Komatsu seeks to help resolve ESG issues by promoting the three pillars of growth strategies defined in the new mid-term management plan. We strive to realize a positive cycle of sustainable growth through improvements of earnings and resolutions to ESG issues. Our initiatives include reducing environmental impacts to combat climate change and supplying high-quality, high-performance products, services, and solutions ensuring safety. KPIs have been set to guide these initiatives solving ESG issues through our core business.
| CSR Themes | ESG Solutions through Three Pillars of Growth Strategies | Relevant SDGs |
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| Enhancing Quality of Life —Providing Products Required by Society— |
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| CSR Themes | Key Initiatives under New Mid-Term Management Plan | FY2021 KPIs | FY2019 Performance |
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| Enhancing Quality of Life —Providing Products Required by Society— | Reduction of CO2 emissions (in comparison to FY2010) | ||
| ● Reduction of CO2 emissions from product use (fuel-efficiency equipment, hybrid hydraulic excavator, rate of SMARTCONSTRUCTION use, enhancement of ICT-intensive construction, mine automation, and underground mining equipment) | 16% reduction (in comparison to FY2010) | 14% reduction | |
| ● Reduction of CO2 emissions from production (plants with zero impact on environment and workers) | 40% reduction (in comparison to FY2010) | 31.5% reduction | |
| Plants with zero impact on environment and workers | |||
| ● Rate of renewable energy use (including purchase of renewable energy) | 15％ | 10.7% | |
| ● Work environment burden coefficient (particle matter density) | 30% reduction (in comparison to FY2018) | 10.7% reduction | |
| ● Water consumption | 55% reduction (in comparison to FY2010) | 49.4% reduction | |
| Value chain reforms and redefinition of the aftermarket business | |||
| ● Spare parts sales | 11% increase | 3% increase | |
| ● Reman component lifespan (compared to new components) | 20,000 workhours (100% of new components) | 26,866 workhours (134% of new components) | |
| Assurance of mine operation safety and productivity | |||
| ● AHS units’ population (promotion of mining platform business) | 380 units (aggregate) | 221 units | |
| DANTOTSU Product, DANTOTSU Service, and DANTOTSU Solution | |||
| ● ICT-intensive equipment introduced(United States, Europe, and Australia) | 1,590 units (per year) | 1,361 units | |
| ● Sites adopting SMARTCONSTRUCTION | 4,850 (per year) | 2,440 | |
| ● Automation, autonomous operation, electrification, and remote-controlling of equipment | |||
| 1. Automation of construction equipment | Test introduction of hydraulic excavators for automated loading | Verification tests conducted on user sites | |
| 2. Automation, autonomous operation, and remote operation of mining equipment | Entry into mining bulldozer market (level 4 automation) | Preparations advanced to launch mining bulldozer with level 2 automation |
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| 3. Automation of utility equipment | Development of technology for automated forklifts | Development of peripheral safety technologies for supporting automation |
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| 4. Enhancement of mining equipment and hard rock mining businesses | Expansion of product series | Under development | |
| Agricultural solutions and smart forestry | |||
| ● Creation of construction equipment demand in agricultural field | Japan: Expand lineup of agricultural loaders Indonesia: Increase number of users of agricultural techniques employing agricultural bulldozers |
Japan: Commencement of verification tests at five agriculture business operators Indonesia: Started mass production and sales of D31PLL agricultural bulldozer |
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| ● Smart forestry projects | 50 | 10 | |
| IoT and ICT work reforms | |||
| ● Sales in KOM-MICS platform business (visualization of production equipment operation) | 1,900 units (including for internal use) | 865 units | |
| CSR Themes | ESG Solutions through Three Pillars of Growth Strategies | Relevant SDGs |
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| Developing People |
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| CSR Themes | Key Initiatives under New Mid-Term Management Plan | FY2021 KPIs | FY2019 Performance |
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| Developing People | Development of a diverse workforce with a high level of productivity and technical skills | ||
| ● Enhancing employee engagement | Improvement of global surveys and indexes | Scheduled for FY2020 | |
| ● Work process reforms through expansion of diverse and flexible workstyles | Total workhours of less than 2,100; introduction of telework system (Japan) | (1) 1,950 workhours per person/year (2) Commencement of trial in August 2019 |
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| ● Promotion of KOMATSU Way (global dissemination of KOMATSU Way) | Training hours and number of participants | • Training hours: 31,625 hours (aggregate hours for all participants) • Number of participants: 1,461 in Japan, 307 overseas |
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| Strengthening and development of diverse and global-scope talent to help achieve sustainable workplaces | |||
| ● Revision of role of Japan in global management | Shifting of human resources to projects and improvement activities; globalization of organizations on by-function basis | Human resource system revisions started in Japan | |
| ● Foundations for global measures (systems, frameworks) | Introduction | Preparations advanced for introduction | |
| ● Empowerment of female employees ((1) non-consolidated ratio of female employees, (2) non-consolidated ratio of female managers, (3) consolidated ratio of female managers (Japan)) | (1) 12.5%, (2) 10.0%, and (3) 5.0% | (1) 12.3%, (2) 7.2%, and (3) 4.5% |
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| ● Rate of employment of people with disabilities (comply with requirements in Japan) | Above 2.3% (legally mandated rate) | 2.58% (non-consolidated) | |
| ● Support for regional human resource development for job creation (regional human resource development with Cummins Inc.) | Chile, Australia, South Africa, others | • Human resource development program launched in Chile • Ongoing support provided in Peru, South Africa, and Australia • Participants’ success in finding employment tracked |
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| Development of talent with cross-value chain capabilities | |||
| ● Cultivation of SMARTCONSTRUCTION consultants (capable of proposing solutions using ICT to improve productivity and safety throughout construction workplaces) | 430 (aggregate) | 396 | |
| CSR Themes | ESG Solutions through Three Pillars of Growth Strategies | Relevant SDGs |
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| Growing with Society |
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| CSR Themes | Key Initiatives under New Mid-Term Management Plan | FY2021 KPIs | FY2019 Performance |
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| Growing with Society | Resolutions to social issues through collaboration with stakeholders | ||
| ● Promotion of industry-government-academia collaboration as well as of collaboration with customers | Promotion of Brand Management and activities creating value for customers | Examination of cutting-edge tools through activities with domestic customers and regional dissemination |
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| ● Shareholders and individual investors (shareholder meetings, shareholder factory tours, individual investor meetings) | Number of meetings held | • Shareholder meetings: 2 times • Shareholder factory tours: 10 times • Individual investor meetings: 7 times • Certain factory tours and meetings canceled due to impacts of global COVID-19 pandemic |
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| ● Institutional investors (ESG meetings) | Number of meetings held | 11 (ESG-related meetings) | |
| ● Communities (business site fairs) | One fair held at each of nine factories per year | Business fairs at nine factories (Awazu, Osaka, Ibaraki, Kanazawa, Tochigi, Oyama, Koriyama, Shonan, and Himi); canceled only at Shonan Plant due to impacts of Typhoon Hagibis |
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| ● Employees (meetings) | Number of meetings held | 34 (30 in Japan, 4 overseas) | |
| Action as a responsible corporate citizen addressing corporate governance, compliance, and human rights | |||
| ● Occupational health and safety, support for establishing environmental and safety systems at suppliers, response to Japan’s Corporate Governance Code (corporate governance reports), evaluations of ffectiveness of Board of Directors, internal control, and internal audits | Ongoing improvements made in reflection of relevant laws and regulations and social expectations | Establishment of Human Rights Policy, disclosure in integrated report |
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