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Concept of sustainability management

We are committed to providing excellence to improve the quality of living and to drive sustainability.

Today, the world faces myriad challenges ranging from environmental degradation through poverty and human rights, to energy and resource supply issues. The causes of these challenges are too complexly entwined to be solved by efforts of state governments, international organizations, or civic society acting alone. The expectation then in addressing these social issues is that business corporations, which have a variety of resources available on a global scale, will also contribute.

Based on the RICOH Way, the Ricoh Group pursues its mission—to develop and offer new value—in order to make active contributions to improve the quality of living and to drive sustainability. To achieve this goal, we work in cooperation with a variety of stakeholders in our efforts to support the Sustainable Development Goals (SDGs).

Materiality for the Ricoh Group

Global Goals for Sustainable Development (SDGs) adopted by the United Nations to be achieved by 2030.

Global Goals for Sustainable Development (SDGs) adopted by the United Nations to be achieved by 2030.

CSR framework

Our CSR measures are implemented mainly in the following three areas: “fundamental obligation to society” and “Commitment to and responsibility for social contribution and Resolution of social issues through business activities (Creating Shared Value: CSV)” By working more profoundly in these areas, we will pursue our goals of creating a sustainable society and improving our corporate value.

■ CSR framework

image:CSR framework

Our measures are taken in response to the expectations and requests of various types of stakeholders in a timely and precise manner. We adopt CSR frameworks stipulated by the international community in a proactive manner and properly disclose information through reports and websites.

International initiatives and commitments

Businesses are required to take on an increasingly greater breadth and depth of responsibilities to help build a sustainable society. Public expectations and demand for these initiatives from global corporations operating worldwide have been increasing more than ever before. To meet these social expectations accurately and promptly, the Ricoh Group actively introduces internationally established CSR frameworks.

In 2002, the Ricoh Group became one of the first Japanese companies to announce participation in the United Nations Global Compact (UNGC). We promptly endorsed this global platform out of recognition of its alignment with our long-standing practice of listening to our many stakeholders and incorporating their feedback into our business operations based on global perspectives. In 2004, we established the Ricoh Group CSR Charter, which reflects the UNGC’s 10 principles, as well as the Ricoh Group Code of Conduct.

In addition to the UNGC, there are many other CSR guidelines, including ISO 26000, the international standard for social responsibility, which was formulated in November 2010.
Operating in more than 200 countries and regions worldwide, the Ricoh Group is committed to fulfilling its social responsibilities and meeting and exceeding the expectations of an increasingly wider and more varied stakeholder base. To this end, we review the CSR activities of our own as well as of our partner companies and key members of our global value chain, against international CSR frameworks and make continuous improvements.
These CSR activities along with our performance and other related information are disclosed through our publications and website and other communication tools.

Major CSR Guidelines introduced or used for reference

  • Universal Declaration of Human Rights
  • The 10 principles of the United Nations Global Compact
  • Human rights guidelines based on the United NationsGuiding Principles on Business and Human Rights (the Ruggie Framework)
  • Children’s rights and business principles
  • ISO 26000 (social responsibility standard)
  • OECD Guidelines for Multinational Enterprises
  • ILO international labor standards
  • GRI Guidelines

Commitment to Society

April 2002 Becomes the second Japanese company to sign the UN Global Compact
June 2007 Signs Caring for Climate: the Business Leadership Platform of the UN Global Compact
May 2008 Signs the Japan Business Initiative for Biodiversity
December 2008 Signs the CEO Statement for the 60th Anniversary of the Universal Declaration of Human Rights by the UN
July 2009 Participates in the Japan Climate Leaders’ Partnership as a founding member
December 2010 Announces its support for the Cancun Communiqué on Climate Change
February 2011 Signs a statement of support for the Women’s Empowerment Principles by the UN Global Compact
November 2012 Participates in the Carbon Price initiative to counter climate change
September 2014 Announces its support for the World Bank Group’s Put a Price on Carbon Statement
September 2014 Announces its support for the Trillion Tonne Communiqué, a call to keep cumulative CO2 emissions below a trillion tonnes

The UN Global Compact (GC)

image:THE GLOBAL COMPACT

The UN Global Compact, launched in July 2000, proposes ten principles in the fields of human rights, labour, environment and anti-corruption. Ricoh joined the Compact in 2002, as one of the first Japanese companies to do so and has been serving as one of the directors on the Global Compact Japan Network since fiscal 2008.

The Ten Principles

  • [Human Rights]
  • Businesses should support and respect the protection of internationally proclaimed human rights; and
  • make sure that they are not complicit in human rights abuses.
  • [Labour]
  • Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining;
  • the elimination of all forms of forced and compulsory labour;
  • the effective abolition of child labour; and
  • the elimination of discrimination in respect of employment and occupation.
  • [Environment]
  • Businesses should support a precautionary approach to environmental challenges;
  • undertake initiatives to promote greater environmental responsibility; and
  • encourage the development and diffusion of environmentally friendly technologies.
  • [Anti-Corruption]
  • Businesses should work against corruption in all its forms, including extortion and bribery.

Stakeholder engagement

Stakeholder engagement is an essential part of CSR management. We listen carefully to our customers, suppliers and all other stakeholders, take their feedback seriously and incorporate their input into our internal reform efforts. We also collaborate with NPOs, NGOs and other social sector organizations in planning ways to solve social issues.

Engaging stakeholders

Value to customers Customers Increase customer value through products and services
Offer safe and reliable products and services
Business partners Build partnerships based on mutual trust and fair trade
Promote socially responsible activities across the value chain
Value to shareholders Shareholders and investors Increase corporate value by achieving sustained business growth
Provide timely and appropriate information disclosure and communication
Value to employees Employees Provide workplaces that motivate our diverse employees
Maintain a culture that fosters personal development and fair treatment
Value to society Society Contribute to solving social issues through social contribution and business activities
Respect the cultures and customs of the countries and regions in which we operate, and contribute to their development
Global environment Conduct business activities in an environmentally friendly manner and contribute to the reduction of environmental impact
Contribute to the maintenance and restoration of the Earth’s self-recovery capabilities

CSR global governance and monitoring across the Group

Our social responsibility efforts evolve in three stages: from assessing legal, regulatory and other external requirements; to mission- and responsibility-driven voluntary activities that proactively meet expectations from society; to the third stage, where we work to create shared value by solving social issues while concurrently accelerating our growth.
To govern and monitor Group-wide activity in each of the three stages, we deploy our CSR management cycle.
Under this system, the Head Office collects information and feedback from operating organizations on the ground to identify and provide necessary support. The Head Office and operating units also hold periodic opinion exchanges and discussion forums to improve the quality of their respective CSR activities.

image:CSR global governance and monitoring across the Group

Dialogue with Experts

For the Ricoh Group, providing stakeholders with information about the Group's CSR-related vision, targets and specific activities is essential to improve its corporate activities and increase its corporate value. In order to enhance the Ricoh Group Sustainability Report as one of the important tools to foster communication with stakeholders, we have been holding dialogue meetings with experts in the fields of CSR and integrated reporting. The results of these dialogue meetings, in which invited experts give their comments and advice and exchange opinions with Ricoh members, are reported to the management team and utilized for the improvement of the Group's management and communication activities.

Outline of the Sustainability Report dialogue meeting with experts

Date March 4, 2016
Place Head office of Ricoh Company, Ltd.
Invited
participants

Mr. Eiichiro Adachi, Director, The Japan Research Institute, Ltd.

Mr. Tsukasa Kanai, Chief Sustainability Officer, Corporate Planning Department,
Sumitomo Mitsui Trust Bank

Ms. Mariko Mishiro, Founder of RIDEAL

Participants from Ricoh* :

Akira Oyama (Corporate Senior Vice Presidents, General Manager, Corporate Coordination Division)

Shigeo Kato (Executive Officer, General Manager, Sustainability Management Division)

Yutaka Kaneko (General Manager, Corporate Communication Center, Corporate Coordination Division)

Masahisa Honda (General Manager of Investor Relations, Corporate Communication Center, Corporate Coordination Division)

Koji Miyoshi (General Manager, Social Environment Department, Sustainability Management Division)

* The organizations and job titles are as of the date of the meeting.

image:The dialogue meeting

The dialogue meeting was the fourth held following the first meeting organized in the fiscal year ended March 31, 2013—the year in which we published Ricoh Group Sustainability Report 2012 by integrating the following three reports: Annual Report, Sustainability Report (Corporate Social Responsibility) and Sustainability Report (Environment). In this third dialogue, we listened to the opinions of the invited participants mainly regarding the points that we had focused on in creating Ricoh Group Sustainability Report 2015, including how to introduce our business strategies and had an integrated briefing on our activities, comprehensive descriptions on social responsibility and business activities presented with the aim of enhancing corporate value, and descriptions on how the scope of issues of materiality was expanded and their identification process.

Major opinions given by experts (extracts)

image:Mr. Eiichiro Adachi

image:Mr. Tsukasa Kanai

image:Ms. Mariko Mishiro

Positive points
  • Ricoh’s unique approaches to creating corporate value have been clearly described, particularly in graphically representing the activity cycle.
  • The “Transitions in Growth” section is effectively illustrated, through summarizing the evolving business portfolio and technological innovations chronologically from the founding to the present day, using both charts and images.
  • The report has introduced the theme of sustainable environmental management as one of Ricoh’s three strong areas, and gives it equal weight to the other two, which are technological strengths and customer contact capability. This concept serves to illustrate how important this theme is to Ricoh.
  • The report has been created so as to be accessible by as many stakeholders as possible, and successfully adopts a practice of delivering a succinct integrated report.
  • Reporting roles have been effectively split between print and digital formats, including providing in the digital report more non-financial information for investors, such as topics on materiality and risk control.
Advice for the future
  • Overall, the report could be enhanced in terms clarifying the potential risks for Ricoh resulting from any negative incident.
  • The report should be organized in a way that links selected materiality themes to the major risks associated with the corporate activities of the Group.
  • It is advisable to include in the report solutions for specific social issues which are addressed by products and services from the four business domains: office, commercial printing, industrial and new core areas.
  • While the presentation of the activity cycle for enhancing corporate value is unique and interesting, descriptions related to value creation and usage of KPIs can be improved.
  • In order to reduce the size of the report, the print version has had to compromise on in-depth discussions in line with the established concept of the report. To compensate for this limitation, presentation of each story should be enhanced to clarify cause-and-effect relationships by using supporting information such as KPIs.

Ending the dialogue with experts

image:Akira Oyama Executive Officer, General Manager, Corporate Coordination Division *The organizations and job titles are as of the date of the meeting.

Ricoh creates the integrated report as a key communication tool directed at various stakeholders, including investors, in order to build and maintain their trust in Ricoh.
The recent dialogue has provided us with valuable advice to improve this essential tool. We will use the offered opinions to enhance our activities, particularly in areas that continue to be included in the integrated report, such as solving social issues, and we will address this theme to strengthen our business management.