YKK AP Inc.
Climate Impact & Sustainability Data (2023-04-01 to 2024-03-31)
Reporting Period: 2023-04-01 to 2024-03-31
Environmental Metrics
Total Carbon Emissions:275 kt CO2
Total Energy Consumption:141,000 kl (crude oil equivalent)
Water Consumption:8.3 million m3
ESG Focus Areas
- Human Resources
- Monozukuri (Manufacturing)
- Trust/Reliance
Environmental Achievements
- Reduced CO2 emissions by 33% (Scopes 1 & 2) relative to FY2013.
- Reduced Scope 3 emissions by 10% relative to FY2013.
- Achieved 100% internal recycling rate of aluminum scraps.
- Improved market-obtained aluminum recycling rate to 33% in FY2023.
- Increased renewable energy installation to 9,792 kW by FY2023.
- Improved vinyl recycling rate to approximately 45% by the end of FY2023.
Social Achievements
- Increased number of women in management positions to 133 in FY2023.
- Increased rate of employees taking childcare leave (men) to over 50%.
- Improved employee engagement score to 50% in FY2023 (Japan).
- Achieved 72% employee engagement score in FY2024 (USA).
- Established YKK AP Healthcare Inc. to develop healthcare products and services.
- Expanded installation training sessions for home electronics retailers and hardware stores.
Governance Achievements
- Formulated YKK AP Human Rights Policy in FY2023.
- Introduced the Operating Officer System to separate management and execution.
- Appointed a new outside director in FY2024.
- Established a Global Procurement Department in FY2024.
- Implemented the YKK Global Criteria of Compliance (YGCC).
Climate Goals & Targets
Long-term Goals:
- Achieve zero environmental impact by 2050.
- Achieve carbon neutrality by 2040.
Short-term Goals:
- Reduce water consumption by 36% (relative to a baseline year).
Environmental Challenges
- Declining new housing starts in Japan.
- Rising material costs due to weak yen and other factors.
- Shortage of installation staff for remodeling products.
- 2024 Problem in logistics.
- Supply chain disruptions due to geopolitical risks and climate events.
- Water use restrictions in some regions.
Mitigation Strategies
- Focus on residential remodeling and commercial building renovations.
- Price revisions to reflect increased material costs.
- Expansion of production sites for remodeling products.
- Opening of Tokyo Metropolitan Area DC to improve logistics efficiency.
- Development of alternative sourcing strategies.
- Measures to reduce water consumption through recycling and reclamation.
Supply Chain Management
Responsible Procurement
- Green procurement
- Chemical substance management
- Basic transaction principles agreement
- CSR surveys
Climate-Related Risks & Opportunities
Physical Risks
- Natural disasters (earthquakes, tsunamis, typhoons, torrential rains)
Transition Risks
- Increased costs due to energy resource depletion
- Market shifts due to increased demand for high thermal insulation products
- Increased demand for carbon-free and recycled-resource products
Opportunities
- Increased demand for high thermal insulation products
- Increased demand for carbon-free and recycled-resource products
Reporting Standards
Frameworks Used: International Integrated Reporting Framework (IIRC), Guidance for Collaborative Value Creation (METI), GRI Standards
Certifications: ISO 14001
Sustainable Products & Innovation
- High thermal insulation windows
- Wooden windows
- EXIMA 55 aluminum-vinyl composite windows
- Kantan Mado Remo (easy window remodeling)
- Mado Remo - PLAMADO U Inner Windows
- SYSTEMA 81u unitized curtain wall
- APS WORD NEO-LB aluminum-vinyl composite window
- Recycled materials in products
Awards & Recognition
- Minister of Economy, Trade and Industry Award (Product Safety Awards)
- Eco-First Company certification
- Resilience Certification
- Various awards for specific products