OJI HOLDINGS

Material Issues/KPIs

Process for Identifying Material Issues

Taking into consideration ever-changing social trends, the Oji Group identified opportunities and risks associated with its business as well as material issues utilizing the following process in 2019.
In 2023, we took steps to renew our definitions for and the components of material issues and revised the KPIs for enhancing human capital. More recently in 2024, we added KPIs regarding biodiversity conservation.

Process for Identifying Material Issues

Material Issues: Definitions and KPIs

Mitigation and adaptation to climate changeMitigation and adaptation to climate change

Contribute to the mitigation of climate change by reducing GHG emissions throughout the supply chain and facilitating forests’ absorption and storage of CO2.

Components KPIs (Key Performance Indicators)
(FY2030 unless otherwise noted)		 Current Values*1 Key Initiatives Value Provided to Society Corresponding SDGs
  • Reduction of GHG emissions (Scope 1, Scope 2)
  • CO2 absorption and fixation by forests
  • GHG emissions reduction in collaboration with suppliers (Scope 3, etc.)
  • Expansion of renewable energy usage
  • Efficient use of energy
  • Reduce GHG emissions by over 70% compared to FY2018 (Scope 1 and 2)
    ・GHG reduction target: 20%
    ・Net carbon absorption by forests: 50%
  • 28.1% reduction
    ・12.6%
    ・15.5%
  • Improve production efficiency, reduce energy use, and utilize renewable/waste fuels to reduce GHG
  • Promote CO2 absorption/fixation via sustainable forest management
  • Expand use of non-fossil and biomass fuels
  • Develop biomass power generation business
  • Develop environmentally friendly products
  • Mitigation of climate change
  • Increased share of renewable energy
  • Improved energy efficiency
  • Advancement of eco-conscious technologies
Affordable and Clean Energy
7.2, 7.3, 7.a

Industry, Innovation and Infrastructure
9.4, 9.5

Responsible Consumption and Production
12.2

Climate Action
13.1, 13.2, 13.3
  • Expand carbon fixation volume*2
    170 million tons or more (calculated)
  • 124.56 million tons
  • Achieve over 60% renewable energy usage through reduced coal use
  • 56.4%
  • Improve energy intensity by over 1% annually (5-year average)
  • 5.0% improvement (FY2019–2023)

Sustainable forest management and biodiversity conservationSustainable forest management and biodiversity conservation

Practice sustainable forest management in harmony with the environment and local communities in the forests we own and manage, utilize forest resources and achieve multi- functional forests, which includes biodiversity conservation efforts.

Components KPIs (Key Performance Indicators)
(FY2030 unless otherwise noted)		 Current Values*1 Key Initiatives Value Provided to Society Corresponding SDGs
  • Proper forest management and conservation
  • Utilization of forest resources
  • Conservation and promotion of biodiversity and ecosystems
  • Engagement with local communities
  • Increase rate of forest certification overseas*3 (Maintain 100% domestically)
  • Japan: 100%
    Overseas: 97%
  • Provision of forest multifunctionality and ecosystem services
  • Conservation of biodiversity and ecosystems
  • Job creation
  • Support for employment, education, and healthcare
6 Clean Water and Sanitation
6.6

8 Decent Work and Economic Growth
8.7

14 Life Below Water
14.2

15 Life on Land
15.1, 15.2, 15.3, 15.4, 15.5, 15.c
  • Expand overseas forest plantations to 400,000 ha
  • 295,000 ha (including Uruguay)
  • Natural forest area restored by CENIBRA*4
    At least 3,000 ha from 2024 to 2033
  • Starts in 2024
  • Number of native tree species planted by CENIBRA*5
    At least 500,000 from 2024 to 2033
  • Starts in 2024
  • Ecological corridor area created by CENIBRA outside its land*6
    At least 3,500 ha from 2024 to 2033
  • Starts in 2024

Circular use of resourcesCircular use of resources

Prevent resource depletion and facilitate the effective use paper and water, which we view as valuable reusable resources.

Components KPIs (Key Performance Indicators)
(FY2030 unless otherwise noted)		 Current Values*1 Key Initiatives Value Provided to Society Corresponding SDGs
  • Promote utilization of recovered paper
  • Reduce water risks
  • Recovered paper utilization rate*7 (Japan)
    At least 70%
  • 68.3%
  • Paper recycling (increase recovered paper utilization rate)
  • Reduce water intake
  • Expansion of water treatment business in and outside Japan
  • Mitigation of climate change
  • Prevention of resource depletion
  • Reduction of waste
  • Contribution to resolving water scarcity
  • Provision of safe water
6 Clean Water and Sanitation
6.4, 6.5

12 Responsible Consumption and Production
12.4, 12.5, 12.6

14 Life Below Water
14.1

15 Life on Land
15.1, 15.2, 15.3, 15.4, 15.5, 15.c
  • Reduce water intake intensity by at least 6% compared to FY2018
  • 14.2% reduction

Responsible raw materials procurementResponsible raw materials procurement

In the supply chain for procurement of all raw materials, we pay close attention to environmental and social issues, including human rights, and address them responsibly.

Components KPIs (Key Performance Indicators)
(FY2030 unless otherwise noted)		 Current Values*1 Key Initiatives Value Provided to Society Corresponding SDGs
  • Environmental consideration in the supply chain
  • Human rights consideration in the supply chain
  • Compliance with laws and social standards and fair trade
  • Conduct sustainability surveys on all main suppliers*8
  • 100% (FY2023, follow-up surveys)
  • Forms of responsible production and consumption
  • Protection of the rights of workers throughout the supply chain and reduction of environmental burden
8 Decent Work and Economic Growth
8.7

12 Responsible Consumption and Production
12.1, 12.4, 12.6

15 Life on Land
15.1, 15.2
  • Achieve full traceability based on the Wood Raw Material Procurement Guidelines
  • 100%

Reduction of environmental burdensReduction of environmental burdens

Reduce waste and purify wastewater and exhaust gases generated in the manufacturing process to minimize environmental impact on surrounding areas.

Components KPI (Key Performance Indicators)
(FY2030 unless otherwise noted)		 Current Values*1 Main Initiatives Value Provided to Society Corresponding SDGs
  • Effective waste utilization
  • Purify wastewater
  • Purify exhaust gases
  • Improve effective waste utilization ratios*9
    Japan: 99% or higher, Overseas: 95% or higher
  • Japan: 99.0%, Overseas: 86.4%
  • Reduce and effectively use waste
  • Develop environmentally friendly products and biodegradable materials
  • Set voluntary management standards stricter than environmental regulations
  • Purify wastewater and control chemical substances in exhaust emissions
  • Waste reduction
  • Safety and health
  • Reduction of air and water pollution
3 Good Health and Well-Being
3.9

6 Clean Water and Sanitation
6.1, 6.3, 6.4

11 Sustainable Cities and Communities
11.6

14 Life Below Water
14.1, 14.2, 14.3

17 Partnerships for the Goals
17.7, 17.8
  • Reduce emission intensity of wastewater pollutants by 15% from FY2018
  • BOD: 40.7% reduction
  • COD: 9.6% reduction
  • SS: 29.4% reduction
  • Reduce SOx emission intensity in exhaust gas by 15% from FY2018
  • 27.8% reduction

Respect for human rightsRespect for human rights

Do not tolerate the violation of human rights in any of our business activities.

Components KPI (Key Performance Indicators)
(FY2030 unless otherwise noted)		 Current Values*1 Main Initiatives Value Provided to Society Corresponding SDGs
  • Consider human rights in all business activities
  • Consider human rights in the workplace
  • 100% of target individuals to receive human rights education and training
  • 94.3%
    (2,547 participants from March to May 2024)
  • Respect for human rights

5 Gender Equality5.1, 5.4, 5.5, 5.c


8 Decent Work and Economic Growth8.5, 8.7, 8.8


10 Reduced Inequalities10.2, 10.3, 10.4

Enhancing human resourcesEnhancing human resources

Secure and develop diverse the human resources that are necessary for sustainable growth. Establish an environment in which every employee can work comfortably and fully demonstrate their potential.

Components KPI (Key Performance Indicators)
(FY2030 unless otherwise noted)		 Current Values*1 Main Initiatives Value Provided to Society Corresponding SDGs
  • Improve work-life management
  • Enhance employees’ skills
  • Inclusion & diversity
  • Foster greater compliance awareness
  • Total working hours: less than 1,850 hours (26 companies in the Main Office region in Japan)
  • 1,835 hours
  • Implement human resource strategies and develop human resources
  • Promotion of diverse working styles
  • Promote diversity
  • Active participation of diverse human resources
  • Realization of innovation
  • Improvement in productivity
5 Gender Equality5.1, 5.4, 5.5, 5.c

8 Decent Work and Economic Growth8.2, 8.5, 8.8

10 Reduced Inequalities10.2, 10.3
  • Percentage of male employees taking childcare leave, etc.: 100% (16 companies in Japan*10)
  • 92.5%
  • Percentage of female managers: at least 5.5% (16 companies in Japan*10, at the end of March 2025)
  • 3.9%
  • Percentage of female new graduates hired for generalist-track positions*11: at least 30%
  • 40.6% (Joined the Company in 2024)
  • Employment rate of people with disabilities: at least 2.5% (83 companies in Japan*10, June 2024)
  • Six applicable Group companies in Japan*10: 2.48%,
    83 companies in Japan*10: 2.19% (June 2024)
  • Participation in compliance meetings: 100% (Oji Holdings and all subsidiaries in Japan)
  • 98.8% (Second half of FY2023)

Ensuring workplace safety and healthEnsuring workplace safety and health

Ensure the safety and health of all employees and people connected to our business.

Components KPI (Key Performance Indicators)
(FY2030 unless otherwise noted)		 Current Value*1 Main Initiatives Value Provided to Society Corresponding SDGs
  • Promote wellbeing of employees
  • Prevent occupational accidents
  • Achieve zero fatal and serious work-related accidents*12 (each fiscal year)
  • Two accidents (from January 1 to December 31, 2023)
  • Establish safety and health management structures and promote activities aimed for safety and health
  • Thoroughly ensure safety in the handling of machines and equipment and in other operations
  • Promote safety education (introduce VR risk experience education, etc.)
  • Promote physical and mental well-being of employees
  • Create comfortable work environments
  • Safety and health
8 Decent Work and Economic Growth 8.8
  • Lost time injury frequency rate*10: 50% reduction compared to FY2018 (0.89)
  • 1.20 (from January 1 to December 31, 2023)

Supply of safe and secure productsSupply of safe and secure products

Supply safe and secure products worldwide.

Components KPI (Key Performance Indicators)
(FY2030 unless otherwise noted)		 Current Value*1 Main Initiatives Value Provided to Society Corresponding SDGs
  • Stable supply of products
  • Ensure product quality
  • Zero product liability accidents (each fiscal year)
  • Zero accidents
  • Stable supply of own products
  • Ensure safe quality design and management in compliance with relevant laws and regulations and stricter voluntary management values
  • Provide customers with information on safety of raw materials (chemicals, materials)
  • Supply of FSCTM certified products (FSCTM C014119, etc.)
  • Provision of safe and secure products
  • Reduction of environmental burden
  • Dissemination of environmentally friendly technologies to developing countries
9 Industry, Innovation and Infrastructure9.4, 9.b

12 Responsible Consumption and Production12.4, 12.6

17 Partnerships for the Goals17.7
  • *1 Aggregation period: From April 2023 to March 2024 or as of March 31, 2024 unless otherwise specified.
    Scope of data aggregation: Japanese and overseas consolidated companies unless otherwise specified.
  • *2 The actual carbon stocks in living biomass (tons of CO2):
    Production forest: Actual merchantable volume at the end of each fiscal year × biomass expansion coefficient × wood density × (1 + underground / above-ground ratio) × carbon ratio × CO2 conversion coefficient.
    Conservation forest: Remaining area at the end of each fiscal year × above-ground biomass of natural forest × (1 + underground / above-ground ratio) × carbon ratio × CO2 conversion coefficient.
  • *3 Forest certification acquisition rate:
    [Overseas] Ratio of the area of company-owned production forests.
    [Japan] Ratio of the area of company-owned forests excluding shared forests.
  • *4 The area where planting and other activities were carried out to restore natural forests lost due to windthrow, fire, etc.
  • *5 The number of native trees planted within company-owned natural forests.
  • *6 The area enclosed by fences to revegetate degraded lands between fragmented natural forests and to allow wildlife to move freely in collaboration with landowners.
  • *7 Recovered paper utilization ratio = volume of recovered paper consumed ÷ total volume of fiber raw materials consumed (total consumption of recovered paper, wood pulp, and other fiber raw materials).
  • *8 Top 75% of suppliers in terms of transaction amount.
  • *9 Effective waste utilization ratio = (amount of waste generated − amount of landfill waste) ÷ amount of waste generated × 100.
  • *10 For the calculation method, see p. 98 of Oji Group Integrated Report 2024.
  • *11 Percentage of new graduates hired for generalist-track positions that are women: Hired by Oji Management Office Inc. (excluding sports recruits).
  • *12 Serious accidents: The Oji Group considers accidents of Class 3 or higher as per the Appended Table of the Enforcement Regulation of the Workers’ Accident Compensation Insurance Act to be serious accidents.