialogues with our stakeholders andwork hard to disclose various forms of information.

Environmental Communication

W

Hitachi responds to questionnaires and inquiries
tion—via this CSR Report, various pamphlets, thecorporate Web site, exhibitions, and symposiums.
We also engage in direct dialogue with stakeholders in forums, such as town meetings in local
communities.
In March and April 2007, we conducted the
Hitachi Eco Campaign, setting up a new Web site

Top left: Dialogue between students
and corporations sponsored by the
Nature Conservation Society of JapanTop right: Collaboration on a habitat
survey of endangered butterfly species
Bottom: Tour of Hitachi Chemical’s
Goshomiya plant

to promote understanding of the environmentallyconscious features incorporated into five of Hitachi’slatest home appliances, and inviting customers toserve as product monitors.
Dialogue with Students and Local Communities

In October 2006, Hitachi, Ltd. took part in an event
sponsored by the Nature Conservation Societyof Japan entitled “Special Real Nature Seminar:
Dialogue between Students and Corporations,”
providing an opportunity for dialogue with some
50 students on CSR activities and ecosystemconservation.

environmental activities.

Seminar participants voiced the opinion that

Every year the Goshomiya Works in Japan of

Hitachi’s plans are clearly laid out in publications,

Hitachi Chemical Co., Ltd. offers a tour of a plantsuch as this CSR report, and can be trusted. They

for local people. The fiscal 2006 tour was held inalso said they would like Hitachi to get consumers

November, and included an explanation of mea-

and society as a whole involved in the widespreadsures to deal with offensive odors.

use of Eco-Products and to take action to conserve

In collaboration with Earthwatch Japan, aecosystems. We will keep valuable opinions, suchspecified non-profit organization that supports

as these, in mind as we move ahead with ourscientists researching the environment and wildlife, the Hitachi Group participated in activities toconserve endangered butterfly species at the baseof Mt. Fuji.
Legal Compliance

The Hitachi Group sets voluntary standards thatare stricter than those imposed by law. Information
on major regulatory changes and new legislative
trends is shared within the Group in an effort to reduce environmental risk. As a result, in fiscal 2006
the Group once again incurred no fines or other• Publication of CSR report bygroup companies and production facilities (including postingon Web sites)• Group company and production
facility contacts for inquiries
related to CSR reports• Group company and production
facility environmental Web links

financial penalties due to incidents or accidents
affecting the environment.

AwardsHitachi Eco Campaign Web site

Next Eco 65

Next Eco | Worldwide Environmental Partnerships | http://greenweb.hitachi.co.jp/en/

from stakeholders, in addition to providing informa-

Hitachi Global CSR Activities
Chief Executive’s Message

Minoru Tsukada
Senior Vice President andExecutive Officer,
Chief Executive for China,
Hitachi, Ltd.

Hitachi’s Beijing office, established in 1979,
today has more than 130 Group companies
operating in China, including Hitachi (China)
Ltd. We supply a vast array of products andservices, ranging from power generation
plants, transportation equipment, and ITC
systems to consumer electronics and highperformance materials and parts.
As China becomes a leading advanced
economy, we must address environmental
issues, such as reducing the environmental
burden. Hitachi too is working on the environ-ment and energy conservation, vital components of CSR, one of our four key businessareas in China.
As members of China’s business community, the China Hitachi Group works as ateam to meet social responsibilities: to preserve the environment; ensure ethical behavior
and respect for the law; achieve harmony withlocal communities; meet the needs of all employees; and promote openness and transparency. We intend to become “The Most Trusted
Partner in China.”

Energy Conservation and Environmental initiatives
China, identifying environmental protection and energy conservation as key
priorities of its 11th Five-Year Plan, has begun to reduce emissions of pollutants

HitachiGlobalCSR Activities

China

Hitachi China Gateway site

and to save energy in 10 areas, including electricity and energy generation.
To support these initiatives, in April 2006, the Hitachi Group set up the
China Energy Conservation and Environment Commercialization Promotion
Project Team within Hitachi (China) Ltd., and is vigorously pursuing technology
exchange among Group companies.
In January 2007, the Hitachi Energy Conservation and Environmental
Protection Technology Exchange Conference was hosted by the National
Development and Reform Commission. Here, Hitachi shared expertise andtechnology in areas such as energy conservation and environmental protection
with around 200 representatives from Chinese businesses with high resource
consumption. We are continuing to work with the Chinese government on thedevelopment of Chinese society.

Holding Employee-Driven CSR Workshops
From February to March 2007, CSR workshops were held for
Hitachi Group employees in Beijing, Guangzhou and Shanghai.
Participants learned about the CSR philosophy, then engaged
in a lively Q&A session with some of the employees who areshown in this report. They then broke into groups to review
their work from a CSR perspective and presented the results.
Employee-driven CSR workshop (Shanghai)

Support for Flood Victims in Guangdong Province
Six Hitachi Group companies closely tied to Guangdong Province donated
RMB1.5 million (around 22.5 million yen) for disaster recovery from the flooding
caused by the typhoon and heavy rain that hit the province in the summer ofCeremony for conclusion of a memorandumof understanding on a tie-up between Hitachi(China) Ltd. and the Department of Small andMedium-Sized Enterprises, National Development and Reform Commission (right: Koushi
Nagano, President, Hitachi (China) Ltd.)

2006. The six companies are Hitachi (China) Ltd., Guangzhou Hitachi Elevator
Co., Ltd., Hitachi Air-Conditioning and Refrigerating Products (Guangzhou),
Guang Dong Hitachi Koki Co., Ltd., Guangzhou Hitachi Unisia Automotive,
Ltd., and Hitachi Global Storage Technologies (Shenzhen) Co., Ltd.

Hitachi Cup Chinese Celebrated Universities Debate Invitation Game
The finals of the 12th Hitachi Cup Chinese Celebrated Universities Debate
Invitation Game were held in December 2006 at the Shanghai Education Television Station. The participation of students from Singapore and Australia as
Presentation of donation for Guangdong
Province disaster recovery

observers gave the event an international flavor. The Hitachi Group will continue
to support the talented young people who will power China’s future.

66 Hitachi Group Corporate Social Responsibility Report 2007

Dialogue with the Experts
While implementing the Hitachi Group Three-Year CSR Road Map, we have worked hard to improve it by verifying our activities
through dialogues with experts. In fiscal 2006, we conducted invaluable exchanges of opinion with eight CSR specialists, including
academic experts, a representative of a CSR assessment organization, a journalist, and a lawyer. Below we present the views of fourof these experts.
Recognizing the Impact
on Society as a Whole;
Raising Employees’ Crisis Awareness

The Next Step:
Consider Points of Contact with Society;
Convey Corporate Value

Iwao Taka, Professor, International School of Economics andBusiness Administration, Reitaku University

Mariko Kawaguchi,
Senior Analyst, Daiwa Institute of Research, Ltd.

Hitachi has steadily promoted global
CSR activities, such as landmine
removal. I think that you shouldmake more effort to communicate
activities like this to the public. If you
recruit volunteers from among youremployees to participate, you can more effectively raiseawareness among them about CSR. Since Hitachi does
not have a wide range of business-to-consumer operations, your employees may not be sufficiently aware of
the risk of losing consumer trust in the event of problems. On top of observing laws and regulations, I hope
you will strive to further raise this awareness to keep thetrust of society that you have built up over the years.
With the various commemorative events that you
are planning for Hitachi’s centennial in 2010, I expect
you to promote dynamic activities that tackle social
issues on a global scale. (January 2007)

Up to now, Hitachi’s CSR activities
have been based on the perspectiveof tackling what the company ought
to do. The next step, should be toreaddress these activites within society and social needs. The meaningof the “S” in SRI†1 is now changing from “socially” to“sustainability.” Investors are becoming more interested
in the impact of various sustainable risks on corporate
value.
I admire Hitachi’s corporate tradition of contributing
to society through technology, but Hitachi’s value could
be better conveyed if there is a clear message that gives
the image of the desirable society that Hitach wants tocontribute to, through its technlogy. (October 2006)

Understanding the Risks;
Establishing an Approach for Improvement

Expanding Material Flow Cost Accounting,including the Supply Chain

One Akiyama,
President, IntegreX Inc.

Katsuhiko Kokubu, Professor, Graduate School ofBusiness Administration, Kobe University

When assessing CSR surveys todate, we have emphasized thesustainability of corporations themselves, but from now on we intend
to emphasize their contribution to
the sustainability of society.
I believe that Hitachi’s CSR activities have been
moving in the right direction, shown by the HitachiGroup CSR Three-Year Roadmap. At the same time,
it is essential to deal head-on with incidents and accidents which occured, and listen carefully to people
outside the company and strive for continual improvement to regain trust.
You should keep promoting improvement by understanding potential workplace risks, quantifying andvisualizing issues, and conducting periodical examination. I hope that Hitachi will not only focus on resolving
current issues, but also in the long term, develop avision of a sustainable society through activities that
help realize this ideal. (October 2006)

Hitachi’s activities cover a wide
spectrum, but as the emphasis
placed on materiality†2 in the 3rd
Edition of the GRI Guidelines †3shows, it is important for companies
to promote continual improvement
by determining top priorities and clarifying the relevant
management indicators and goals. During this process,the validity of the Roadmap can be confirmed by reflecting on stakeholders’ views. From the environmental
perspective, I think that material flow cost accounting
is more effective than conventional cost accounting, as
the positive results of Hitachi Maxell have shown. I hopethat Hitachi will extend material flow cost accounting†4
to the whole product and service production process,including the supply chain. (October 2006)†1 SRI: Socially Responsible
Investment
Investment activities, such as
selection of investment fund
portfolios, based on an assessment of companies from theviewpoint of CSR†2 GRI Guidelines
Guidelines of the report oninternational sustainability by the
Global Reporting Initiative (GRI)†3 Materiality
The degree of material or concrete
influence of individual CSR
activities on corporate value†4 Material flow cost accounting
Evaluation of the material costand material loss (waste) in
each production process for the
purpose of reducing costs and,at the same time, lowering theenvironmental burden

Message from the CSR Promotion Committee Chair
Masahiro Hayashi
Executive Vice President andExecutive Officer
of Hitachi, Ltd.,and Chair of the CSR
Promotion Committee

In fiscal 2006, based on the CSR Three-Year
Roadmap, at the Hitachi Group, we improved
our global CSR promotion organization, focusing
on deepening employees’ CSR awareness andunderstanding of the current situation. In fiscal
2007, we will visualize and verify CSR activities
through continual dialogue with stakeholders

and by clarifying goals. As stated in this report,
we are determined to contribute to the realization of a sustainable society toward 2010, our100th anniversary. We will also promote CSR
activities in close harmony with our business
operations by implementing innovative projects
to resolve social issues.

Dialogue with the Experts 67

Data on Hitachi Web Sites

Detailed information related to this report can be accessed on Hitachi’s Web sites(Further information on topics identified by theandsymbols in the report can be accessed through the URLs listed below)

http://www.hitachi.com/csr/data/
Complete texts of guidelines and corporate policy statements,
details of activities, and quantitative data

CSR Management

Category

Activity

Related
page

Content

Corporate Governance

P. 8Group management

Compliance and Risk Management

P. 9

Enhancing the whistle-blower system
Basic approach to information security governance
Personal information protection and information security cards

CSR Promotion Activities
Next Society

Available only on the Web
Provided on the Web as supplementary information to this report

Customers and Hitachi

Quality Assurance

P. 11

CSR Policy of the Hitachi GroupP. 27

Quality Assurance Flow Chart
Promoting compliance with technical laws
OCHIBO HIROI (Program to Prevent Recurrences)

Hitachi’s Policy on Customer Satisfaction (CS) Activities

P. 28

Action Guidelines for CS Management
How the customers’ voices are reflected

To Our Shareholders and Investors

P. 31

General meeting of shareholders
Results of external SRI assessments in fiscal 2006

Working in Harmony with Local Communities

Social Contribution Activities

P. 32 – 35

Hitachi’s policy on social contribution activities

Working Together with Suppliers

Basic Policy on Procurement

P. 36

Guidelines for Procurement Activities

Green Procurement

Green Procurement Guidelines
Hitachi Group authorization system

Employees Make Hitachi What It Is

P. 37

Open systems supporting employee capacity building
Supporting a balance between work and family life

Next Eco

Hitachi’s approach toward HIV/AIDS
Hitachi Group’s Environmental Action Plan
Eco-Mind & Global Environmental Management

Inside cover

List of companies covered by report (environmental impact data covered)P. 44

Hitachi Action Guidelines for Environmental Conservation

Environmental Management System Based on ISO
14001 Standards

P. 48

List of ISO 14001-certified sites

Environmental Education

P. 50

Required and actual numbers of legally certified staff

Environmental Accounting

P. 50 – 51

Cost ratio by industry segment
Investment ratio by industry segment
Investment ratio by countermeasure
Economic effect by industry segment

Next-Generation Products & Services

Eco-Products

P. 54 – 57

Eco-Products list and data sheets
Environmental efficiency of Hitachi products based on Factor X
Commission volumes for containers and packaging

Super Eco-Factories & Offices

CO2 Reduction in Production Processes

P. 60 – 61

CO2 emissions by industry segment
Trends in composition of energy use
Volume of new energies

Boosting Transportation Efficiency

P. 62

Ratio of low-emission vehicles to total owned by company

Management of Chemicals

P. 62 – 63

PRTR investigation results
Percentage of PRTR chemicals handled, by industry segment
Emission and transfer volumes of PRTR chemicals by industry segment

Efficient Use of Resources

P. 64

Zero emissions sites
Flowchart for the treatment of waste and reusable waste products
Breakdown of recycling methods

Worldwide Environmental Partnerships

Information Disclosure and Dialogue

P. 65

Publication of CSR report by group companies and production facilities(including posting on Web sites)
Group company and production facility contacts for inquiries related tothis CSR Report
Group company and production facility environmental Web links
AwardsP. 42

For general information on the CSR activities of the Hitachi Group:
http://www.hitachi.com/csr/
For general information on the environmental activities of the Hitachi Group:
http://greenweb.hitachi.co.jp/en/

68 Hitachi Group Corporate Social Responsibility Report 2007

Eco-Products International Fair

Web sitecoverageHitachi Group Corporate Social Responsibility Report 2007

Printed with 100% vegetable oil ink containing no
VOC (volatile organic compounds).

Hitachi, Ltd. is a member of the Green Purchasing
Network.

Printed on Hitachi Recycled Paper containing 100
percent used pulp.

Hitachi Group
Corporate Social Responsibility Report 2007

Hitachi Group Corporate Social Responsibility Report 2007
To Our Questionnaire Participants:
Thank you for your interest in Hitachi.
We are pleased to present the Hitachi Group Corporate Social Responsibility Report 2007.
The report details our corporate social responsibility (CSR) activities over the past fiscal year and is divided
into three sections: “CSR Management” gives an overview of our CSR activities, including corporate
governance; “Next Society” covers the Hitachi Group’s activities from the social perspective, and “NextEco” covers the environmental perspective. The report will also be made available on our Web site.
In addition to redoubling our efforts to continually enhance our CSR activities, the Hitachi Group will also
strive to publish ample information concerning the details of these efforts so that they may be better
understood by the public.
We invite you to read the report and provide us with your feedback.
Thank you very much for your cooperation.
The Hitachi Group
Contact:

CSR Promotion Department
Corporate Communication Division
Hitachi, Ltd.
1– 6– 6 Marunouchi, Chiyoda-ku, Tokyo 100-8280 Japan
Tel: +81-3-3258-1111 Fax: +81-3-4564-1454
http://www.hitachi.com/csr/

Results of Questionnaire on Hitachi Group CSR Report 2006 ( Total respondents: 116)
Main Feedback and Our Responses
Low (5%)Comprehensibility
High
(61%)

Average(34%)

VolumeToo much(42%)

Readers

Appropriate(58%)

Government/
public administration employees (6%)
Suppliers(30%)

Research/
education institution employees (2%) Other (6%)
Students(8%)

Hitachi Group employees/family members(36%)

Customers (6%); Shareholders /investors (3%)

Residents near Hitachi facility (3%)

Heard about the Report from
Other
(86%)
Newspapers (6%); Magazines (3%); Web site (3%); Seminars (2%)

Praise•T he report was easy to understand as it offered detailed explanations of Hitachi’s activities in various fields, from the underlying philosophy to ongoing initiatives and their results.
•T he report was developed in a logical way, starting from the
Hitachi Spirit and then moving on to the Fundamental Credo, the CSR Policy of the Hitachi Group, the CSR Roadmap, and the fiscal year results for the individual initiatives.
• “ The WorldSkills Competition, Supporting Manufacturing” and “Kokoro Gatari: Connecting Patients and Families” were impressive articles.
Suggestions•T ext takes up too much of the page. Increase the amountof space dedicated to diagrams and photos.
•T he articles would be easier to understand if they weremore focused.
• Hitachi should engage in more activities that involve
stakeholders.
Our Responses•W e reduced the overall amount of text and increased theamount of space used for diagrams and photos.
•W e posted the reports up through fiscal 2006 and other previously released information on our Web site and focused
this year’s report on the main activities of fiscal 2006.
•T hroughout the year we engaged in dialogue with experts in various fields related to CSR and used their comments to improve our CSR activities. We included theresults in this report.

Hitachi Group CSR Report 2007:

Questionnaire
Please complete the questionnaire and mail or fax it to the address below.

CSR Promotion Department, Hitachi, Ltd.
1– 6–6 Marunouchi, Chiyoda-ku, Tokyo 100-8280 Japan

Fax: +81-3- 4564-1454

Q1. What did you think of the Hitachi Group CSR Report 2007? (Please select only one for each line.)(1) Comprehensibility
High		
(2) Volume		
Too much(3) Articles		
Excellent(4) Layout		Easy to read
• Please explain the reasons for your selections.

Average		Appropriate
Average		
Average		Low
Too little
Inadequate
Hard to read

Q2. Which articles in the report did you find valuable? ( You may select more than one.)
Message from Hitachi’s Top Executives

CSR Management
Corporate Governance

Hitachi’s Response to Nuclear Reactor Turbine Problems

Compliance and Risk Management

CSR Promotion Activities

CSR Activities
The Hitachi Group’s Vision for a Sustainable Society
Linear-Motor Subways: The Future of Urban Mass Transit
The Potential for Optical Topography: Scientific Insights into the Brain Herald a “Science of Humanity”
Ballast-Water Purification System Reduces Ecosystem Damage
The e-Meister Program: Passing on Monozukuri to the Next Generation
Next Society
Customers and Hitachi
Working Together with Suppliers

To Our Shareholders and Investors
Employees Make Hitachi What It Is

Next Eco
Hitachi Group’s Environmental Action Plan
Environmental Impact Data for Corporate Activities
Super Eco-Factories & Offices

Working in Harmony with Local Communities“Eco-Mind” & Global Environmental Management
Next-Generation Products & Services
Worldwide Environmental Partnerships

Other
Hitachi Global CSR Activities
Dialogue with the Experts• If any of the above articles particularly interested you, please explain why.

Q3. What is your assessment of the Hitachi Group’s CSR activities and initiatives?
( You may select more than one for each.)(1) Areas of Excellence
Compliance activities
Technology/quality
Social contribution activities
Employment environment
Environmental protection activities(2) Areas for Further Improvement
Compliance activities
Technology/quality
Social contribution activities
Employment environment
Environmental protection activities• Please write below any other comments you have regarding the Hitachi Group’s CSR activities.

Customer satisfaction activities
Other ()
Customer satisfaction activities
Other ()

Q4. Which of the following best describes you or your relationship to Hitachi? (Please select one only.)
Customer
Shareholder/investor
Research/education institution employee
Resident near Hitachi Group facility

Supplier
Government /public administration employee
News/media employee
Student
NPO representative
Hitachi Group employee/family member
Other (

Q5. How did you find out about the CSR report? (Please select one only.)
Newspaper
Magazine
Discussion with Hitachi employee

Web site
Other (

Seminar)Exhibition

Q6. Please write below any other comments or requests you have regarding the Hitachi Group CSR
Report or the Group’s CSR activities and initiatives.

Thank you for your cooperation.
We will use your feedback to improve the Hitachi Group CSR Report and our CSR activities.

)