Pursuit of CSR to Grow as a Great Company
The Calsonic Kansei Group is a Monozukuri* company that supports the motorization of the world. In our position as a global supplier, we hope to be an important partner to car manufacturers all over the world, and be a company that contributes to the realization of a sustainable society as we further develop world-leading eco-friendly products and advance continuous CSR initiatives.
At the end of March 2017, our Mid-Term Management Plan, CK GX4 T10, which we pursued for six years, drew to a close, and it came time to take up the challenge of a new stage.
The CK GX4 T10 initiatives were pursued along the themes of four G keywords.
For the first G, “Green,” we successfully achieved our target of creating ten world-leading eco-friendly products.
For the second G, “Growth,” we declared a target of entering the global Top 10 automotive suppliers in sales revenue (one trillion yen or more). We have achieved that target of one trillion yen in sales since 2015.
For the third G, “Global,” we implemented a variety of initiatives to conduct competitive Monozukuri on a global scale with our unique, leading technologies.
Our global production structure of 79 sites in 15 countries and development structure of 14 locations in 8 countries are major achievements that have come from these endeavors, which I believe have contributed to the expansion of revenue and income. We have also built globally standardized production and development processes to make our operational processes more efficient.
While our Green, Growth, and Global endeavors have borne fruit, that is not to say that we have yet achieved our fourth G, to become a “Great Company.” To grow into a Great Company, we need to raise the value of our existence further by contributing to society. Declaring 2015 as our “First Year of CSR” we organized our CSR activities into a more systematic structure, and elevated them to company-wide initiatives. The outcome of these endeavors has been a major improvement in our external indicators regarding sustainability.
Our Outlook as an Independent Monozukuri Company
– “Resilient” Sustainable Management –
At the end of March 2017, the Calsonic Kansei Group left the Nissan Motors Group, and transitioned into an independent Monozukuri company manufacturing automobile components. Leveraging the abundant industry knowledge of our new partner, Kohlberg Kravis Roberts (KKR), we will build up the new, reborn Calsonic Kansei Group.
In the process, the Calsonic Kansei Group is integrating our financial and non-financial operations, and we will further evolve our “resilient” sustainable management.
The keywords for our new Mid-Term Management Plan, which launches this year, are “sustainable growth” and “raising corporate value.” “Sustainable growth” refers to consistent improvement in our financial indicators, that is, continuing to renew our record-high profits that have continued since 2013. “Raising corporate value” will involve the pursuit of two things. The first is to become a key supplier that is indispensable to our customers, the automotive manufacturers. The second is to continue to raise the value of our existence in non-financial CSR aspects. We will set milestones that will allow the Calsonic Kansei Group to achieve its goal of becoming a Great Company in 2021.
The key to achieving this goal will be just how far each and every employee can act with a “CSR mindset.” This will require not only taking on board society’s demands, but also fostering a mindset for thinking about how they can contribute to society as individuals.
Our employees are one of the important stakeholders in our CSR activities. In addition to their contributions outside the company, we will continue to advance workplaces that have a pleasant and rewarding working environment for our employees.
Responding Promptly to the Demands of Global Society Amidst Fast-paced Change
The pace of change of global society continues to accelerate. The speed with which the Paris Agreement, the new international climate change framework, has come into force is symbolic of that trend. The Calsonic Kansei Group, as a member of the automobile industry, which has a deep association with the environment, is actively engaged in finding solutions to environmental issues. We will respond sensitively to these kinds of international developments and place even more efforts into our initiatives.
One major achievement of our CSR activities in Fiscal 2016 has been our response to human rights, which has become an issue of increased interest around the world. The Calsonic Kansei Group established a Human Rights Policy in April 2016, declaring our intention to respect international standards and protect basic human rights. As such, we are engaged in the respect of human rights not only of our own employees but also in our supply chain. In September 2016, we released a statement as required by the U.K. Modern Slavery Act that came into force in 2015.
We will also engage proactively, through our business operations, in achieving the Sustainable Development Goals (SDGs). We will also encourage our employees to be involved and contribute to resolving social issues as a good corporate citizen.
Creation of Social Value and Approaches to Diversity
The Tokyo Olympic and Paralympic Games will take place in 2020. One of the key concepts of these Games is “Unity in Diversity.” As a corporate group with its global headquarters located in the host country of Japan, we will be even more proactive in our approaches to diversity.
Specifically, in consideration of diversity, we will thoroughly cultivate our valued human resources in a way that will make the most of the individual characteristics of each and every one of our employees, and we will strengthen our business management to “grow together” with our employees. Diverse ideas spring forth from organizations whose members come from a wide range of backgrounds, including gender, age, birthplace, culture, faith, and beliefs, and it is from those ideas that innovation is born. In other words, fostering an organization with diversity is essential to the Calsonic Kansei Group as it continues to take on the challenge of creating new value for society.
To Become a Group that Can Grow and Prosper Sustainably for 100 Years and Beyond
The Calsonic Kansei Group will mark the 80th anniversary of its foundation in 2018. For the Group to grow and prosper sustainably for the next 100 years and beyond, the pursuit of CSR activities will be imperative.
I hope that our stakeholders will watch over the Calsonic Kansei Group with anticipation of how it will proceed amidst such great changes. Turning those major changes into opportunities, we will continue to build up our initiatives within and outside the company, in the hope of drawing closer, step by step, to our goal of becoming a Great Company.
At the Calsonic Kansei Group, each and every employee will, as one team, enjoy the changes ahead and press forward in their daily work with even more confidence and pride than before.
* Monozukuri refers to the creation of value in all respects, through manufacturing fine products and providing excellent services in a timely manner to meet customers’ expectations.