Climate Change Data

artience Group

Climate Impact & Sustainability Data (2022, 2023)

Reporting Period: 2022

Environmental Metrics

Total Carbon Emissions:182,538 tCO2e/year
Scope 1 Emissions:51,027 tCO2e/year
Scope 2 Emissions:27,934 tCO2e/year
Scope 3 Emissions:868,211 tCO2e/year
Renewable Energy Share:Not disclosed
Total Energy Consumption:85,221 kL/year
Water Consumption:4,857 thousand m3/year
Waste Generated:17,456 tons/year (Japan)
Carbon Intensity:0.58 tCO2/million JPY in 2022

ESG Focus Areas

  • Climate Change
  • Diversity & Inclusion
  • Supply Chain Sustainability
  • Human Rights
  • Corporate Governance

Environmental Achievements

  • Reduced CO2 emissions by 8.9% year on year (Group total: 182,538 tons)
  • Reduced energy consumption by 5.0% year on year (Group total: 85,221 kL)
  • 62.4% of sales from environmentally friendly products
  • Reduced amount of waste treated off-site in Japan by 3.5% from the FY2021 level (13,466 tons)

Social Achievements

  • Continued to be selected as White 500 company
  • Acquired Eruboshi certification and Kurumin certification
  • 32.5% of female new graduates hired in Japan
  • Zero serious accidents (frequency rate of lost-workday injuries in Japan: 0.286, severity rate: 0.002, accident rate: 2.70)
  • Introduced a partnership system for common-law marriages and same-sex partners
  • Achieved Gold status in the PRIDE Index

Governance Achievements

  • Zero serious compliance violations
  • Held compliance meetings in each site (3,663 participants during the first half of the year; 3,896 participants during the Improvement Month)
  • Held various compliance seminars (Anti-monopoly Act: 11 seminars with a total of 406 participants, Subcontract Act: 16 seminars with a total of 365 participants)

Climate Goals & Targets

Long-term Goals:
  • Achieve net zero CO2 emissions from production activities and minimize their environmental impact by 2050
  • Achieve carbon neutrality by 2050
Medium-term Goals:
  • Reduce CO2 emissions in Japan by 35% from the FY2020 level (to 50,000 t-CO2) by 2030
  • Reduce CO2 emissions overseas by 35% compared to the FY2030 BAU (to 95,000 t-CO2) by 2030
  • Reduce amount of waste treated off-site in Japan by 50% from the FY2020 level by 2030
  • Increase the percentage of sales from Sustainability-Enhancing Products to 80% by 2030
Short-term Goals:
  • Reduce CO2 emissions in Japan to 67,500t by 2023 (12% reduction from FY2020 level)
  • Improve specific energy consumption overseas to 165.0L/t by 2023 (3% reduction from FY2020 level)
  • Increase sales ratio of environmentally friendly products to 70% by 2023 (4 percentage points increase from FY2020 level)

Environmental Challenges

  • Reducing CO2 emissions across the entire supply chain
  • Improving water management at overseas locations
  • Increasing the percentage of sales from sustainability-enhancing products
  • Maintaining high CSR procurement rates among suppliers
Mitigation Strategies
  • Implementing energy conservation measures, shifting to low-carbon energy, and introducing renewable energy equipment
  • Assessing water risk and implementing countermeasures at high-risk sites
  • Developing and promoting sustainability-enhancing products
  • Revising Procurement Principles and Criteria for Selecting Suppliers, formulating Sustainable Supply Chain Guidelines, and conducting CSR procurement surveys

Supply Chain Management

Supplier Audits: 100% implementation rate of major supplier assessments based on Criteria for Selecting Suppliers

Responsible Procurement
  • Procurement Principles
  • Standard for Selecting Suppliers
  • Sustainable Supply Chain Guidelines

Climate-Related Risks & Opportunities

Physical Risks
  • Natural disasters (earthquakes, typhoons, floods)
  • Extreme weather events
Transition Risks
  • Changes in climate change-related laws and regulations
  • Market shifts towards decarbonization
Opportunities
  • Development of energy-efficient products and technologies
  • Expansion into renewable energy solutions

Reporting Standards

Frameworks Used: GRI Standards, TCFD recommendations

Certifications: ISO 14001, ISO 9001, Eruboshi, Kurumin, Nearly ZEB

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

  • Goal 3
  • Goal 6
  • Goal 7
  • Goal 9
  • Goal 12
  • Goal 13
  • Goal 15
  • Goal 4
  • Goal 5
  • Goal 8
  • Goal 10
  • Goal 16

The report details how various initiatives contribute to these SDGs.

Sustainable Products & Innovation

  • Environmentally friendly adhesives
  • Biomass raw materials
  • Products contributing to the reduction of CO2 emissions

Awards & Recognition

  • MSCI Japan Equity Women's Empowerment Index (WIN) constituent
  • FTSE Blossom Japan Index constituent
  • FTSE Blossom Japan Sector Relative Index constituent
  • S&P/JPX Carbon Efficient Index constituent
  • SOMPO Sustainability Index constituent
  • EcoVadis Bronze rating
  • White 500 certification (Health and Productivity Management)
  • PRIDE Index Gold certification
  • ECCJ Chairman's Award (Toyo Ink Group)

Reporting Period: 2023

Environmental Metrics

Total Carbon Emissions:159,571 tCO2e/year
Scope 1 Emissions:63,619 tCO2e/year
Scope 2 Emissions:90,949 tCO2e/year
Scope 3 Emissions:1,608,468 tCO2e/year
Total Energy Consumption:74,106 kL/year
Water Consumption:4,833 thousand m3/year
Waste Generated:14,112 tons/year
Carbon Intensity:0.50 t-CO2/million JPY in 2023

ESG Focus Areas

  • Climate Change
  • Diversity, Equity & Inclusion
  • Governance
  • Supply Chain Management
  • Employee Well-being

Environmental Achievements

  • Reduced CO2 emissions by 13.9% year on year (159,571 t total emissions)
  • Reduced energy consumption by 13.0% year on year (74,106 kL total consumption)
  • Reduced amount of waste treated off-site in Japan by 21.1% year on year (10,625 t total)
  • Achieved zero final disposal volume of waste at all business locations in Japan
  • Introduced cogeneration systems at multiple factories
  • Expanded use of environmentally friendly pressure sensitive adhesives

Social Achievements

  • Acquired Platinum Kurumin certification (artience Co., Ltd.) and Kurumin certification (three core operating companies)
  • Maintained Gold certification in PRIDE Index 2023 for LGBTQ+ initiatives
  • Increased percentage of female managers in Japan to 5.5% (as of January 2024)
  • Achieved 100% male employee childcare leave acquisition rate (10 days or more) in Japan
  • Launched a volunteer leave system
  • Introduced a cleaning solvent recycling system reducing waste by 70%

Governance Achievements

  • Transitioned to a company with an audit and supervisory committee
  • Increased the percentage of outside officers on the board
  • Improved whistle-blowing systems and information security measures

Climate Goals & Targets

Long-term Goals:
  • Achieve carbon neutrality by 2050
  • Make all products sustainability-enhancing by 2050
Medium-term Goals:
  • Reduce CO2 emissions in Japan by 35% from FY2020 level by FY2030
  • Reduce CO2 emissions overseas by 35% from FY2030 BAU level by FY2030
  • Reduce amount of waste treated off-site in Japan by 50% from FY2020 level by FY2030
  • Achieve 80% sales ratio of sustainability-enhancing products by 2030
Short-term Goals:
  • Reduce CO2 emissions in Japan by 23% from FY2020 level by FY2026
  • Reduce CO2 emissions overseas by 29% from FY2023 BAU level by FY2026
  • Reduce amount of waste treated off-site in Japan by 35% from FY2020 level by FY2026

Environmental Challenges

  • Climate change impacts on supply chains
  • Water stress in certain regions
  • Maintaining high CSR performance across all suppliers
  • Reducing the gender wage gap
  • Ensuring compliance across global operations
Mitigation Strategies
  • Developed decarbonization roadmaps
  • Implemented water risk assessments and mitigation measures
  • Conducted CSR procurement surveys and engaged in dialogues with suppliers
  • Analyzing factors causing gender wage gap and implementing measures
  • Strengthened compliance systems and provided regular training

Supply Chain Management

Supplier Audits: 100% implementation rate of major supplier assessments; 100% implementation rate of sustainability surveys for major suppliers

Responsible Procurement
  • Basic Policy on Procurement
  • Sustainable Supply Chain Guidelines
  • Standard for Selecting Suppliers
  • CSR procurement surveys

Climate-Related Risks & Opportunities

Physical Risks
  • Climate-related disasters causing supply chain disruptions
  • Damage to equipment and facilities
Transition Risks
  • Rising raw material and energy prices
  • Decline in demand for certain products
  • Increased carbon prices
Opportunities
  • Increased sales of low-emission products
  • New business opportunities in climate-related technologies

Reporting Standards

Frameworks Used: GRI Standards, TCFD recommendations

Certifications: ISO 14001, ISO 9001, Kurumin, Platinum Kurumin, Eruboshi

UN Sustainable Development Goals

  • Goal 3
  • Goal 6
  • Goal 7
  • Goal 9
  • Goal 12
  • Goal 13
  • Goal 15
  • Goal 4
  • Goal 5
  • Goal 8
  • Goal 10
  • Goal 16

Initiatives aligned with SDGs are detailed in the report

Sustainable Products & Innovation

  • Environmentally friendly pressure sensitive adhesives
  • Low-carbon products

Awards & Recognition

  • MSCI Nihonkabu ESG Select Leaders Index constituent
  • MSCI Japan Equity Women’s Empowerment Index (WIN) constituent
  • FTSE Blossom Japan Index constituent
  • FTSE Blossom Japan Sector Relative Index constituent
  • SOMPO Sustainability Index constituent
  • EcoVadis Bronze status
  • White 500 certification (Health and Productivity Management)
  • Pride Index 2023 Gold Award