CSR Activity Report (CSR Guideline Activity Reports) - Human Rights Promotion and Human Resources Development

Securing and Developing Human Resources to Create New Value

Employing a Diverse Workforce

Toray Group employs talented human resources with high aspirations who can play an active role in global business, inclusive of gender and whether employees were hired out of university or mid-career.
Since 1998, Toray Industries, Inc. has been expanding its efforts to recruit a diverse human resource population and has hired 112 non-Japanese as regular employees as of fiscal 2020. The Company actively recruits non-Japanese students who are studying in Japan, and Japanese students who graduate from universities abroad. Then, it seeks to build a work environment where all employees are able to fully demonstrate their individual abilities and perform to their utmost potential.

Number of Employees Hired in Fiscal 2018 - 2020 (Toray Industries, Inc.)

Result 2018 2019 2020
New graduates Men 224 244 176
Women 41 44 36
Total 265 288 212
Mid-career Men 55 37 9
Women 17 8 2
Total 72 45 11

Systematic and Effective Training

Toray Industries develops well-designed training programs and systematically executes diverse training programs to enhance management, sales, production technology, and specialized skills, and to better equip employees to address globalization. These programs cover all levels of employees and fields, aiming to develop future management candidates while expanding and educating the base of core staff ready to employ their strong capabilities to lead on the front lines.
Over the recent years, Toray Industries has concentrated on enhancing and expanding its development of global human resources through Overseas Training for Young Employees, the Toray Global English School, and Business English Intensive Training, as well as through joint sessions of the Toray Management School and Toray Group Senior Management Seminar. The Company also implements the Global Diversity Seminar for non-Japanese employees working at Toray Industries. In fiscal 2020, the Company did not conduct group training due to measures to prevent the spread of COVID-19. Instead, training was limited to sessions that could be effectively conducted online. For this reason, training expenditures per employee at Toray Industries stood at 36,092 yen in fiscal 2020, compared to 96,821 yen in the previous fiscal year.
In addition to training, the Group is adopting diverse personnel programs to develop an organization in which human resources who are ready for new challenges can play a greater and more active part in the Company.

Fiscal 2020 Training Program at Toray Industries
Fiscal 2020 Training Program at Toray Industries

Company-Wide Training Course Enrollment in Fiscal 2020 (Toray Industries, Inc.)

Training category Persons enrolled Time dedicated to training per employee (hour)1
Men Women Total
Management 374 28 402 26.3
Technical 367 52 419 30.0
Sales, marketing, and administration 169 63 232 22.5
Global 0 0 0 0
General 0 0 0 0
Total 910 143 1,053 26.9
  • 1 Time dedicated to group training at the Toray Human Resources Development Center. It does not include time for correspondence learning or study abroad, etc.

Personnel System (Toray Industries, Inc.)

Management-by-objectives system2 Each employee establishes annual objectives. At the end of the fiscal year, employees and their supervisors meet to review accomplishments and the extent to which they were able to meet their objectives.
Personnel appraisal system2 Designed to facilitate a fair appraisal of employee contributions in terms of duties, responsibilities, capabilities, and performance3.
Individual meeting system2 Employees meet with their supervisors twice a year in a one-on-one setting. Supervisors provide consultation on employee performance and new objectives.
Self-assessment system for managers, occupational specialists, and G Course employees Employees are surveyed annually on topics concerning work experience and desires for interdepartmental transfer. Surveys can then be linked to individual personnel transfers and placement.
Career assessment system for G Course employees Employees participate in a regular review consisting of presentations of daily operations and personnel interviews in order to focus on the direction of their future growth.
Job opening system Employees are given an opportunity to apply for jobs inside the Company and proactively develop their career, while ensuring optimal staff assignment.
  • 2 Applies to 100% of managers, occupational specialists, and employees pursuing G Course and S Course career paths.
    G Course: A career path for Toray Group executive or upper-level professional candidates
    S Course: A career path for manager, supervisor, or specialist candidates
  • 3 Including CSR initiatives

Career development of core staff using the new personnel information system (% of staff using a career path worksheet)

■Reporting scope
Toray Industries, Inc.
■Target in fiscal 2020
20%

Result in fiscal 2020

23%

Toray Industries has introduced career path worksheets as a human resource development tool designed to promote employee growth. These worksheets encourage employees to reflect on their past work experience and the level of skill required in their field, as well as facilitate career-related discussions through interviews with supervisors and subordinates.
The career path worksheets were first introduced in fiscal 2020 for employees pursuing G-Course career paths in sales and corporate administration and will be expanded to all G-Course employees from fiscal 2021.

Development of Future Management Candidates for Toray Group

Toray Group implements training in order to systematically develop future management candidates. Numerous employees who have undergone the training are already active in management positions. This training was not implemented in fiscal 2020, however, due to measures to prevent the spread of COVID-19.

Strategies for Developing Future Management Candidates

Program Participants Purpose Year started Total participants through FY2020
Management Training for General Managers Division and department managers of Toray Industries, Board members/officers of group companies in and outside Japan Develop management leaders at Toray Industries and group companies 2013 147
Toray Management School Section managers of Toray Industries Develop future management candidates at Toray Industries and group companies 1991 560
Toray Group Management School Department managers of group companies in Japan Develop management candidates focusing on group companies in Japan 2006 285
Toray Group Executive Seminar Board members/officers of group companies outside Japan Develop core staff at group companies outside Japan 2004 98
Number of employees who participated in programs to develop future management candidates (cumulative total)
1,090

Toray Global HR Management ("G-HRM") Fundamental PolicyRevised December 2021

True to its corporate philosophy, "Contributing to society through the creation of new value with innovative ideas, technologies and products" and its embodiment through "Innovation," and in order to continue being a highly valuable corporate group for every stakeholder, Toray Group focuses on recruiting, retaining, and developing employees with high aspirations, with the understanding that "Human Resources" are the most important asset in management.

As Toray Group continues to promote further business growth and expansion globally, we set the following four principles as the Toray G-HRM Fundamental Policy, despite all differences between countries, regions, cultures, customs, and companies in order to facilitate HR management with a common basis for all Toray Group companies around the world.

Step by step, each company is encouraged to implement and maintain a concrete HR management system in line with the following Toray G-HRM Fundamental Policy. However, at the same time, it is essential to value the merits of local HR management in each company based on the individual circumstances of country, region, culture, custom and company. Thus, it is necessary to promote the policy while integrating both approaches properly.

  1. Consistently recruit and retain core staff and promote long-term HR development programs
    1. (1) Consistently recruit core staff based on mid/long-term HR management views.
    2. (2) Sustain long-term HR development through emphasizing individual career development, promoting career interviews on development progress between supervisors and staff, and carrying out on-the-job training (OJT), together with training programs (Off-JT) and self-development.
    3. (3) Promote HR development by following up on each individual through MBO (Management by Objectives) and performance appraisal systems.
  2. Select and develop core staff who can win a place in the global competition
    1. (1) Recruit, retain and develop diverse and capable staff globally who understand and support the Toray Philosophy.
    2. (2) Provide selected staff with opportunities for sophisticated high-level training and global careers.
    3. (3) Promote staff, who have skills to assume management responsibility for Toray Group companies, to top management positions of each company, and also give them opportunities for selection to executive positions as well as core positions of Toray Industries, Inc.
  3. Pursue a "placing the right people to the right jobs" policy while enhancing fairness, understanding (by employees) through convincing explanations, and transparency
    1. (1) Make the best assignment for each employee and assigned organization by focusing on his/her ability and performance.
    2. (2) Place importance on fairness, understanding (by employees) through convincing explanations, and transparency when determining individual compensation, such as salary and bonus, by appropriately taking account all of the roles and responsibilities of the position, the employee's ability, as well as performance appraisal results based on the MBO (Management by Objectives).
    3. (3) Enhance the HR development system and the compensation system to value challenges as well as contributions to the team.
  4. Continue various management methods to further strengthen the company's business structure
    1. (1) Conduct and continue head-count management and labor cost management as an entire company in a well-balanced way appropriate for business environments.
    2. (2) Always sustain a flat, effective organizational structure and control the appropriate proportion of managerial staff.
    3. (3) Build a resilient organization through the appropriate management of diverse work styles.

Systematically Securing, Developing, and Promoting Core Staff Outside Japan at Group Companies

Toray Group regards the development of core staff at its group companies outside Japan as one of its priority management objectives. The Group makes active efforts to promote employees locally hired at these companies (national staff) to executive management positions, as well as to key posts and management positions at Toray Industries' head office. In fiscal 2020, a total of five core staff outside Japan help manage Toray Group, with two serving as vice presidents of Toray Industries and three serving as director (riji), a position that is equivalent in scope and level of responsibility to senior management.
In terms of human resource development and promotions, Toray Group has been working on a succession plan and personnel development plan based on a medium- and long-term perspective and drawing up its Medium-Term Human Resources Plan with the goal of implementing systematic personnel assignments to ensure that core staff can tackle important business issues. The Group implements human resources strategies designed to support business strategies by verifying the availability of successor candidates for core positions and developing individualized development plans for future management candidates, including for core staff outside Japan. In addition, the Group is systematically fostering human resources by offering career development opportunities such as domestic and international job rotations.
Human resource development is systematically implemented using both on-the-job and off-the-job training. Off-the-job training consists of training implemented by each group company outside Japan. This is combined with grade-specific training programs held in Japan to ensure understanding of management principles and policies. These are linked with personalized long-term development plans. Toray Group, with direct involvement from the head office, is developing and regularly providing management training courses outside Japan specially designed for the particular circumstances and needs of group companies in each respective country.

Training Courses Held for Core Staff Outside Japan

Japan-based courses

Training program Managerial category
Toray Group Executive Seminar Officers
Toray Group Senior Management Seminar Department managers
Toray Trainee Program Section managers
National Engineer Key Person Training Section managers
Toray Management & Technical Training Unit managers

Courses held outside Japan

Training program Managerial category
Toray Group U.S. Senior Management Seminar Department managers
Toray Group U.S. Management Training Section managers
Toray Group EU Senior Management Seminar Department managers
Toray Group EU Management Seminar Section managers
Toray Group Indonesia Management Seminar Department managers / section managers
Toray Group Thailand Senior Management Seminar Department managers
Toray Group Malaysia Management Seminar Department managers / section managers
Toray Group China Senior Management Seminar Department managers
Toray Group East and North China Management Seminar Section managers
Toray Group South China Management Seminar Section managers
Toray Group Korea Senior Management Seminar Department managers

Click here for the main initiatives for CSR Guideline 8, “Human Rights Promotion and Human Resources Development” in CSR Roadmap 2022.