Shimizu engages in business activities with a strong awareness of social and environmental sustainability.
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 Business Plan〈2024－2026〉
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
We have long developed KPIs that incorporate an environmental, social, and governance (ESG) perspective, and in 2022, we identified our materiality. In addition, we have formulated major measures and metrics/targets for realization of these KPI, and we disclose our performance against them. Furthermore, we conduct annual re-views based on social trends and alignment with our management strategy. In FY2024, we conducted a review in line with our Mid-Term Business Plan 〈2024-2026〉.
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.
List of Materiality Issue and Key Management Indicator / Key Metric (FY2023 Actual) (585KB)
List of Materiality Issue and Key Management Indicator / Key Metric (FY2024) (686KB)
Main Measures and Indicators（FY2024）
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 |
2024FY Target（Target Year） |
|---|---|
| Number of disaster prevention and mitigation projects undertaken | ー |
| Status of disaster recovery (in case of when a large-scale) | ー |
<Main Measure: Response to increase longevity of buildings and infrastructure>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| Number of orders received for renovation work | ー |
| Number of orders received for infrastructure renovation work | 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 |
2024FY Target（Target Year） |
|---|---|
| Number of DX-Core(Japanese) introductions and project proposals | ー |
<Main Measure: Provide built-environments that enhance health and Well-being>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| Number of projects contracted for Well certification(Japanese) | 7 or more projects（2024） |
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 |
2024FY Target（Target Year） |
|---|---|
| Reduction in CO2 emissions from the construction business (vs. FY2023) | 12% or more (2026) |
| Reduction in Scope 1 + Scope 2 CO2 emissions (vs. FY2017) | 10%（2024） 33%（2030） 100%（2050） |
<Main Measure: Promotion of ZEB creation/conversion>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| Number of properties that obtain ZEB certification | ー |
<Main Measure: Renewable energy promotion/popularization>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| Renewable energy generated in the operation business | 300MW, cumulative*（2030） |
| Percent of owned investment and development properties renewable energy has been introduced in | 100%（2030） |
since 2014
<Main Measure: Pursuit of 4R activities (Reduce, Reuse, Recycle, Recover)>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| Final disposal rate of construction by-products | 3.0% or less（2030） |
<Main Measure: Promotion/popularization of wooden architecture>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| Number of projects using wood and hybrid wooden construction | ー |
<Main Measure: Promotion of green infrastructure>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| Environment analysis rate using the Environmental KY※ | 100% (2026) |
Environmental KY is an initiative aimed at visualizing the natural environment around construction sites on maps, enabling us to better understand and evaluate the surrounding ecosystems
<Main Measure: Strict environmental compliance>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| Number of serious environmental incidents | 0（2024） |
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 product quality |
|
| Strengthening supply chains | |
| Occupational safety and health |
|
<Main Measure: Production process reform in the construction business>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| Progress toward automation and labor savings in the construction business | ー |
<Main Measure: Identifying Quality Needs by activating communication with clients>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| Company-wide rollout of client satisfaction surveys | - |
<Main Measure: Promoting CSR Procurement>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| CSR Procurement Guidelines initiatives indicators | 4.0 (2024) |
<Main Measure: Improving treatment of skilled jobsite workers and talent development>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| Number of people accepted into the Shimizu Takumi Training Center | 1800 or more/per year (2026) |
<Main Measure: Improvement in health & safety management and pursuit of activities to prevent occupational accidents>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| LTI (lost time injury) Frequency Rate | 0.57 or less（2024） |
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 |
2024FY Target（Target Year） |
|---|---|
| R&D expenses | 18.5 billion yen (2024) |
<Main Measure: Galvanizing open innovation>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| Status of business alliances with other companies and other areas | - |
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 rewarding and attractive working environments |
|
| Diversity, Equity & Inclusion | |
| Nurture diverse talents willing to take on challenges and co-create |
|
| Respecting human rights |
|
<Main Measure: Change in awareness and behavior through dialogue and visualization of issues through surveys>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| Engagement Score | 4.0 or higher（2026） |
<Main Measure: Promoting Diversity>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| Percentage of women in management positions | 6% or more (2026) 10% or more（2030） |
| Percentage of employees with disabilities | 2.7% or more (2026) |
<Main Measure: Development of leaders who can work globally and take the lead in reform>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| Progress on strategies contributing to development of leaders | - |
<Main Measure: Professional education based on management strategies>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| Percentage of industry-qualified engineers | Maintain 80% or more (2026) |
| Nurturing DX Specialists | 120 specialists trained and assigned to all divisions (2026) |
<Main Measure: Conducting due diligence on human rights>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| Progress on human rights due diligence | - |
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 |
|
<Main Measure: Thorough risk management>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| Number of serious legal violations | 0（2024） |
| Number of serious information security incidents | 0（2024） |
<Main Measure: Instillation of corporate ethics and strict compliance>
| Key Management Indicator/ Key Metric |
2024FY Target（Target Year） |
|---|---|
| Progress of practical project training based on The Analects and the Abacus | - |
