CTI Engineering Co., Ltd.
Climate Impact & Sustainability Data (2023)
Reporting Period: 2023
Environmental Metrics
Total Carbon Emissions:3,810 tCO2e/year (2023)
Scope 1 Emissions:750 tCO2e/year (2023)
Scope 2 Emissions:3,060 tCO2e/year (2023)
ESG Focus Areas
- Climate change
- Diversity & Inclusion
- Governance
- Well-being
- Supply chain sustainability
Environmental Achievements
- Reduced CO2 emissions from corporate activities by 980 tons (from 4,790 tons in 2021 to 3,810 tons in 2023) by securing non-fossil value at occupied buildings.
- Developed AI-based predictive control energy management system to optimize costs and reduce CO2 emissions.
- Jointly developed technology with Yokohama City using AI and aerial photographs to automatically identify and analyze sediment deposition and vegetation overgrowth in rivers.
Social Achievements
- Introduced a new personnel treatment system with a fully reformed ranking, performance review, and compensation system (April 2023), including an average 6% raise in monthly salary.
- Improved employee engagement score (up 1.7 points YoY).
- Increased number of female managers.
- Lifted percentage of male employees taking parental leave (from 49% in FY2022 to 64% in FY2023).
- Introduced a New Reemployment System that extends pre-retirement personnel treatment system from mandatory retirement age (60) until age 65 (April 2024).
- Implemented fundamental engineering training for new employees.
- Developed a water level monitoring system in collaboration with Kashiwa City, Chiba Prefecture, providing real-time flood information to the public.
Governance Achievements
- Established a Sustainability Committee (chaired by the Representative Director and President, CEO) with the same status as the Management Meeting.
- Established a Risk Management Committee to promote appropriate risk management for the Group.
- Consistently improved corporate governance based on feedback from external directors.
Climate Goals & Targets
Long-term Goals:
- Achieve net-zero greenhouse gas emissions, including in our own supply chain, by 2050.
Medium-term Goals:
- Achieve net-zero greenhouse gas emissions from business activities by 2030.
- Increase ratio of women in management positions to 10% or more by 2030.
Short-term Goals:
- Reduce CO2 emissions from corporate activities to virtually zero by 2030 (Scope 1 and 2).
Environmental Challenges
- Reducing Scope 3 emissions.
- Maintaining high service quality while preventing errors.
- Securing and developing human resources.
- Addressing risks associated with changes in the external environment (markets, standards, climate change, country risks).
- Risks originating within the organization (quality and safety, technological strengths, personnel and labor, compliance).
Mitigation Strategies
- Implementing a variety of measures to reduce CO2 emissions to zero at office buildings and achieve net zero by 2030.
- Strengthening project management (PM) and using AI to prevent mistakes.
- Aggressive recruitment activities, promoting diverse work styles, and enhancing education and training programs.
- Formulating BCPs, gathering information on country risks, and promoting research and development to acquire related technologies.
- Raising the level of the Quality Management System, thorough safety management training, promoting technological enhancement, and promoting production system reforms.
- Promoting measures through labor-management cooperation to prevent long working hours, thorough education on respect for human rights and prevention of harassment, and raising employee engagement.
- Expanding compliance training and education and reinforcing internal audit systems.
Supply Chain Management
Responsible Procurement
- Compliance with the “Promotion Standards” under the Act on the Promotion of Subcontracting Small and Medium-sized Enterprises.
Climate-Related Risks & Opportunities
Physical Risks
- Increased business continuity risks due to natural disasters
Transition Risks
- Bolstered emissions regulations
- Increased corporate responsibility due to heightened awareness of environmental considerations in society
Opportunities
- Rising demand for social infrastructure planning and designing to prevent and mitigate disasters
- Demand for services to transition to decarbonized energy sources
Reporting Standards
Frameworks Used: IIRC
Certifications: ISO 9001, ISO 14001, ISO 27001, ISO 55001
Sustainable Products & Innovation
- AI-based predictive control energy management system
- Technology for automatically identifying and analyzing sediment deposition and vegetation overgrowth
Awards & Recognition
- 2023 Infrastructure DX Awards (Construction and Operations Category), Excellence Award
- 2023 Intelligence, Informatics and Infrastructure Award for Outstanding Potential Paper
- 2023 Good Design Award
- 2023 Civil Engineering Design Prize, Outstanding Achievement
- 2023 Consulting Engineers Research and Presentation Award, Grand Prize
- 4th Green Infrastructure Awards, Excellence Award