A Century of Creating the | Top Management's Views on |
Workplaces of the Future | Komatsu's Management Issues and |
Strategies for the Next Century |
Evolution of Business Model for Creating the Workplaces of the Future
Resolution of ESG Issues through | Corporate Profile |
Growth Strategies |
Resolution of ESG Issues through Growth Strategies
Komatsu's CSR Themes and Mid-Term Management Plan KPIs
Komatsu seeks to help resolve ESG issues by promoting the three pillars of growth strategies defined in the new mid-term management plan. We strive to realize a positive cycle of sustainable growth through improvements of earnings and resolutions to ESG issues. Our initiatives include reducing environmental impacts to combat climate change and supplying
high-quality,high-performance products, services, and solutions ensuring safety. KPIs have been set to guide these initiatives for solving ESG issues through our core business.
CSR Themes
Enhancing Quality of Life
-Providing Products Required by Society-
Developing
People
Growing with Society
ESG Solutions through | Key Initiatives under Mid-Term Management Plan | FY2019 KPI Performance | FY2020 KPI Performance | FY2021 KPIs | Strategies Relevant SDGs | ||
Three Pillars of Growth | |||||||
Reduction of CO2 emissions (in comparison to FY2010) | |||||||
• Reduction of CO2 emissions from product use (fuel-efficiency equipment, hybrid hydraulic | 14% reduction | 14% reduction | 16% reduction (in comparison to FY2010) | ||||
excavator, rate of Smart Construction use, enhancement of ICT-intensive construction, mine | |||||||
automation, and underground mining equipment) | |||||||
• Reduction of CO2 emissions from production (plants with zero impact on environment and | 33% reduction | 33% reduction | 40% reduction (in comparison to FY2010) | ||||
workers) | |||||||
Plants with zero impact on environment and workers | |||||||
• Provide products, service and solutions | • Rate of renewable energy use (including purchase of renewable energy) | 11% | 13% | 15% | |||
• Work environment burden coefficient (particle matter density) | 10.7% reduction | 24% reduction | 30% reduction (in comparison to FY2018) | ||||
contributing to sustainable development of | • Water consumption | 49.4% reduction | 52% reduction | 55% reduction (in comparison to FY2010) | |||
infrastructure, natural resources and circular | Value chain reforms and redefinition of the aftermarket business | ||||||
• Spare parts sales | 3% increase | 8% decrease | 11% increase | ||||
environmental protection (remanufacturing | • Reman component lifespan (compared to new components) | ||||||
and forestry). | Actual value: Average operating time from the nth to the n+1st overhaul order | 26,866 workhours (134% of new components) | 19,106 workhours (95% of new components) | 20,000 workhours (100% of new components) | |||
• Improve productivity, efficiency, safety and | Assurance of mine operation safety and productivity | ||||||
• AHS units' population (promotion of mining platform business) | 221 units | 352 units | 380 units (aggregate) | ||||
environmental impact (lower CO2 emissions | DANTOTSU Product, DANTOTSU Service, and DANTOTSU Solution | ||||||
• ICT-intensive equipment introduced (United States, Europe, and Australia) | 1,361 units | 1,288 units | 1,590 units (per year) | ||||
and higher ratio of renewable energy use) | • Sites adopting Smart Construction | 2,440 | 3,348 | 4,850 (per year) | |||
through innovations, such as automation in | Automation, autonomous operation, electrification, and remote-controlling of equipment | ||||||
the entire value chain. | 1. Automation of construction equipment | Verification tests conducted on user sites | In-house verification tests | Test introduction of hydraulic excavators for automated | |||
Preparations advanced to launch mining bulldozer with | Domestic pretest of bulldozer with level 3 automation, | loading | |||||
2. Automation, autonomous operation, and remote operation of mining equipment | Entry into mining bulldozer market (level 4 automation) | ||||||
• Make commitment to DANTOTSU Value which | level 2 automation | preparation for proof of concept test in Australia | |||||
will realize a better Earth and future by means | 3. Automation of utility equipment | Development of peripheral safety technologies for | Entry into retrofit market for installing peripheral safety | Development of technology for automated forklifts | |||
supporting automation | functions in preparation for automation | ||||||
of technology and reliability (creation and | • Enhancement of mining equipment and hard rock mining businesses | Advancement of development projects for expanding | Expansion of product series (drills, LHD) Four models | Expansion of product series | |||
maximization of customer value). | product series | ||||||
Agricultural solutions and smart forestry | |||||||
Japan: Commencement of verification tests at five | Japan: Development and market evaluation of agricultural | Japan: Expand lineup of agricultural loaders | |||||
• Creation of construction equipment demand in agricultural field | agriculture business operators | ATT | |||||
Indonesia: Increase number of users of agricultural | |||||||
Indonesia: Started mass production and sales of D31PLL | Indonesia: Confirmation of feasibility of D21 agricultural | ||||||
techniques employing agricultural bulldozers | |||||||
• Smart forestry projects | agricultural bulldozer | bulldozer for direct rice planting applications | |||||
10 | 19 | 50 | |||||
IoT and ICT work reforms | |||||||
• Sales in Kom-mics platform business (visualization of production equipment operation) | 865 units | 1,447 units | 1,900 units (including for internal use) | ||||
Development of a diverse workforce with a high level of productivity and technical skills | |||||||
• Enhancing employee engagement | Scheduled for FY2020 | Preparation for survey in FY2020, global survey in April 2021 | Improvement of global surveys and indexes | ||||
• Work process reforms through expansion of diverse and flexible workstyles | (1) 1,950 workhours per person/year | (1) 1,920 workhours per person/year | Total workhours of less than 2,100; introduction of | ||||
(2) Commencement of trial in August 2019 | (2) Revision of telework system in August 2020 | telework system (Japan) | |||||
• Training hours: 31,625 hours (aggregate hours for all | • Training hours: 33,188 hours (aggregate hours for all | Training hours and number of participants (Disclosure of | |||||
• Develop a diverse workforce with a high level | • Promotion of The Komatsu Way (global dissemination of The Komatsu Way) | participants) | participants) | ||||
results) | |||||||
• Number of participants: 1,461 in Japan, 307 overseas | • Number of participants: 1,527 in Japan, 0 overseas | ||||||
of productivity and technical skills. | Strengthening and development of diverse talent with a global perspective to help achieve | ||||||
sustainable workplaces | |||||||
• Strengthen and develop diverse talent with a | • Revision of role of Japan in global management | Human resource system revisions started in Japan | • Revision of domestic retirement, wage, and retirement | Shifting of human resources to projects and improvement | |||
benefit systems in April 2021 | activities; globalization of organizations on by-function | ||||||
global perspective to help achieve | • Introduction of elective retirement and R&D staff systems | basis | |||||
sustainable workplaces. | • Foundations for global measures (systems, frameworks) | Preparations advanced for introduction | Commencement of domestic data linkage | Introduction | |||
• Empowerment of female employees ((1) non-consolidated ratio of female employees, | (1) 12.3%, (2) 7.2%, and (3) 4.5% | (1) 12.3%, (2) 7.7%, and (3) 4.9% | (1) 12.5%, (2) 10.0%, and (3) 5.0% | ||||
• Develop talent with cross-value chain | (2) non-consolidated ratio of female managers, (3) consolidated ratio of female managers (Japan)) | ||||||
• Rate of employment of people with disabilities (comply with requirements in Japan) | 2.58% (non-consolidated) | 2.82% (non-consolidated) | Above 2.3% (legally mandated rate) | ||||
capabilities. | • Support for regional human resource development for job creation (regional human resource | • Human resource development program launched in Chile | • Ongoing support in Chile, South Africa, and Australia | ||||
• Ongoing support provided in Peru, South Africa, and | Chile, Australia, South Africa, others | ||||||
development with Cummins Inc.) | Australia | • Establishment of scholarship program for students in Chile | |||||
and Peru as part of COVID-19 relief program | |||||||
• Participants' success in finding employment tracked | |||||||
Development of talent with cross-value chain capabilities | |||||||
• Cultivation of Smart Construction consultants (capable of proposing solutions using ICT to | 396 | 626 | 430 (aggregate) | ||||
improve productivity and safety throughout construction workplaces) | |||||||
Resolutions to social issues through collaboration with stakeholders | |||||||
• Posting of past activity documents on Group portal | |||||||
• Promotion of industry-government-academia collaboration as well as of collaboration with | Examination of cutting-edge tools through activities with | • Shared information on activities in 14 regions on rotational | Promotion of Brand Management and activities creating | ||||
basis | |||||||
customers | domestic customers and regional dissemination | value for customers | |||||
• Continuation of activities by headquarters team targeting | |||||||
• Shareholder meetings: 2 times | three customers (two civil engineering, one aggregate) | ||||||
• Shareholder meetings: 1 time (held online) | |||||||
• Offer resolutions for social issues through | • Shareholders and individual investors (shareholder meetings, shareholder factory tours, individual | • Shareholder factory tours: 10 times | • Shareholder factory tours: 0 (canceled due to COVID-19 | Number of meetings held (Disclosure of results) | |||
• Individual investor meetings: 7 times | pandemic, factory tour videos shared on official Komatsu | ||||||
collaboration with stakeholders. | investor meetings) | • Certain factory tours and meetings canceled due to | YouTube account) | ||||
impacts of global COVID-19 pandemic | • Individual investor meetings: 4 times (held online) | ||||||
• Act as a responsible corporate citizen ensur- | • Institutional investors (ESG meetings) | 11 (ESG-related meetings) | • ESG-related meetings: 4 | Number of meetings held (Disclosure of results) | |||
• Participation in conferences: 1 (meetings held with 18 | |||||||
ing corporate governance, compliance, and | Business fairs at nine factories (Awazu, Osaka, Ibaraki, | investors) | |||||
human rights. | |||||||
• Communities (business site fairs) | Kanazawa, Tochigi, Oyama, Koriyama, Shonan, and Himi); | All factory fairs canceled due to COVID-19 pandemic | One fair held at each of nine factories per year | ||||
canceled only at Shonan Plant due to impacts of Typhoon | |||||||
• Employees (meetings) | Hagibis | 29 in Japan (canceled overseas due to COVID-19 pandemic) | Number of meetings held (Disclosure of results) | ||||
34 (30 in Japan, 4 overseas) | |||||||
Action as a responsible corporate citizen addressing corporate governance, compliance, and human rights | |||||||
• Occupational health and safety, support for establishing environmental and safety systems at | Establishment of Human Rights Policy, disclosure in | Revised Komatsu Code of Worldwide Business Conduct | Ongoing improvements made in reflection of relevant laws | ||||
suppliers, response to Japan's Corporate Governance Code (corporate governance reports), | |||||||
integrated report | Human rights e-learning programs, etc. | and regulations and social expectations | |||||
evaluations of effectiveness of Board of Directors, internal control, and internal audits | |||||||
38 | Komatsu Report 2021 | Komatsu Report 2021 | 39 |
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Komatsu Ltd. published this content on 15 September 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 15 September 2021 05:11:02 UTC.