Shimizu engages in business activities with a strong awareness of social and environmental sustainability.
Ever since the establishment of ESG topics and key ESG management indicators, we have pursued business activities strategically to realize a sustainable future. In May 2022, we specified new materiality issues considering recent social trends.
We aim to achieve SHIMZ VISION 2030, our new long-term vision, and our Mid-Term Management Plan <2019-2023> while also enhancing corporate value and contributing to achievement of the sustainable development goals (SDGs) by implementation of these materiality.
What is Materiality
Materiality is defined as "important issues that need to be addressed in sustaining our business model in order to achieve sustainable growth and increase corporate value over the medium to long term."
Process for Assessing Materiality
To assess materiality, we formed a cross-departmental working group and also consulted external expert opinions.
Specified Materiality
The specified materiality is classified into seven categories.
Categories 1 through 3 are material topics where the company actively works to solve social issues through its business and contributes to society. Categories 3 through 7 are materiality linked to the pursuit of business and strengthening the foundations of business.
SDG targets related to each category are also specified.
Main Measures and Indicators
1. Realizing a resilient society where everyone can feel safe and secure
With the heightened risk of natural disasters such as earthquakes, super- typhoons, torrential rains, there is an ever-increasing need to protect lives and businesses. Shimizu will contribute to the realization of a resilient society where everyone can feel safe and secure by building resilient buildings and infrastructure.
| Materiality | Main Measure |
|---|---|
| Building resilient social infrastructure |
|
| Increasing longevity of buildings and infrastructure |
|
<Main Measure:Disaster prevention and mitigation response>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Number of disaster prevention and mitigation projects undertaken（Building Construction） | ー | 34 | ー |
| Number of disaster prevention and mitigation projects undertaken（Civil Engineering） | ー | 6 | ー |
| Status of disaster recovery（Building Construction）(in case of when a large-scale) | ー | Conducted damage surveys and recovery support for customer facilities | ー |
| Status of disaster recovery（Civil Engineering）(in case of when a large-scale) | ー | Implemented landslide restoration work due to heavy rain disaster, and transported large sandbags urgently during heavy rain | ー |
<Main Measure: Response to increase longevity of buildings and infrastructure>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Number of orders received for renovation work | ー | 380 | ー |
| Number of orders received for infrastructure renovation work | ー | 6 | ー |
2. Realizing an inclusive society where all people can live together in comfort and health
With rapid changes such as aging, population decline and urbanization, the future requires a society where anyone can live safely and comfortably. Shimizu will contribute to the realization of an inclusive society by building facilities and developing communities that are people-friendly.
| Materiality | Main Measure |
|---|---|
| Building comfortable cities |
|
| Responding Well-being needs |
|
<Main Measure: Providing comfortable spaces and services using digital technologies>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Number of DX-Core(Japanese) introductions and project proposals | ー | Number of new introductions: 6
Number of project proposals : 140 |
ー |
<Main Measure: Provide built-environments that enhance health and Well-being>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Number of projects contracted for Well certification(Japanese) | 7 or more projects（2022） | 7 | 7 or more projects（2023） |
3. Realizing a sustainable society where future generations can inherit a well-cared for environment
As global warming, deforestation, ocean pollution, and other environmental problems become more serious, we must increase efforts to leave behind a bountiful earth for the next generation. Shimizu will contribute to the realization of a sustainable society through corporate activities that target reduction of negative environmental impacts.
| Materiality | Main Measure |
|---|---|
| Decarbonization |
|
| Resource recycling | |
| Living in harmony with nature (Preserving biodiversity) | |
| Preventing environmental pollution |
|
<Main Measure: CO2 emissions reduction in all business activities>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Reduction in CO2 emissions from the construction business (vs. FY2017) | 10% or more（2023） | 24.5% | 10% or more（2023） |
| Reduction in Scope 1 + Scope 2 CO2 emissions (vs. FY2017) | 10%（2023） 33%（2030） 100%（2050） |
22.1% | 10%（2023） 33%（2030） 100%（2050） |
<Main Measure: Promotion of ZEB creation/conversion>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Number of properties that obtain ZEB certification | ー | 13（cumulative*: 17） | ー |
since 2021
<Main Measure: Renewable energy promotion/popularization>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Renewable energy generated in the operation business | 300MW, cumulative*（2030） | 73.2MW, cumulative*（Single year results:16.1MW） | 300MW, cumulative*（2030） |
| Percent of owned investment and development properties renewable energy has been introduced in | 100%（2030） | 44% introducesd（Number of properties introduced : 7） | 100%（2030） |
since 2014
<Main Measure: Pursuit of 4R activities (Reduce, Reuse, Recycle, Recover)>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Final disposal rate of construction by-products | 3.7% or less（2022） | 3.1% | 3.0% or less（2030） |
<Main Measure: Promotion/popularization of wooden architecture>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Number of projects using wood and hybrid wooden construction | ー | 3（cumulative*：4） | ー |
since 2021
<Main Measure: Promotion of green infrastructure>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Number of projects where quantitative analysis of biodiversity was performed | 10（2022） | 10 | 10（2023） |
<Main Measure: Strict environmental compliance>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Number of serious environmental incidents | 0（2022） | 0 | 0（2023） |
4. Promoting a sincere approach to monozukuri (superb craftsmanship)
Shimizu will continue to maintain high aspirations for and practice the sincere monozukuri we have cultivated since the Company was founded, even in modern times where rapid technological advancements, the advent of a digital society, and other dynamic environmental changes are occurring.
| Materiality | Main Measure |
|---|---|
| Enhancing productivity |
|
| Ensuring optimal product quality |
|
| Strengthening supply chains | |
| Occupational safety and health |
|
<Main Measure: Building efficient construction production systems through digitalization>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Rate of improvement in productivity in the construction business (vs. FY2016) | 20％ or more（2023） | 10% | 20％ or more（2023） |
<Main Measure: Improvement in customer satisfaction>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Number of customer satisfaction surveys conducted | - | 187 | - |
<Main Measure: Pursuit of CSR procurement>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| CSR Procurement Guidelinesinitiatives indicators | - | 3.6 | 4.0（2024） |
<Main Measure: Improving treatment of skilled jobsite workers and talent development>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Number of people accepted into the Shimizu Takumi Training Center | - | 1,289（cumulative*: 3,093） | 1,800（2023） |
since July 2020
<Main Measure: Improvement in health & safety management and pursuit of activities to prevent occupational accidents>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| LTI (lost time injury) Frequency Rate | 0.57 or less（2022） | 0.71 Towards achieving the targets: Initiatives in Health & Safety |
0.57 or less（2023） |
5. Creating of new technologies and value that is ahead of the times
Shimizu will continue to pursue technological development aimed at realizing a sustainable society. With our spirit of innovation inherited from our founder to build a base for technological development and galvanize open innovation by working with diverse partners.
| Materiality | Main Measure |
|---|---|
| Developing cutting-edge technology |
|
| Creating new business models |
|
<Main Measure: Pursuit of technological development aimed at a sustainable society where all people can feel safe and secure and live-in comfort>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| R&D expenses | 16 billion yen（2022） | 17 billion yen | 18.5 billion yen（2023） |
<Main Measure: Galvanizing open innovation>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Status of business alliances with other companies and other areas | - | Promoting cooperation with companies in different industries and venture companies such as cutting-edge AI technology Collaboration with the University of Oulu, Finland |
- |
6. Developing human resources responsible for the next generation and pursuing of job satisfaction
Society is undergoing major transformations such as digitalization and globalization. Shimizu will welcome talent of diverse individuality and values to generate innovations. We will secure and develop personnel who will perform in the next generation and will create a workplace environment that accommodates diverse, flexible workstyles and provides a sense of job satisfaction. We will also work to establish a corporate culture that respects human rights.
| Materiality | Main Measure |
|---|---|
| Creating work environments with satisfaction |
|
| Diversity & inclusion | |
| Developing human resources with an eye towards the future |
|
| Respecting human rights |
|
<Main Measure: Building a workplace where employees can work energetically, and in health>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Employee job satisfaction index | 4.0 or higher（2023） | 3.67 Towards achieving the targets：Challenging workstyle reform(Japanese) |
4.0 or higher（2023） |
<Main Measure: Promoting Diversity>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Percentage of women in management positions (Number of women in management positions/Total number of management positions) | 10% or more（2030） | 3.86% | 10% or more（2030） |
<Main Measure: Training globally capable leaders who take the initiative on innovation>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Progress on strategy for facilitating training of personnel as leaders | - | Implementation of leadership development program, and start of open recruitment study abroad program | - |
<Main Measure: Conducting due diligence on human rights>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Progress on human rights due diligence | - | Held human rights risk training for subcontractors and surveyed the acceptance status of foreign skilled workers at Shimizu group companies | - |
7. Building a business base on the foundation of “The Analects and the Abacus”
All officers and employees will continue to base their actions on high ethical standards and focus on compliance management based on our corporate credo, The Analects and the Abacus to achieve sustained growth and enhance corporate value over the medium and long term.
| Materiality | Main Measure |
|---|---|
| Risk management |
|
| Thorough legal and ethical compliance |
|
| Strengthening information security |
|
<Main Measure: Thorough risk management>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Number of serious legal violations | 0（2022） | 0 | 0（2023） |
<Main Measure: Instillation of corporate ethics and strict compliance>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Progress on measures to provide corporate ethics training based on The Analects and the Abacus | - | Implementation of corporate ethics training for executives Published ""Shimizu Mind : The Analects and the Abacus"" and""Shimizu Mind : The monozukuri"" Implementation of practical project training based on The Analects and the Abacus |
- |
<Main Measure: Penetration and establishment of information security measures>
| Key Management Indicator/ Key Metric |
2022FY Target（Target Year） | 2022FY Actual | 2023FY Target（Target Year） |
|---|---|---|---|
| Number of serious information security incidents | 0（2022） | 0 | 0（2023） |
List of Materiality Issue and Key Management Indicator / Key Metric (578KB)
