Konica Minolta : Sustainability Report 2021(1/2)

Contents

Message from

Message from the

Basic Approach and Systems

Sustainability

Material

Activity Report

the President

Sustainability Officer

for Sustainability Management

Strategy

Issues

Environment

Social

Governance

Evaluation by		Stakeholder		Participation in Intiative
External Parties		Engagement

ESG Data List of Policies

External Assurance Guidelines Index Reporting Policy

Konica Minolta, Inc. Sustainability Report 2021

Contents

Contents Sustainability

Message from the President

Message from the Sustainability Officer

Basic Approach and Systems for Sustainability Management

Sustainability Strategy

・Material Issue Evaluation and Identification Process ・Sustainability Targets and Results

Material Issues

・Material Issue 1: Improving Fulfillment in Work and

Corporate Dynamism

・Material Issue 2: Supporting Healthy, High-Quality

Living

・Material Issue 3: Ensuring Social Safety and Security

・Material Issue 4: Addressing Climate Change

・Material Issue 5: Using Limited Resources Effectively

Activity Report

・Environment

Policy & System

Konica Minolta Environmental Policy

Environmental Management Concept

Environmental Management System Eco Vision 2050

Medium-term Environmental Strategy

Response to New Framework for Climate-related Financial Information Disclosure

Sustainable Solutions (Product Initiatives)

Konica Minolta's Approach

Sustainable Solutions Certification System

Saving Energy and Preventing Global Warming through Sustainable Solutions

Resource Conservation and Recycling of Products Management of Chemical Substances in Products Helping Restore and Preserve Biodiversity through Products Provision of Product Environmental Information

Sustainable Factory (Procurement and Production Initiatives)

Konica Minolta's Approach

Sustainable Factory Certification System

Saving Energy and Preventing Global Warming in

Production Operations

Resource Conservation and Recycling in Production Operations

Reduction of Chemical Substances Risks in Production

Addressing Biodiversity in Production Activities

(Consideration of Water Resources and Wastewater, Proper

Management of Greenery at Factories)

Green Supplier Activities

Green Procurement System

Sustainable Marketing

Konica Minolta's Approach

Supporting Customers to Solve Their Environmental Issues Providing Services to Solve Customers' Environmental Issues Reducing Environmental Impact in Sales Activities Reducing CO2 Emissions from Distribution

Reduction of Use of Packaging Materials Product Recycling

Environmental Data

Standards for Calculating Environmental Data

CO2 Emissions Across the Entire Supply Chain

Soil and Groundwater

Environmental Communication

(Website information as of September 2021)

1	・Social	148
2	Human Capital	150
4	Basic Concept	150
Work-Style Reform	153
6
Developing Human Capital	156
	Managing Occupational Safety and Health	161
10	Initiatives to Increase the Health of Employees	168
Promoting Reform of Corporate Culture and Communication	179
14
Diversity	184
17
Our Concept	184
22	Supporting Women's Career Building	186
31	Utilizing Employee Experiences Gained Outside the
	Company and Abroad	191
31	Supporting the Efforts of Diverse Employees	193
Employment of People with Disabilities	194
37	Customer Satisfaction and Product Safety	195
Basic Concept	195
42
Quality Management	197
46
Achieving Top-Tier Quality and Reliability	200
50	Enhancing the Security of Products and Services	205
53	Creating New Quality Value	210
Providing Useful Products to Meet Social Needs	215
53
Responsible Supply Chain	219
55
Basic Concept	219
55
Konica Minolta's Approach	221
56
Konica Minolta's Supply Chain Management	223
58
Implementing CSR Procurement	228
61
Practicing Responsible Minerals Procurement	236
62
Procurement Initiatives	240
70	Human Rights	242
75	Contributing to Society	246
75	Basic Policy	246
Health, Medicine, and Sports	248
77
Environmental Actions in the Society	251
80	Scholarship, Research, and Education	253
85	Disaster Recovery and Volunteerism	256
89	・Governance	258
91	Corporate Governance	259
92	Corporate Governance System	260
96	Internal Controls	279
Risk Management	280
96	Communication with Shareholders and Investors	283
98	Compliance	286
101	Basic Concept	286
Compliance Promotion System	287
106
Compliance Promotion Activities	290
108
Putting Compliance into Practice	292
	Information Security	294
112	Evaluation by External Parties	297
115	Stakeholder Engagement	305
120
Participation in Intiative	307
122
122	ESG Data	311
123	・Environmental Data	312
126
・Social Data	320
128
・Governance Data	326
132
134	List of Policies	328
136	External Assurance	334
138
Guidelines Index	336
139
・GRI Standards Index	336
142
145	・ISO26000 Index	361
147	・UN Global Compact Index	363
	・SASB INDEX	364

Sustainability Reporting Policy

366

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Contents

Message from

Message from the

Basic Approach and Systems

Sustainability

Material

Activity Report

the President

Sustainability Officer

for Sustainability Management

Strategy

Issues

Environment

Social

Governance

Evaluation by		Stakeholder		Participation in Intiative
External Parties		Engagement

ESG Data List of Policies

External Assurance Guidelines Index Reporting Policy

Sustainability

EnglishChinese

Message from the Sustainability Officer		Basic Approach and Systems for
	Sustainability Management

Sustainability Strategy

Sustainability Strategy

Targets and Results

Material Issues

2

Contents

Message from

Message from the

Basic Approach and Systems

Sustainability

Material

Activity Report

the President

Sustainability Officer

for Sustainability Management

Strategy

Issues

Environment

Social

Governance

Evaluation by		Stakeholder		Participation in Intiative
External Parties		Engagement

ESG Data List of Policies

External Assurance Guidelines Index Reporting Policy

Activity Report

This section introduces Konica Minolta's medium-term environmental strategy, initiatives to reduce environmental impact in business activities, and efforts to achieve "Carbon Minus" status.

This section introduces Konica Minolta's initiatives to strengthen the capacity and diversity of its human resources, raise customer satisfaction, provide safe products, protect human rights, and ensure social responsibility across the supply chain.

his section introduces Konica Minolta's corporate governance, compliance, risk management and information security measures.

Evaluation by External		Stakeholder Engagement		Participation in Intiative
Parties

ESG data		policy		Sustainability Report
		Archives

Sustainability Reporting		External Assurance		Guidelines Index
Policy

3

Contents

Message from

Message from the

Basic Approach and Systems

Sustainability

Material

Activity Report

the President

Sustainability Officer

for Sustainability Management

Strategy

Issues

Environment

Social

Governance

Evaluation by		Stakeholder		Participation in Intiative
External Parties		Engagement

ESG Data List of Policies

External Assurance Guidelines Index Reporting Policy

Message from the President

Redefining the risks and opportunities facing our company as society is dramatically changed by COVID-19

COVID-19 has had a major impact on societies and economies around the world, greatly accelerating changes to our values and the way we work and live, and has had a great impact on the business of the Konica Minolta Group. This year has seen the Group face many new risks and opportunities due to such changes to society and human behavior.

Such risks include an acceleration in the decline of print volumes due to the reduced numbers of employees commuting to an office caused by the expansion and normalization of working from home. This is a structural change that we were expecting to happen gradually, but COVID-19 has certainly accelerated such change. The cancelation of events and closing of stores has led to a drastic decline in demand for commercial printing.

On the other hand, COVID-19 has accelerated behavioral changes in the way we live and work, which can be expressed by keywords such as individualization/decentralization and remote /non-contact services, and has led to demand for safety, security, and health. I believe that such changes to society provide us with a new business opportunity. For example, the popularization of working from home has increased the importance of information security. This has led to various customers asking us for proposals on workflow reforms that utilize the advanced security technologies and digitalization of the Company, and our solutions have been well received. Various workplaces have also been investigating methods for avoiding infection and ensuring social distancing, and this has led to many inquiries about projects such as temperature screening services via image diagnosis, remote medical care at hospitals, and services for automating the inspection process at factories. With COVID-19 also increasing consumer interest in health, I feel that demand for services that support personalized medical care and early diagnosis will certainly grow.

We have been promoting the three-year DX2022 medium-term business plan since fiscal 2020, and the fundamental objectives of DX2022 are to "leap to highly profitable businesses through DX" and to "evolve into a company clearly committed to solving social issues." Viewing the social changes being prompted by COVID-19 as an opportunity, we seek to establish high-profit businesses that contribute to solving social issues.

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Contents

Message from

Message from the

Basic Approach and Systems

Sustainability

Material

Activity Report

the President

Sustainability Officer

for Sustainability Management

Strategy

Issues

Environment

Social

Governance

Evaluation by		Stakeholder		Participation in Intiative
External Parties		Engagement

ESG Data List of Policies

External Assurance Guidelines Index Reporting Policy

Placing sustainability at the foundation of management strategy to improve our medium to long-term corporate value

To formulate DX2022, we held deep discussions on what we want society to be like a decade from now in the year 2030, and what environmental/social issues we will need to solve in order to achieve that vision. As the world moves toward an autonomous distributed society that develops sustainably, we have redefined our purpose as contributing to "Support people to achieve their own purpose" and "Realize a sustainable society."

This is the stance that has been at the foundation of our management strategy since the merger between Konica and Minolta in 2003, and since being appointed President, I have focused management based on my belief that contributing to the realization of a sustainable society where everyone can live with a purpose is the only way to achieve the sustainable growth of the Company. This idea has carried over to our employees and we are seeing more and more voluntary initiatives, such as projects for solving social issues that were proposed and started by young employees. I find it extremely encouraging that we have such human resources that truly want to improve the world.

In fiscal 2020, we clarified our five material issues for contributing to solving social issues via our business activities as " Improving fulfillment in work and corporate dynamism ," " Supporting healthy, high-quality living," "Ensuring social safety and security," "Addressing climate change," and "Using limited resources effectively." In regard to climate change in particular, we have worked toward long-term goals since establishing the Eco Vision 2050 long-term environment plan in 2009. In fiscal 2020, we pushed forward our timeline for achieving Carbon Minus status to the ambitious target of 2030. We aim to increase the amount that we can contribute to reducing CO2 emissions at client companies and business partners compared to our own CO2 emissions, by sharing our expertise and knowledge on environmental management in order to reduce the environmental impact of the entire value chain. As for to material issues not related to the environment, we will continue to quantify the social and economic impact that our business activities have, and set specific KPIs to accelerate our initiatives.

Guided by our philosophy-"The Creation of New Value," we will continue to create environmental/social value and economic value via all kinds of business activities. We will also contribute to a sustainable society as a company clearly committed to solving social issues, while simultaneously improving our medium to long-term corporate value, and I hope for the continued support of all of our stakeholders.

Shoei Yamana

President and CEO, Representative Executive Officer

Konica Minolta, Inc.

August 2021

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