Message from the Sustainability Officer
Growing the Business to Provide New Value That Helps Build a Sustainable Society
If greater social unrest is triggered by the destruction of the global environment, it will also impact economies and financial systems worldwide. However, by working to solve global environmental and social problems, we can minimize future risks while creating opportunities for growth.
Konica Minolta's management vision is "Imaging to the People," and we are working hard to help build a sustainable society by continuing to evolve by practicing co-innovation with our customers. We will continue to take on the challenge of innovation that can promote both the growth of our business and the creation of new value for the global environment and all of humanity.
Progress Made under SHINKA 2019
We identified six material issues under SHINKA 2019, which ran through 2019, and took action to address them. Our aim was to ensure our initiatives link solutions to social issues with our business activities, reflecting the changes in business and society.
In social innovation, one of the six material issues, we provided solutions that help to solve social issues, leveraging our core technologies and innovations. For instance, we developed and marketed the HitomeQ Care Support service to help transform caregiver workflow. This solution improves caregiver work efficiency by about 30%. We also launched a social enterprise collaboration called Care Philosophy Partners Conference (CPPC). Together with nursing care providers and IT service companies, Konica Minolta has been working with other industries to better meet the challenges facing today’s aging society.
We created new solutions in various other fields, as well. Workplace Hub supports diverse work style needs. It offers solutions that are one step ahead, including the ability for personnel to work remotely in a highly secure IT environment, and to engage in internal and external collaboration. In another field, our gas monitoring service has made the location and severity of gas leaks visible using image processing technology. It helps provide consistent monitoring that is not dependent on the maintenance operator’s skill, while ensuring the safety of repair work.
On the environmental front at Konica Minolta, we moved forward with our Eco Vision 2050, which includes the goal of achieving “Carbon Minus” status by 2050. To achieve this goal, in addition to lowering our own CO2 emissions over our product life cycles by 80%, we also have to reduce CO2 emissions not related to our product life cycles, by helping customers and business partners to solve their environmental issues. In other words, our “Carbon Minus” goal can only be achieved by offsetting more than just the CO2 emissions attributable to Konica Minolta.
Under SHINKA 2019, we reduced CO2 emissions throughout our product life cycles by approximately 50% compared to fiscal 2005. In addition, along with lower CO2 emissions and resource usage, Konica Minolta realized an energy and resource cost reduction effect in production processes of approximately 1.8 billion yen over the three years of the plan. Thanks to our Green Marketing Activities, which provided customers with our environmental expertise, interest in our environmental products and services increased, making a revenue contribution of 780 million yen in fiscal 2019. This demonstrated the effectiveness of our strategy to increase profit by tackling environmental issues.
Our sustainability initiatives have earned the Company ongoing inclusion in major ESG indices such as the Dow Jones Sustainability World Index. Our efforts have been affirmed by numerous global ESG ratings, as well. In Japan, Konica Minolta won the top award at the Nikkei SDGs Management Grand Prix.
Addressing Five New Material Issues with Digital Transformation (DX)
In fiscal 2020, Konica Minolta introduced a new long-term vision and began working on a medium-term business strategy called "DX2022," to be achieved by 2030. While drafting these plans, we identified the social issues that ought to be addressed by 2030, and then set our objectives for the medium term through backcasting. After analyzing various issues expected to be critical by 2030, we conducted a materiality analysis from the perspectives of social issues that must be solved, and Konica Minolta's business growth. This led to the identification of five new material issues for Konica Minolta to tackle: (1) improving fulfillment in work and corporate dynamism; (2) supporting healthy, high-quality living; (3) ensuring social safety and security; (4) addressing climate change; and (5) using limited resources effectively.
Our Medium-Term Sustainability Strategy 2022 has been drafted based on these five new material issues. The plan includes quantitative KPIs for the creation of social and environmental value as well as economic value for each of the five material issues. The aim is to grow our business by helping to solve social and environmental issues, which will lead to corporate growth.
The five material issues
Helping to Solve Social Issues by Advancing Konica Minolta's Imaging IoT Technology and Combining It with Digital Technology
The world is looking to corporate innovation to help solve today’s increasingly urgent social and environmental issues. By combining imaging IoT and digital technologies to “visualize the invisible,” Konica Minolta will work to transform the workflows used in the workplace and contribute to society by making people’s lives even more fulfilling.
Under the new strategy, the first material issue is “improving fulfillment in work and corporate dynamism.” As work styles continue to diversify, we are providing solutions that increase productivity and make creativity-inspiring work styles possible in diverse locations — all the while supporting the human quest for purpose in life, improving fulfillment in work, and fostering corporate dynamism.
The second material issue is “supporting healthy, high-quality living.” Here, we are enhancing the diagnostic function of clinics and other neighborhood primary care settings by providing diagnostic imaging analysis technology that uses AI, and by supporting diagnosis through a network of specialists. In addition, we are helping to make the workflow at nursing care facilities visible using image analysis and AI to reduce the burden on caregivers. By making it possible to provide more finely tuned nursing care services, Konica Minolta is also helping seniors to remain independent.
The third material issue is “ensuring social safety and security.” To address this, we are providing technology to enable non-contact and remote monitoring and inspection at factories and plants. By predicting process irregularities and risks in ways that surpass the visual skills of frontline workers, we aim to prevent accidents and ensure the safety and security of factories and surrounding communities.
Driving Drastic CO2 Emissions Reduction with DX, to Achieve “Carbon Minus” Status by 2030 Instead of 2050
With the implementation of our new long-term vision and medium-term business strategy, "DX2022," we have decided to bring forward our goal to achieve “Carbon Minus” status to 2030. Utilizing digital transformation (DX) technologies, Konica Minolta will promote collaboration with even more corporate clients and business partners, taking on the challenge of broad-scope reduction in environmental impact.
One example of this is the digitization of our Green Supplier Activities, which provide business partners with Konica Minolta environmental expertise. Until recently, our specialists visited the factories of our business partners to perform energy-saving diagnoses. By digitizing and automating our diagnostic expertise, we have developed a system that allows business partners to perform energy-saving diagnosis and implement measures on their own. We anticipate that this will dramatically expand the scope of our activities and further accelerate environmental impact and cost reduction.
Carbon Minus by 2030(instead of 2050)
Another key initiative is our Environmental Digital Platform, launched in June 2020. This system helps to improve the efficiency of environmental management by allowing Konica Minolta and each participating company to share their knowledge and expertise in order to co-create new value. The platform is operated with the cooperation of Panasonic Corporation as the administrating company, based on its abundant expertise and global solutions. This network for co-creation started with 15 participating companies and will continue to steadily expand.
The platform has two spaces. The first is a place for participants to co-create solutions. It allows participating companies to bring together their technologies and expertise to create new solutions for challenges that are difficult for companies to solve alone. The second is a place where participants share and utilize their respective environmental technologies and expertise in the form of solutions that are already proven. Via these two spaces, Konica Minolta aims to help solve environmental issues on a global scale. This can be achieved by accelerating the resolution of environmental challenges through collaboration between companies, and by promoting innovation through co-creation.
Environmental Digital Platform
We are determined to achieve sustainable corporate growth by delivering on our new three-year medium-term business strategy. We will do this by pursuing collaboration with many different companies in order to bring about drastic reductions of environmental impact in society as well as drive our own growth.