The Daicel Group’s business activities are guided on a day-to-day basis by its basic philosophy of making people’s lives better by co-creating value. Today, as public values are changing significantly in terms of realizing a sustainable society, the Group has stipulated its basic approach to management by laying out the Sustainable Management Policy. Under this policy, we will prioritize safety, quality, and compliance as the most important foundation and seek to achieve a sustainable society and the Group’s business expansion with integrity, tireless efforts, and self-transformation.
Sustainable Management Policy
Sustainable Management Policy
- We create and provide people with new values to achieve a better quality of life.
- We construct a circular process with all our stakeholders to make harmonious coexistence with the environment.
- We promote “human-centered management” that enables diverse employees to grow while establishing their own presence and achieving fulfillment.
Enacted June 5, 2020
Conceptual Diagram of Sustainable Management Policy
Sustainable Management System
In FY2021/3 the Daicel Group established the Sustainable Management Committee, chaired by the President and CEO and comprising the heads of CSR-related divisions as members. All Senior Managing Executive Officers, directors of business, R&D, production divisions, and officers of major Group companies participate as advisors. The Committee meets typically three times a year (February, June, and October) in order to engage in management-level discussions on such matters as contributing to the creation of a circular society, addressing climate change, and respect for human rights. In addition, issue-specific subcommittees are working to strengthen initiatives and further enhance information disclosure for each theme related to sustainability, such as LCA, supply chains, and CSR.
The Daicel Group identified materiality and its key sustainability issues, and established a key performance indicator (KPI) for each issue to bolster its efforts for the Mid-Term Management Strategy and the CSR foundation.
In addition, the Board of Directors will receive regular reports from the Sustainable Management Committee concerning the status of the KPI related to materiality in order to supervise the promotion of sustainability at the Daicel Group.
As for the KPIs, we regularly re-identify and modify the impact as necessary through stakeholder engagement. The regular progress evaluation of KPIs by the Sustainable Management Committee ensures implementation of the CAPD* cycle. In FY2021/3, the Sustainable Management Committee met three times, where the selection of materiality and its KPIs, responses to climate change and human rights issues, etc. where discussed, with the details reported to the Board of Directors.
*Instead of a Plan, Do, Check, and Act (PDCA) cycle, the most widely known approach to continuous improvement, Daicel Group has adopted a CAPD improvement cycle to avoid the risk of overlooking crucial facts and realities that often lie hidden in the initial planning stage.
Diagram of the Sustainable Management System
Joining the United Nations Global Compact
For a long time, the Daicel Group established and has been abiding by its various Group policies in order to promote responsible corporate management. In line with these policies, Daicel Corporation signed the United Nations Global Compact in April 2020 to support its intention to resolve global issues as a responsible corporate citizen.
Initiatives for Realizing a Sustainable Society
Recognizing social issues, the Daicel Group considers it is our corporate mission to contribute to the realization of a sustainable society through our products and business processes, and to create new value for society.
Beginning in FY2021/3, we incorporated sustainable management curriculum into position-based training, and launched programs such as the SDG Ambassador activities which support employee volunteering, and to make them part of every employee’s mindset.
Furthermore, in order to take specific steps toward contributing to the construction of a circular society, as laid out in our Mid-Term Management Strategy, we identified materialities and formulated the relevant key performance indicators (KPIs). These KPIs will make each division’s contribution to sustainability visible. We also intend to create a certification system for evaluating how well our products contribute to sustainability.
Initiatives Aimed at Promoting an Understanding of Sustainability
We believe that it is of utmost importance that each and every employee understands the sustainable way of thinking, connects them to his or her own work, and acts with sustainability in mind in order to contribute to their achievement. Through various initiatives, led by Corporate Sustainability, we are promoting the internal penetration of our concepts.
Implementation of training on sustainable management in position-based training
In FY2023/3, a sustainable management themed program was incorporated into the position-based training targeting advancing employees, including new recruits and newly appointed managers. We strive to promote the connection between the Daicel Group’s policies and awareness of sustainability among employees through practical programs, including group discussions, on basic philosophy, sustainable management policy, HR policy and materiality in collaboration with CSR-related divisions such as Corporate Compliance Program and Responsible Care, and the Human Resources Division. In FY2023/3, a total of 440 employees across the Group participated in the training. In the future, we will systematically develop human resources who will be responsible for sustainable management from the time they join the company to when they are assigned to a managerial post.
Implementation of Sustainability Awareness Survey
Since FY2020/3, we have been conducting a sustainability awareness survey to verify the results of initiatives for promoting in-house awareness. The survey was held for the fourth time in February 2023, with approximately 5,500 employees from domestic Group companies surveyed (response rate of 76%). The survey showed that over 80% of employees feel the importance of connecting the Daicel Group’s sustainability with their own work. Going forward, we will continue to promote in-house awareness in encouraging every employee to practice sustainability on a personal level.
Sustainable Week 2022 (Company-wide Event)
Since FY2021/3, the Daicel Group has been hosting the Daicel Group Sustainable Week, a company-wide event that also utilizes online. In 2023/3, the third Sustainable Week was held from November 18 to 28 under the theme of “Connecting the Dots and Making Sustainability a Personal Matter: A Future that Connects Us All.” During the period, 10 events were held, including Message from the President and CEO, lecture and talk show by President Yamaya of Shizuoka BlueRevs, a professional rugby team, the Group-wide donation drive “Mottainai Challenge 2022” and more. Video clips were also shared online for employees who were unable to attend in person. The online event was accessed over 6,000 times on the dedicated site on the intranet.
Activities by SDG Ambassadors
The SDG Ambassadors initiative was established by the Daicel Group in FY2021/3 as a community of self-motivated volunteers interested in sustainability and the SDGs regardless of their worksites, job types and positions in order to deepen their understanding and promote awareness throughout the Group. In this fourth year of the program, a total of 140 employees (74 in FY2021/3), including those at Group companies and overseas, are actively involved in the program. Members participate in monthly lectures and Ambassadors’ Networking Event (nine times in FY2023/3) to engage in mutual exchanges across worksites. Basic lectures and team activities help participants learn about the sustainability initiatives and deepen and broaden their understanding.
Eleven of them, who are particularly passionate about sustainability are working as Sustainability Key Persons to lead the penetration of the concept of sustainability within the company at business sites and divisions by linking it to their work.
SDG Ambassador Activities
The Hirohata Plant planned its own events themed event for all employees in honor of Sustainable Week. In addition to a workshop planned in collaboration between Hirohata Plant and SDG Ambassadors from other business sites to discuss separation of smoking and non-smoking areas, and involve all employees in building a flower bed at the front entrance of the plant, the plant hosted the program “My Sustainability Action” as an initiative that invites ideas relevant to sustainability from employees, which received over 70 submissions. Through these activities, many employees gained an increased appreciation for sustainability on a personal level.
DM Novafoam Ltd.
Following the Pink Mask Activity held as a movement in consideration of gender equality in FY2022/3, in FY2023/3 we implemented the Rainbow Mask Activity. The activity involves employees at the three pants of Nagano, Okayama, and Aomori switching their everyday face masks into rainbow masks as a visual cue to recognize the LGBTQ community.
The event “Learning about SDGs over Coffee” held in May 2021, which aimed to make connection between the operations of plants and the SDGs using coffee as a medium, was held again for the entire Company via online format during Sustainable Week in November. The program was subsequently implemented online jointly with three sites of DM Novaform Ltd. , and what first started as an intra-office activity became an exchange that transcended Group boundaries. Over 250 employees participated in the program, which provided the opportunity to recognize the connection between one’s own operations and the Daicel Group’s sustainability from the perspective of SDGs.
Team Activities by Goal
Members who were interested in the 17 goals stipulated in the SDGs gathered, divided themselves into teams for each goal, and carried out activities. A diverse range of members across affiliations and offices delved deeply into the goals through personal experiences and discussions. They shared their results for the year at an online Ambassadors’ Networking Event in March 2023.
Internal Dissemination Activities
We strive to disseminate information on the SDGs and sustainable activities by SDG Ambassadors through our Company newsletter and the intranet. During the FY2023/3 Sustainable Week, the SDG Ambassadors took the lead in planning and implementing initiatives and events to promote linkage between sustainability and everyday work.
The Daicel Group aspires to be an honest company by forging highly reliable, collaborative relationships with all stakeholders involved in our business, including customers, suppliers, shareholders and investors, local communities, employees, industry and academia. We will strive to accurately understand stakeholder demands and expectations for the Daicel Group and reflect them in our business activities.
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