CSR Basic Principles

Fujikura Group bases its sustainability activities on Corporate Philosophy MVCV, "Fujikura Group creates value for customer and contributes to society through "Tsunagu" technology," and on ISO26000, the international standard for social responsibility.

Fujikura Group 's CSR Philosophy, basic policy, and Action guideline

Fujikura Group CSR Philosophy

Fujikura Group The corporate social responsibility to be fulfilled by the Corporate Philosophy MVCV of Fujikura Group consists of activities that are necessary for "sustainable corporate management" and activities that help to build a "sustainable society".

Fujikura Group CSR basic policy

Fujikura Group aims to be a company that society expects to grow and develop, and to be a bridge to a prosperous future for people, society, and the global environment through our "Tsunagu" technologies. To this end, we have established four priority areas for fulfilling our social responsibilities in all aspects of our corporate activities, and we will comply with the laws and regulations of each country and region, as well as international rules and their spirit, while each Fujikura employee will be aware of their role as a member of society and act with social conscience.

[Four Priority Areas]

Integrity in business activities
Environmental Considerations
Respect for people
Harmony with society

Fujikura Group CSR Activity guideline

1. Sincere business activities
1. ① We will comply with the laws, regulations and spirit of each country and region, and conduct our business activities with integrity. Furthermore, we will be aware that we are members of society, and act with a sense of ethics and good social sense.
2. ② We will strive to maintain and improve "customer satisfaction" by putting ourselves in the customer's shoes and providing useful, safe, and high-quality products and solutions.
3. 3) We will conduct fair and transparent transactions based on free and open competition.
4. ④ We will maintain healthy and proper relationships with politics, government, citizens, and various organizations.
5. ⑤ We will strive to thoroughly manage and protect information related to our company and our customers.
1. Sincere business activities
1. ① We will comply with the laws, regulations and spirit of each country and region, and conduct our business activities with integrity. Furthermore, we will be aware that we are members of society, and act with a sense of ethics and good social sense.
2. ② We will strive to maintain and improve "customer satisfaction" by putting ourselves in the customer's shoes and providing useful, safe, and high-quality products and solutions.
3. 3) We will conduct fair and transparent transactions based on free and open competition.
4. ④ We will maintain healthy and proper relationships with politics, government, citizens, and various organizations.
5. ⑤ We will strive to thoroughly manage and protect information related to our company and our customers.
1. Sincere business activities
1. ① We will comply with the laws, regulations and spirit of each country and region, and conduct our business activities with integrity. Furthermore, we will be aware that we are members of society, and act with a sense of ethics and good social sense.
2. ② We will strive to maintain and improve "customer satisfaction" by putting ourselves in the customer's shoes and providing useful, safe, and high-quality products and solutions.
3. 3) We will conduct fair and transparent transactions based on free and open competition.
4. ④ We will maintain healthy and proper relationships with politics, government, citizens, and various organizations.
5. ⑤ We will strive to thoroughly manage and protect information related to our company and our customers.
1. Sincere business activities
1. ① We will comply with the laws, regulations and spirit of each country and region, and conduct our business activities with integrity. Furthermore, we will be aware that we are members of society, and act with a sense of ethics and good social sense.
2. ② We will strive to maintain and improve "customer satisfaction" by putting ourselves in the customer's shoes and providing useful, safe, and high-quality products and solutions.
3. 3) We will conduct fair and transparent transactions based on free and open competition.
4. ④ We will maintain healthy and proper relationships with politics, government, citizens, and various organizations.
5. ⑤ We will strive to thoroughly manage and protect information related to our company and our customers.

Sustainability Promotion Structure

Since fiscal 2009, Fujikura Group has been promoting CSR under a management system centered on Fujikura Group CSR committee.
In recent years, as society has come to widely call for action on climate change issues and ESG investment by institutional investors has become mainstream, it has become increasingly important for corporate activities to not only be about corporate social responsibility (CSR), but also to aim for sustainable growth (sustainability) based on ESG activities.
In order to incorporate this ESG perspective into our management plans and realize increased corporate value and sustainable growth (sustainability), we have established a new Sustainability Promotion Committee, which is an extension of the previous CSR committee. regulation on the Sustainability Promotion committee (hereinafter referred to as the committee), we are promoting the development of sustainability governance. The committee formulates sustainability strategy that incorporate the ESG perspective requested by stakeholder, and reports, discusses, and shares information to monitor and supervise the execution of those strategies. The committee is chaired by Director, President and CEO and is composed of directors (excluding some directors and outside officers) and Corporate Officer.

Sustainability Goals 2025

Based on our Group Corporate Philosophy MVCV, Fujikura Group believes that in order to achieve sustainability, it is necessary to carry out both activities necessary for "sustainable corporate management" and activities that help build a "sustainable society."
Until now, we have set five-year CSR Priority Measures 2020 (FY2015-FY2020) as environmental and social materiality, and promoted each measure in cooperation with relevant unit. However, society has changed rapidly since the goal was set, and a fundamental review has become necessary. Therefore, for the new five-year Sustainability Goals 2025 (FY2021-FY2025) starting from FY2021, we have set goals that take into account environmental and social materiality, while also taking into account financial materiality. In addition, by linking them with the long-term visions set by Fujikura Group (Vision 2030 and Fujikura Group Long-Term Environmental Vision 2050), we have made the goals more future-oriented.
The Sustainability Goals 2025 were discussed and approval at the Sustainability strategy Meeting (chaired by President and CEO).

Sustainability Goal Setting Process

Introducing double materiality

In setting the Sustainability Goals for 2025, we verified the results of the CSR Priority Measures for 2020 and organized new perspectives that should be incorporated based on the latest trends. In understanding the latest trends, we referred to domestic and international social issues, international guideline, evaluation items of ESG evaluation agencies, and voices from stakeholder.
In addition, the Sustainability Goals 2025 added F (finance/future) to the ESG perspective, newly incorporating the impact that the environment and society have on corporate performance, while also taking into consideration the achievement of the company's long-term vision, such as the 2030 vision.

Formulation of a materiality map

Based on the "Fujikura Group CSR basic policy" and the "Four Priority Issues," Fujikura Group has created a materiality map to determine the themes for the Sustainability Goals 2025. This was done by conducting a "materiality map analysis" with stakeholder inclusion in mind, and evaluating and verifying from two perspectives: "stakeholder concerns" and "degree of impact on our business."
As a result, we have set three items for F (finance/future), five items for E (environment), three items for S (society), and five items for G (governance), and we evaluate our targets and performance every year toward achieving our goals by fiscal 2025. We disclose our progress toward our targets every year in our integrated report and on our ESG website.

New Goals Added

In setting our Sustainability Goals for 2025, we verified the results of our CSR Priority Measures for 2020 and organized new perspectives that should be incorporated based on the latest trends. In identifying the latest trends, we referred to domestic and international social issues, international guideline, evaluation items from ESG evaluation agencies, and feedback from stakeholder.
In addition, the Sustainability Goals 2025 added F (finance/future) to the ESG perspective, newly incorporating the impact that the environment and society have on corporate performance, while also taking into consideration the achievement of the company's long-term vision, such as the 2030 vision.

Four sustainability themes based on ESG+F

Sustainability Theme		Results of CSR Priority Measures 2020	Additions to Sustainability Goals 2025
F	Finances and Future	Promoting CSV as strategy to contribute to achieving the SDGs while also growing the company's profits, and organizing internal awareness-raising and specific initiatives	Newly incorporate the impact of environmental and social factors on business performance In the four market sectors defined in the 2030 Vision, the company will develop existing business and search for new business segments. DX Promotion has been newly added
E	Environment	_CO2 emissions and water usage reductions were mostly achieved Biodiversity conservation activities continue with a focus on the Fujikura-Kiba Millennium Woods	A long-term perspective toward achieving carbon neutrality (linked with Fujikura Group Long-Term Environmental Vision 2050) TCFD Compliance (Consideration of economic rationality in terms of _CO2 emissions and business performance)
S	society	As a consideration for human rights in society, we implement measures such as work hour management and harassment education, improve the telework environment, and encourage men to take childcare leave. Regarding the supply chain, we will continue to hold opportunities for communication such as nurses' meetings to request consideration for the human rights of part-time workers, and will also communicate requests for consideration for human rights through the CSR Procurement guideline.	Strengthening the perspective of "business and human rights" and incorporating Fujikura employee engagement, human resource development linked to Corporate Strategy, and diversity and inclusion Supply chains will shift to governance (G) in the Sustainability Goals 2025
G	Governance	Fujikura Group Corporate Philosophy MVCV, will continue to strengthen its efforts by implementing interpretation workshops and promoting awareness through the MVCVBOOK. In terms of information disclosure and communication, we will strengthen our efforts by continuing to include EDG indexes and holding ESG meetings with institutional investors.	Following revision corporate governance, the new system includes the functional facilities of Board of Directors' Meeting, the implementation of Fujikura Group Corporate Philosophy, and strengthening of supply chain management.

Deliberations at the Sustainability strategy Meeting

Overview of Sustainability Goals 2025

Sustainability Goals 2025 Overall Presentation

List of Sustainability Goals 2025

Sustainability Theme		Priority Measures	Major achievements in FY2023 (excerpts)
F	2030 Vision Realization of CSV and business Opportunities Maximize	By providing "Tsunagu" solutions, we aim to resolve issues facing a comfortable and sustainable "future" society and continuously increase corporate value.	Started collaboration with Kyoto Fusioneering on a research promotion project for the UK Atomic Energy Authority (UKAEA) in the field of high-temperature superconducting magnets for fusion power reactors Participated in NTT East's IOWN Lab as a PoC activity with customer using 60 GHz mmWave Wireless Communications Module
		Development of environmentally friendly products that are safe to use	FY2023 sales ratio of green-related products is expected to be 62% (Fujikura) ・ establishment a new certification system, Green PLUS, for products that have an impact on not only the environment but also society. Certification procedures have begun. Establish a system to calculate the CO2 reduction effect of registered Green Mind products Launch of certification system for environmentally friendly products at domestic group companies
		Utilizing data and digital technologies to improve the efficiency of existing business and create new business models	Completed introduction of AI inspection to membrane circuit inspection process Sim2Real and reinforcement learning-based AI model implemented in collimator lens alignment process and put into operation
E	Fujikura Group Long-term Environmental Vision Achieving 2050	[Challenge 1] Total factory CO2 emissions "Zero by 2050 Challenge"	Reduction of CO2 emissions (SBT certified boundary) [Scope 1+2] 247,000 tons-CO2, a 28.6% reduction compared to fiscal 2020 [Scope 3] 17,879 thousand tons of CO2, a reduction of 18.6% compared to fiscal 2020 *When SBT certification was obtained in July 2023, Scope 3 targets were added to the scope.
S	Globally applicable Talented human resource	Developing human resource who can thrive globally	Permanently hold "Career Design Training for People in Their 30s" aimed at fostering independent career awareness Introduction of an online education platform that allows employees to learn IT skills independently. Total number of employees taking voluntary training/exams (taking TOEIC and other exams, online English conversation/learning tools) External courses, correspondence courses, etc.): 1,327 people (Fujikura) *1,233 students in 2022 Promoting the use of AI to improve business efficiency and generate new ideas, while also avoiding the risk of information leaks due to the introduction of AI
S	Globally applicable Talented human resource	Diversity & Inclusion	Ratio of women among new graduate hires (general employees): 31% (75% administrative, 15% technical) (Fujikura) Ratio of female managers: 4.5% (3.9% in FY2022) Employment rate handicapped person: 2.7% (domestic)
G	Corporate Strengthening governance	Realizing management that considers transparency and value creation	Reconstruction of management human resource pool and reselection for new pool Outside directors, CxOs, and Corporate Officer attended training presentations by management human resource (3 pools)
		Building group governance	Group Governance Basic Policy was formulated in January 2024. This policy applies to management and business execution throughout the Group.
		Supply Chain Management (including responsible mineral sourcing)	Fujikura Group Partners Meeting held in Tokyo and Shanghai FY2023 results: 146 companies and 221 participants Explanation of Fujikura Group 's management plan, procurement policy, and CSR procurement guideline Provided information on the importance of human rights due diligence in the supply chain, including responsible mineral sourcing, and on responding to climate change Implemented CSR procurement self-assessment questionnaire and Procurement Division survey