Materiality
Materiality Identification Process
We identified materiality by extracting social issues and megatrends relevant to our business and assessing their importance to our company.
Listing Megatrends and Social IssuesListing
- Broadly list megatrends and social issues based on global megatrends and the evaluation criteria of global rating agencies such as ISSB, FTSE, and MSCI
- Further organized key opportunities and risks, conducted an internal assessment of our initiatives with external experts, and refined the list to 36 items
Assessment of Importance Assessment
- Identify issues highly relevant to our company while also incorporating industry-specific and company-specific issues and hold discussions with management
- Organize key opportunities and risks for each item, then evaluate them based on "importance to the company" and "importance to opportunities and risks for the organized items, and evaluate them based on "importance to our company" and "importance to society and stakeholders"
Identify materiality andConsider countermeasures and KPIs
- Determine the draft materiality list, the process for selecting related societal issues, and KPIs through discussions with executives
- For high-importance items, consider the relevance of opportunities, risks, and initiatives to develop measures and KPIs
Materiality Items
For high-importance materiality items, we will consider opportunities, risks, and the relevance of initiatives to develop measures and KPIs.
Key Issues
Importance to Stakeholders
Importance to Our Business
Our Strengths
We have strong connections with universities and research institutions regarding single-crystal technology,enabling opportunities for joint research and personnel exchanges.
Approach to Identifying Materiality from the Current Situation
1.Contributing to a prosperous future society with cutting- edge products
- Developing products centered on single crystals to contribute to future society
- Research and development of energy-saving technologies and products for a decarbonized society
- Providing safe and high-quality products and services
Materiality
1.Product Development Capabilitiesto Create Cutting-Edge Products
2.Supporting Employee Growth to Contribute to Social Development and Contribution
- Maintaining employee safety and health while providing a comfortable working environment
- Recruitment and development of employees who can contribute to societal development and advancement through research and development and nurturing employees who can contribute to social development and advancement
- Supporting career aspirations and growth aligned with the global environment
Materiality
2.Organizational Culture that Maximizes Human Capital Value
3.Approaching the Next Generation of Talent to Live Globally with Abundant Local Resources
- Activities contributing to the community
- Support for the Younger Generation Who Will Lead the Next Era
Materiality
3.Distinctive Contribution Activitiesfor the Local Community
Materiality
Achievement Targets and Key Results for Materiality Items
The process for selecting social issues related to the materiality proposal and related items, as well as the KPIs, are determined by the Board of Directors.
1．Product Development Capability to Create Cutting-Edge Products
Significance and Background of the Initiative
Decarbonization is a global challenge that must be achieved. To meet this challenge, we will further advance our core technologies—"high-quality single crystal growth technology" and "wavelength conversion technology"—and conduct R&D to enter the rapidly growing next-generation power semiconductor market.Through this, we will contribute to realizing a safe society by providing new, high-value-added technologies and products. Furthermore, leveraging our strength in strong connections with universities and research institutions regarding single crystal technology, we will pursue joint research and development, business partnerships, commercialization, and mass production through collaborative research opportunities and personnel exchanges.
| Theme | Achievement Goals | Major Results of FY2025 Feb |
|---|---|---|
| Product Development and R&D | Conduct product development centered on single crystals and research/development and mass production development of energy- saving technologies based on single crystal technology through industry-academia collaboration, aiming to realize a carbon- neutral, decarbonized society. |
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| Joint R&D and Business Partnerships with Domestic and International Research Institutions | Leveraging the strengths of each company and institution through joint development and business partnerships with domestic and international research institutions to further contribute to future society |
2．Organizational Culture That Maximizes Human Capital Value
Significance and Background of the Initiative
To foster "cutting-edge product development capabilities," it is essential to recruit and nurture core personnel who support research and development, as well as employees capable of adapting to a global environment. We have reformed our personnel system as a mechanism where employee growth directly enhances corporate value and performance. We will build mechanisms to support the growth of each individual employee, enhance psychological safety, and work to create a workplace environment where abilities can be fully utilized. Simultaneously, we recognize ensuring a safe, secure, and hygienic workplace as a critical management priority. We are actively working to create a comfortable and reassuring work environment and to maintain and enhance the physical and mental health of our employees.
| Theme | Achievement Targets | Key Results for FY2025 Feb |
|---|---|---|
| Development of Research Staff | Increase in external presentations (papers, conferences, symposiums, seminars, etc.) |
【Specific Initiatives】 We have established opportunities for advisors, who are individuals with experience at major corporations and research institutions, to present on themes such as research, cutting-edge technology, and production technology at regular meetings held by each business division. |
| Securing Personnel to Drive R&D Advancement and Deep Dive | Doctoral degree holders hired to ensure business succession, R&D advancement, and new research exploration, and utilization of the working professional doctoral program result |
Out of 25 new hires, 4 (16%) were PhD graduates 【Specific Initiatives】 We held pre-selection exchange meetings between students and existing employees matched to the students' individual learning/research themes. This helped students envision their post- employment roles and desired career paths, facilitating successful recruitment. |
| Theme | Achievement Goals | Key Results for FY2025 Feb |
|---|---|---|
| Supporting Employee Growth |
Implemented the "Growth Support System" within the "OGS" HR framework Implemented as a mechanism linking employee growth to enhanced corporate value and performance improvement. Conducted ongoing support activities for employees (1-on-1 meetings, feedback sessions, etc.). As part of the environment supporting these initiatives, a Talent Management System was introduced and is now operational. |
【Specific Initiatives】 To foster awareness of the HR system overhaul, we incorporated mechanisms to support employee growth by focusing on individual careers. We also implemented the "3-Year Plan" training for managers, the core of this system (career design workshops, 1- on-1 meetings, interview skills training). |
| Female Manager Ratio |
Succession Plan Implementation We are evaluating the identification and development plans for future executive talent who will lead the company. Linked to successor development initiatives, we aim to enhance corporate value by enabling employees with diverse perspectives, regardless of gender, to thrive. |
11.76% (Industry Average: 3.6%) 【Specific Initiatives】 We conducted career development workshops for women. |
| Theme | Achievement Goals | Key Results for FY2025 Feb |
|---|---|---|
| Gender Pay Gap |
Establishing a workplace environment conducive to both men and women
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80.3% (Full-time Employees) 【Specific Initiatives】 Alongside the renewal of personnel systems, we established fair wage and employment management systems, ensured transparency in evaluation methods, and implemented other measures. |
| Implementation of safety and health education |
Initiatives for compliance with occupational safety and health laws and regulations
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【Specific Initiatives】 New Employees: Safety training was conducted.All Employees: Conducted KYT activities quarterly. We are disseminating health-related information throughout the company. Awarded the "Healthy Workplace Declaration Certificate" by the Yamanashi Branch of the National Health Insurance Association |
3．Distinctive Contribution Activities to the Local Community
Significance and Background of Initiatives
Alongside social contributions through our business, we actively engage in social contribution and cultural support activities, valuing community connections as corporate citizens to contribute to the development, enrichment, and soundness of society, thereby responding broadly to societal needs.
| Theme | Achievement Goals | Key Results for FY2025 Feb |
|---|---|---|
| Sponsorship of Social Contribution Initiatives |
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| Accepting Interns and Overseas Trainees |
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＜Domestic＞
＜International＞
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