Process for defining materiality and CSR targets
Defining the materiality of our priority CSR themes
In 2016, we defined the materiality of our priority CSR themes. We also established 10 fields of activities and 41 medium-term targets based on the 7th Medium-term Management Plan. Going forward, we will repeatedly conduct dialog with major stakeholders, including customers, suppliers, shareholders and investors, employees and the local communities, while pursuing stakeholder engagement and continuing to review materiality and targets in line with the times.
Definition process for the materiality of priority themes
Evaluation of Materiality : Policy / Target Setting
2010 – 2012
・Establish new CSR Policy
・Set “complete prevalence of CSR” as our medium-term theme for the fifth Medium-term Management Plan (fiscal 2010 – 2012)
2013 – 2014
・Set Complete prevalence of CSR application, and globalize CSR activities as the medium-term theme in the sixth Medium-term Management Plan (fiscal 2013 - 2015), and established 10 fields of activities and 30 CSR medium-term targets.
・Establish 10 fields of activities and 42 targets to aim "Progressive Company" as the 7th Medium-term Management Plan (fiscal 2016 – 2020)
Evaluation of Materiality : Risk (Loss and Opportunity) Analysis
2010 - 2012
・Implemented CSR fact finding survey (management and performance of principle departments). As a result, "compliance", "business continuity plan (BCP)", and "information disclosure" identified as three priority medium-term initiatives.
2013 - 2014
・Implemented risk survey after identifying risk management as the medium-term priority initiative. As a result, compiled 370 specific examples with 21 classifications and 101 definitions and identified 21 material risks on two axes of degree of materiality and implementation status
Evaluation of Materiality : Dialogue with Important Stakeholders
2010 - 2016
・Held environmental meetings (local communities, NGK SPARK PLUG)
・Gap analysis of our CSR and SRI evaluation
・Participated in local disaster prevention meetings (government, citizens, NPOs, corporations)
・Participated in information exchange meetings with neighboring companies held at Chamber of Commerce and Industry
2010 - 2012
・CSR Policy determined by the Board of Directors. Three priority initiatives reviewed by CSR Committee
2013 - 2015
・30 CSR medium-term targets and responses to 21 material risks reviewed by CSR Committee
Standards and Guidelines for Reference and Analysis Tools
・Japan Auto Parts Industries Association (JAPIA) guidelines & checklist
・Japan Electronics and Information Technology Industries Association (JEITA) guidelines & checklist
・Japan Business Federation "Charter of Corporate Behavior Action Plan"
・GRI G4 Guidelines
・ISO 31000 risk analysis sheets, risk maps, risk management tables
Mid-term CSR target
|Field of Activities||Mid-term Targets
(by fiscal 2020)
|Department in Charge|
|Management||Company-wide CSR Management||・Implement PDCA cycle to promote CSR on a global basis||Risk Management Dept.|
|・Promote CSR awareness-raising activities on a global basis|
|Company-wide Promotion System||・Construct a global promotion system||Compliance Committee|
|・Continue education on helpline content|
|・Continue compliance awareness and knowledge training|
|・Continue monitoring of compliance awareness and knowledge and corporate culture change|
|Security Control||・Deploy educational tools to NGK SPARK PLUG and group companies in Japan and monitor implementation status and effectiveness||Confidentiality Management Committee|
|・"Continuously improve security control, including group companies, and establish system for surveillance of implementation status|
|Export Control||・Establish a system for surveillance of implementation status of appropriate export controls, including group companies||Export Control Committee|
|Information Security||・Continuously reduce security risk of group companies through deployment of Group Information Security Regulations||Information Systems Dept.|
|Respect for and Protection of Intellectual Property Rights||・Implement patent review activities for mainstay products prior to design review meeting, including group companies||Intellectual Property Dept.|
|・Establish new methods to deal with increasingly sophisticated counterfeiters, particularly in emerging countries|
|・Have at least 15% of submitted patents be differentiation patents utilizing a patent portfolio that adds rivals' information|
|・Involve trademark aspects in strengthening our brand organization|
|・Enhance intellectual property education, including group companies|
|BCP／BCM||・Expand business continuity management system to group companies in Japan||BCM Working Group|
|・Construct a management system that can respond to not only earthquakes but also other disasters|
|・Construct a procurement BCP framework and expand and operate it at group companies||Procurement Div.|
|・IT-BCP countermeasures for server infrastructure (cloud utilization)||Information Systems Dept.|
|Company-wide Risk Management||・Build company-wide risk management suited to NGK SPARK PLUG||Risk Management Working Group|
|With Our Customers||Safety and Quality||・Expand quality assurance to all group companies with a focus on goods for all customers||Quality Committee, Corporate Quality Management Div.|
|・Expand quality management to all group companies aimed at delivering value to all customers|
|With Our Shareholders and Investors||Information Disclosure||・Disseminate information that leads to increased shareholder trust||Public Relations Dept.|
|・Disseminate information in an easy-to-understand and approachable manner on a global level||Risk Management Dept.|
|・Construct a framework for an IR strategy aimed at institutional investors||Accounting & Finance Dept.|
|・Disseminate information that captures stakeholders' expectations and the changes in social trends||Risk Management Dept.|
|With Our Employees||Employment and Human Rights||・Implement fair evaluations that correspond to clear expectations||Human Resources Dept.,
Strategic Human Resources Dept.
|・Establish educational programs that target the leaders of each group company||Human Resources Dept.|
|・Employ diverse human resources strategically||Human Resources Dept.|
|・Achieve personnel and human resource functions that contribute to the promotion of management strategy||Strategic Human Resources Dept.|
|・Further encourage the promotion of active participation by women||Strategic Human Resources Dept.|
|・Zero workers leaving their jobs in order to provide nursing care||Strategic Human Resources Dept.|
|・Achieve the mandatory number for employment of people with disabilities||Human Resources Dept.|
|・Promote active participation by seniors||Strategic Human Resources Dept.|
|Occupational Safety and Health||・Raise productivity by decreasing the rate of onset of mental illness||Human Resources Dept.|
|・Develop systems that make it difficult for accidents to occur aimed at developing a global safety culture||Safety and Health Committee
Environment & Safety Management Dept.
|With Our Suppliers||CSR Procurement||・Improve the framework for evaluation aimed at global optimum procurement and deploy and operate at group companies||Procurement Div.|
|・Reduce risk in the supply chain by thoroughly establishing CSR procurement||Procurement Div.
Risk Management Dept.
|・Promote education and enlightenment aimed at reducing risk utilizing supplier seminars, etc.|
|With Local Communities and International Society||Social Contribution||・Continually enhance the social status of the NGK SPARK PLUG Group through social contribution activities||Public Relations Dept.|
|For Environmental Protection||Environment||・Promote environmental activities aimed at achieving global Eco Vision||Environmental Committee.
Environment & Safety Management Dept.
Fiscal Year CSR Target and Results
We carry out CSR promotion activities according to the medium-term targets and fiscal year targets. Our CSR Committee checked the progress of targets for fiscal 2016 and formulated new targets for fiscal 2017 as part of achieving our medium-term targets. When we set our targets for fiscal 2017, first each expert committee and division confirmed the expectations and demands of all our stakeholders. Then they compared them to our corporate philosophy, Corporate Code of Conduct and CSR Policy and drafted targets. Finally, the CSR Committee approved them.