CSR Policy
- Basic Policy (Established in May 2014)
- Priority Theme and Ideal Status in 2020 (Established in May 2014)
- Extracting priority issues required for the sustainability of TOYO TIRE (2017)
- Promotion System (2018-)
- Opportunities for Engagement with Stakeholders
Basic Policy (Established in May 2014)
Toyo Tire seeks to remain a company admired by individuals and society, each member keenly aware of their “Connection” with society.
The core values of CSR: “Responsibility”, “Trust”, and “Integrity”.
Responsibility: Responsibility of having a greater impact as the company becomes global.
Trust: Being a steward of our environment and society as we execute our business.
Integrity: Integrity in our business operation as the basis of our CSR.
Priority Theme and Ideal Status in 2020 (Established in May 2014)
| Priority Theme | Ideal Status in 2020 |
|---|---|
| 1.Product and Service Reliability and Innovation | Providing eco-friendly products and services founded on high quality and safety |
| 2.Contribution to the Global Environment | Promoting environmental management on a Group-wide basis |
| 3.Respect for Human Rights and Diversity | Diverse employees actively working in an environment with a global sense of human rights |
| 4.Collaboration with Business Partners | Entire supply chain engaging in CSR activities |
| 5.Harmony with Local Communities | Contributing to local community development while responding to stakeholders’ voices |
| 6.Creation of Safe and Healthy Workplaces | With priority given to safety, promoting the creation of workplaces that ensure well-being and security |
| 7.Reinforcement of Corporate Governance and Compliance | Engaging in business activities with integrity while constantly improving management transparency |
Identification Process of Priority Themes (2013-2014)
We have identified, from a wide range of CSR issues, those that need to be addressed as a high priority, based on the materiality of each issue to the Group and its stakeholders. In May 2014 we consolidated those issues into seven priority themes.
We defined our “Ideal Status in 2020” to visualize where we want to be as a company in each area.
Identification Process of Priority Themes
Interviews with external experts (April 2014)
Ms. Mariko Kawaguchi, Chief Researcher, Daiwa Institute of Research Ltd.
I believe that the challenges that the tire and rubber industries face are conserving resources (natural rubber sourcing), changing cars (commercialization of electric vehicles), and issues with human rights (child labor in rubber plantations). Especially with natural rubber which is the primary raw material, we are concerned about child and forced labor as well as destruction of ecosystem through development of rubber plantations. I believe that we must address these issues relating to environment, sourcing, and human rights from the standpoint of business sustainability. It is important for you as the company to show your stakeholders how you plan to identify and address these issues. I hope that Toyo Tire Group will be able to show us your plans as much as possible even if they are still work-in-progress.
Mr. Toshihiko Goto, Chief Executive Officer, Sustainability Forum Japan
In recent years, the way companies disclose information has been changing drastically. More emphasis is now being placed on long-term, non-financial, and diversity issues including protection of human rights and prevention of unethical business practices. It is important to define the company policy on issues that must be addressed over the long term. Examples include reducing CO2 emissions, diversifying the board of directors, and advancement of women in the workplace. In terms of risks associated with supply chain, I believe it is better to talk in good faith with the stakeholders, including local non-government organizations (NGO), to prevent potential issues. I would like Toyo Tire Group to consider the long-term limits of the environment, resources, and the society when deciding what actions the company should take.
Extracting priority issues required for the sustainability of TOYO TIRE (2017)
- Setting and achievement of Toyo Tire’s SDGs that contribute to UNSDGs*
- Responding to climate change, which is a new business risk and opportunity
- Responding to human rights and anti-corruption, which is a new business risk and opportunity
- Responding to the responsibility for sustainable procurement
- *Adopted at the UN Summit in September 2015. They are the universal common goals that aim to achieve by 2030 and for “leave no one behind.”
Extracting process for priority issues (2017)
We had examined the issues that should be addressed with priority in order to achieve sustainability into the future. This is in response to the accelerating changes of business environment and the emerging social issues after having specified the 7 priority themes and “Ideal Status in 2020”. When we did, we had taken into consideration the results of evaluations conducted by independent rating organizations and opinions from stakeholders.
As a result of the examination, four themes were extracted as priority issues that should be addressed by the Group (stated above).
Promotion System (2018-)
As company-wide discussion was necessary to address the four priority issues (above), from 2018, we established a working group (WG for promoting sustainability) for each of these priority issues.
The WG has been approved by the Executive Committee (Chairman: President), to which the Board of Directors has delegated authority over business operations, as a forum in which to discuss the issues to be addressed with priority. The WG brings together the responsible parties in related business organizations and discusses the action plan such as the direction of each theme, the objectives, and targets. The action plan discussed in the WG is deliberated on and approved by the Executive Committee, and the plan is spread throughout the entire Group and all organizations.
The Executive Committee manages the progress of activities undertaken by each WG. And they evaluate and improve the effectiveness of the management methods for each theme using the results of performance ratings by an independent organization, the opinions of stakeholders obtained from the Grievance Mechanism, and industry trends.
- * As of April 2020
- ** Persons in charge of affiliated companies also participate in all WGs.
- *** The SDGs WG has members who are closely related to each goal as members.
Activities of Sustainability Promotion WG (2019)
| WG | Purposes | Achievement (FY 2019) |
|---|---|---|
| SDGs WG | Setting and achievement of Toyo Tire’s SDGs |
|
| Environment WG | Responding to climate change |
|
| Human Rights & Labor WG | Responding to human rights and anti-corruption |
|
| Supply Chain WG | Responding to the responsibility for sustainable procurement |
|
Opportunities for Engagement with Stakeholders
TOYO TIRE identifies stakeholders who have a major direct or indirect impact at each stage of the value chain. We consider the impact on the evaluation and decision-making of all stakeholders and examine the priority issues.
The significance of the Group in society is that we not only solve the issues requested by our stakeholders, but we also create surprise and new discoveries for society and contribute to enriching society. Through our opportunities for engagement with stakeholders, we strive to be accountable by communicating information accurately and clearly.
And we also check if we are providing business partners and customers with not only products and services, but also the excitement that exceeds their expectations through our various work.
For detailed the information of a dialogue with our stakeholders, please see the following website;
| Stakeholder | Website |
|---|---|
| Employees | Priority Theme 3: Respect for Human Rights and Diversity |
| Business Partners | Priority Theme 4: Collaboration with Business Partners |
| Local Communities | Priority Theme 5: Harmony with Local Communities |
| Shareholders and Investors | Priority Theme 7: Reinforcement of Corporate Governance and Compliance |
Stakeholders Engagement
List of stakeholder groups
| Value Chain | Affected Stakeholders | |
|---|---|---|
| Directly | Indirectly | |
| Raw materials /Purchasing | Business Partners (Suppliers*) | Shareholders & Investors, Creditors, Local Communities, NGOs, Government, Business Organizations**, global environment |
| R & D | Employees, Co-researchers & Joint developers, Business Partners (Car Manufacturers) | |
| Manufacturing | Employees | |
| Logistics | Employees, Business Partners (Logistics) | |
| Sale | Employees, Business Partners (Car Manufacturers, Dealers) | |
| Use /Waste recycling | Customers | |
- * Main supply chain elements: natural rubber farmers and wholesalers, synthetic rubber manufacturers, petrochemical product producers
- ** TOYO TIRE or one of our group companies belongs to the following trade associations;
- Keidanren Japan Business Federation
- Japan Automobile Tyre Manufacturers Association (JATMA)
- The Japan Rubber Manufacturers Association (JRMA)
- U.S. Tire Manufacturers Association (USTMA)
- The Tire Industry Association (TIA) *US
- The European Tyre and Rim Technical Organisation (ETRTO)
- The Malaysian Automotive Tyre Manufacturers Industry Group (FMM MATMIG)
- Thai Automobile Tyre Manufacturers Association (TATMA) *As an Extraordinary Corporate Member.
- China Rubber Industry Association (CRIA)
- The International Rubber Study Group (IRSG)
- World Business Council for Sustainable Development (WBCSD)
- The Global Platform for Sustainable Natural Rubber (GPSNR)
- Japan Philanthropic Association *As Supporting member
- Global Compact Network Japan (GCNJ)
External initiatives
We subscribe or endorse to the following initiatives;
- World Business Council for Sustainable Development (WBCSD) and Tire Industry Project (TIP)
- International Rubber Study Group (IRSG)
- Global Platform for Sustainable Natural Rubber (GPSNR)
- United Nation Global Compact (UNGC)
Third-Party Opinion on the TOYO TIRE "CSR Report 2020"
Since the establishment of its Basic Policy and seven Priority Themes in 2014, the Toyo Tire Group has stepped up its CSR activities, continuously disclosing relevant data with a sincere eye towards transparency. It merits mentioning that the company has reaffirmed its intention to advance this approach over the long term by striving to achieve its seven Priority Theme-derived “TOYO TIRE’s SDGs” by 2030. It is also reassuring to know that careful preparations are underway to develop relevant policies and to collect a broader scope of data for analysis. These policies include those on the priority issues of “climate change,” “human rights, labor, and anti-corruption,” and “responsibility for sustainable procurement,” which were identified in FY2017.
Going forward, it is expected that the Group will specify the roles of these priority issues in realizing its seven Priority Themes within the context of the TOYO TIRE’s SDGs, as well as systematically showcase a comprehensive picture of concrete initiatives and targets that each department will employ, including Priority Theme 1 of “Product and Service Reliability and Innovation.” Some initiatives mentioned in this report that are being planned for 2020 to address these priority issues need to be promoted systematically over the mid and long term, together with business partners and other stakeholders. Doing so will also satisfy the demand for disclosure of ESG information by investors, and thus should be pursued without fail. Specifically, these initiatives include the consideration of appropriate responses to the Task Force on Climate-related Financial Disclosures (TCFD), the examination of risks associated with human rights, and the promotion of sustainable supply chain management.
In 2020 the Group will draw up a new medium-term business plan to take effect from 2021. Within this plan, I believe that some of the initiatives covered in TOYO TIRE’s SDGs, such as a reduction in risks and expansion of opportunities, will be given a strategic position of support and close engagement. I also expect that the Toyo Tire Group will, while formulating an action plan for the TOYO TIRE’s SDGs, redefine how the pursuit of the Priority Themes can create value and begin to develop an original story of value creation that goes beyond this new medium-term business plan heading towards 2030.
Mr. Hiro Motoki
President, E-Square Inc.
Comment by Corporate Officer in Charge of CSR
First of all, we would like to express our appreciation to Mr. Motoki for his valuable opinions and advice regarding our CSR Report 2020. In accordance with the new growth strategy announced last year, TOYO TIRE will drive its efforts to achieve sustainability as part of its push to reinforce its business foundations that are designed to realize individual strategies. In so doing, we have been made keenly aware that, if we are to realize sustainability, we must achieve the right balance between the creation of financial values and sustainability, involve all parties concerned in our endeavors, and give due consideration to diversity.
This year, in order to prevent further spread of COVID-19, we decided to close all of our business locations except manufacturing and logistics sites, while ensuring business continuity by allowing our employees to work from home, thus assuring the safety of our employees and other stakeholders. We were suddenly forced to confront head-on all sort of issues amid the pandemic, including negotiating with business partners from around the world who are in different situations and operating environments, caring for employees, developing and training new recruits and young employees remotely, implementing work style reform, and promoting diversity in humanpower. We had to determine what we could do to stay in business in light of the sustainability pertaining to these issues during this state of crisis. We will make the most of this valuable experience to further enhance our flexibility so that we can achieve sustainability in any operating environment.
As we work to achieve TOYO TIRE’s SDGs in the course of our business, we will deliver unique values (differentiated presence) to society at large. As Mr. Motoki mentioned in his comments, going forward, we intend to offer an original story of value creation that looks beyond the new medium-term business plan and is aligned with our growth strategy.
Takehiko Sasamori
Director Corporate Officer & Vice President of Corporate Headquarters, Toyo Tire Corporation
Action for Sustainability
- Message from the President
- CSR Policy
- Value Chain and SDGs
- Priority Theme 1: Product and Service Reliability and Innovation
- Priority Theme 2: Contribution to the Global Environment
- Priority Theme 3: Respect for Human Rights and Diversity
- Priority Theme 4: Collaboration with Business Partners
- Priority Theme 5: Harmony with Local Communities
- Priority Theme 6: Creating Safe and Healthy Workplaces
- Priority Theme 7: Reinforcement of Corporate Governance and Compliance
- Site Report
- Report Downloads
- Editorial Policy
- GRI Content Index
- ESG Data/Survey Index
- Communication on Progress（COP）
- External Recognition
