Sustainability Management

Concept

The Kyocera Group's sustainability activities reflect our management philosophy and our mission to build businesses that respond to societal needs. We are committed to develop environment-friendly products, implement climate change countermeasures through long-term environmental targets, and respect human rights.

images: SDGs icon

Promotion System

To promote the sustainable development of both society and the Kyocera Group, the Kyocera Group's Sustainability Committee holds two meetings yearly. The committee is chaired by our president, Hideo Tanimoto,and is attended by Kyocera's Inside Directors and other top leaders. In FY2023, we reported and discussed about long-term environmental goals, ways to contribute to the circular economy, and expanding the introduction of renewable energy. We will continue to promote company-wide collaboration to meet global expectations for sustainability in business.

images: Sustainability management

Sustainability Management Processes

To promote sustainable management, first, we seek to understand societal needs through stakeholder engagement. Next, we identify priority issues and take actions to address them. Then, we evaluate the results and discuss the improvement methods, while top management reviews them at committee meetings for further improvement.

Sustainability Management Process Flowchart

images: Sustainability Management Process Flowchart

Stakeholder Engagement

To understand societal needs and fulfill them, we have improved our communication with stakeholders in order to make decisions based on their opinions.

Materiality Identification Process

Materiality issues are identified in light of contemporary social topics along three axes of living together

The Kyocera Group's business activities are based on the concept of "living together" (coexistence). Materiality issues have been identified along three policy axes reflecting this concept of living together in the light of contemporary social topics.

Under this policy, we employed the Corporate Sustainability Reporting Directive (CSRD) methodology of double-materiality assessment to evaluate impacts on society and the Kyocera Group. We identified materiality issues to address from the two perspectives of how Kyocera Group businesses impact society and the financial risks and opportunities arising from our corresponding business activities.

Coexistence with society

Forging strong ties with stakeholders

Coexistence with the global community

Making the world a better place through technological progress and business expansion

Coexistence with nature

Active involvement in a sustainable society

Identification process

The Kyocera Group identifies issues to stakeholders and management by reviewing the external environment, including social conditions and global trends, and exchanging opinions within the Group regarding their importance and priorities.Then, materiality topics are identified through deliberation by the Sustainability Committee and semiannual International Management Meetings, which are attended by the leaders of our global operations, and reported to the Board of Directors.

Materiality identification process

image: Materiality identification process

Materiality matrix

Materiality issues identified through the above process are plotted in the following matrix along the two axes of their impacts on Kyocera and on society. Topics with significant impacts are identified as materiality issues, and these are categorized by coexistence with our society, coexistence with our global community, and coexistence with nature.

image: Materiality matrix

Priority Issues

  Goals Materiality issue Measures and KPIs Progress through FY2025
Coexistence with society Harmony with humanity and society Reinforcing human capital
  • Sharing Kyocera Philosophy and expanding educational opportunities
  • Reskilling to take on new challenges and changes
  • Enhancing support for activities of diverse human resources

[Numbers of trainees]

  • Introductory education for young and mid-career employees: 2,404
  • Leader education: 14,396
  • Technical training: 3,010
  • Education for core personnel overseas (Global Philosophy Seminars: held at five facilities): 349
  • Global education: 194
Respect for human rights
  • Building structures for respecting human rights at Group companies
  • 0% high-risk transactions on human-rights/labor topics in supply-chain surveys
  • Human-rights due diligence
  • 0% high-risk transactions on human-rights/labor topics
Securing of a sustainable supply chain
  • 0% high-risk transactions on ethical topics in supply-chain surveys
  • 0% high-risk transactions on ethical topics
Improvement of stakeholder engagement
  • Continual communication with stakeholders and strengthening relations of trust

[Employees]

  • Percentage responding to Workplace Vitality assessment surveys: 95.6% (subjects: 30,022 persons)
  • Round-table discussions and Q&A with top management: 2 times

[Shareholders, investors]

  • Financial results briefings for institutional investors: 4 briefings, approx.440 persons
  • One-on-one meetings: approx. 350 times
  • Company information sessions with individual investors: 1 session, approx. 590 persons

[Business associates]

  • Seminars and social gatherings with partners: 232 companies, 272 persons

[Local communities]

  • Participants in off-site classes on environment and energy: 1,700 persons
  • Participants in sustainability briefings: 112 persons
  • Students signed up for Fushimi Ward Kodomo Kyoiku Shokudo after-school meals: approx. 700
  • Meals served: approx. 16,000
Thorough compliance
  • Building an anti-corruption system
  • Building an integrated Groupwide system for anti-trust compliance
  • Adoption of in-house anti-corruption rules by Group companies
  • Number completing anti-corruption training: 7,991 persons (FY2025, Kyocera nonconsolidated)
  • Preparation of a global antitrust manual and adoption of antitrust rules
  • Number completing antitrust training: 7,874 persons (FY2024, Kyocera nonconsolidated)
Coexistence with the global community Contributions to globalized society and economies Improved corporate value
  • Establishment of the Strategic Business Transformation Project
  • Business portfolio reforms focused on profitability
Digital transformation
  • Digital manufacturing reforms
  • Digital business reforms
  • Establishment of IT governance
  • Advancing systems related to manufacturing, through means such as adoption of product lifecycle management (PLM) and deployment of a common production management system
  • Promoting business reforms through sales-process improvement and standardization using customer relationship management (CRM)
  • Preparing to survey Group companies toward establishment of IT governance in FY2026
Promoting global management
  • Promoting Global Philosophy education
  • Reinforcing Group corporate governance
  • Promoting risk-management processes
  • Beginning study of management system integration
  • Identifying and addressing corporate risks in the Risk Management Committee
R&D enhancement
  • Concentrating resources on core domains
  • Use of corporate venture capital
  • Year ended March 2025: 116.1 billion yen in R&D expenses (up 11.3% YoY)
Incubating new businesses to address societal needs
  • New business creation (five themes)
  • Introduction of textile inkjet printers and Kyocera Robotics Service
Coexistence with nature For a beautiful planet for the future Achieving carbon neutrality
  • Scopes 1, 2: 46% reduction by FY2031 (vs. FY2020) (1.5° C level)
  • Scopes 1, 2, 3: 46% reduction by FY2031 (vs. FY2020) (1.5° C level)
  • Renewable energy adoption: 20-fold increase by FY2031 (vs. FY2014)
    *New target set after previous target reached
  • Carbon neutrality by FY2051
  • 60% of energy from renewables in FY2031
  • Scopes 1, 2: 14% reduction
  • Scopes 1, 2, 3: 26% reduction
  • Renewable energy adoption: 21.5-fold increase (long-term environmental target of 20-fold increase achieved)
Building a circular economy
  • PCR material reused for multifunction product (MFP) and printer enclosures and toner containers: 5% or more
  • 100% recycling of PET wastes (discontinuing thermal recycling)
  • PET film and ceramic raw materials loss minimization
  • Recycled material content: 8.9% in 2024
  • Launching technology survey
  • Launching study of recycling in cooperation with other industries
Nature positivity
  • Creating new businesses able to contribute to biodiversity
  • Efforts to develop plant cultivation and breeding technologies using light wavelength control technologies