At JSR Group, sustainability is defined as “contributing to society by creating value through our business activities.” We work to advance sustainability while honoring diversity and following a direction shared throughout the Group. This basic policy remains the same as I assume the post of Chief Sustainability Officer (CSO). As I take over the initiatives of my predecessor, I simply hope to bring a new perspective.

I have long worked in the area of legal affairs, including compliance matters. Among my tasks, I have reviewed contracts and played a role in corporate reorganization. In these tasks, the first thing I needed to do was really listen when a company department asked for my help, so that I could know what they were trying to accomplish. Then, before responding, I had to anticipate all types of scenarios. For example, what is our business partner’s point of view and what do they think? What problems are likely to occur in future? What can we do if things do not go well? Day to day, I was reminded how important it is to use imagination.

Likewise in the area of sustainability, it is important to have a process of first using your imagination in respect to stakeholders with varying standpoints and ways of thinking, then making use of diverse people and varied opinions. This process helps to increase corporate value. Imagination is also essential for discerning future risks and opportunities. My plan is to make full use of my experience and, in my role as CSO, pursue initiatives that benefit all stakeholders.

Under JSR’s system, the CSO is not only an executive officer but also a director, which enables the Board of Directors to practice thorough sustainability management. Since the CSO is both an officer and director, I can participate in the Board of Directors’ discussions and then develop them at the company department level. One of the characteristics of this system, therefore, is that JSR can pursue effective initiatives promptly.

Starting in FY2022, the CSO is also in charge of promoting diversity, which was previously administered by the officer in charge of human resource development. Respecting diversity is an indispensable part of promoting sustainability. Therefore, I plan to use the maneuverability of my double role as director and executive officer to steadily promote diversity and sustainability.

The Group’s Management Policy for FY2024 calls on us to build a resilient organization. Resilience means the strength to respond to all possible changes in the environment. As I see it, diversity is directly connected to resilience. Since we aim to be a truly strong organization, it is not enough to simply bring diverse personnel together. Rather, we need to make sure that there is an inclusive environment and culture, where everyone’s opinion is put to use, in every corner of the Group.

The key to that is called “equity.” Equity means that each person, as appropriate to their circumstances, gets fair opportunities and the resources necessary to fully demonstrate their capabilities. JSR Group’s vision is to “respect the values of diversity, equity and inclusion (DE&I).” As such, our emphasis is on not only recognizing diversity but also giving people fair opportunities.

Going forward, I will take firm steps to ensure equity. My hope is that this will help boost resilience and employee engagement and spur innovation.

In FY2021, JSR Group set KPIs (key performance indicators) for our materiality to ensure we are concretely advancing our sustainability initiatives. In the KPI review process, based on our corporate mission and management policies, we comprehensively considered factors like the social and natural environment, product markets, technological trends, and stakeholder interest. By reflecting the views not just of our sustainability staff but also staff from other concerned departments, we were able to choose appropriate indicators.

The objective of our business activities is to realize CSV (Creating Shared Value) and contribute to the attainment of the SDGs. Thus, in each business domain, we aim to increase total sales and market share of products that promote sustainability as identified across JSR Group.

Our KPIs correspond to five material issues related to our management foundation. One issue, for example, is “Protecting the environment and reducing environmental impact.” To that end, we set a target of reducing GHG emissions by 30% by FY2030 as compared to FY2020, and reaching net zero by FY2050. For the material issues “Employees, DE&I, and work styles,” we are working to continually increase employee engagement. JSR Group conducted our first global engagement survey in 2021. We are continuing to administer surveys in FY2022 and beyond as one way to increase engagement. The process includes analyzing the survey results and drafting action plans and improvement measures. One aim is to increase the percentage of women in managerial positions. This and some of the other KPIs only apply to Japan, so we are considering setting KPIs tailored to other parts of the world in future.

Another material issues is “Health and Safety.” Safe and stable operation is of utmost importance to a chemical manufacturer, so our goal is to have zero workplace and equipment accidents. As for “Respecting human rights,” we will foster human rights awareness among employees and business partners in keeping with the JSR Group’s Human Rights Policy, established in September 2021.

Our policy is to check progress on these KPIs and follow up semi-annually and summarize the results in one-year units. These progress checks and the like are not only an opportunity to promote communication among departments and Group companies, but also a path to setting new KPIs based on the views heard during these interactions.

As I see it, promoting sustainability is one strategy for maximizing our corporate value. Also, I recognize how important it is for our sustainability staff to communicate closely and collaborate with JSR's business units, R&D, manufacturing, and back-office sections and as well as Group companies.

This is how I intend to fulfill my role as CSO going forward: aim to ensure that all JSR Group officers and employees are naturally aware of sustainability as the value standard for their work; create a framework for lively communication and information-sharing among departments and Group companies; and offer plenty of information to the outside world.