Among our ESG initiatives, we have identified the following material issues corresponding to SDGs.
How the Shindengen Group Identifies SDG-Related Material Issues
There are 169 SDG targets. The Shindengen Group’s approach to material issues involves prioritizing key items by the degree of impact they will have on stakeholders and the degree of importance to the Group. After regularly holding dialogues with outside experts, the CSR committee identifies the material issues and the Board of Directors approves them.
Step 1 Narrow down to the targets that are relevant to Shindengen’s businesses
We pored over the 169 SDG targets, narrowing down the list to 83 items that are relevant to our businesses.
Step 2 Assess the importance of the targets
With reference to ISO 26000, the United Nations Global Compact Principles, SASB, OECD Guidelines, and customer demands, we assessed the importance of the items narrowed down in step one from the perspective of the Shindengen’s Medium Term Business Plan, philosophy system, and CSR report. In addition, we analyzed the impact of each item on stakeholders and their importance to the Shindengen Group to put together the matrix chart to the right.
Step 3 Select key matters
After conducting the assessment outlined in step 2, we selected 14 items for the focus area outlined in blue in the upper right corner.
Step 4 Narrowing down key items
Regarding the 14 items selected in step 3, through dialogues with outside experts, we focused on items that greatly contribute to the environment and society as well as items for which the impact on the environment and society can be quantitatively measured. Then, we narrowed those items down to one SDG material issue that the Shindengen Group should prioritize. Regarding material issues, we regularly review and update them based on changes in the external environment and the status of SDG initiatives.
Step 5 Identifying material issues
The CSR Committee identified the following SDG material issue for the Shindengen Group, and the Board of Directors approved it.
Initiatives for SDG Target 7.3
Providing environmentally friendly products
In line with its corporate mission of “Maximizing energy conversion efficiency for the benefit of humanity and society.” the Shindengen Group provides environmentally friendly products through the Electronic Device Business, Car Electronics Business, and Energy Systems & Solutions Business.
Some individual Shindengen Group products are directly contributing to CO2 reduction by attaining ever higher efficiency and some are indirectly contributing through sales in the mobility market, which is shifting toward electric vehicles, and in the new energy market. The Group aims to ensure that almost all of its products directly or indirectly enhance fuel efficiency and energy conservation in society.
Going forward, we will continue to develop and supply products that provide value and that help solve social issues surrounding the global environment through the use of small, lightweight, and highly efficient technology.
*For details, please refer to section entitled, “Contributing to social themes by implementing the corporate mission (materiality).”
Case Study on Reducing CO2 Emissions through Sales of Environmentally Friendly Products
The table below shows the value provided by environmentally friendly products released by the Shindengen Group in fiscal 2019 in terms of reductions in energy and fuel consumption and the reduction in CO2 emissions.