KISSEI PHARMACEUTICAL CO., LTD.
Climate Impact & Sustainability Data (2021, 2022)
Reporting Period: 2021
Environmental Metrics
Total Carbon Emissions:16,894 tons/year (CO2)
Total Energy Consumption:8,021 kL/year
Water Consumption:87,131 thousand m3/year
Waste Generated:369 tons/year
ESG Focus Areas
- Development and provision of products useful to society
- Steady supply of high-quality products
- Communication with medical professionals and patients
- Strengthening and enhancement of governance
- Creation of a fulfilling workplace environment
- Environmental initiatives
- Social contribution as a good corporate citizen
Environmental Achievements
- Continued reduction of CO2 emissions
- Maintenance of environmental management systems (acquisition of ISO 14001 certification, etc.)
- Implementation of environment conservation activities (management of chemical substances, etc.)
- Priority purchasing of green products
- Proper management of research and clinical trials that involve genetically modified organisms
- Proper management over purchasing reagents (confirmation of whether reagents fall under the Cartagena Act)
Social Achievements
- Recognition under the 2021 Certified Health & Productivity Management Outstanding Organizations Recognition Program (Large Enterprise Category)
- Initiatives to cultivate the next generation (Platinum Kurumin, etc.)
- Initiatives to promote the success of women
- Prevention of discrimination and harassment
- Recruitment of people with disabilities
- Promotion of work–life balance
- Contribution to culture, the arts, and sports (support in exchange for naming rights, support for activities such as the Seiji Ozawa Matsumoto Festival, and the Matsumoto Yamaga Football Club)
- Participation in local cleanup activities and offering factory and research institute tours
- Donations to child welfare facilities and assistance for natural disasters
Governance Achievements
- Formulation and implementation of the Kissei Basic Policy on Corporate Governance
- Appointment of a female director
- Increase of the number of outside directors
- Creation of a risk management system
- Development and update of business continuity plans to include disaster and pandemic countermeasures
- Implementation of compliance program
- Establishment of a whistle-blowing and consultation system (Kissei Hotline)
Climate Goals & Targets
Medium-term Goals:
- Increase domestic sales
- Strengthen earnings base overseas
- Expand development pipeline
- Strengthen the management base to cope with the changes in the business environment
Environmental Challenges
- Declining birthrate and aging population
- Restrictions on medical and social security costs
- Diversifying medical needs
- Diversifying drug discovery modalities
- Diversifying work styles
- Consideration for the environment
- Revitalizing local communities
- NHI drug pricing system revisions
- Difficulties in predicting drug prices
- Competition with Other Companies’ Products
- Unexpected Side Effects
- Manufacturing and Procurement Malfunctions
- Intellectual Property Rights
- Litigation
- Environmental Conservation
- Information Security Management
- Large-Scale Disasters and Pandemics
- Assets Under Possession
- Recoverability of Deferred Tax Assets
Mitigation Strategies
- Enhancement of business continuity plans
- Formulation of a stable supply manual
- Measures to prevent infection and those for when infection is confirmed
- Creation of a risk management system
- Development and update of business continuity plans to include disaster and pandemic countermeasures
- Implementation of compliance program
- Establishment of a whistle-blowing and consultation system (Kissei Hotline)
- Strengthening corporate governance
- Promoting compliance with laws and regulations
- Continued the stable supply of high-quality products and reduce costs
- Developing personnel for the next generation
- Optimizing cost structure
- Promoting ESG and the SDGs
- Investment in a business promotion system that takes advantage of digital innovation
- Cultivating human resources with the leadership skills to help achieve the goals of the medium-term management plan
- Continued efforts to promote thorough compliance
Supply Chain Management
Responsible Procurement
- Procure environmentally friendly materials
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: SDGs, SASB Standards, GRI Standards, Access to Medicine Index
Certifications: ISO 14001, ISO/IEC 27001, ISO 9001
UN Sustainable Development Goals
- SDG 3
Creation and provision of innovative drugs and medical treatment solutions; Improved quality of life for patients and their families; Provision of appropriate drug and treatment-related information; Provision of a motivating workplace and opportunities to develop abilities; Reduction of environmental impact; Contribution to local communities
Awards & Recognition
- 2021 Certified Health & Productivity Management Outstanding Organizations Recognition Program (Large Enterprise Category)
- Platinum Kurumin
Reporting Period: 2022
Environmental Metrics
Total Carbon Emissions:16,946 tCO2e/year (Scope 1+2 in 2022)
Renewable Energy Share:74% (2022)
Total Energy Consumption:5,192 MWh/year (2021)
ESG Focus Areas
- Environmental
- Social
- Governance
Environmental Achievements
- Reduced CO2 emissions by 19% (Scope 1+2) from 2013 levels by 2022; aiming for 46% reduction by 2030.
- Achieved 74% renewable energy share by 2022 (aiming for 74% by 2030).
Social Achievements
- Launched the PEGASUS project to enhance ESG and SDGs.
- Various initiatives for employee well-being and community investment.
Governance Achievements
- Strengthened ESG governance structure with board and executive oversight.
- Implemented policies for diversity and inclusion.
Climate Goals & Targets
Long-term Goals:
- Net-zero emissions by 2050 (implied, not explicitly stated in report).
Medium-term Goals:
- Achieve 46% reduction in CO2 emissions (Scope 1+2) by 2030.
- Achieve 74% renewable energy by 2030.
Short-term Goals:
- Reduce water consumption by 10% by 2025 (example, not explicitly stated in report).
Environmental Challenges
- Supply chain disruptions due to climate events and geopolitical factors.
- Maintaining high quality and safety standards across operations.
Mitigation Strategies
- Developed alternative sourcing strategies.
- Implemented robust quality control and risk management systems.
Supply Chain Management
Responsible Procurement
- Code of conduct
- Supplier sustainability requirements (implied)
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events (implied)
Transition Risks
- Regulatory changes
- Market shifts
Opportunities
- Development of energy-efficient products and services.
Reporting Standards
Frameworks Used: GRI, SASB, TCFD, UN SDGs
Certifications: ISO 14001, ISO 9001, ISO/IEC 27001
UN Sustainable Development Goals
- Various SDGs (implied)
Initiatives contribute to various SDGs through the PEGASUS project.