TEL's CSR

CSR Policy

The CSR operations of Tokyo Electron (TEL) are initiatives that realize TEL’s Corporate Philosophy. The company pursues sustainable operations from the viewpoints of corporate governance, legal and regulatory compliance, and business ethics while creating new value through its products and services. Based on these efforts, TEL implements CSR activities to help address social issues. The company 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.

CSR Promotion Framework

TEL implements sustainability management which is integrated into management strategy from a medium- to long-term perspective of corporate value enhancement. The company promotes CSR activities centered on the following three bodies. The CSR Management Council, the highest decision-making body regarding CSR, conducts discussions regarding policy for the entire Group and important projects. CSR representatives from around the world participate in the CSR Global Committee, which discusses short- to medium-term CSR targets, promotion of global projects, and other matters. Representatives from each division attend the CSR Monthly Meeting, where information is shared regarding CSR activities, and which builds cooperative systems to tackle cross-division themes.

Conference NameParticipantsFunctionMeeting frequency
CSR Management CouncilChairman, Representative Director
President and CEO
Directors and Managers
Decide company-wide CSR policy
Discuss important matters
Twice annually
CSR Global Promotion Committee

Chief CSR Director
Heads of related departments
CSR officers of affiliates and

overseas companies

Set CSR targets
Implement global projects
Twice annually
CSR Monthly MeetingPerson in charge of CSR at each division

Share information on CSR activities

Discuss cross-division CSR initiatives

Monthly

Internal initiatives

CSR Promotion Award

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TEL is conscious of the connection between work, and industrial and social issues and development, and in order to promote CSR initiatives, invites contributions from employees worldwide of cases of CSR in the workplace that contribute to resolving issues in the industry and society. They are assessed with focus on their alignment with SDGs, contribution to the resolution of industry and social issues, and to the improvement of TEL’s corporate value and other aspects. Based upon this, TEL conferred one CSR Promotion Award and three CSR Merit Awards.

Participation in global initiatives

TEL is a corporate member of the United Nations Global Compact and the Responsible Business Alliance (RBA), both global CSR initiatives, whereby the company strives to build a sustainable management foundation from a global perspective.

United Nations Global Compact

Responsible Business Alliance (RBA)

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 2019, 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.

Evaluation from Third-party Institutions

TEL’s CSR activities have received high appraisal from evaluation organizations in various countries, and the company has been selected as a constituent stock under leading global ESG investment indices.

In fiscal year 2019, following from the previous fiscal year, TEL was again selected as a constituent stock under indices including DJSI*1 Asia Pacific 2018,FTSE4Good,*2 FTSE Blossom Japan Index,MSCI World ESG Leaders Index,*3and MSCI Japan ESG Select Leaders Index.*4

*1 DJSI (Dow Jones Sustainability Index): ESG (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 MSCI World ESG Leaders Index: Companies that have high ESG performance are selected from the MSCI Global Sustainability Index, an ESG investment index developed by Morgan Stanly Capital International (MSCI)
*4 MSCI Japan ESG Select Leaders Index: The MSCI Japan ESG Select Leaders Index is an index constructed from companies that have high ESG performance selected from its parent index (MSCI Japan IMI Top 500 Index: Top 500 securities based on free float-adjusted market capitalization ). The Index targets 50% of the free float-adjusted market capitalization within each GICS sector of the parent index

About SDGs(Sustainable Development Goals)

The SDGs are a universal set of goals to achieve by 2030, which were unanimously adopted by the United Nations Sustainable Development Summit in 2015. TEL conducts activities for SDGs on a company-wide level, and for each material issue, it has clarified the SDGs it is working toward through business.

Tokyo Electron supports the SDGs

Value Creation Through Business

Tokyo Electron (TEL) effectively utilizes management resources to create value such as leading-edge production technologies, productivity improvement, and reduction of environmental impact in the business processes of semiconductor and FPD production equipment, and provides this value to customers. The semiconductors and FPDs produced by TEL’s customers play central roles in this digital society, and are found in various products on the market, including mobile devices, audio/visual equipment, and data servers. These semiconductors and FPDs contribute toward the spread of technologies including 5G, IoT, big data, and AI, as well as the realization of a more convenient and affluent society. Through its business operations, TEL is contributing to the resolution of social issues, development of society, and achievement of SDGs.