Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Reduced construction byproduct total emissions
• Reduced construction mixed waste emissions
• Reduced CO2 emissions through solar power generation

Social Achievements

• Implemented various employee training programs (including safety, compliance, and communication)
• Promoted female participation in various roles
• Contributed to local communities through various activities (e.g., cleaning, educational programs)

Governance Achievements

• Established a compliance committee and implemented a compliance action guideline
• Implemented internal control over financial reporting
• Maintained ISO 9001 and ISO 14001 certifications

Climate Goals & Targets

Environmental Challenges

• Reducing construction waste and CO2 emissions
• Maintaining high safety standards

Mitigation Strategies

• Implemented various measures to reduce waste and CO2 emissions (e.g., recycling, efficient energy use)
• Implemented COHSMS (Construction Occupational Health and Safety Management System) and MSH (Matsui Safety & Health) initiatives

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Sustainability Reporting Guidelines, Environment Agency of Japan's Environmental Reporting Guidelines 2012

Certifications: ISO 9001, ISO 14001

Awards & Recognition

• Construction Industry Labor Accident Prevention Association - Excellent Award
• Japan Federation of Construction Contractors - Comfortable Workplace Award Special Prize

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Reduced CO2 emissions (Specific figures not provided, but targets and progress are mentioned)
• Reduced construction byproducts and mixed waste (Specific figures and targets are mentioned)
• Increased adoption rate of environment-conscious design (Specific figures and targets are mentioned)

Social Achievements

• Improved customer satisfaction through enhanced communication and quality management
• Strengthened workplace safety and health management, aiming for zero fatalities and a low frequency rate
• Implemented work style reforms to improve work-life balance, including progress towards a two-day weekend for work sites

Governance Achievements

• Strengthened corporate governance through the appointment of external directors and auditors
• Established a compliance committee and implemented a comprehensive compliance program
• Implemented a robust internal control system for financial reporting

Climate Goals & Targets

Environmental Challenges

• Reducing CO2 emissions in construction
• Reducing construction waste
• Achieving a two-day weekend for all work sites
• Securing skilled workers in the construction industry

Mitigation Strategies

• Implementing efficient construction methods and promoting the use of recycled materials
• Developing and implementing a 5-year action plan for achieving a two-day weekend
• Working with suppliers to ensure skilled labor availability and fair procurement practices

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Competitive bidding from multiple suppliers
• Supplier evaluation based on management and construction status
• Exclusion of anti-social forces

Climate-Related Risks & Opportunities

Physical Risks

• Natural disasters

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI, ISO26000

Certifications: ISO 14001, ISO 9001

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

The report mentions alignment with SDGs but doesn't specify which goals.

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Award for excellent construction work from Higashimatsushima City

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• Achieved ZEB Ready certification for Tokyo branch office building (December 2019) and Matsui Building Annex (October 2022).
• Achieved ZEB certification for Hokuriku branch office building (July 2022).
• Registered as ZEH Developer (October 2021).
• Implemented on-site PPA model for solar power generation at the Tobu Shiga Logistics Center (February 2022).

Social Achievements

• Implemented Construction Career Up System to improve working conditions for skilled workers.
• Received “Erushi” certification (second level of three) from the Ministry of Health, Labour and Welfare (March 2021).
• Promoting work-life balance, flexible work styles, and mental health measures.

Governance Achievements

• Strengthened corporate governance through mechanisms, education, and awareness-raising activities.
• Established a compliance committee and implemented compliance training.
• Implemented a whistleblower system.

Climate Goals & Targets

Environmental Challenges

• Decreasing number of Shinto shrines and Buddhist temples due to population decline and depopulation of regional cities.
• Increasing social responsibility regarding environmental burden.
• Shortage of specialized contractors and skilled workers, aging workforce, and lack of young skilled workers.
• Responding to upper limits on working hours in the construction industry.
• Decline of traditional construction methods due to labor-saving and mechanization.
• Deterioration of the value and profitability of owned real estate due to sluggish domestic real estate market.
• Decline in rent and risk of termination due to deterioration in the performance of tenant companies.

Mitigation Strategies

• Promoting the use of ICT to improve productivity and working conditions.
• Actively promoting the adoption of advanced construction methods and NETIS.
• Implementing low-carbon materials and reduction measures at worksites.
• Promoting the use of hybrid construction machinery and biofuels, and low-carbon materials such as blast furnace cement.
• Implementing measures to reduce CO2 emissions at worksites (e.g., idling stop for delivery vehicles, LED lighting).
• Strengthening the utilization of owned real estate and promoting further effective use.
• Diversified investment in new properties, considering usage, location, and tenant risks.
• Regular inspections and repair plans for existing properties to prevent asset value decline.

Supply Chain Management

Responsible Procurement

• Green purchasing
• Use of low-carbon materials

Climate-Related Risks & Opportunities

Physical Risks

• Natural disasters

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products and services
• Expansion of large-scale timber construction

Reporting Standards

Frameworks Used: TCFD

Certifications: ISO 14001

Sustainable Products & Innovation

• ZEB/ZEH-M buildings
• CLT construction

Awards & Recognition

• Erushi certification

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Achieved ZEB Ready certification for Tokyo branch office building (December 2019) and Matsui Building Annex (October 2022).
• Achieved ZEB certification for Hokuriku branch office building (July 2022).
• Achieved ZEH-M Oriented certification for a student dormitory in Koganei, Tokyo (February 2022), reducing energy consumption by 27%.
• Implemented on-site PPA model for solar power generation at the Tobu Shiga Logistics Center in Shiga Prefecture (February 2022).

Social Achievements

• Implemented Construction Career Up System to improve working conditions for skilled workers.
• Promoting work-life balance and flexible work styles.
• Achieved “Erushi” certification (Level 2) from the Ministry of Health, Labour and Welfare in March 2021 for promoting women's active roles.
• Strengthened customer communication through a 24/7 customer service hotline and customer surveys.

Governance Achievements

• Strengthened corporate governance through improved mechanisms, education, and awareness-raising activities.
• Established a compliance committee and implemented regular compliance training.
• Established an internal whistleblowing system.

Climate Goals & Targets

Environmental Challenges

• Decreasing number of Shinto shrines and Buddhist temples due to population decline and rural depopulation.
• Increasing social responsibility regarding environmental burden.
• Shortage of specialized contractors and skilled workers, aging workforce, and lack of young skilled workers.
• Compliance with upper limits on working hours in the construction industry.
• Decline of traditional construction methods due to labor-saving and mechanization.
• Potential decline in property value and profitability due to sluggish domestic real estate market.
• Risk of rent decrease and contract termination due to tenant performance decline.

Mitigation Strategies

• Promoting the use of ICT to improve productivity and working conditions.
• Active adoption of advanced construction methods and NETIS technologies.
• Promoting low-carbon materials and reduction measures at worksites.
• Long-term investment for stable revenue.
• Diversification of operating uses for risk hedging.
• Regular inspections and repair plans for aging properties.
• Geographic diversification of property holdings.

Supply Chain Management

Responsible Procurement

• Green purchasing

Climate-Related Risks & Opportunities

Physical Risks

• Natural disasters

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products and services
• Expansion of on-site PPA model business

Reporting Standards

Frameworks Used: TCFD

Certifications: ISO 14001

Sustainable Products & Innovation

• ZEB and ZEH-M buildings
• CLT construction

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Reduced CO2 emissions per 100 million yen of completed construction by 3.7 t-CO2 (2013-2022)
• Achieved ZEB certification for Takano Giken Co., Ltd.'s new factory (office building)
• Achieved ZEB Ready certification for Matsui Building Annex
• CLT adoption in several projects
• Introduction of renewable energy-derived electricity for construction sites

Social Achievements

• Implemented measures to reduce working hours and promote work-life balance
• Increased the percentage of women in management positions
• Improved employee satisfaction scores
• Enhanced safety measures and reduced accident rates
• Strengthened communication with customers and improved customer satisfaction

Governance Achievements

• Strengthened corporate governance through the appointment of independent directors and external auditors
• Established a compliance committee and implemented a comprehensive compliance program
• Implemented an internal whistleblowing system

Climate Goals & Targets

Environmental Challenges

• Shortage of skilled labor
• Increasing environmental regulations
• Climate change impacts (extreme weather events)
• Upper limit regulations on overtime work
• Maintaining profitability amidst rising material costs

Mitigation Strategies

• Promoting the use of ICT and BIM to improve productivity and reduce labor costs
• Implementing energy-saving measures and promoting the use of renewable energy
• Developing new construction methods and technologies
• Strengthening risk management and business continuity planning
• Investing in employee training and development

Supply Chain Management

Responsible Procurement

• Green procurement

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events
• Natural disasters

Transition Risks

• Carbon tax
• Rising energy prices
• Changes in material prices

Opportunities

• Increased demand for ZEB and renewable energy projects
• Growth in disaster prevention and mitigation projects

Reporting Standards

Frameworks Used: TCFD

Certifications: ISO 14001

Sustainable Products & Innovation

• ZEB and ZEH-M buildings
• CLT construction

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Reduced CO2 emissions per 100 million yen of completed construction work to 8.5t-CO2 or less.
• Reduced construction mixed waste emissions per square meter of completed construction work to 9.0kg or less.
• Reduced construction by-product emissions per 100 million yen of completed construction work to 37.0m³/100 million yen or less.
• Achieved over 74% proposal rate for ZEB/ZEH-M buildings in basic design stage.
• Implemented renewable energy-sourced electricity in Tokyo and other branches.
• Installed solar power generation equipment at Tokyo equipment center for self-consumption.

Social Achievements

• Launched a “weekends off” initiative for construction sites, achieving 41% implementation rate of 4-week 8-day off system and 73% holiday acquisition rate of 4-week 8-day off or more in FY2023.
• Increased average annual paid leave days to 10.3 days.
• Increased number of female employees by 22 in the past 5 years.
• Implemented construction career advancement system.
• Introduced a reward system for registered skilled workers actively using the construction career advancement system.
• Established a 24/7 freecall customer after-service contact point.

Governance Achievements

• Established a Sustainability Committee chaired by the president.
• Implemented a TCFD-aligned approach to climate-related risk and opportunity identification and management.
• Developed and implemented a business continuity plan (BCP), including one for a Mount Fuji eruption.
• Received certification from the Kanto Regional Development Bureau of the Ministry of Land, Infrastructure, Transport and Tourism for having the basic business continuity capabilities in case of disaster.
• Established a compliance committee and internal reporting system.

Climate Goals & Targets

Environmental Challenges

• Rapid increase in material and labor costs impacting project profitability.
• Severe shortage of skilled labor and aging workforce.
• Increasing frequency and scale of natural disasters.
• Upper limit regulation on overtime work.
• Need to improve ROE to exceed cost of capital.
• Maintaining compliance across the supply chain.

Mitigation Strategies

• Industry-wide efforts to reflect rising prices in contract prices.
• Focus on preventing losses through careful project selection and risk management.
• Strengthening BCP measures, including a plan for Mount Fuji eruption.
• Promoting the use of ICT to improve productivity and working conditions.
• Promoting 4-week 8-day off system and flexible work styles.
• Investing in DX to improve efficiency and productivity.
• Investing in sustainable technologies and practices.
• Partnering with suppliers to promote responsible procurement and compliance.

Supply Chain Management

Responsible Procurement

• Promoting fair and ethical business practices with suppliers.

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events (typhoons, heavy rain, heavy snow)
• Heatstroke risk due to chronic temperature rise

Transition Risks

• Increased costs due to carbon tax
• Increased costs due to stricter resource recycling regulations
• Rising raw material prices due to changes in oil demand and carbon tax
• Rising fuel costs due to rising crude oil prices

Opportunities

• Increased demand for ZEB and ZEH-M buildings
• Increased demand for renewable energy-based power generation
• Increased demand for disaster prevention and mitigation construction

Reporting Standards

Frameworks Used: TCFD

Certifications: ISO 14001

Sustainable Products & Innovation

• Kigurashiwood® (fire-resistant wood material)
• CLT (Cross-Laminated Timber)