【テロップ】
※各テロップ文字をクリックすると該当の場所がピンポイントで閲覧できます。
- 01:06:13.8 I would like to ask about sustainability.
You talked about integrating the sustainability strategy into the medium-term management plan and that the board has oversight over materiality. I realize that you will be holding a separate briefing for your ESG strategy, but can you talk about the board’s discussions and oversight of materiality and how you tie that into enhancing overall enterprise value? On this point, could you give examples of particularly robust board level discussions that preceded the implementation of a specific policy? Alternatively, are there examples of issues were taken up at the board level, which initiated at the ground level?
- 01:06:54.0 (Yamada) We will go into much more detail at the ESG meeting in December. However, one key feature of Omron is the fact that we have a Sustainability Officewhich reports directly to the Board. This group is tasked with monitoring management execution and progress on materiality. It reports to the Board, which then discusses the issues before instructing executive management, such as myself or Mr. Miyanaga. This is how it works at Omron.
In terms of how we determine materiality, let us look at an example from HCB. One issue we are looking at is the reduction of mercury use, which is a particularly pressing issue in the emerging markets. Improved global penetration of electronic BPMs or thermometers can contribute to reducing mercury use by replacing conventional thermometers. In terms of how the process works, management sets a specific volume-based reduction target tied to a specific time frame like FY2020. The Sustainability Office is then responsible for monitoring progress and reporting this progress to the Board for discussion.
There are issues for each of the individual businesses like IAB, EMC or HCB. Each of the issues are tied into the SDGs and we determine materiality in terms of how the deeply the issue relates to our business. This is what we mean when we say we aim to contribute to society through our businesses.
Separate to this, issues such as the protection of human rights or appropriate management of our supply chain, are reflective of issues for which our stakeholders expect a response. We are also looking at this type of issue as well. We take a relatively broad approach but look at issues that are deeply intertwined with the running of our businesses.
I believe our inclusion in DJSI World reflects the culmination of our ongoing efforts.
- 01:09:11.4 I have one more question. The second strategic element of VG2.0 is the evolution of your business model. When I first saw this, I wasn’t exactly sure what you were trying to achieve. I felt that the evolution of the business model should rightly be a consequence of executing on your strategy but you included the evolution of your business model as a strategy, which I found strange.
In your presentation today, you talk about i-BELT, in which you have created a model that has symbolic significance and which you will be launching as a business. I expect this will contribute to higher added value. Is this just the beginning and will you be applying this model across your other businesses? Or, should we expect the other businesses will also be rolling out new business models of their own?
- 01:10:01.6 As you alluded to in your question, the evolution in business model will be the result of a change in our relationships with our customers.
So, as noted earlier by Mr. Miyanaga, under a fee-based model, we would be leveraging a longstanding relationship with a customer to create value together. This is what we were referring to in talking about the evolution of business model. This time around, we highlighted i-BELT but we are also working on other models in other businesses such as HCB or SSB. We will share more information on these when we get to an appropriate stage.
We are not saying we will completely change our existing business. Instead, our existing business is the foundation for the strong relationships with our customers. What we are proposing is to layer new businesses on top of these relationships. This is what we mean when we say evolution of business model.
One more person had their hand up, so let’s take this question.