The TOPPAN Group's Sustainability InitiativesInitiatives and Accomplishments Related to Materiality
Initiatives Focused on Business Materiality
We formulated and announced “TOPPAN Business Action for SDGs” in 2020 to further accelerate initiatives focused on the Business Materiality themes. By backcasting from our vision for society in 2030, we have identified nine areas of focus where we can leverage our distinctive strengths and our unique technologies and expertise.
In 2021, we set targets for fiscal 2025 and fiscal 2030 in each of the nine areas of focus to clarify goal setting focused on the SDGs.
TOPPAN Business Action for SDGs: Nine areas of focus
Overview of TOPPAN Business Action for SDGs
Environment: sustainable global environment
Recognizing environmental problems including climate change and marine plastic pollution, the TOPPAN Group engages in development and provision of products and services by leveraging its expertise in environmentally conscious manufacturing and experience in marketing promotions and in collaborative projects with large numbers of partners. These efforts, along with new business creation, are designed to lead to resource circulation and greenhouse gas emission reductions in support of a sustainable global environment so that we can continue leading lives that are just as fulfilling in 2030 and beyond.
Communities: creation of safe, secure, enriched communities
Many social challenges will impact communities in the future, including those arising from security needs as a result of digitalization as well as population decline and increasing urbanization in Japan. With advanced digital and security technology as well as advances in VR and other media development, we offer safe and convenient services optimized for local regions to support the creation of safe, secure, and enriched communities.
People: empowerment and fulfillment of body and mind
People are facing many issues today, including rising medical costs in developed countries with falling birth rates and aging societies, food shortages due to the growing world population, and challenges in educational environments due to ongoing social change. The TOPPAN Group is leveraging its strengths in development and manufacturing, including for healthcare-related services, functional packaging, and educational content, to provide services and products that support mental and physical fulfillment and systems for companies and other organizations to support the well-being of their people. These efforts contribute to empowering and fulfilling people in body and mind.
Risks and Opportunities in Material Issue Selection
In the material issue selection process, we consider both risks and opportunities before selecting material issues and promoting activities to address each issue.
| Risk | Opportunity | Material Issue |
|---|---|---|
| Increased expenses due to resource depletion and waste regulations | Increased market competitiveness by development of recycling-oriented businesses | Creating a circular economy |
| Increased energy costs due to stricter environmental regulations | Increased market competitiveness by addressing GHG emission reductions | Decarbonizing |
| Products that are insufficiently environmentally friendly are removed from the market due to factors such as lack of customer demand | Increased market competitiveness by providing materials that comply with environmental laws and regulations | Expanding eco-friendly products and solutions |
| Sense of crisis over information leakage and growing social demand for data reliability | Increased market competitiveness of advanced security technologies for internet services | Creating a safe society in which we can be ourselves |
| Growing regional differences in administrative services due to the aging society and depopulation | Growing need for sustainable urban development and easily accessible administrative services | Contributing to enhanced quality of life for communities |
| Loss of culture and cultural heritage including human lives, society and local communities due to regional conflicts and climate change | Increased understanding and interest in the history and traditions of our own country and other countries in the world | Showcasing and preserving culture |
| Food crisis caused by increased world population and increased waste due to food loss | Growing demand for food products with long shelf lives | Reducing food loss to help eliminate hunger |
| Depletion of human capital due to loss of educational opportunities | Growing need for educational environments that are easily accessible to everyone | Creating obstacle-free educational environments |
| Increased medical expenses due to aging society and widening medical care gap | Growing demand to alleviate a shortage of doctors and reform their workstyle | Contributing to health through innovative healthcare services |
Business Materiality: Targets and Results(Activities and targets set out in TOPPAN Business Action for SDGs)
Items in red are those where indicators have been changed or target values revised.
*Target figures marked with an asterisk are cumulative figures over the years leading up to the target year. (Other targets are for single fiscal years.)
Click to enlarge
TOPIC
Decarbonizing
Example Related to “Number of Services Contributing to Greenhouse Gas Reduction”
SmartLCA-CO2™—Reducing the Workload for CO2 Emission Volume Calculation with a Cloud-based Service Specifically for Packaging
To address the issue of climate change, more than 120 countries and regions have committed to the goal of carbon neutrality by 2050. To achieve this, it is becoming more important to monitor CO2 emission volume by company and by product. A particularly pressing issue is ascertaining the Carbon Footprint of Products* (CFP) during product development and consistently driving efforts for decarbonization. The need for specialist knowledge for the calculation of carbon footprint, however, is presenting an obstacle to its implementation.
TOPPAN has harnessed experience in calculating the carbon footprint of its own packaging products over the years to develop SmartLCA-CO2™, a cloud-based service for calculating CO2 emissions associated with packaging products. The system allows CO2 emission volume to be calculated simply by inputting information on the specifications of the packaging. It features robust computational logic underpinned by an extensive track record in performing calculations and is equipped with all the information required. To make the system easy for anyone to use, we have also minimized the number of items that need to be input, included information on emission intensity and other base units as standard, and added functions for coordinating with manufacturing subcontractors and suppliers. Calculated values can be used as indicators of the eco-friendliness of products, and the service envisages use as Scope 3 emission data or a component of CFP labelling. SmartLCA-CO2 is currently used by multiple customers, mainly in the distribution, retail, and food sectors. We hope to contribute to driving sustainability activities at customers by extending it throughout the packaging market, including industries such as the FMCG and pharmaceutical sectors.
- *
- Carbon Footprint of Products is a scheme for quantifying CO2-equivalent greenhouse gas emissions over the entire life cycle of products and services, from raw material procurement to disposal or recycling, and displaying the information clearly on the relevant products and services.
TOPIC
Contributing to Enhanced Quality of Life for Communities
Example Related to “Number of Local Authorities Providing Residents Services Optimized for the Community”
Chiiki Pay™ Digital Regional Money Platform
TOPPAN supports the digital transformation of local authorities with Chiiki Pay™. The “Vision for a Digital Garden City Nation” approved by the Japanese Cabinet in 2023 targets the use of digital technologies to resolve social issues faced by local authorities and revitalize regional economies and societies. TOPPAN is also driving further implementation of digital solutions.
Chiiki Pay is a platform that enables local authorities and other organizations to operate their own payment services*1. It goes beyond simple region-specific currencies*2 to facilitate the digitalization of various projects to stimulate local economies, such as the provision of premium vouchers and digital benefit payments. Using Chiiki Pay to issue benefits or subsidies can also enhance convenience for users by expediting payment. A cumulative total of 45 local authorities have introduced the service as of fiscal 2023, and we have received very positive feedback from them regarding the system’s stability and reliability. We aim to have the system adopted by a cumulative total of 85 local authorities across Japan in fiscal 2025.
- *1
- An electronic payment service that enables cashless payment.
- *2
- A currency for use within a specific region. Limiting the area in which the currency can be used is expected to revitalize economies and communities within the region.
Stimulating Regional Consumption by Charging with Spare Change at Home
Kami, a city in Japan’s Kochi Prefecture, introduced Chiiki Pay in 2021 in response to falling consumption due to a declining and ageing population. When trying to encourage purchasing and consumption within the city using a regional currency called “kamica,” the city government experienced challenges in getting the currency firmly entrenched among members of the community. TOPPAN therefore proposed pilot testing a scheme that enabled people to charge their kamica balances with coins. Originally it was only possible to top up balances with paper currency, but the aim was to get money moving within the region and consequently stimulate the economy by making it possible for people to charge cards or apps with spare change in piggy banks and at home.
After a two-day trial in collaboration with the city government and commercial association, more than 800,000 coins had been used to charge kamica balances for a total of 7.86 million yen. As a result, TOPPAN is preparing to add charging with coins as a standard optional service from fiscal 2025.
Promotional content: "Exclusive electronic money for Kami, Kochi Prefecture.
Two-days only! Charge with coins! "
TOPIC
Creating Obstacle-free Educational Environments
Example Related to “Number of People Whose Learning We Contribute To (cumulative)”
Providing Every Child with Effective Learning through the Digital Textbook Business
The GIGA School Project*1 promoted by Japan's Ministry of Education, Culture, Sports, Science and Technology is close to achieving its goal of establishing networks and providing electronic devices to every student at elementary and junior high schools throughout Japan. Digital English textbooks are being used extensively from fiscal 2024.
In addition to optimal selection of materials and instruction matched to each individual, digital textbooks are expected to reduce the workload for teachers. Functions such as zooming in and screen reading can also be useful for people who have previously had difficulty using printed textbooks. Survey results have confirmed that digital textbooks can help address various issues and positively impact academic performance.
The TOPPAN Group has been in the textbook business for more than 100 years. With a leading share of the Japanese market and links to schools and educational boards, we are developing products matched to social trends and educational needs. One example is EduHub*2, a textbook portal integrating platforms operated by various publishers.
The scope of educational DX and the number of subjects covered are expected to expand. The TOPPAN Group will harness its strengths to increase services and address social issues.
- *1
- GIGA School Project: A project proposed by Japan's Ministry of Education, Culture, Sports, Science and Technology in 2019. It aims to provide a digital device to every school student in Japan and ensure high-speed, high-capacity communication networks.
- *2
- EduHub aims to facilitate educational DX by integrating various services into a single portal using digital textbooks to expand the possibilities of learning.
TOPIC
Contributing to Health through Innovative Healthcare Services
Example Related to “Number of Services that Contribute to Health”
Contributing to Sustainable Healthcare by Supporting Changing Work Styles for Doctors with DICTOR™
Doctors’ work styles have been changing in Japan in recent years as part of an effort to create a sustainable healthcare system that ensures the quality and safety of medical care. To shorten working hours, some tasks are being shifted to or shared with other healthcare professionals. One of these tasks is obtaining informed consent from patients. Explanatory videos have been introduced to enhance the efficiency of the process, but it is difficult to handle on a case-by-case basis for individual healthcare professionals or patients and the videos are expensive to produce.
TOPPAN and Hokkaido University Hospital have therefore collaborated to develop DICTOR, a service that supports informed consent. The DICTOR™ service has been made available to medical institutions throughout Japan since July 2024. Healthcare professionals register their voice and face in advance and then input the explanation in text form. A video with a digital clone of the healthcare professional is then generated. Development of the service leveraged TOPPAN’s expertise in avatar generation technology*, customer management, system construction, and secure management of databases for IDs and other data. We were able to confirm positive impacts at multiple medical facilities, indicating the service is potentially useful for facilitating task shifting and sharing. For example, when the videos generated were shown to patients before a face-to-face explanation, the time required for the face-to-face explanation was shorter than it had been before DICTOR was introduced and the level of understanding was greater.
- *
- MetaClone™ Avatar: A service for the automated generation of photorealistic 3D avatars in a short time from a picture of someone’s face. Combining AI and 3D reconstruction technology makes it possible to provide avatars matched to a range of uses.
DICTOR™ user interface for doctors
Companywide Materiality: Targets and Results
Environmentally Friendly & Sustainable Production
We engage in efforts throughout the value chain including the supply chain, based on the TOPPAN Group Environmental Vision 2050, which defines long-term efforts for global environmental issues aiming to realize a sustainable society, and on the TOPPAN Group Medium-and-Long-Term Environmental Targets for Fiscal 2030.
Contributing to Decarbonization
We contribute to decarbonization primarily through rationalization of energy use and energy management, along with proactively using and promoting the widespread use of renewable energy, aiming to achieve net zero greenhouse gas (GHG) emissions for Scope 1 & 2 and Scope 3 emissions by fiscal 2050.
| Metrics | Fiscal 2022 Results | Fiscal 2023 Results | Fiscal 2030 Targets |
|---|---|---|---|
| Scope1+Scope 1 and 2 GHG emission reduction (compared to the fiscal 2017 level) |
Reduced by 28.2% (Renewable energy ratio of 1.2%) |
Reduced by 32.7% (Renewable energy ratio of 2.5%) |
Reduce by 54.6% (Renewable energy ratio of 25%) |
| Scope 3 GHG emission reduction (compared to the fiscal 2017 level) |
Reduced by 13.3% | Reduced by 17.3% | Reduce by 54.6% |
Preserving Biodiversity
For the sustainable use of natural resources, we are working towards the targets of reducing threats to biodiversity and protecting 30% of the world’s land and waters, aiming for co-existence with nature that both conserves the rich natural environment and enables social and economic activity.
| Metrics | Fiscal 2022 Results | Fiscal 2023 Results | Fiscal 2030 Targets |
|---|---|---|---|
| Confirmation of legality of procurement of raw materials of paper | 100%*1 | 100%*1 |
100% in fiscal 2025 |
| Percentage of site area conserved as regions in which humans coexist with nature*2 | 4% | 4% | 10% |
- *1
- TOPPAN Inc.
- *2
- Based on the site area of TOPPAN Inc. and subsidiaries with manufacturing facilities
Contributing to Resource Circulation
We position the formation of a circular economy as a critical challenge for management and aim for zero waste emissions by fiscal 2050 through reducing waste generated in business activities and reusing and recycling the waste that is generated.
| Metrics | Fiscal 2022 Results | Fiscal 2023 Results | Fiscal 2030 Targets |
|---|---|---|---|
| Final landfill waste disposal (compared to the fiscal 2017 level) |
Reduced by 15.6% | Reduced by 43.4% | Reduce by 60% |
| Waste plastic material recycling rate (compared to the fiscal 2017 level) |
Decreased by 7%pt. | Decreased by 6%pt. | Increase by 9%pt. |
Optimal Water Use
Safe water is a necessary resource in production activities and biodiversity conservation, and the TOPPAN Group engages in water conservation activities and wastewater pollution prevention activities at operational sites in areas experiencing high water stress to contribute to improved water quality by realizing optimal water use and preventing water pollution.
| Metrics | Fiscal 2022 Results | Fiscal 2023 Results | Fiscal 2030 Targets |
|---|---|---|---|
| Number of sites with high water risk (seven sites)*1 at which water withdrawal reduction targets are achieved | - | 0% (0 sites)*2 | 50% or more (4 sites) |
| Cases of action taken by authorities due to exceeding regulatory threshold values | - | 0 | 0 |
- *1
- Sites with water stress in excess of 40%
- *2
- Risk assessment method currently under review
TOPIC
Contributing to Decarbonization
Example Related to “Scope 1 and 2 GHG Emission Reduction”
Harnessing an Internal Carbon Pricing System to Drive Investment in Decarbonization
The TOPPAN Group is addressing climate change and other global environmental issues by advancing activities based on the net zero targets for Scope 1, 2, and 3 GHG emissions in the TOPPAN Group Environmental Vision 2050.
To further accelerate activities, we introduced an internal carbon pricing system*1 (ICP) in fiscal 2023. Towards the achievement of the Environmental Vision, the Group is focusing efforts on reduction activities centered on energy-saving measures and the procurement of low-carbon and renewable energy*2. As we do this, we believe that we will be able to more appropriately implement priority investments in measures that are highly effective in reducing CO2 by using ICP in decision-making on low-carbon investment and countermeasures from a long-term perspective.
In fiscal 2023, we installed solar power generation equipment at the Nagoya Plant of TOPPAN Inc. and the Mikkabi Plant of Toppan Packaging Products Co., Ltd. Both were put into operation in February, and we expect to be able to reduce CO2 emissions by using the energy generated within the plants.
- *1
- Internal carbon pricing: A mechanism by which businesses set and use carbon pricing internally to drive low-carbon investment and related measures. Companies quantify climate change risk by assigning a cost to each ton of CO2 emissions based on their own criteria. Using internal carbon pricing as a benchmark for investment decisions makes it possible to accelerate investment in low-carbon equipment and energy saving to contribute to a decarbonized society.
- *2
- Transition Plan for Carbon Neutrality by 2050
Overview of Solar Power Generation Equipment
| Site | Scale/Area | Projected Annual CO2 Emission Reduction |
|---|---|---|
| Mikkabi Plant, Toppan Packaging Products Co., Ltd. (Hamamatsu, Shizuoka Prefecture) | 985 m2 | -103 t-CO2e |
| Nagoya Plant, Chubu Division, TOPPAN Inc. (Nagoya, Aichi Prefecture) | 430 m2 | -42 t-CO2e |
Nagoya Plant
Mikkabi Plant
TOPIC
Preserving Biodiversity
Example Related to “Percentage of Site Area Conserved as Regions in which Humans Coexist with Nature”
Contributing to Achievement of the 30by30 Targets through Nationally Certified Sustainably Managed Natural Site
Efforts focused on the 30by30 target*1 are essential for achieving a nature-positive society that stems loss of biodiversity and enables its recovery. In Japan, the formulation of OECMs*2 is being advanced, and in October 2023 the Ministry of the Environment recognized the TOPPAN Group’s first Nationally Certified Sustainably Managed Natural Site. Areas in which efforts to preserve biodiversity are undertaken by the private sector are certified by the Japanese government and registered as OECMs on a global database. The TOPPAN Group has obtained certification for a green space including a biotope within the grounds of the TOPPAN Technical Research Institute (Sugito, Saitama Prefecture, Japan).
The biotope aims to be a waterside environment in which the Aquatica lateralis firefly (designated as a near threatened species by Saitama Prefecture*3) can naturally thrive, and we are conducting activities to nurture and preserve near threatened species on the Ministry of the Environment’s Red List as well as rare local plant species brought from the waters of the Edo River. The space was certified in recognition of maintenance and conservation of grass environments inhabited by rare species.
With one of our of Medium-and-Long-Term Environmental Targets for Fiscal 2030 being to “contribute to the conservation of regions in which humans coexist with nature both inside and outside the Group, covering an area equivalent to 10% of the area of manufacturing sites*4,” the TOPPAN Group will continue to drive the preservation of native species and rare plant species at its operational sites and surrounding areas and work to conserve green spaces in which large numbers of living organisms can thrive.
- *1
- Target of protecting or conserving at least 30% of Japan’s land and sea areas as healthy ecosystems by 2030
- *2
- Acronym of Other Effective area-based Conservation Measures
- *3
- From Saitama Prefecture Red Data Book: Animals 2018 (fourth edition)
- *4
- Based on the site area of TOPPAN Inc. and subsidiaries with manufacturing facilities
View of the biotope from above
Byasa alcinous butterfly photographed in the green space
Employee Health & Job Satisfaction
Looking to business portfolio transformation as a priority measure for the medium to long term, we are focusing on driving the DX business, expanding the Living & Industry business overseas (SX business, global business development), and creating new businesses. Recognizing the recruitment and development of human assets to support this as a critical challenge for management, we are investing in human assets to contribute to medium- to long-term value creation for the Group and implementing a range of human resource measures.
Building a Human Asset Development Program
We are working on recruitment and development of human assets to support business portfolio transformation by implementing programs to develop diverse human assets and achieve intra-Group mobility of human assets. We are also implementing programs to develop management human assets who will lead us in the future.
| Metrics | Fiscal 2022 Results | Fiscal 2023 Results | Fiscal 2030 Targets |
|---|---|---|---|
| Number of employees (human assets) engaged in Erhoeht-X™ |
4,300 | 5,223 | 6,000 |
Promotion of Diversity & Inclusion
We place importance on diversity and inclusion that leverages our differences as drivers of change. We promote women’s advancement in the workplace and efforts for gender diversity and implement measures to support employees balancing work with childcare or nursing care.
Elimination of Gender Disparities
| Metrics | Fiscal 2022 Results | Fiscal 2023 Results | Fiscal 2025 Targets |
|---|---|---|---|
| Percentage of women in management* | 12.2% | 12.3% | 14.7% |
- *
- Entire TOPPAN Group, including overseas
| Metrics | Fiscal 2022 Results | Fiscal 2023 Results | Fiscal 2030 Targets | ||
|---|---|---|---|---|---|
| Ratio of male and female employees working as managers and supervisors*1 | Female 0.74 : Male 1.00 | Female 0.81 : Male 1.00 | Eliminating gender disparities | ||
| Percentage of eligible male employees taking childcare leave*2 | 72.9% | 88.6% | 80.0% | ||
| 10-year retention rate by gender*3 |
Female 0.87 : Male 1.00 |
Fiscal 2011 hires Female 0.75 : Male 1.00 |
Female 1.00 : Male 1.00 |
Fiscal 2012 hires Female 0.86 : Male 1.00 |
Eliminating gender disparities |
| Fiscal 2012 hires Female 0.86 : Male 1.00 |
Fiscal 2013 hires Female 0.95 : Male 1.00 |
||||
| Fiscal 2013 hires Female 0.95 : Male 1.00 |
Fiscal 2014 hires Female 1.24 : Male 1.00 |
||||
- *1
- At TOPPAN Inc., percentages of employees working as managers and supervisors, out of all current employees recruited as regular hires from 2005 to 2014 (as of March 31, 2024). Difference between proportions for female managers/supervisors and male managers/supervisors when value for male managers/supervisors is set as 1.00.
- *2
- At TOPPAN Inc., a percentage calculated by dividing the number of male employees who took childcare leave in fiscal 2023 by the total number of male employees with children born from April 2023 to March 2024. (The method for calculating this percentage is based on the applicable Japanese act requiring disclosure of the percentage.)
- *3
- At TOPPAN Inc., calculated the average 10-year retention rates by gender for regular hires from fiscal 2012 to fiscal 2014 (new graduates from technical colleges, universities, and graduate schools). Difference between rates for male and female employees when value for male employees is set as 1.00.
Support for Employees with Children
| Metrics | Fiscal 2022 Results | Fiscal 2023 Results | Fiscal 2030 Targets |
|---|---|---|---|
| Participation rate in Hagukumi Art Salon* | 15.2% | 13.6% | 45.0% |
| Attendance rate of managers in Hagukumi Seminar* | 75.8% | 75.1% | 100% |
| Participation rate in Hagukumi Circle* | 11.4% | 9.3% | 10.0% |
- *
- TOPPAN Inc. standalone
Employee Well-being
To ensure human assets with diverse capabilities and careers, we have introduced an original job-based personnel system and design new programs that harmonize gains in corporate value and employee motivation. We also implement measures to promote the health of employees and their families and programs to improve the physical and mental condition of each employee.
Employee Engagement
| Metrics | Fiscal 2022 Results | Fiscal 2023 Results | Fiscal 2025 Targets |
|---|---|---|---|
| Engagement score* (compared to fiscal 2021) |
0.8-point improvement | 0.3-point improvement | 5.0-point improvement |
| Health risk value* (compared to fiscal 2021) |
1.0-point improvement | 1.0-point improvement | 6.0-point improvement |
| Condition risk determination* (compared to fiscal 2021) |
1.5-point worsening | 2.2-point improvement | 4.0-point improvement |
- *
- Consolidated TOPPAN Group companies in Japan
Prevention of Serious Illness
| Metrics | Fiscal 2022 Results | Fiscal 2023 Results | Fiscal 2030 Targets | ||
|---|---|---|---|---|---|
| Employees | Risk of serious illness* | Obesity risk | 27.9 | 28.0% | 20.0% |
| High blood pressure risk | 10.8% | 10.8% | 8.0% | ||
| Diabetes risk | 10.9% | 10.3% | 8.0% | ||
| Lipid risk | 30.1% | 28.7% | 28.0% | ||
| Medical examinations* | Gynecological screening rate | 78.4% | 78.7% | 75.0% | |
| Families | Medical examinations* | Family health checkup rate | 84.3% | 83.5% | 95.0% |
- *
- TOPPAN Inc. standalone
TOPIC
Building a Human Asset Development Program
Example Related to “Number of Employees Engaged in Erhoeht-X™”
Developing DX Human Assets to Drive the Growth Business of Erhoeht-X™
To expand the Erhoeht-X™ business, the TOPPAN Group has set a target in its Medium Term Plan to develop 6,000 people as DX human assets by fiscal 2025. As part of those efforts, we are driving acquisition of Amazon Web Services (AWS) certification*. In fiscal 2023, we also held AWS certification training and exams as part of training for new recruits (of which 276 passed), pushing the number of qualified personnel within the Group to more than 2,000. We are putting in place environments that enable employees to acquire the necessary skills themselves by using methods such as online learning platforms and content that uses VR goggles to spark interest in DX, cultivate a desire to learn, and enhance job satisfaction.
- *
- A qualification that demonstrates that an individual possesses knowledge and skills related to AWS, a cloud service used globally.
An online seminar for employees aiming to acquire AWS certification
Training in a metaverse space for new recruits