Materiality

Identification of material (essential) issues

In November 2021, we defined important social issues as material issues in accordance with the “Management Philosophy,” “Fundamental Policies,” and “Medium- and Long-Term Basic Policy” of the Toho Titanium Group and international guidelines, such as GRI and SASB.

[Materiality map (example)]

We put together and summarized the “Degree of importance for stakeholders” and “Degree of importance for our corporate group” shown in the figure, and defined them as material issues of our corporate group.

Four material issues

Through the identification process, we defined the following four material issues we must address.
While considering the changes in the business environment, opinions of stakeholders, etc., we review them every year, and revise them appropriately.

	Materiality	Activities, goals, and KPIs
E	Contribution to the conservation of the global environment	Realization of a decarbonized society To reduce CO₂ emissions by 40% from FY 2018 by 2030, and achieve carbon neutrality by 2050.
		Development of products with focus on the environment and safety Development of new materials, technology improvement, creation of multiple products based on the development of new applications with focus on the environment and safety.
		Sustainable utilization of resources To reduce the final disposal volume of waste by 50% from FY 2020 by 2040, and recycle waste in the entire supply chain.
S	Contribution to society	Respect for human rights in the supply chain Respect for human rights of all people involved in the supply chain (White Logistics, etc.). To have all employees attend the lecture on human rights.
	Contribution to society	Coexistence with local communities Contribution to society and support for revitalization in each region (contribution to local soccer teams, support for regional orchestras, etc.).
	Realization of >an attractive workplace	Improvement of occupational safety and health at workplace To eliminate serious industrial accidents and to realize an environment allowing for work in good health. Rate of accident per 1,000 employees in one year with absence of 4 days or longer: 0.7 or less; 1 case of accident/year or less.
		Diversity and inclusion Realization of a workplace with focus on diversity and inclusion. To keep the ratio of employees with disabilities 2.3% or higher or increase it, and increase the ratio of female employees to be hired to 20% or higher.
		Development of a comfortable working environment Realization of a workplace environment allowing for energetic work. Ratio of employees who have taken annual paid leave: 85%; Ratio of employees who have resumed work after childcare leave: 100%; Retention rate of employees fresh out of college 3 years after recruitment: 70% or higher.
		Development of human resources To lay the foundations and diffuse education for encouraging the self-growth of all employees. To provide effective lectures based on a HR development plan.
G	Fortification of the management base	Strengthening corporate governance Steady enforcement of the corporate governance code.
		Thoroughgoing compliance To fully comply with laws and regulations.
		Promotion of risk management To build and appropriately operate an all-company risk management system.