Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental initiatives (including CO2, water, and waste reduction; environmental conservation including forests and biodiversity)
• Collaboration with business partners (promoting fair business activities throughout the supply chain)
• Respect for human rights and diversity; global human resource development
• Safe and healthy workplace environments
• Community engagement and social contribution activities

Environmental Achievements

• Reduced CO2 emissions in logistics by approximately 0.1% compared to FY 2017 despite increased shipping ton-kilometers.
• Achieved a final disposal rate of approximately 0.03% (approx. 2.7 tons), achieving complete zero emissions.
• Reduced atmospheric emissions of VOCs by 23.7% compared to FY 2010.
• Generated approximately 1,759,000 kWh of electricity from solar power generation, with a CO2 emissions reduction effect of approximately 689 t-CO2.

Social Achievements

• Donated 470 pairs of Achilles Syunsoku shoes to students in impoverished districts in Yunnan Province, China.
• Provided sponsorship for the Balance Bike Charity Carnival in Hong Kong.
• Implemented 40 visiting lectures on foot health, with 2,360 participants.
• Reduced plastic waste by approximately 240 tons in 2018 through reuse of wafer shipping cases.

Governance Achievements

• Implemented compliance training on various topics including contracts, antimonopoly act, subcontractor payments, and bribery prevention.
• Established a hotline for consultation and reporting of improper, unlawful, or unethical actions.
• Maintained ISO 9001 and ISO 14001 certifications.

Climate Goals & Targets

Environmental Challenges

• Increased greenhouse gas emissions due to increased production volume despite energy-saving efforts.
• Increased waste generation due to increased production volumes and changes in production mix.
• Falling short of the target for a 1% decrease in per-unit energy consumption due to changes in product mix and increased small-lot production.

Mitigation Strategies

• Adopting energy-saving equipment, switching to non-fluorocarbon varieties of rigid urethane foam, and expanding modal shift in logistics.
• Revising existing recycling flow, thoroughly separating and sorting waste materials, and promoting obtaining value and making products from waste materials.
• Continuing activities to conserve energy with the goal of decreasing per-unit energy consumption by 1% year on year, and implementing facilities improvements to increase efficiency.

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Achilles Group Basic Policy on Procurement (covering fair and transparent transactions, compliance, environmental considerations, human rights, product safety, information security, and collaboration with suppliers).

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: ISO 26000

Certifications: ISO 14001, ISO 9001

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Medifoam running shoes
• Z1 Board hard urethane foam insulator
• Polypyrrole plating technology
• Bioflex Multi biodegradable agricultural film

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Environment
• Society
• Governance

Environmental Achievements

• Reduced greenhouse gas emissions by approximately 5.6% compared with FY 2018.
• Reduced CO2 emissions in logistics by approximately 8.8% compared with FY 2018.
• Reduced total volume of generated waste by approximately 6.7% compared with FY 2017.
• Achieved complete zero emissions (less than 0.1% final disposal rate) with a final disposal rate of approximately 0.001%.

Social Achievements

• Reduced quality complaints by 49.7% compared to FY 2018.
• Increased rate of awareness-raising for Sokuiku (“Foot Education”) by 243.7% compared to FY 2018.
• Improved rate of annual paid vacation taken by 114.9% compared to the previous year.
• Increased number of communications regarding athlete support by 175.0% compared to the previous year.

Governance Achievements

• Improved the ratio of voting rights exercised electronically by 102.8% compared to the previous year.
• Improved the result of effectiveness evaluation of the Board of Directors to 4.1/5.0 from 3.9/5.0 in the previous year.
• Improved rate of understanding in compliance awareness questionnaire to 96.9% after education from 92.4% initially.

Climate Goals & Targets

Environmental Challenges

• COVID-19 pandemic impacting economic and social activities.
• Increased plastic waste due to increased use of infection prevention products.
• Decreased energy efficiency due to social distancing measures.
• Challenges in finding optimal solutions for improving sleep quality through research and development.

Mitigation Strategies

• Re-evaluating practices and working with utility providers to reduce electricity consumption.
• Implementing updated shutdown procedures and an Air Leak Tagging Program to reduce energy use.
• Developing products adapted to the needs of water disasters.
• Continuing research and development efforts to make beds offering better sleep available in the market.

Supply Chain Management

Supplier Audits: Annual CSR Procurement Questionnaire

Responsible Procurement

• Achilles Group Basic Policy on Procurement

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: ISO 26000, SDG Compass

Certifications: ISO 14001, ISO 9001

Sustainable Products & Innovation

• Achilles Virusafe
• Biodegradable plastic film
• Achilles JD Panel
• Achilles Juten R
• Protos Carrier

Awards & Recognition

• Tohoku Region Carbon Offset Grand Prix Tohoku Support Award