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.

In addition, at the time of the Committee's establishment, we had three subcommittees under the Sustainability Committee with the aim of promoting various activities in their specific fields. Later, through their activities in FY2022, we revised the structure in order to promote more cross-departmental and management with an emphasis on sustainability, and reorganized it into the following six subcommittees in April 2023.

Promotion structure

Promotion structure

Value Creation Support Subcommittee Promotes activities to help the Brother Group support its customers' value creation through the provision of products and services, and to gain the support of customers.

  • Person in charge of the subcommittee: Kazufumi Ikeda
    Representative Director & President
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
    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: Toshihiro Itou
    Senior Managing Executive Officer
Environment & Climate Change Subcommittee Promotes activities to contribute to a decarbonized society and maximize resource circulation 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.
Corporate Governance Subcommittee Promotes activities to establish corporate governance that facilitates the realization of the Brother Group's Vision and the effectiveness of management strategies to achieve the Vision.

  • Person in charge of the subcommittee: Shun Kanishima
    General Manager of Law, Environment & General Affairs Dept.
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 CSR & 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
FY2023 10
  • Reporting of results of each subcommittee and discussion of annual plans
  • Deliberation and approval of proposals regarding the issuance of Integrated Report 2023 and the content of the report prior to disclosure, in accordance with the "Disclosure and Approval Process*" approved by the Committee in February 2023
  • Reporting of employee engagement survey results and cases of improvement measures
  • Reporting of activities to support Businesses for formulating sustainability targets
  • Deliberation regarding policies related to climate change
  • The Disclosure and Approval Process is a process concerning the issuance of the company's Integrated Report, which requires Committee approval at the two stages of planning and final disclosure in anticipation of future third-party assurance.

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 recycling 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

Promoting the Global Charter and the Brother Group Vision

Toward the "Brother Group Global Charter," the basis of all our operations, and sustainable management

We are committed to internally sharing the Global Charter, the basis of all operations conducted by the Brother Group to globally create social value through businesses, and to promote sustainable management that focuses 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

Promoting the Global Charter

The Brother Group is conducting the following activities globally to further promote each individual's actions based on the Global Charter.

Formulating and communicating the Global Charter commitments from top management

The top management in the group's respective facilities formulate their commitments every year based on the Global Charter and takes the initiative in embodying the charter principles, and also delivers messages and creates opportunities to dialogue with employees. In FY2023, they issued 53 messages, including video recordings, and had about 4,600 face-to-face talks with employees globally.

"Global Charter promotional leaders" and leaders' meetings

The Global Charter promotional leaders, of whom there are over 504, 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 for the promotional leaders are held in Japan, China, and Vietnam. These meetings allow them to discuss the challenges of the actions taken by the respective group organizations, to share employees' charter-based actions that have contributed to improved productivity or responded to customer needs, and to take cues to utilize for such activities in their own organizations. In this way, the meetings enable the leaders to learn beyond the borders of their occupations ranging from development, manufacturing, and sales.

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 site. In addition, in order to address the issues identified from the survey and make improvements, each global base takes actions related to customer trust, response to social issues, strengthening cooperation with business partners, and employee growth and cooperation.

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

BIL has formulated the Brother Group Vision "At your side 2030" (Vision) for the period from FY2022 to FY2030 with the aim of achieving further growth and increasing sustainable corporate value.

Hence, we have enhanced our actions to promote the Global Charter by incorporating the perspective of "How does the Global Charter link to the Vision?" to enable employees to consider their actions from the perspectives of both the Global Charter and the Vision.

Specifically, each department and group's facility is engaged in actions to globally develop activities to share a consistent Global Charter and Vision by utilizing mechanisms such as the "My commitment" and cross-organizational leaders' meetings. In addition, the top management has been delivering messages through video and other media to group employees on the intranet regarding the importance of initiatives to realize the Vision.

The "At your side." Top Meeting

Since FY2022, BIL has held an "At your side." Top Meeting with the participation of Director & Chairman, all Executive Officers, and Standing Corporate Auditors, with the aim of considering leadership for realizing the Global Charter and Vision.

At the FY2023 meeting, 18 Officers were divided into 4 teams and had discussions such as on the ideal talent development and product planning and development processes based on "What kind of actions will lead to the realization of 'At your side.'?" and each team presented their findings.
In the presentations, opinions were shared such as "In addition to providing products, it is important to provide solutions that enable customers to effectively use the products" and "It is necessary to create an organization that quickly shares information obtained in the field and promotes quick decision-making," becoming a time devoted to pursuing "At your side." by allowing one to reflect on their behavior through discussion.
Furthermore, in FY2023, in addition to team discussions, a presentation was given by the Group Managing Executive Officer and CEO of Domino Printing Sciences plc (Domino). In the presentation, good examples of Domino's initiatives to realize the Vision and talent development programs were shared, including the CEO's own experiences and thoughts, and it was a good opportunity for all management to reflect on the leadership to realize the Vision.

Team discussion Team discussion CEO of Domino giving a presentation CEO of Domino giving a presentation

Personalizing the "Brother Group Global Charter" and our Vision

The Brother Group is making the Vision personal by engaging in activities to deepen understanding and alignment with our Vision so that it can be achieved.

Promoting Our Vision in Japan

Each year, the top management of each Brother Group facility formulated commitments based on the Global Charter, declared how they will act in accordance with the key words of the Global Charter, and reviewed their actions at the end of the fiscal year, repeating the PDCA cycle (Plan: Planning, Do: Execution, Check: Evaluation, and Action: Improvement activities).

In FY2022, in order to realize "At your side 2030," they changed their commitments to make the Vision a personal matter, and expanded the scope of the declaration to include those below the senior management level.
This initiative continued into FY2023 with approximately 800 executives and managers making their own commitments.

The content of the commitments, which focus on the two points below and allow them to clearly see the connection between the Vision and their own work, is shared entirely on the intranet.

  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

Additionally, at the new employee training each year, an opportunity is given for the new employees to think about the Global Charter, and from FY2022, a program has been held for new employees to think about the link between "At your side 2030" and the Global Charter. In April 2023, the program was held using the words "productivity" and "creativity," which appear in "At your side 2030," asking, "What productivity can I demonstrate?" and "What is my creativity?" and 129 new employees* participated. By having each new employee discuss what they will aim for in order to achieve our Vision, it served as an opportunity for them to visualize the link between our Vision and their future actions.

New employee training program promoting the Global Charter and Vision (April 2022) New employee training program promoting the Global Charter and Vision (April 2022)

In addition, we promote activities to further deepen empathy for the Vision, including a forum held in FY2023 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.

One of the ways we share our Vision globally is with a workshop where teams make action declarations. In this workshop, participants first watch a video introducing the details of our Vision (the video is available in four languages: Japanese, English, Chinese, and Vietnamese). After that, the participants divide into teams to discuss the "you" in our Vision; "Our Purpose; By being 'At your side,' we enable people's productivity and creativity, contribute to society, and help protect the earth" based on the question; "Who is the 'you' in our business?" "What do we need to keep in mind in order to understand 'you' in the future?" "What are the problems that 'you' face, including us, and what are the possible solutions?" Based on the discussions, the teams then compose an action declaration as a team.

As of March 2023, approximately 8,200 employees have participated in these Vision-promoting workshops, and each facility is working autonomously.

Action declarations (excerpts)

  • For us, "you" means not only the manufacturing site and subsequent processes, but also the members around us and the customers who use our products.
    In order to find out problems that "you" have, we understand what is happening on the site, the members, and the products, and we value communication with you. And to provide value to "you," we gather information, improve our knowledge, raise our own level, and take on high-level challenges. (Manufacturing department)
  • We will actively visit our customers and see their sites to notice their problems and develop the sensitivity to notice them. We will collect technical trends at online and offline exhibitions, academic conferences, and industry newspapers to improve product value. (Technical department)
  • We consider "you" to be our team members and promote their growth by strengthening education of development skills. (Development department)

Brother International Philippines Corporation (BIC (P)), our sales facilities in the Philippines, also worked on a project to review their own Vision and mission based on the Brother Group Vision "At your side 2030." In this project, 28 employees, who will lead the next generation, participated, and they drew up a Vision of what they want to be in 2030 and put into words the significance of taking on challenges and the passion and aspirations they have. In July 2022, all BIC(P) employees had a chance to share their Vision with each other and to think about the future toward realizing the Vision across the company. The president of BIC(P) declared, "Our goal is to become a company that creates value for our customers and society by asking the question, 'What does this Vision mean to me?' then having them discover their own answers."

Promoting Our Vision (BIC(P)) Promoting Our Vision (BIC(P))

This activity has continued since the first year the Vision was formulated, and we continuously promote the Vision globally. In China, seven sales and manufacturing facilities met together to delve into "best practices of promoting the Vision." Also, in Vietnam, leaders from three sales and manufacturing facilities gathered to hold the "Vietnam Cross-Company Meeting" to share examples of challenges they were taking on to realize the Vision.

The Brother Group will continue to personalize its Vision globally by expressing it in employees' own words and linking it to the daily actions of each employee.

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