TEL's CSR

At Tokyo Electron(TEL), we believe it is essential to fulfill our corporate responsibilities toward attaining a sustainable society. Based on this conviction, we strive to build stakeholder trust, solidify a sound management foundation, and create new value through operations.

CSR Policy

The CSR operations of TEL are initiatives that realize TEL’s Corporate Philosophy. We pursue sustainable operations from the viewpoints of corporate governance, legal and regulatory compliance, and business ethics while creating new value through our products and services. Based on these efforts, we implement CSR activities to help address social issues. We will continue to pursue CSR activities to build stakeholder trust, improve corporate value and, by doing so, promote the growth of a sustainable and dream-inspiring society.

Corporate Philosophy

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CSR Promotion Framework

TEL implements sustainability management which is integrated into management strategy from a medium- to long-term perspective. Company-wide CSR policies are set at the CSR management council with the participation of management. The CSR global promotion conference then sets CSR targets and company-wide initiatives based on these policies. The progress and day-to-day CSR activities are shared at the CSR monthly meeting as we build cooperative systems across the company.

Conference NameParticipantsFunctionMeeting frequency
CSR Management CouncilChairman of the Board
President & CEO
Directors and General Managers
Decide group-wide CSR policy
Discuss important matters
Twice annually
CSR Global Promotion CommitteeCorporate Director of CSR
Heads of related departments
CSR officers of affiliates and
overseas companies
Set CSR targets
Implement global projects
Monthly
CSR Monthly MeetingPerson in charge of CSR at each divisionShare information on CSR activities
Discuss cross-division CSR initiatives
Monthly

Participation in International CSR Initiatives

TEL is a member of the UN Global Compact, a global CSR initiative, and the RBA*. We comply with these initiatives, codes of conduct, and principles in areas regarding such issues as human rights, labor, environment, safety and health, ethics and corruption prevention. By doing so, we strive to maintain a sustainable management platform.

* The RBA, formerly known as the Electronic Industry Citizenship Coalition (EICC®), was rebranded to the current name in October 2017.

United Nations Global Compact

The United Nations Global Compact (UNGC) is an international framework for encouraging businesses and other entities to assume a leadership role in the four areas of human rights, labor, environment, and anti-corruption, so they can act as responsible and creative members of society and take the initiative toward achieving sustainable growth. Tokyo Electron announced participation in the UNGC in 2013, embracing the ten principles of the Compact.

Responsible Business Alliance (RBA)

The Responsible Business Alliance (RBA) consists of leading electronics companies dedicated to promoting CSR in their supply chains. The RBA has a common Code of Conduct governing such areas as labor, environment, safety and health, and ethics. Tokyo Electron joined the alliance in 2015, and has been taking measures to improve sustainability of its supply chain ever since.


* The RBA, formerly known as the Electronic Industry Citizenship Coalition (EICC®), was rebranded to the current name in October 2017.

TEL's Initiatives as an RBA Member

In June 2015, TEL joined the RBA, an industry consortium that addresses global CSR challenges. To ensure that our business practices in the fields of labor, health and safety, environment and ethics are in full compliance with the RBA Code of Conduct, we have put in place a comprehensive management system for our CSR initiatives. We are also collaborating with other RBA members and experts to create a business environment conducive to the industry-wide fulfillment of CSR.


TEL has an internal ethics code and related policies that are designed to comply with the relevant laws and regulations of the countries concerned, various international standards, and the RBA Code of Conduct. The company also periodically ascertains the progress of its initiatives by evaluating its business processes. Specifically, we use the self-assessment questionnaire (SAQ) format provided by the RBA to assess performance and correct any problems, both at our corporate headquarters and our major locations worldwide.


The results of the assessment are periodically reported to the presidents of the local group companies, and the corporate management team monitors the group-wide measures for improvement as well as the progress and problems of each initiative. Once key issues have been identified, the CSR Promotion Administration Division and related divisions periodically monitor the corrective process to ensure business operation improvement.


Thanks to these measures, no human rights violations, such as child labor or forced labor, occurred at TEL in fiscal year 2017, and no ethical risks to the soundness of its ongoing business operations were found.


TEL Group will continue to improve its operations in compliance with the RBA Code of Conduct, and resolves to engage in socially responsible activities and to promote CSR throughout the industry.

Stakeholder Engagement

Continued dialogue and collaboration with stakeholders is important in order for TEL to provide new value through our business and to build trusting relationships. We will disclose information with a high degree of transparency in a timely manner and reflect the opinions and wishes of our stakeholders in business activities as we endeavor to improve our corporate value.

StakeholdersCommunication opportunityKey opinions and requestsRelevant material issues
Shareholders/ investorsEarnings announcement
ESG surveys
Interviews

Measures for increasing corporate value over the medium-to long-term
Corporate governance initiatives
Medium-to long-term stance on reducing environmental impact

Product competitiveness
Higher productivity
Management foundation
Customers

Technology conference

Customer satisfaction survey

Individual technology collaboration

Accurate understanding of customer needs
Proposal of high-value-added solutions
Strengthening engagement from an earlier stage
Product competitiveness
Responsiveness to customers
Higher productivity
Suppliers

Production update briefing

Partners day

STQA* audit

Greater promotion of collaborative systems
Increased opportunities for communication

Higher productivity
Management foundation
EmployeesEmployee meetings
Global engagement survey
Career interest survey (Japan)
Development of systems leading to motivation and job satisfaction
Support for medium-to long-term career planning
Initiatives for higher productivity
People and workplaces
Management foundation
Local communitiesCommunity contribution activities
Tours of factories and offices
Community revitalization
Creation of employment opportunities
Environmentally friendly operations
People and workplaces
Management foundation
Governments/associationsIndustry group activities
Collaboration with various initiatives
Creation of innovation leading to the resolution of social issues
Initiatives for respect for human rights
Responsible procurement
Product competitiveness
People and workplaces
Management foundation

*STQA: Supplier Total Quality Assessment

Third-party Recognition

TEL’s CSR activities have been evaluated as medium- to long-term initiatives to increase its corporate value and have been selected as a constituent stock index under leading global CSR and ESG investment bodies.
Following from fiscal 2017, in fiscal 2018, TEL was again selected as constituent stock under DJSI*1 Asia Pacific 2017, and under the FTSE4 Good*2 and MSCI World ESG Leaders Index. Furthermore, we were also selected for the FTSE Blossom Japan Index and MSCI Japan ESG Select Leaders Index, which are ESG indices designated by GPIF*3.

*1 DJSI (Dow Jones Sustainability Index): Environmental, social and governance (ESG) investment indices developed by U.S.-based S&P Dow Jones Indices LLC and Switzerland-based RobecoSAM AG.The Asia Pacific index covers companies in that region.
*2 FTSE4Good: An index related to environmental performance and corporate social responsibility developed by the UK-based FTSE Group
*3 GPIF (Government Pension Investment Fund): An independent administrative agency for pension reserve fund management in Japan, which operates one of the world’s largest public pension reserve funds

Value Creation Through Business

With its business of semiconductor and FPD production equipment and sales and service support, TEL contributes to value creation for its customers, through the manufacture of devices using advanced technology, productivity maximization and environmental impact reduction. Manufactured semiconductors and FPDs are supplied to the market in various products, including mobile devices, AV equipment and data servers, to realize a more convenient and abundant society amidst developments in fields such as IoT, big data, and AI. Through its business, TEL contributes to the resolution of industrial and social problems and the achievement of SDGs, and contributes to the creation of a sustainable society.

Internal initiatives

CSR Promotion Award

In order to promote CSR initiatives within the company, we invite contributions from employees worldwide of cases of CSR in the workplace that contribute to resolving issues in the industry and society. We assess these in terms of their alignment with SDGs, resolution of social issues, contribution to corporate value and other aspects, and confer one CSR Promotion Award and four CSR Merit Awards.