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Achieving social value: ESG initiatives

Climate change now serves as a critical challenge facing all of humanity, which is exemplified by natural disasters intensifying in recent years. The Sustainable Development Goals (SDGs) represent agreement reached on 17 goals with 169 targets for realizing a sustainable world in areas that include environmental conservation. The SDGs enlist the active involvement of not only nations but also corporate entities in helping to achieve goals in areas that entail “combating climate change and its impacts,” and “ensuring sustainable consumption and production patterns.” Companies involved in construction and housing manufacturers are increasingly seeking long-life products and items that pose less of a burden on the environment.

One of the critical themes for the Sangetsu Group’s ESG initiatives is to help find solutions to those issues affecting society and the global environment. Based on this recognition, in May 2020, the Sangetsu Group formulated 【 DESIGN 2030 】 as its long-term vision. The social value that the Sangetsu Group aims to realize is to contribute to the realization of an “inclusive,” “sustainable,” and “enjoyable” society. We have prioritized Goal 11 of the SDGs, “Sustainable Cities and Communities” (Sustainable) and other goals closely connected to our business activities for a myriad of buildings, including those in the housing, retail, office, and hospitality industries and will work to contribute to its achievement.

In “Sustainable: a sustainable society that protects the global environment,” we seek to help realize a sustainable society that will protect the global environment when it comes to our aims involving sustainability.
The world faces many challenges brought on by climate change. Our rivers, lakes and oceans have become polluted and are endangering our wildlife and drinking water. Air quality has decreased, and our soil has been eroded.
Sangetsu remains committed to improving our environmental footprint. This involves rethinking our supply chains and the materials that we utilize in our products. We strive to minimize the distance that materials must be transported and seek out environmentally friendly raw materials.
Our products are designed to rejuvenize existing spaces and extend the life of buildings and infrastructure that already exist. By extending the functional life of a home or facility we minimize the large environmental impact created by needing to build something new.

Moreover, when it comes to materialities in terms of the environment, we have identified the four challenges of: (1) reducing the environmental impact of business activities (GHG, energy, waste, recycling rate), (2) understanding and reducing the environmental impact of the supply chain, (3) expanding collection and recycling of sample books, and (4) developing eco-friendly products. We are now promoting initiatives to take on such challenges, upon having established policies to address these issues, set quantitative and qualitative targets, and drawn up plans for improvement under our Medium-term Business Plan 【 D.C. 2022 】.
Meanwhile, when it comes to GHG emissions we aim to achieve carbon neutrality by FY2030 (Scope 1 & 2 emissions, Sangetsu non-consolidated). We have also been looking into the prospect of setting such targets for the entire Sangetsu Group and for Scope 3 emissions.
We have been furthermore promoting CSR and ESG activities across the entire Sangetsu Group, which involves calling on each and every employee to engage in good faith efforts to address challenges related to society and the global environment. We are convinced that these initiatives will play a significant role in helping to realize a sustainable society, and that they will at the same time give rise to greater corporate value across the entire Sangetsu Group. We will aim to become an enterprise that shares the joy of creating new value with all of our stakeholders as we steadily engage in efforts to help bring about a sustainable society.

Sangetsu Corporation
President, CEO
Shosuke Yasuda