Sustainability

Management with an Emphasis on Sustainability

Promotion of Management with an Emphasis on Sustainability

Sustainability

Promotion Structure for Management with an Emphasis on Sustainability

Sustainability Committee

The Brother Group has established the Sustainability Committee based on the Basic Policy on Sustainability. The purpose of the Committee is to globally promote management with an emphasis on sustainability such as by resolving the materiality through various activities.

The Sustainability Committee structure

The Sustainability Committee is chaired by the Representative Director & President. The Committee holds regular meetings and extraordinary meetings convened by the chairman as necessary, and consists of those in charge of each subcommittee, Executive Officers of managing executive level or higher, business Executive Officers, and other persons designated by the Representative Director & President as needed.

Promotion structure (As of April 1, 2025)

Promotion structure

DEI Subcommittee Promotes activities to realize a society where everyone can energetically play an active role and to create a workplace where the Brother Group is filled with further diversity and engagement.

  • Person in charge of the subcommittee: Eiji Okada
    Executive Officer and General Manager of Human Resources Dept.
Responsible Value Chain Subcommittee Promotes activities to create a safe and secure workplace for workers in the Brother Group's value chain, where the human rights of those involved in the business are respected.

  • Person in charge of the subcommittee: Shun Kanishima
    General Manager of Law, Environment & General Affairs Dept.
Environment & Climate Change Subcommittee Promotes activities to contribute to a decarbonized society, maximize resource circulation and conserve biodiversity in accordance with the Brother Group Environmental Vision 2050.

  • Person in charge of the subcommittee: Shigeyuki Ota
    General Manager of Environment & Climate Change Strategy Dept.
Governance Subcommittee Promotes activities to establish governance that supports business portfolio transformation toward the realization of the Brother Group Vision "At your side 2030."

  • Person in charge of the subcommittee: Toshihiro Itou
    Senior Managing Executive Officer
Sustainability Communication Subcommittee Promotes activities to build long-term, trusting relationships with stakeholders by responding to the demands of society and dispatching information in an appropriate manner.

  • Person in charge of the subcommittee: Yumie Tamaru
    General Manager of Corporate Communication Dept.

Sustainability Committee activities

The Sustainability Committee conducts ongoing discussions and decision-making on sustainability issues. In addition, the Representative Director & President regularly reports to the Board of Directors on the Committee's activity plans and results.

Key discussion points at the Sustainability Committee

Year of meeting Number of times held Key discussion details
FY2024 19
  • Reporting of results of each subcommittee and discussion of annual plans
  • Reporting the draft content plan for the Integrated Report 2024, with provision of its contents prior to public disclosure
  • Reporting of employee engagement survey results
  • Redefining Materiality and discussing Materiality targets
  • Discussion on TNFD endorsement

Solving Social Issues through Business Activities

Contributing to CO2 emissions reduction and resource recycling (Printing and Solutions Business)

To realize the goal of "contributing to society and help protect the earth" set forth in the Group Vision "At your side 2030," the P&S Business is developing and implementing environmentally friendly products and initiatives, including energy and resource conserving products/initiatives. One such example is the collection and remanufacturing of used toner cartridges from laser printers and All-in-Ones, which are returned to customers. In FY2023, the "TN-3512 RE" toner cartridge, which is recycled at our factory in Slovakia, became the first recycled cartridge in the world to receive certification by Blue Angel*. By reusing cartridges and refilling them with toner, compared to producing new cartridges, we are able to achieve both effective use of resources and a reduction in CO2 emissions. We will continue to strengthen our efforts to take the global environment into consideration.

  • A third-party eco-label issued by The German Environmental Agency (Umweltbundesamt - UBA) and the German Institute for Quality Assurance and Labeling

Awarding of the Blue Angel certification at BROTHER INDUSTRIES (SLOVAKIA) Awarding of the Blue Angel certification at BROTHER INDUSTRIES (SLOVAKIA)

Contributing to CO2 emissions reduction with compact size and energy-saving technology (Machinery Business)

The manufacturing sites where Brother products are delivered require both a reduction in environmental impact and high productivity. The SPEEDIO series of compact machining centers can machine with far less power consumption than other models from other manufacturers due to its compact design, as well as using various energy-saving technologies, such as power regeneration to convert kinetic energy into electrical energy for reuse, contributing to a significant reduction in CO2 emissions and to achieving carbon neutrality of production sites of customers.

  • This is an example of operation with a machining program provided by BIL

Power consumption per cycle Power consumption per cycle

Contributing to traceability* and food safety (Domino Business)

Food traceability is extremely important for demonstrating food safety. Domino's coding and marking equipment achieves high-speed printing of best-before dates, expiration dates, lot numbers, production plant identification codes, and other requirements of traceability on such products as those packaged in cans and glass, plastic, and other containers. Retort pouch foods require inks to be resistant to heat, water, and alcohol so that this printed information is not removed by high-temperature sterilization or alcohol disinfection processes. By providing a range of inks to meet the needs of customers, the Domino Business contributes to the value creation of customers who want to provide security and safety to consumers through traceability.

  • Ability to clarify and maintain records of all food processes, from cultivation and breeding through to processing, manufacturing, and distribution.

Traceability

Solving a labor shortage and improving productivity through automation and labor-saving(Nissei Business)

There is growing need for labor-saving and automation in the manufacturing, logistics, retail, and other industries. Gears and Reducers offered by the Nissei Business are installed in industrial robots, automated guided vehicles, machine tools, and other products to meet various needs of customers. Notably, the UXiMO High Stiffness Reducers* are lightweight and compact but are characterized by high stiffness. They not only solve labor shortages at production sites but also help improve productivity by contributing to miniaturization, higher accuracy, and faster operation of robots.

  • Reducers used in machines that require high stiffness and precise positioning

nissei

Promotion upcycling through Brother products(Personal and Home Business)

As we shift from the era of mass production and mass consumption to an era of sustainable manufacturing, upcycling has attracted much public attention around the world as a means of achieving the SDGs. Upcycling is the process of transforming materials, which would otherwise be disposed of, to create new value and recycle.
Regarding upcycling using Sewing Machines and Home Cutting Machines, the P&H Business has been advancing efforts to create a sustainable society by using our products through dissemination of information inside and outside the Company and provision of opportunities for experiencing them.
As part of this initiative, we held a workshop on upcycling based on the fact that education on the SDGs is promoted in junior high schools in Japan. At this workshop, students brought shirts, handkerchiefs, and other items, which were no longer being used, and created works of upcycling. The objective is to help students become more familiar with upcycling and raise awareness about contribution to the global environment and the SDGs.
Sales facilities outside Japan also disseminate information and hold workshops about upcycling in an effort to spread the culture of upcycling as one of the methods of making effective use of limited resources.

Workshop on upcycling (at BROTHER INTERNATIONAL (GULF) FZE) Workshop on upcycling (at BROTHER INTERNATIONAL (GULF) FZE)

Reducing workloads of staff at elderly care facilities (Network and Contents Business)

Music and exercise are attracting attention as ways to lead a healthy life as one ages. XING INC., which is a subsidiary, offers Kenko Okoku, which is music therapy content that helps promote health by moving the body to music. This content is used at long-term care facilities and other facilities. This program is used in nursing care and welfare facilities.
Kenko Okoku enables care staff to spend less time planning recreation by freely combining a wealth of content such as physical activities, watching/healing, playing, and singing to create individual recreation programs suitable for facility users, providing more time for staff to spend with facility users. In addition, facility users can enjoy a wide range of content, leading to improvements in their quality of life (QOL). And furthermore, the content of individual function training is extensive, contributing to improvement of nursing care conditions. Kenko Okoku provides opportunities for facility users to take enjoyable measures for the prevention of the need for nursing care and reduces the work burdens of caregivers, enabling them to focus on support.

Kenko Okoku

Internal Dissemination of the Global Charter and the Brother Group Vision

Toward the "Brother Group Global Charter," the basis of all our operations, and management with an emphasis on sustainability

The Brother Group promotes internal dissemination of its Global Charter, which serves as the foundation for all Brother Group activities. This initiative aims to create superior value for customers and society globally, and to promote management with an emphasis on sustainability.

The Global Charter sets forth the fundamental principles of the Brother Group, such as "quickly and consistently providing superior value with the "At your side." spirit in mind," "confidently facing challenges with a consistently global view," and "acting with the highest integrity."
To become a trustworthy company, the Brother Group expects each of its nearly 40,000 employees to embody the Global Charter in their daily decision-making and actions and quickly create and deliver products and services that meet the needs of its stakeholders.
The Global Charter is translated into many different languages in the United States, Europe, and Asia so that all employees correctly understand and constantly keep the charter in mind. We also distributed portable handy-sized charter cards (in 27 languages) and posters (in 29 languages) to all our group facilities.

Handy-sized cards and posters Handy-sized cards and posters

The Global Charter Survey

Since 2008, the Brother Group has been conducting an annual employee awareness survey called the "Global Charter Survey."* The results of the survey are reported at a meeting attended by all executive officers, including the President of Brother Industries, Ltd. (BIL), where feedback is given and issues are clarified for each facility.

The FY2024 survey showed that actions aligned with the Global Charter were rated 4.56 out of 5. The score has shown steady improvement since the survey began in 2009, maintaining a level of 4.25 or higher for the past 10 consecutive years. In addition, we assessed the extent to which employees' actions reflect the Brother Group Vision "At your side 2030." The FY2024 result was 4.47 out of 5. This score has also shown steady improvement year by year since FY2022, when the vision was formulated.

In addition, to address the issues identified through the survey, each of our global facilities undertakes a variety of initiatives focused on building customer trust, tackling social issues, strengthening collaboration with business partners, and fostering employee growth and cooperation.

Results of the Global Charter Survey*1 (5-point scale*2)

Results of the Global Charter Survey

  1. Excluding Domino-related companies and Nissei Corporation
  2. There are five levels: "5. Always/Strongly agree," "4. Often/Agree," "3. Sometimes/Neither," "2. Rarely/Disagree," and "1. Never/Strongly disagree."

Promoting the Global Charter and the Brother Group Vision

The Brother Group is carrying out the following global initiatives to promote each employee's action based on the Global Charter and the Brother Group Vision "At your side 2030".

Formulating and communicating the Global Charter commitments from top management

Each year, the management of every Brother Group facility develops a "Commitment" that formulates how they will act in alignment with the key principles of the Global Charter. All commitments are shared on the intranet, demonstrating the leadership's own actions.

Additionally, top management engages employees by delivering their messages and creating opportunities for dialogue. In FY2024, they issued 44 messages, including video recordings, and held approximately 4,500 face-to-face talks with employees globally.

The "At your side." Top Meeting

Since FY2022, BIL has held the "At your side." top meeting, during which the President and executive officers gather to discuss the Global Charter and the spirit of "At your side.," as well as reflect on the ideal role of top management.

At the FY2024 meeting, the President discussed commitments based on the Global Charter, the challenges he has identified, and his leadership actions to address them. Following that, 18 executive officers split into four teams and held discussions on two themes: how to pursue and share best practices related to "At your side.," and how to pass on the spirit of "At your side." to the next-generation leaders.

During the discussion, the following views were expressed: "We should not only respond to customers' visible concerns, but also strive to recognize their underlying needs." "There is no final goal for "At your side."—what matters is continuing to refine and deepen our commitment." Another opinion raised was that proactive leadership by the current generation is essential for passing on a culture of pursuing "At your side." to the next generation. The discussion provided a valuable opportunity for top management to reflect on their leadership and the kind of leaders they aspire to be.

FY2024 "At your side." top meeting in session FY2024 "At your side." top meeting in session

"Global Charter promotional leaders" and leaders' meetings

The Global Charter promotional leaders, of whom there are over 474, are appointed by the managers of each facility or department, formulate annual plans and reflect on their development results, and are engaged in promoting the charter-based behavior of each employee in a variety of ways tailored to each organization's role and challenges.

In addition, regular meetings are held in Japan, China, and Vietnam, bringing together promotional leaders from various facilities and departments within each country. These meetings allow participants to share and exchange ideas on a variety of topics, such as challenges in promotional activities at each facility or organization, examples of productivity improvements driven by employees' charter-based actions, and best practices for responding to customer needs. They also provide valuable insights that can be applied to activities at participants' own facilities, serving as a learning opportunity that transcends functional boundaries such as development, production, and sales.

As part of the promotional leaders' meetings, "Cross-Company Meetings" have been held in China since 2014 and in Vietnam since 2017. The name "Cross-Company Meeting" was chosen because, in China, seven production, sales, and development facilities, and in Vietnam, three production and sales facilities came together to exchange ideas across different functions and sites within each country. Every year at these meetings, specific details are shared on how activities aimed at fostering a culture of challenge are planned, implemented, and improved, providing opportunities to learn from best practices at each facility. In addition, "Challenger Awards" are held to recognize employees who have demonstrated challenge-oriented behavior based on the Global Charter, further nurturing a culture that embraces challenges.
In FY2024, two cross-company meetings were held in both China and Vietnam. In both countries, reviews of Global Charter-based action plans and activities were conducted, and Challenger Awards were presented. These efforts enabled the active sharing of insights and achievements across facilities. In addition, by sharing the new medium-term business strategy "CS B2027" and the vision of the President of BIL, participants gained a clearer understanding of the direction they should aim for, fostering a stronger sense of unity and shared commitment toward global goal achievement. In addition, participants visited Brother Machinery Xian Co., Ltd., one of the manufacturing facilities in China, and Brother Industries (Vietnam) Ltd., one of the manufacturing facilities in Vietnam. These visits facilitated mutual learning across facilities.

The China Cross-Company Meeting The China Cross-Company Meeting The Vietnam Cross-Company Meeting The Vietnam Cross-Company Meeting

Comments from participants in the Cross-Company Meeting (1)

Comments from participants in the Cross-Company Meeting (1)
— Shared Awareness and Job Satisfaction through Cross-Company Meetings —

HR & General Affairs, Brother Machinery Xian Co., Ltd.
Li, Yan

I participated in the two-day Cross-Company Meeting in China, where all seven Chinese facilities came together. In this meeting, excellent examples of Global Charter-based actions from each facility were shared. It reminded me once again that the entire Brother Group is moving toward realizing its vision with a strong sense of shared awareness. Additionally, through exchanges and discussions with other facilities, I was able to strengthen cross-company connections, reaffirm how my work aligns with the Global Charter, and rediscover the sense of fulfillment I gain from my job. I plan to actively apply the insights and experiences I have gained to our future Global Charter-based activities, and to help foster an even greater sense of unity through more effective initiatives.

Comments from participants in the Cross-Company Meeting (2)

Comments from participants in the Cross-Company Meeting (2)
— Learning through Interaction with Other Facilities —

Administration Department, Brother Industries Saigon, Ltd. (BISG)
Ha, Le

I participated in the two-day Vietnam Cross-Company Meeting, where three Brother Group facilities in Vietnam came together. In the meeting, we introduced our unique initiatives, including Global Charter sharing activities at BISG. In addition, activities from other facilities were shared, and through exchanging views based on outstanding examples, I was able to gain new perspectives and ideas. An overview of the new medium-term business strategy "CS B2027" and a message from the President were shared, which helped deepen my understanding of the direction the Brother Group is aiming for. I hope to apply what I have learned through this experience to future initiatives at BISG and further enhance our Global Charter sharing activities.

Linking the Promoting the Global Charter and Brother Group Vision "At your side 2030"

BIL is promoting initiatives to share and deepen understanding of, and empathy for, the Brother Group Vision "At your side 2030," which was formulated in FY2022, encouraging employees to make the vision personally meaningful.

Specifically, we have enhanced our ongoing Global Charter sharing activities by incorporating the perspective of "How does the Global Charter link to the Vision?" This approach encourages employees to reflect on their actions from both the Global Charter and Vision perspectives. In addition, top management has been sharing messages with Group employees via the intranet—using videos and other media—emphasizing the importance of initiatives aimed at realizing the Vision. Through these initiatives, we are linking the Global Charter and the Vision to the daily actions of each and every employee.

Promoting Our Vision in Japan

Commitments by Top Management and Managers Based on the Global Charter and the Vision

Each year, top management at Brother Group facilities formulates commitments based on the Global Charter. Since FY2022, we have changed our vision to a personal commitment in order to achieve "At your side 2030" and expanded the scope of the declaration to include management level employees. In FY2024, approximately 800 top management and management-level employees set forth their individual commitments, all of which are shared on the intranet.

The commitments focus on the two points below, allowing employees to clearly see the connection between the Vision and their work.

  1. My mission for achieving "At your side 2030"
  2. Action goals to "enhance my own communication" and "promote the growth of my subordinates and colleagues" in order to achieve my mission

Sharing Activities for New and Mid-Career Recruits

At the new employee training held each year, new employees are given an opportunity to learn about and reflect on the Global Charter. Since FY2022, a program has also been introduced to present the Brother Group Vision "At your side 2030" alongside the Global Charter.
In April 2025, a training program was held to encourage new employees to reflect on how they will act in the future with respect to the Global Charter and the realization of the Vision. A total of 136 new employees* participated.

Training programs that encourage reflection on the Global Charter and the Brother Group Vision "At your side 2030" are also provided for mid-career recruits. These programs are designed to help them understand and act on the Group's shared goals and values after joining the company.

New employee training program promoting the Global Charter and Vision New employee training program promoting the Global Charter and Vision

In addition, we promote activities to further deepen empathy for the Vision, including a forum held in FY2024 for sharing actions to realize the Vision with the participation of approximately 100 promotional leaders.

  • Total new employees of Brother Industries, Ltd., Brother Sales Ltd., Brother Logitec Ltd., and B.M. Industries, Ltd.
Promoting our Vision globally

The Brother Group is also expanding its efforts to discuss the Vision by relating it to their own work and linking it to their future actions globally. Brother Industries (Philippines), Inc. (BIPH), a manufacturing facility in the Philippines, undertook an initiative to formulate its own vision in line with the development of the new medium-term business strategy "CS B2027." The new vision was formulated under the leadership of the President of BIPH and local managers, and it embodies their passion and commitment to realizing the Brother Group Vision "At your side 2030." For example, in line with the Brother Group Vision "At your side 2030," the new vision declares a commitment to boldly taking on challenges and adapting flexibly to change in pursuit of "expansion in the industrial area."

BIPH formulating their own vision BIPH formulating their own vision

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