Climate Change Data

AIDA ENGINEERING, LTD.

Climate Impact & Sustainability Data (2016-04 to 2017-03)

Reporting Period: 2016-04 to 2017-03

Environmental Metrics

Total Carbon Emissions:1281 tons
Total Energy Consumption:3973 kL (crude oil equivalent)
Water Consumption:32 km3
Waste Generated:1200 tons (industrial waste)
Carbon Intensity:32.7 tons CO2/¥100 million (production volume)

ESG Focus Areas

  • Environmental
  • Social
  • Governance

Environmental Achievements

  • Industrial waste recycling rate: 89%; target achieved
  • Total energy usage (crude oil equivalent): 3,973 kL; target achieved
  • CO2 emissions: 32.7 tons CO2/¥100 million (production volume)
  • Promoted environmentally friendly retrofitting services
  • Achieved size and weight reductions for servo motors and other components
  • Achieved net shape forming of thick plate
  • Won the 2016 Kanagawa Global Environment Awards in the Kanagawa Smart Energy Plan Category

Social Achievements

  • Plant tours for 65 junior high school, high school, and university students to communicate social roles and responsibilities
  • Strict quality control in every production process
  • Customer surveys to increase customer satisfaction
  • Safety training at customer sites

Governance Achievements

  • Established the AIDA Group Compliance Hotline System
  • Formulated the “AIDA Group Action Guidelines” and ensured full awareness throughout domestic and overseas Group companies
  • Established the Compliance Committee to strengthen its internal control system
  • Board of Directors with two outside directors and a Board of Auditors with three outside auditors

Climate Goals & Targets

Long-term Goals:
  • ¥100.0 billion in medium- to long-term sales target
Medium-term Goals:
  • ¥80.0 billion in net sales and ¥8.0 billion in operating income by March 31, 2020
  • Press, FA, and customer service businesses contributing to overall sales in a 5:2:3 ratio

Environmental Challenges

  • Strengthening yen and temporary drop in orders led to lower sales and profits
  • Customers negotiating hard for lower prices
  • Competition from Japanese, European, American, and emerging economy press manufacturers
  • Rising price of steel plate and other raw materials
  • Issues accommodating major users in Europe and technical capabilities related to controls and automation for these users
  • Solidly responding to the global, dynamic business endeavors of customers
Mitigation Strategies
  • Increased investments in capital equipment, human resources development, and R&D
  • New Mid-Term Management Plan focusing on growth and high-profit fields
  • Strengthening international sales team and technical marketing capabilities
  • Improving product competitiveness by increasing power and efficiency of servo motors while making them more compact
  • Investing in development of forming systems for new materials
  • Strategic investments in capital equipment, streamlining initiatives, and new forward-looking business operations
  • Further developing global co-manufacturing system
  • Implementing a global ERP system and global standardized workflows
  • Global human resource development and strategic personnel rotation

Climate-Related Risks & Opportunities

Opportunities
  • Development of energy-efficient products

Sustainable Products & Innovation

  • Hot-stamping servo press
  • New general-purpose straightside servo press

Awards & Recognition

  • 2016 Kanagawa Global Environment Awards