Sustainable Value 2023 Key Goals and Progress

The SCREEN Group formulated Sustainable Value 2023 as a plan for enhancing its social value. Specifically, the plan sought to live up to the expectations and trust of our diverse stakeholders and fulfill our corporate social responsibility while proactively implementing initiatives to address environmental, social, and governance (ESG) issues through our business activities. Under the plan, we implemented a wide range of initiatives. The plan’s targets for each sustainability-related key issue and the results of related initiatives are shown below.

Sustainable Value 2023 key targets and results (FY2021/03–FY2024/03)
Key issues	Targets for the fiscal year ended March 31, 2024	Fiscal year ended March 31, 2024
Key issues	Targets for the fiscal year ended March 31, 2024	Results	Self-evaluation, issues, measures, etc. ✓: Achieved; ✕: Not achieved
Reduce GHG emissions from business activities (Scope 1, 2)	10% reduction compared with FY2019/03 (absolute volume) 45.5 thousand metric tons CO₂eContinual activity toward our SBT (Scope 1, Scope 2)^:1 30% reduction by the end of FY2030/03	45.5% reduction compared with FY2019/03 27.5 thousand metric tons CO₂e	✓	Substantial reductions were achieved mainly as a result of the introduction of renewable energy at the Head Office, Hikone Site, Taga Site, and other facilities. Working toward carbon neutrality, in January 2024 we received renewed approval from SBTi of our targets as consistent with limiting the global temperature rise to 1.5°C.²
Reduce GHG emissions from the use of sold products (Scope 3 category 11)	8% reduction compared with FY2019/03 2,395 thousand metric tons CO₂e Continual activity toward our SBT (Scope 3 category 11)^:1 20% reduction by the end of FY2030/03	13.7% reduction compared with FY2019/03 2,247 thousand metric tons CO₂e	✓	An increase in the sales ratio of products that have high environmental performance.
Reduce the volume of waste generated, promote recycling	Waste generated in business activities: 5% reduction compared with FY2019/03 (per unit weight of product shipment) 188 kg/metric ton	10.1% increase compared with FY2019/03 218 kg/metric ton	×	Results reflected changes in the product mix, despite efforts to turn waste materials into valuable materials and reduce waste.
Promote effective water use	Withdrawal of service water, industrial water, etc., used at business operating sites: 5% reduction compared with FY2019/03 (per unit weight of product shipment) 246 m³/metric ton	15.4% increase compared with FY2019/03 299 m³/metric ton	×	Total water withdrawal volume increased slightly, reflecting the expansion of production facilities, despite efforts to improve production efficiency at R&D and manufacturing sites. Results were also impacted by changes in the product shipment mix.
Human resources	Promotion of measures to develop solution creators Enhance systems and measures that provide a tangible sense of growth Improve an environment to support the hiring and development of diverse human resources and enables them to succeed Apply sustainable new work styles	Promoted corporate philosophy uptake (town hall meetings) Defined attitudes required of solution creators Continue the engagement survey Expanded education for engineers Expanded specialist career paths Began consideration of extending the mandatory retirement age	✓	Through town hall meetings with approximately 2,700 employees, understanding of and resonance with the corporate philosophy and goal of becoming a solution creator surpassed 90%. We defined the attitudes required of a solution creator to guide day-to-day action. We also advanced efforts to enable diverse talent, including highly skilled specialists and highly experienced senior employees, to fully utilize their abilities.
Enhance industry-academia-government collaboration and community collaboration	Advance various collaborative projects through cooperation with government agencies, educational institutions, etc.	Formed comprehensive partnership agreement with Shiga Prefecture and took part in the Kyoto Acceleration Program based on the comprehensive partnership agreement with Kyoto Prefecture Worked with Doshisha Business School, Kyoto University of Advanced Science, and other partners to offer internships and implement joint research and communication meetings	✓	We reinforced collaboration with government agencies and educational institutions. We will continue to promote industry-academia-government collaboration that benefits all parties over the medium to long term.
Identify key risks and reduce risks	Reinforce the effectiveness of risk management operations	Focusing on key group risks, the Group Risk Management Committee reported on and confirmed the status of risks, their changes, and policy for handling high-risk matters	✓	Adopted company-wide common risk assessment criteria and implemented improvements, such as reinforcing support from the second line of defense.
Enhance resilience to increasingly severe natural disasters	Improve the resilience of the Group’s business continuity planning in the face of increasingly diverse disaster risks	Completed the establishment of BCM rules and BCPs at all global group companies Conducted ongoing drills, including a comprehensive major disaster emergency headquarters drill	✓	Completed the establishment of BCM rules and BCPs at all global group companies; used drills to practice disaster response and make revisions to improve their practicality.
Promote social responsibility in the supply chain	Pursue ongoing strengthening of our supply chain management system, including widespread adoption of our Supplier Code of Conduct, procurement practices, and BCP	Set up a website for suppliers, provided sustainability-related information, and held regular webinars Implemented CSR surveys of our top 240 suppliers and obtained their written statements of agreement with the Supplier Code of Conduct Completed rebuilding of the supply chain safety confirmation system	✓	Built new supply chain frameworks. Strengthened supply chain sustainability by reinforcing communication and coordination.

SBT: Greenhouse gas (GHG) emissions reduction target approved in April 2020 by the Science Based Targets initiative (SBTi) as being consistent with levels required to keep the global temperature rise to well below 2°C.
SCREEN Receives Renewed Approval from Science Based Targets Initiative