Toray Group Corporate Social ResponsibilityMateriality
In June 2023, Toray Group reevaluated its CSR material issues in response to changes in the business environment and developments affecting the global community.
Materiality Assessment Process
Toray Group has identified CSR material issues through the following process, incorporating advice from external thought leaders. It will continue to update these issues regularly going forward.
Materiality Review Process from 2022 to 2023
In order to realize the Toray Philosophy and vision, the Group has identified important issues that need to be prioritized and focused on over the next three to five years, as part of its Medium-Term Management Program.
❶Identifying social issues
The Group selected 35 relevant social issues by referring to range of guidelines including non-financial information disclosure standards (GRI Standards, SASB, and TCFD, etc.), the SDGs, ISO 26000, the United Nations Global Compact, and the OECD Guidelines for Multinational Enterprises.
❷Analyzing and assessing levels of importance
perspective of both Toray Group and its stakeholders
(Impact on Toray Group)
(Impact on stakeholders)
In order to determine key stakeholders and their level of importance to the Group, Toray Industries conducted questionnaires and other surveys of major stakeholders, including customers, employees, and stockholders. The results were then analyzed and evaluated.
❸Checking validity and narrowing down key issues
A conversation was held with outside thought leaders through web conferencing, and opinions were exchanged regarding the issues Toray Group should focus more attention on. The thought leaders also provided their opinions regarding the appropriateness of the issue selection process, as well as their expectations for Toray Group.
The Group’s list of important issues was narrowed down based on the feedback of thought leaders.
|November 24, 2022
Shunsuke ManagiToray Industries, Inc.
Distinguished Professor Kyushu University
Representative Director and Managing Director Public Resources Foundation
Programme Officer ILO Office for Japan
General Manager, CSR Operation Dept.
Assistant General Manager, CSR Operation Dept.
Senior Staff, CSR Operation Dept.
* Organization names and
positions as of the date above
Main Opinions from Outside Thought Leaders
I think Toray's keywords going forward should be supply chain and global. Furthermore, the importance of biodiversity conservation and nature positivity is increasing. There are many areas in which Toray Group can contribute through new technologies and products. So the Group should consider the kinds of risks inherent in its supply chain, which risks can be minimized, and which opportunities can be increased through new product development. In addition, it will become increasingly important to consider trade-offs between the key issues.
Next, I think the Group’s current materiality selection process is excellent, including the fact that it uses weighting based on levels of importance. It was a good idea to group together the items selected for analysis and evaluation, and then narrow them down.
It will also be important to provide feedback within the company about the differences between the internal and external perspectives.
I believe that the broad perspectives provided by diverse human resources, including those with various gender identities, nationalities, physical characteristics, and disabilities, will lead to greater corporate growth and respect for human rights. I see this as an important theme along with global environmental conservation.
I also think that the aging and shrinking population is Japan's biggest social issue, while healthy longevity is a global issue. As a leading country facing these problems, Japan is in a position to help solve them.
When it comes to conveying material issues, it is important to use frame these issues in a way that shows Toray Group's awareness of the issues and what it can do to help solve them. I also believe it is important that the term “human rights” be used prominently to express the company's stance. In addition, the process for selecting issues seems to be appropriately transparent and objective. It would also be a good idea to summarize material issues and include detailed information in the explanation.
Next time, the Group might host a conversation that includes representatives of international organizations, NGOs, and consumer groups.
Given the current trend, companies will soon be required to ensure that all workers' human rights are legally protected. This is based on the growing expectations of the international community for responsible corporate behavior. In order for Toray Group's business to remain sustainable, respect for human rights must be viewed as a pertinent matter and included in material issues. To achieve internationally recognized human rights protection, the Group needs to consider the human rights of those working in all positions wherever the company has influence, including the supply chain. This also includes other workplace aspects such as diversity promotion, working environment improvement, and occupational health and safety.
Therefore, I think it is important to clearly explain and provide visuals illustrating how Toray Group manufactures products across its supply chain, and how it identifies and protects vulnerable workers.
I believe that the Group’s selection process was highly objective. Next time, I think it is important to obtain the opinions of government representatives and industry groups to better understand social expectations, and as a global company, to get more input from relevant stakeholders outside Japan.
❹Deliberation and approval by Board of Directors
The material issues were selected based on discussion by the Executive Committee, which is a deliberative body of the Board of Directors. The issues were then approved by the Board of Directors.
Toray Group Material CSR Issues
Toray Group has selected a total of 11 material issues for its CSR activities, including five issues relating to the Group's Corporate Philosophy of contributing to society through the creation of new value. The other six issues represent key management foundation points that are consistently necessary to address as important issues.
Contribution to Society through the Creation of New Value
|Accelerating Climate Change Mitigation
Accelerate the shift to carbon neutrality by contributing to reduction of global greenhouse gas emissions through innovative technologies and advanced materials and by pursuing emissions reduction across the Toray Group.
|Promoting a Circular Economy
Promote sustainable, circular resource use and production by increasing recycling, using biomass-based raw materials, and converting CO2 into resources.
|Taking a Nature-Positive Approach
Contribute to restoration of the natural environment by offering products that help provide clean water and air, reduce environmental impact, and otherwise benefit the environment and by working to preserve green spaces and properly manage chemical substances.
|Committed to Healthier Lives
Contribute to healthy, hygienic lifestyles by providing advanced materials that promote health and longevity, reduce the burden on nursing care and healthcare providers, improve the quality of medical care, and contribute to human safety.
|Developing in Collaboration with Stakeholders
Focus on sustainable development for both the Group and society by pursuing co-creation with stakeholders and contributing solutions to social issues. Appropriately disclose information and promote dialogue with stakeholders.
|Ensuring Safety and Fire Accident Prevention
Protect public safety and the personal safety of employees by pursuing zero accidents, thoroughly practicing disaster and fire prevention, and ensuring safe work environments.
|Ensuring Ethics and Compliance
Act with fairness, high ethical standards and a strong sense of responsibility while complying with laws, regulations and social norms to earn trust and meet social expectations.
|Enhancing Product Quality and Safety
Provide safe, high-quality products by further strengthening quality control, quality assurance, and product safety management.
|Strengthening Corporate Governance
Maintain sound management across the Toray Group by reviewing management systems and programs, strengthening internal controls, and implementing risk management (managing risks related to business activities such as economic security, security trade, and information security).
|Establishing Sustainable Supply Chain
Focus on building a stable, sustainable supply chain by promoting environmental conservation and respect for human rights throughout the supply chain.
|Respecting Human Rights and Promoting Human Resource Diversity
Respect internationally recognized human rights and create work environments that allow a diverse pool of human resources to demonstrate their creativity.
- * For more information on Toray Group's initiatives related to materiality, please see the Materiality View of CSR Roadmap 2025.
In order to promote CSR systematically, Toray Group creates three-year medium-term CSR plans that incorporates materiality.
The 8th medium-term plan, CSR Roadmap 2025, was released in June 2023, based on a resolution of the Board of Directors.
CSR Roadmap 2025 defines activity goals, main initiatives, and key performance indicators (KPIs) for each of the ten CSR guidelines.
Materiality View of the CSR Roadmap
The relationships between materiality, associated CSR Roadmap 2025 main initiatives, KPIs are described in this table.
Materiality View of CSR Roadmap 2025
The relationships between materiality, associated CSR Roadmap 2022 main initiatives, KPIs and progress achieved, up to fiscal 2022, are described in this table.