SustainabilitySUSTAINABILITY
- Sustainability
- Environment
Environment
Environmental policy
The Kaga Electronics Group looks to the future of electronics at all times, striving to meet customer needs as well as preserve and enhance the natural environment in order to protect our irreplaceable earth.
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- The Kaga Electronics Group shall establish an environmental management system that involves all employees and promote ongoing improvement of this system to preserve the global environment and prevent pollution in all of our business activities to provide products and services.
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- In executing our business activities, we shall strictly adhere to environmental laws, regulations and related requirements as well as comply with all other requirements agreed upon by the Kaga Electronics Group.
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- We shall strive to prevent pollution and enhance the environment through non-wasteful office and business activities based on a philosophy of conserving energy and resources.
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- We shall set targets for the following requirements to the extent possible for the products and services that the Kaga Electronics Group handles and regularly review the progress of our activities.
• Must be comprised of environmentally friendly substances
• Must be able to cut waste through reuse and recycling
• Must be designed with energy and resource conservation in mind using the latest electronics technology
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- We shall provide education to all employees to increase their awareness of the need for environmental protection and to ensure their understanding of our Environmental Policy.
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- Our Environmental Policy shall be disseminated widely throughout society through such means as the Kaga Electronics Group website and corporate profile.
Environmental Management Organizational Chart
Disclosure based on TCFD or equivalent framework - The risks and earnings opportunities relating to climate change -
Regarding the impact that risks and earnings opportunities relating to climate change will have on our business activities and profitability, etc., we are considering the necessary disclosure items and content under the leadership of the Environmental Management Promotion Committee of the Sustainability Committee.
At present, giving reference to the TCFD recommendations framework, we are aware of the major physical risks as well as the transition risks and opportunities relating to climate change, and our implementation policies are as follows.
| Status of Implementation of TCFD Recommendations | ||||
|---|---|---|---|---|
| Governance | We have established the Sustainability Committee, chaired by the President and COO, comprising each division’s chief officers, among others, which is an organization for implementing strategies and measures relating to climate change, under the leadership of the Environment Working Group, which operates under its auspices, in order to promote Group-wide sustainability management. The Sustainability Committee reports to the Board of Directors as necessary and receives guidance and supervision. ●Climate change-related organizational chart  | |||
| Strategy | We are aware of the major physical risks and transition risks and earnings opportunities relating to climate change as follows. | |||
| Types of risks and earnings opportunities | Response policies | |||
| Transition risks(Most anticipated to materialize in a 1.5–2°C scenario) | Policy and legal risks | Increase in cost due to compliance with regulations such as a carbon price | Reduce energy usage at factories and worksites through energy-saving measures | |
| Regulations limit or prohibit the manufacture or sale of some products | Actively search for unrestricted materials | |||
| Lawsuits and fines due to inability to comply with regulations | Enhance knowledge of and responsiveness to regulations | |||
| Increased offset credit price | Introduce equipment that generates electricity from renewable sources | |||
| Market risks | Declining demand for products with a large environmental footprint | Enhance environmentally considerate products | ||
| Slow response to shift in demand for low-carbon products and services | Actively search for low-carbon products | |||
| Prices suddenly increase due to pressure from demand for renewable energy | Actively introduce energy-saving equipment and reduce energy usage | |||
| Reputation risks | Decline in corporate brand due to slow response | Fair and timely disclosure of progress toward achieving the goals of the Medium- to Long-Term Sustainability Management Plan, such as using 100% renewable energy, led by the Environment Working Group | ||
| Loss of outside reputation due to insufficient information disclosure | Enhance dissemination of climate change-related information using tools such as our website and our integrated report and various opportunities such as IR briefings | |||
| Loss of investment opportunities and increased materials procurement costs | Improve corporate value and actively disseminate IR information in accordance with the Medium- to Long-Term Sustainability Management Plan | |||
| Physical risks(Most anticipated to materialize in a 4°C scenario, etc.) | Acute risks | Reduction in operating capacity of worksites due to a sudden disaster | Formulate BCPs for each worksite | |
| Suspension of production due to mishap in the supply chain | Enhance supply chain management in conjunction with suppliers | |||
| Spread of disease | Prevent disease clusters by utilizing remote work, etc. | |||
| Increased costs such as investment in equipment to prevent climate-related disasters | Reduce energy usage at factories and worksites through energy-saving measures | |||
| Chronic risks | Chronic climate change (increased sea surface temperature and air temperature, etc.) | Enhance supply chain management in conjunction with suppliers | ||
| Health of employees with increased air temperature | Promote work-style reforms | |||
| Unstable supply further up the supply chain | Enhance supply chain management in conjunction with suppliers | |||
| Increased HVAC costs due to increased air temperature | Actively introduce energy-saving equipment and effectively promote usage | |||
| Earnings opportunities | Resource efficiency | Reduction of energy costs due to increased production and transport efficiency | Further develop technology for efficient production and transport | |
| More stable supply of energy due to distributed energy sources | Increase efficiency of energy usage | |||
| Reduced operation costs due to introduction of energy-saving equipment | Continue introduction of energy-saving equipment | |||
| Reduced energy usage | Reduced procurement costs due to normalization of renewable energy | Expand use of renewable energy | ||
| Products and services | Increased support for environmentally considerate products and services | Build systems for business expansion | ||
| Increased demand for environmentally considerate products and services | Expand production systems for increased demand | |||
| Market | Longer product life | Expand business through increased orders | ||
| Enhanced corporate profile due to promotion of climate change-related information disclosure | Actively disclose climate change-related information based on the TCFD recommendations through our website and integrated report, etc. | |||
| Securing investment opportunities and reduced materials procurement costs | Improve corporate value and actively disseminate IR information in accordance with the Medium- to Long-Term Sustainability Management Plan | |||
| Resilience | Securing business opportunities through services to respond to and prevent climate-related disasters | Promote environment-related businesses | ||
| Regarding identified climate change-related risks and earnings opportunities, we plan to identify risks that are given high priority having conducted an evaluation of importance going forward as important risks. | ||||
| Risk management | We are currently considering risk classification and evaluation processes, and we will disclose them in the future. We are currently considering identified risk management processes, and we will disclose them in the future. We are currently considering subsequent integrated risk management processes to implement them on a company-wide basis, and we will disclose them in the future. | |||
| Metrics and targets | We will consider climate change evaluation metrics in the future. Regarding targets, we include materialities (major issues), medium- to long-term sustainability targets and major KPI targets in the Medium- to Long-Term Sustainability Management Plan. We plan to gather and disclose greenhouse gas emission volumes in the future. We have added double-skin curtain walls that introduce outside air to the exterior of our head office building, and we are working to reduce CO2by incorporating various environmental technologies. Our electricity usage and CO2emissions are as follows. *Double-skin: A construction technique wherein part or all of a building’s exterior is doubly enclosed in glass  | |||
| Matters for which disclosure is to be considered in the future | In addition to matters labeled “future disclosure to be considered” above, we will consider expanding future disclosure of scenario analysis, financial impacts of individual risks and earnings opportunities, and other disclosure items. | |||
Documents on environmental conservation
Initiatives to reduce environmental burden
Reduction of CO2 emissions
The KAGA ELECTRONICS Head Office building employs an air supply type double-skin* curtain wall on the exterior,allowing air to flow into the office, thus reducing heat load and providing natural ventilation. The energy efficient design also enhances sound insulation.
In addition, the building features a variety of environmental technologies, with the use of solar panels on the roof enabling eco energy and the installation of LED lighting throughout. These technologies serve to save energy and reduce CO2 emissions.
* Double-skin technology refers to a method of construction in which part or all of a building exterior is covered in glass.
PC product reuse and recycling business
The Kaga Electronics Group company KAGA MICRO SOLUTION CO., LTD. has flexibly changed and expanded its business domain to meet a wide range of customer demands, from the development, production and sale of electronic products to their repair, maintenance, reuse and recycling.
The company has leveraged know-how in the production of electronic equipment and an extensive procurement route for electronic parts and materials—both of which were accumulated in the EMS business, a strength of the Group—to focus on a reuse and recycling business for PC products in recent years.
In addition to “reduce programs” that look especially at cutting CO2 and rubbish levels, the Group will contribute to a reduction in environmental burden from a reuse and recycling perspective and to the realization of a recycling-oriented society.
Repair work at KAGA MICRO SOLUTION
Biodiversity Initiatives
– Biotope set up at the Kaga Electronics head office –
Viewing the 21st century as a century for protecting the global environment, we address environmental issues such as reduction of CO2 and other GHGs through our business activities. To this end, the Kaga Electronics Group Environmental Policy fulfills a central role. We encourage all employees to be firmly committed to this matter of corporate social responsibility, and having established an environmental management system, the Group obtained ISO 14001 certification in 2002.
Our rooftop biotope further promotes these efforts. Here, plants and other organisms are nurtured to protect biodiversity and the natural environment, and we are cultivating a welcoming, protective habitat. Setting up an on-site biotope also raises employee awareness of nature and the environment.
Features of the biotope
The rooftop garden at the head office, which is one way we have enhanced the workplace environment for employees, sets the scene for meals, breaks, and casual employee get-togethers. A recent addition is the 3×4 meter pond built in a corner, which serves as a biotope habitat for the creatures that now live there. The pond has four zones at depths of 2 cm, 6 cm, 12 cm, and 18 cm, and a variety of environments have been arranged – for shallow-water flora and fauna, for example – so that diverse wildlife can thrive here. As soil for the plants that play a key role in the biotope, approval was obtained from the ward office to use earth from the Arakawa riverbed. This recreates the Arakawa watershed environment in the Kandamatsunagacho area where the head office is located. We were pleased to find that valuable plants have germinated from seeds buried in the soil. The head office building lies about 2 kilometers from the lush Imperial Palace, and local insects and other wildlife are expected to fly here. In this way, we anticipate the Group biotope becoming a satellite habitat that will expand the range where these creatures are active. Insects and other creatures will find a broader breeding area. As for fish and other aquatic life here, the fact that there is limited public access to this company biotope eliminates the risk of introducing non-native species. We are taking advantage of this to create an optimal habitat for native species.
Before the biotope was set up
Biotope garden
The Group conducts regular surveys of wildlife in the biotope roughly three times a year in the spring, summer, and fall. Results are posted online as described below. Besides research activities, biotope workshops are also held. Employees attend these events with their children and other family members, which provides opportunities to have fun interacting with nature. Through these kinds of initiatives, the Group hopes to kindle an interest in the natural environment and ecosystems among employees and their families. Maintaining ecosystems will remain a commitment of the Group as a whole.