SJC Group has long been committed to business activities with the aim of creating a sustainable society by facing ever-changing social issues under our corporate philosophy: The aim of the Sekisui Jushi Group is to contribute to a safer, more secure and healthier environment for society by creating valued products and services, through the application of composite technology. As part of our efforts to continue and develop these initiatives, we have identified key issues (materialities) for the Group and will continue to promote business activities that provide safety and security for people’s lives and harmony with the environment.

In our Long-Term Vision 2030, we will set goals for each of the material issues below, and manage and report progress toward achieving those goals. We will also consider revising goals and adding action plans in response to changes in the internal and external environment.

Process for identifying materialities

The process for identifying materiality is as follows. We will continue to review the identified materiality as appropriate and promote effective initiatives.

Step1 : Extracting material items

Extract material items (economic, environmental, and social) by referring to the procedures, etc., indicated in the GRI standards.

Step2 : Evaluation

Executive officers (including directors concurrently serving as executive officers) and senior management evaluate and score the importance from the perspectives of both importance to stakeholders and importance to the Group.

Key issues Matrix

Step3 : Identify

Identifying materiality at the SJC Group Sustainability Promotion Committee.

SJC Group’s Materiality

The identified material issues were categorized by business and environmental, social and governance (ESG) issues.

Business

• Contribution to disaster prevention/mitigation and national resilience
• Expansion of business domain
• Elimination of road traffic accidents and disasters
• Utilization of digital transformation (DX)
• Adaptation to and mitigation of climate change
• Enhancement of R&D capabilities

Environment (E)

• Decarbonization initiatives
• Contribution to building a sustainable society
• Promotion of deplasticization

Social (S)

• Promotion of diversity and inclusion
• Human resource development and expansion of educational opportunities

Governance (G)

• Enhancement of governance

Materiality KPIs and Action Plans

Materiality	Action plan	Target (for FYE March 2030)
Sales expansion of products contributing to sustainability	Promote development of products contributing to sustainability and expand sales channels and opportunities	Consolidated net sales ratio of 70% or more
Promotion of diversity and inclusion	Promote diversity among core personnel	Diversity among core personnel beyond new male graduates (mid-career hires, females, non-Japanese, etc.) 30% or more
Support for employee work-life balance	Provide childcare and nursing care support systems Practice health management	Become certified as a White 500 company with excellent health management
Enhancement of organizational sustainability	Implement succession planning for each management level	100% succession readiness rate for executive positions
Enhancement of decarbonization initiatives	Reduce CO2 emissions	Reduce by 46% (compared to FY 2013)
Expansion of 3R system deployment	Reduce single-use plastic in product packaging	Reduce by 25% (compared to FY 2021)