H.U.Group Holdings, Inc. · TSE:4544
H.U.Group — ESG Presentation (March 2024)
38 slides from H.U.Group's sustainability presentation, Mar 14, 2024
Slide 1: H.U. Group ESG Conference 2023
H.U. Group ESG Conference 2023 March 14, 2024
Slide 2: Today's Agenda
Today’s Agenda H.U. Group's Sustainability Management Environmental Initiatives Initiatives for Sustainable Procurement H.U. Group's Human Capital Management Wrap-up 2
Slide 3: H.U. Group's Sustainability Management
H.U. Group’s Sustainability Management Shigekazu Takeuchi Director, Chairman, President and Group CEO H.U. Group Holdings, Inc.
Slide 4: H.U. Group Management Philosophy
H.U. Group Management Philosophy Mission Create new value in healthcare and thereby contribute to human health and the future of medical care. Vision With our deep involvement in human health, we aim to be a group that contributes to the development of healthcare through trust and innovation. Values
Slide 5: H.U. Group Sustainability Roadmap Two-Year Targets (FY2023–2024)
H.U. Group Sustainability Roadmap Two-Year Targets (FY2023–2024) • CO2 emissions : -12.6％ (base: FY2021) Environmental • Waste plastic recycling rate : 82％ • Percentage of female managers : 22％ • Percentage of male employees taking parental leave : 90％ Human • Percentage of employees answering “Sati
Slide 6: Concept of Current Sustainability Roadmap
Concept of Current Sustainability Roadmap Management Sustainability Based on three outside perspectives Plan Roadmap and the H.U. Group’s materiality FY2020 Perspectives from the H.U. Current Previous Medium-term Group’s shareholders and Roadmap Plan institutional investors (3 years) (5 years) Persp
Slide 7: Organizational Structure for Promoting Sustainability
H.U. Group’s Organizational Structure for Promoting Sustainability Board of Directors ⇔ Sustainability Committee (Chaired by President) ⇔ Subcommittees H.U. Group’s organizational structure for sustainability Board of Directors Sustainability-related discussions at board meetings this fiscal year Pr
Slide 8: Organizational Structure for Corporate Governance
H.U. Group’s Organizational Structure for Corporate Governance • Adopted company with committees system in 2005（now company with three committees system) Seven of the nine directors are independent external directors Two of the nine directors are women Nominating, Audit and Compensation Commit
Slide 9: Basic Principles of Executive Officer Compensation
Revision of Compensation System for Executive Officers and Directors – Ⅰ (Revised in July 2023) Basic Principles of Executive Officer Compensation • Encourage all executive officers to work together to develop and implement measures to sustainably increase the Company’s market capitalization • Stron
Slide 10: Revision of Compensation System for Executive Officers and Directors – II
Revision of Compensation System for Executive Officers and Directors – II The ratio between variable compensation and share-based compensation has been reviewed and relative TSR and ESG indicators have been added. Not KPI-linked Fixed compensation Variable compensation (1) Basic compensation (3) RSU
Slide 11: Environmental Initiatives
Environmental Initiatives Hiroaki Kimura Executive Officer, H.U. Group Holdings, Inc.
Slide 12: Progress on the Sustainability Roadmap in Environment and Energy Area
Progress on the Sustainability Roadmap in the Environment and Energy Area Shift from the intensity basis, which were used in FY2022, to the total emissions basis and refine data through third- party verification. The figures in FY2023 are expected to be smaller YoY because of the progress in the
Slide 13: Specific Initiatives for Emission Reduction of Scope 1 and 2
Specific Initiatives for Emission Reduction of Scope 1 and 2 Raise Energy-saving the renewable Carbon offset activities energy percentage ・Further strengthening ・Purchase green electricity, etc. ・Non-fossil fuel certificate energy-saving activities at purchase, etc. business locations centered on ※
Slide 14: Specific Initiatives for Emission Reduction of Scope 3
Specific Initiatives for Emission Reduction of Scope 3 We confirmed that each business partner is engaged in CO2 reduction activities. We recognize the need for further efforts from our group to tier 1 suppliers, and from tier 1 suppliers to tier 2 suppliers. Use our in-house Further strengtheni
Slide 15: Revision of Environmental Policy and Approach to Biodiversity
Revision of the H.U. Group’s Environmental Policy and formulation of “Our Approach to Biodiversity” The revised H.U. Group’s Environmental Policy The H.U. Group recognizes the connection between diverse business characteristics and the environment. We engage in environmental preservation, contributi
Slide 16: Biodiversity Relationship Diagram (LTS)
Biodiversity Relationship Diagram (LTS) Usage guide Value chain process Ecological service that is Input Output Impact that changes depended on nature Business activities Route (1) Reagents Route (2) Plastic containers Other supply services Water supply Biological Air purification Sale and Biomass s
Slide 17: Biodiversity Relationship Diagram (IVD)
Biodiversity Relationship Diagram (IVD) Usage guide Value chain process Ecological service that is Input Output Impact that changes depended on nature Business activities Water supply Biological resources Biomass supply Non-biological resources Atmospheric emission Genetic resources Water discharge
Slide 18: Initiatives for Sustainable Procurement
Initiatives for Sustainable Procurement Isao Tada General Manager of the Procurement Division, H.U. Group Holdings, Inc.
Slide 19: Meetings with Business Partners about Sustainability (Targets and Results)
Meetings with Business Partners to Exchange Opinions about Sustainability (Targets and Results) In FY2023, meetings were held with 11 business partners for the exchange of opinions. Using the SAQ*1 score on human rights and the environment, we invited upper- and lower-level business partners to
Slide 20: Meetings with Business Partners about Sustainability (Issues and Future Initiatives)
Meetings with Business Partners to Exchange Opinions about Sustainability (Issues and Future Initiatives) All companies introduce common initiatives for health management, actions to prevent human rights infringements (e.g., harassment) and the in-house reduction of GHG emissions. It looks like
Slide 21: H.U. Group's Human Capital Management
H.U. Group's Human Capital Management Koji Yamamoto General Manager of the Human Resources Division, H.U. Group Holdings, Inc.
Slide 22: Basic Stance on Human Capital Management
H.U. Group’s Basic Stance on Human Capital Management Based on our personnel philosophy, build an environment that enables each employee to embody the Group’s values and traits every day, grows and achieves our mission and vision. Create new value in healthcare and thereby contribute to human health
Slide 23: Organizational Structure for Promoting Human Capital Management
Organizational Structure for Promoting Human Capital Management Mission ・ Vision Management strategy Business strategy Functional Human Production Purchase Environment Finance IT/DX ……… strategy resource Manufacturing Procurement Division General Affairs Division Organization Human Resource Division
Slide 24: History of Human Resources Strategy
History of Human Resources Strategy 2024 Full-scale start of the new personnel system 2022・2023 Renamed H.U. Group Holdings Development of new personnel system Formulation of the current Medium-term Plan 2021 Promoting the H.U. Group’s integration Revision and establishment of personnel-related regu
Slide 25: Concept of the New Personnel System
Concept of the New Personnel System Mission Vision Personnel Philosophy Concept of the New Personnel System With our deep involvement in human health, A fair personnel system that promotes The power of the Company is the sum total of employees’ self-reliance, self-direction, thereby contribute to hu
Slide 26: Purpose and Goal of the New Personnel System
Purpose and Goal of the New Personnel System Systems Revision of the systems Purpose Goal Specify the steps toward motivate the employees Segmentalize the grades growth and taking on Self-fulfillment Appreciate the right efforts and results (1) Grading new challenges and self-reliance, self-directio
Slide 27: Measures to Support Employees' Career Development
Measures to Support Employees’ Career Development Offer opportunities for growth and learning based on self-reliance, self-direction, and self-responsibility, the Training and Development Policy Measures CAREERSHIP educational Public invitation-based DX education program, In-house career change (rep
Slide 28: Development of Leadership and Successors by Job Level
Development of Leadership and Successors by Job Level [Job position, HUGG] Coaching Officers EG Executive Officers seminar MG3 General manager/Officer Selection Managers Basics of business Results Managerial-level persons aptitude test management MG2 Selection (NMAT) Section manager/ Management trai
Slide 29: Establishing a PDCA Cycle Using Employee Engagement Surveys
Establishing a PDCA Cycle Using Employee Engagement Surveys ■ Improve employee engagement (KPI) through the process of analyzing the situation, identifying issues, formulating action plans and implementing the plans 1 Analysis of the key driver of engagement Prioritizing Compare results with the pre
Slide 30: Result of Employee Engagement Survey and Future Actions
Result of Employee Engagement Survey and Future Actions FY2021 FY2023 Response rate 88% 98% Employee engagement indicator (overall) 71% 74% Identification with the corporate philosophy I identify with “Healthcare for You”, the H.U. Group’s statement 90% 90% * Percentage of employees whose employee e
Slide 31: Promotion of Diversity
Promotion of Diversity Place importance on respecting individuals based on the concept, “Imagine people and create the future.” The H.U. Group is committed to promoting diversity to: Develop an environment and climate that enables all Ensure the continued growth of the companies and employees to wor
Slide 32: Specific Initiatives to Promote Diversity
Specific Initiatives to Promote Diversity Changes in the percentage of male employees taking extended leave or leave for childcare: FY2024 target 90% Many different measures will be taken to achieve the target of having 90% of the Group’s male employees taking extended leave or leave for childcare b
Slide 33: Wrap-up
Wrap-up Atsuko Murakami Executive Officer and CFO, H.U. Group Holdings, Inc.
Slide 34: Progress of Sustainability Roadmap Two-Year Targets (FY2023–2024)
Progress of H.U. Group Sustainability Roadmap Two-Year Targets (FY2023–2024) Progress • CO2 emissions : -12.6％ (base: FY2021) △ Environmental • Waste plastic recycling rate : 82％ 〇 • Percentage of female managers : 22％ 〇 • Percentage of male employees taking parental leave : 90％ 〇 Human • Percentage
Slide 35: Major Domestic ESG Evaluations
Major Domestic ESG Evaluations ESG evaluations Nikkei Smart Work 2024 Health & Productivity Management Survey Stock Selection administered by METI* In 2023: 4‐star rating Selected for the first time in March 2024 Nikkei SDGs Management Survey 2023 Digital Transformation In 2023: 3.5₋star ratin
Slide 36: Major Global ESG Evaluations
Major Global ESG Evaluations ESG evaluations ESG indexes FTSE Blossom Japan Index MSCI ESG Ratings Selected for the first time in 2023 Maintain AAA rating (top) from 2022 FTSE Blossom Japan Sector Relative Index CDP : responses in 2023 Selected for two consecutive years CDP Climate: A- (Sele
Slide 37: Manifestation and Increased Complexity of Diverse Sustainability Issues
Manifestation and Increased Complexity of Diverse Sustainability Issues Mission Vision 37
Slide 38: Contacts
Contacts: Public Relations/Sustainability Dept. Phone: +81-3-6279-0884 IR/SR Dept. Phone: +81-3-6279-0926 Disclaimer regarding forward-looking statement: The performance forecast provided in this document is prepared by the management based on currently available information and various hypotheses a