TTEC CSR2011 EN cover€¦ · a strong professional team may tirelessly seek new challenges, by...

Use of FSC-certified PaperPaper certified by Forest Stewardship Council (FSC) is used, which is made from wood from FSC-certified forests.

2011Corporate Social Responsibility Report

Issued in August 2011

Oval Court Ohsaki Mark East2-17-2, Higashi Gotanda, Shinagawa-ku, Tokyo141-8664 JAPAN

Phone: +81-3-6422-7039Fax: +81-3-6422-7111

URL: http://www.toshibatec.co.jp/enE-mail: [email protected]

Contacts: Paper

Waterless Printing

Non-VOC Ink

Printing

Waterless printing, a printing process that eliminates the use of water, is adopted, taking advantage of the characteristics of printing plates made of ink-shedding material.

100% vegetable ink containing no volatile organic compounds (VOCs) is used.

CSR Promotion CenterCorporate General Affairs & Administration Group

Production and printing of the Toshiba TEC CSR Report 2011 reflect the following considerations:

1

Corporate Philosophy

Our Five Commitments-CorporatePhilosophyoftheTOSHIBATECGroup-

"Monozukuri": creating our products with pride and passion. Keeping our customers in mind all the time and everywhere.1. Weaimtoprovidetimelyproductsandserviceswithreliablequal-

ityandfunctionsaswellashighuser-friendliness,creatingvaluewithourcustomerinmindthroughoursuperiorproprietarytech-nologyandincollaborationwiththeworld'sbestpartners.

2. Wewanttofosteranopenandhealthycorporatecultureinwhichastrongprofessionalteammaytirelesslyseeknewchallenges,byrespectingtheindividualityofeachemployee,strivingtopro-moteeachone'sabilities,andimplementingafairandappropri-atesystemofevaluationandrewards.

3. Weseektocontributetowardthedevelopmentofaglobalsoci-etyasagoodcorporatecitizen,law-abidingandethical,byfulfill-ingourresponsibilitiestowardeachcountryandcommunityinwhichweoperateandrespectinglocalcultureandhistory.

4. Weputconcernfortheenvironmentasapriorityinallourbusi-nessactivitiessoastoprotectpeople'ssafetyandhealthaswellastheworld'snaturalresources.

5. Weendeavortomaximizeourcorporatevalue,andonthebasisofsoundandtransparentmanagement,westrive toachieveappropriateprofitsandreserves,constantlyseektoimplementmanagementinnovationandenergeticallyinvestinresearchanddevelopment,amongothers, inordertomeettheexpectationsofourshareholders.

Regarding the "TOSHIBA TEC GROUP CSR REPORT 2011"

TheTOSHIBATECGrouprecognizesthatconsider-

ationtowardallstakeholders,includingcustomers,

employees,communities, theenvironmentand

shareholders, isnecessaryforsoundbusinessac-

tivities.

WehaveissuedthisCSRReporthopingtheTOSHI-

BATECGroup’ssystemsandactivities,basedon

suchpolicy,areunderstoodbyasmanystakehold-

ersaspossible.

ThisReportemphasizes theCSRactivities from

threepointsofview:“PEOPLE&TOSHIBATEC,”“EN-

VIRONMENT&TOSHIBATEC”and“MANAGEMENT,”

toenableourstakeholderstoeasilycomprehend

ourconceptsandsystemsregardingvariousactivi-

ties. WeutilizethisReportasatoolforcommuni-

cationwiththestakeholders,andkeepstrivingto

improvethecontentswiththehelpofyourvalu-

ablecomments.

Relations with Stakeholders

Weaimtodevelopourcorporationtogetherwithstakehold-

erswhileembracingthesupportfromstakeholdersaround

theworld,alongwithfulfillingtheCorporatePhilosophy"Our

FiveCommitments."

TOSHIBA TECGroup's

commitmentswith

stakeholders

Employees Customers

Local communities Shareholders

Environment Suppliers

Respect for individuality

Development of global society

Environmental protection consciousness throughout all business activities

Maximization of corporate value

Preferential procurement from CSR-conscious suppliers

Value creation for customers

Reliablequalityandperformance,highuser-friendlinessTimelysupply

Soundandtransparentmanage-mentEnsuringappropriateprofitsandreserves

BetterbusinesspartnershipwithsuppliersPromotingCSR incollaborationwithsuppliers

FairandappropriatesystemofevaluationandrewardsOpenandinvigoratingcorporateculture

Highethicsandlaw-abidingspiritRespectforcultureandhistory

People'shealthandsafetyProtection/conservationofglobalresources

�

INTRODUCTION PEOPLE & TOSHIBA TEC

ENVIRONMENT & TOSHIBA TEC

MANAGEMENT THIRD-PARTY COMMENTS

Corporate Profile

Firm Name: TOSHIBATECCORPORATION

Head Office: OvalCourtOhsakiMarkEast2-17-2, HigashiGotanda,Shinagawa-ku, Tokyo141-8664JAPAN

President and Chief Executive Officer :MamoruSuzuki

Established: February21,1950

Paid-in Capital:39.9billionyen(ListedintheFirstSectionoftheTokyoStockExchange)

Net sales : 362.3billionyen(endingMarch2011)

Number of Employees :20,259(asofMarch2011,onaconsoli-datedbasis)

Scope of This Report

Reporting Period: Fiscal2010(April2010toMarch2011)

Report Scope: Inprinciple,TOSHIBATECGroup (TOSHIBATECCorporationandits

consolidatedaffiliates)

Environmental Data: TOSHIBATECCorporationanditsconsolidatedaffiliates

Release Timing

Previous Edition: August2010

Next Edition: ScheduledforAugust2012

Reference Guidelines

GRI(GlobalReportingInitiative)“SustainabilityReportingGuideline3rdEdition(G3)”

MinistryoftheEnvironment“EnvironmentalReportGuidelines”(Fiscal2007Edition)“EnvironmentalAccountingGuidelines”(Fiscal2005Edi-tion)

c o n t e n t s

CORPORATE PHILOSOPHY,

EDITORIAL POLICY, CONTENTS . . . . 1

TOP MESSAGE . . . . . . . . . . . . . . . . . . 3

TOPICS . . . . . . . . . . . . . . . . . . . . . . . . 5

BUSINESS OPERATION . . . . . . . . . . . 8

CUSTOMERS . . . . . . . . . . . . . . . . . . . . 9

EMPLOYEES . . . . . . . . . . . . . . . . . . . 11

SHAREHOLDERS/INVESTORS . . . . . 13

SUPPLIERS . . . . . . . . . . . . . . . . . . . . . 14

PHILANTHROPY . . . . . . . . . . . . . . . . 15

SUSTAINABILITY MANAGEMENT . . . 19

ECO-PRODUCTS . . . . . . . . . . . . . . . 23

ECO-PROCESS . . . . . . . . . . . . . . . . . 27

ECO-PROGRAM . . . . . . . . . . . . . . . 29

CSR MANAGEMENT/

CORPORATE GOVERNANCE . . . . . 31

COMPLIANCE . . . . . . . . . . . . . . . . . 32

THIRD-PARTY COMMENTS . . . . . . . 33

WEBSITE . . . . . . . . . . . . . . . . . . . . . . 34

INTRODUCTION

PEOPLE & TOSHIBA TEC


MANAGEMENT

THIRD-PARTYCOMMENTS

3

TOP MESSAGE 2011

Aspiring to be a Beloved and Trusted Global Enterprise based

on "Our Five Commitments"

Corporate Social Responsibility, or CSR, forms a major foundation for the roles and values of the corpo-ration. As it marks its 61st anniversary, how does the TOSHIBA TEC Group, which is supported by a large number of stakeholders and is in the process of expanding its operations, consider and implement CSR?Mr. Mamoru Suzuki, President and CRO* of the corporation, provides us with a direct message from his position in senior management at the TOSHIBA TEC Group.

CSR of TOSHIBA TEC

Please explain TOSHIBA TEC's CSR commitments."PromotionofCSRManagement"providesthefoundationforTheTOSHIBATECGroup'sbusinessactivitiesandtheCorporatePhilosophy"OurFiveCommitments" iswhatthosebusinessac-tivitiesarebasedon.

Whenallemployeesfullyunderstandeachoneof"OurFiveCom-mitments"andapplythecommitmentstotheiroperations,Ibe-lievesucheffortsleadtoCSRmanagementandsoundbusinessactivities.I thinkcompliance,accountabilityandcorporatetransparencyareofimportanceinCSRmanagement.Wealwaysdrawtheattentionofallemployees,both inJapanandoverseas, tocompliance.FivecommitteesresponsibleforCustomerSatisfaction,HumanRights&Employees,Philanthropy,EnvironmentalProtectionandRiskCompliancearesystematizedundertheCSRPromotionCommittee.Byaskingemployeestothoroughlyensurecomplianceandwillinglyimplementactivities,weproviderobusteducationandtrainingtoeliminatedeviationsinstandards.

CSR Promotion Structure

President and CEO

CSR Promotion Committee

Customer Satisfaction Promotion Committee

Human Rights & Employees Committee

Social Contribution Comm

ittee

Environmental Protection Council

Risk Compliance Com

mittee

CSR Promotion Center

* CRO: Chief Risk-Compliance Management Offi cer

Our Five Commitments-CorporatePhilosophyoftheTOSHIBATECGroup-

"Monozukuri":creatingourproductswithprideandpassion.Keepingourcustomersinmindallthetimeandeverywhere.

1. Weaimtoprovidetimelyproductsandserviceswithreliablequalityandfunctionsaswellashighuser-friendliness,creatingvaluewithourcustomerinmindthroughoursuperiorpropri-etarytechnologyand incollaborationwiththeworld'sbestpartners.

2. Wewanttofosteranopenandhealthycorporateculture inwhichastrongprofessionalteammaytirelesslyseeknewchal-lenges,byrespectingtheindividualityofeachemployee,striv-ingtopromoteeachone'sabilities,andimplementingafairandappropriatesystemofevaluationandrewards.

3. Weseektocontributetowardthedevelopmentofaglobalsoci-etyasagoodcorporatecitizen,law-abidingandethical,byful-fillingourresponsibilitiestowardeachcountryandcommunityinwhichweoperateandrespectinglocalcultureandhistory.

4. Weputconcernfortheenvironmentasapriorityinallourbusi-nessactivitiessoastoprotectpeople'ssafetyandhealthaswellastheworld'snaturalresources.

5. Weendeavortomaximizeourcorporatevalue,andonthebasisofsoundandtransparentmanagement,westrivetoachieveappropriateprofitsandreserves,constantlyseektoimplementmanagementinnovationandenergetically invest inresearchanddevelopment,amongothers,inordertomeettheexpecta-tionsofourshareholders.

Mamoru SuzukiPresidentandChiefExecutiveOfficer

July2011

�

Accountabilityistoallowwhatwearedoingtobeexplainedtoourstakeholders inaneasy-to-understandmannerandtobeclearlyviewedbyincreasingcorporatetransparency.Forexam-ple,whenanyeventoccurs,weneedtounderstandanddeter-minethecausesofandbackgroundtotheevent,afterwhichthecompanyinformsourstakeholdersofthedetails, insteadofjustprovidingperfunctorynotification.Inaddition,weorganizethequalityassurancesystemonaglobalbasiswhilestrivingtoprovideproductsandservices,whichcus-tomerscanusewithease,inordertodischargethemanufactur-er'sdutytoensureproductsafetytopreventaccidents,whichen-dangerhumanlifeandsafety,fromoccurring.Atthesametime,wealwaysmakeeffortstoboostourqualitylevelsbybenchmark-ingcompetitors'productsasameansofascertainingquality.

Great East Japan Earthquake

The Great East Japan Earthquake occurred on March 11, 2011.Please explain the changes brought about by the aftermath of the disaster.

Firstofall,Iwouldliketoexpressmydeepestsympathytoallvic-timsandsufferersoftheearthquake,andtrulyhopefortheearli-estreconstructionoftheaffectedareas.Thisdisasterremindedusoftheinherentthreatfromnature.TheTOSHIBATECGrouphastheBusinessContinuityPlanorBCP.Theearthquakeandtsunamimadeusrealizekeenlyhowdeficientourpreviousdisasterassumptionshadbeen.Followingthedi-sasterweinitiatedapromptreviewontheareasthatrequireim-provementasamatterofpriority.

Ourofficebuildingsufferedpartialstructuraldamage,whichwasfortunatelynotsevere.Aswasreportedinotherindustries,Iwassurprisedtolearnthatmanyofoursuppliersofpartsandmateri-alsarecenteredintheTohokuregion.Wehaveattemptedtoop-erateinamultivendorenvironment,butithasbeenthecasethatvendorshaveeventuallybeenconcentratedinoneregion.Giventhefactthatanin-housecommunicationsystemneedstobedevelopedtoensureastablesupplyofproductsandlogistics,Irealizethereareplentyofissuestothinkoverandaddress.

What assistance did the TOSHIBA TEC Group provide?ThefirstthingtheTOSHIBATECGroupdidwastoprovidesup-pliestoemployeesandtheirfamiliesaffectedbytheearthquake.Sinceweheardtheywereshortoffoodandwater,weobtainednecessarysuppliesfromtheKansaiandKyushuregionsandde-liveredthemviaNiigata.

Inaddition,wemaderepairstodamagedhomesthroughdona-tions.Forcustomersandsuppliers,weofferedourcopiersandMFPs,registersandcoin-operatedfullyautomaticwasher-dryers,withthecoinoperationfunctiondisabled,ona long-termfree-of-chargebasis,throughlocalchambersofcommerce.Aswemoveforwarditwillbeimportanttothinkaboutwhatassistancewecanofferinthelongterm.

Business Activities as a Global Enterprise

Please explain specific activities as a global enterprise.Firstofall,withregardtotheideaoflimitedresources,ourmajormissionasaglobalenterpriseistofindwaystosaveandreuseresources,andestablishasystembywhichtoachievethat.Bygivingtopprioritytotheconservationandprotectionoftheworld'snaturalresources,theTOSHIBAGroup,asseeninthe"Ac-tionPlan,"andtheTOSHIBATECGroupasseeninthe"Environ-mentalPlan,"worktoreducegreenhousegas(CO2)emissionsaswellastheenvironmentalimpactofbusinessactivitiesthroughourproducts,developmentefforts,salesandservices.Onemorethingtoconsider ishumanresources.Avarietyofpeopleliveonearth,ofdifficultraces,gendersandages,eachwiththeirownindividualityandpersonality.Wedevoteourenergiestotheutilizationanddevelopmentofhumanresourcesandthecre-ationofanenvironmentwhereindividualswithdifferentperson-alitiescanlearnfromeachotherandwherediversityisrespected.

Stakeholder

What are your thoughts on stakeholders' expectations?Theultimatecorporatemissionistogrow,remaininbusinessandproduceprofits.ThefoundationtoachievethismissionisCSR.Corporatetransparencyisessentialalongwithimprovementinbusinessperformance.Transparency,inotherwords,theachieve-mentofaccountability,canpresenttheresultsofcorporateac-tivitiestosociety.Ithinkthatsuchcommunicationskillsarenowneededmorethanever.Theconcernsandrequirementsofsocietyandstakeholdersarechangingregularlyaccordingtothetimeandenvironment.Ibe-lieveitisimportanttoproperlycomprehendandrespondtotheirexpectationsthroughvariousopportunitiesforcommunication.

TOSHIBA TEC GROUP CSR REPORT �011

5

Customer Point of View

Honorable Mention (in Category) Awarded in the Japan Manual Contest 2010

Theoperator'smanual"ToshibaMultifunctionalDigitalSystemsQuickStartGuidee-STUDIO255/355/455"cre-atedbyTOSHIBATECDocumentProcessingSystemsCo.,Ltd.wasawardedanhonorablementioninthecategory"UsageManuals--GeneralUsers"*1 intheJapanManualContest2010inAugust2010*2.( SeePage10.)

Reason for being awarded

the prizeThis operator's manual was improved for the ease of use of customers, by going back to the basics of compilation for operator's manuals.

B/W MFPe-STUDIO255/355/455

B/W MFPB/W MFP

Office Solutions

Inkjet Head

Total SolutionsFor the Highest Level of Environmental Performance

*1 Manuals describing important points and operating information for general users.*2 Only one manual contest held by the Japan Technical Communicators Association. http://www.jtca.org/en/tc_award/index.html*3 TOSHIBA TEC Solution Services Corporation received the award under its former name of "TEC Engineering Corporation."

BiodiversityBiodiversity Point of View

The ink circulation system h a s r e d u c e d b y 3 0 t o 50% of the amount of ink wasted, compared to the previous model.

Approximately 70% of elec tricit y con-sumption and the size of the MFP have been reduced. ( See Page 24.)

Aspiring to be an Enterprise that Satisfies All Stakeholders

We make daily eff orts to devise and create environmentally conscious products or ECPs with the highest level of environ-mental performance. We also strive to realize a better global environment with customers through promotion of ECPs.In addition, we implement CSR activities from every point of view to aspire to be an enterprise that satisfi es all stake-holders.

Topics 2011

InordertohavegoodcommunicationwithstakeholdersinChina,TOSHIBATECINFORMATIONSYSTEMS(SHEN-Z H E N ) C O. , LT D. h a sacquired naming rightsforgiantpandas,whichenjoy extremely highpopularity in Japan, inreturnforsupportingtheexpensesofbreedinggi-antpandas.TwinpandasnamedafterTOSHIBAaregrowingingoodhealth.

Inkjet Head CF-1Twin pandas named after TOSHIBA




6

Point of View of Philanthropy

Customer Point of View

Delivery of Lectures

Approach to Universal Design

TOSHIBATECSolutionServicesCorporationvisitselemen-taryandspecial-needsschoolstoprovidelecturesonsuchthemes"experienceascashier"and"hands-onsciencepro-gram."Thegoalistocarryoutactivitiesfocusingonchildrenandleadingtoenvironmentaleducation,promotionofsci-enceandmathematics,aswellasworkexperience.Infiscal2010,wewonthejury'sspecialawardatthe"FirstCareer Education Award" sponsored by the Ministry ofEconomy,TradeandIndustry,andthepresidentialawardforcorporatecitizenshipachievementsatthe"ToshibaASHITAAward."

UniversalDesign(UD)is"todesignproducts,buildingsandenvironments,whichallowsasmanypeopleaspossible,re-gardlessofageorwhethertheyhavedisabilities,touseandoperate."TOSHIBATECCorporationaimstoachieveUDap-propriateforourproducts,onthebasisofresearchesandtestsonUD,andstudyofcommercialization,withcooperationofvariousus-ers, includingbeginners,expertsandpersonswithdisabilities.

POS terminal for supermarkets and mass retailersWILLPOS-Unity M-8000

POS terminal for supermarkets and mass retailersPOS terminal for supermarkets and mass retailers

Retail Solutions

Next-generation barcode printerIndustrial Barcode Printers B-EXNext-generation barcode printer

Supply Chain Solutions

Total SolutionsFor the Highest Level of Environmental Performance

Global Point of View

Expansion of Carbon-Offset ProgramsTOSHIBATECGermanyImagingSystemsGmbHexpandedthepro-visionofthecarbon-offsetprogramtomainlandEuropeancoun-triesin2010,whichTOSHIBATECU.K.ImagingSystemsLtd.startedtoprovideintheUnitedKing-domin2009.Thisprogramprovidesasystemforuserstotakepart inanenviron-mentalcontributionprojectaccordingtotheamountofCO2emittedfromMFPs.ItisscheduledtobeexpandedtoPOSsystemsandbarcodeprintersinfiscal2011.

The carbon-off set program is implemented in Kenya.

The Inter nat ional ENERGY STAR (20 0 9) was acquired for the first time for barcode printers.

Standby power consumption: 69% (100 V) reduction 56% (200 V) reduction

This model has succeeded in al-most doubling the throughput, and reducing standby power consumption by approximately 8%, compared to the previous model. ( See Page 24.)

Honored by Intel Corporation.Achievement in collaborative develop-ment was recog-nized and a tes-timonial plaque was awarded.

*3


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Laundryserviceswereprovidedtothesufferers inTagajo,Miyagi. Izunokuni,oneofthesistercitiesofTagajo inthedisaster-affectedregion,offeredsupport,andTOSEIElectricCorporationlocatedinIzunokunitooktheleadintheseac-tivities.Thevehiclenormallyusedforexhibition/demonstra-tion,whichcontainedonecommercialwasher/dryerandtwodryers,wasdispatchedtoevacuationcentersinTagajo,whereitprovidedlaundryservices.

Response to the Great East Japan Earthquake

We would like to express our deepest sympathy to all victims and sufferers of the Great East Japan Earthquake. We truly hope for the earliest reconstruction of the affected areas.The TOSHIBA TEC Group took action in response to the disaster by appointing the President and CEO as the chief of a response headquarters and setting up a control task force immedi-ately after the Great East Japan Earthquake.This CSR Report provides details of the TOSHIBA TEC Group's responses as of the end of June 2011.

Major Relief Activities

2 Provision of Laundry Services

3 Fundraising from Employees

DonationswereraisedfromtheemployeesoftheTOSHIBAGroupinJapan,incooperationwiththelaborunion.Inad-dition,donationsandmessagesofsupportweresentfromemployeesofgroupcompaniesallovertheworld.

4 Utilization of Philanthropy Fund

Anadditionalcontributionwasmadebythe"TOSHIBATECPhilanthropyFund,"forthepurposeofassistingtherecoveryoftheretaildistributionindustry.

5 TOSHIBA TEC Group's Electricity Savings

Immediatelyaftertheearthquake,allpossiblemeasurestosaveelectricityweretaken,byturningoffadvertisinglights,controllingairconditioning,partiallystoppingelevatorop-eration,implementing"COOLBIZ"atanearlydate,andus-ingthepower-savingmodeoncomputersintheofficesandbranchesoftheTOSHIBATECGroup,alongwithreducingopeninghoursattheOsakiOffice.TheentireTOSHIBATECGroupispromotingelectricitycon-servationduringpeakdemandperiodsforelectricityinthesummermonthsasameansofreducingelectricityconsump-tioninaccordancewithgovernmentpolicy.Real-timemoni-toringsystemsforelectricityusagehavebeeninstalledintheShizuokaBusinessCentersinceJune2011.TheTOSHIBATECGroupmakesefforttoreduceelectricityusageduringpeakelectricityconsumptionperiodsbyimplementingsuchmeasuresaschangingholidays,adoptingdaylight-savingtime,adjustingworkinghoursandworkingflexiblehours.

1 Provision of MFPs and Cash Registers Free of Charge

Copiers,MFPsandcashreg-isterswereprovidedtothechambersofcommerce,localgovernmentoffices, touristassociations, localshoppingareas and users in the af-fectedareas.

REPORT




8

BUSINESS OPERATIONTheTOSHIBATECGroupproductsarewidelyused invarious fieldssuchas instoresandof-fices.Wepromotebusinessactivitieswhilekeepinginmindthesupportfromourstakeholdersaroundtheworld.

Our Mission is to Contribute to the World through “Monozukuri.”

0

100

200

300

400

500(billion yen)

Ratio of products to

net sales by business

in fiscal 2010

Document SolutionsBusiness Group

44%

System SolutionsBusiness Group 45%

International POS, AI & Printer Business Operations 11%

In Japan

239.9203.0 190.8

270.9289.9

231.8

169.4

195.2 Outside

Japan

2006 2007 2008 2009 2010 (Fisical year)

173.9

188.4

Net Sales (consolidated)

Total Solutions

Business Operation of the TOSHIBA TEC GroupTheTOSHIBATECGroupisgloballydevelopingtotalsolutionssharingtherespectiveadvantagesandsaleschannelsofRe-tailSolutions,OfficeSolutionsandSupplyChainSolutionswhiledeepeningmobilecollaborationamongtheseoperations.

Retail Solutions Offi ce Solutions

Supply Chain Solutions Inkjet Head

RetailSolutionsOperationsoffersolutionsforawiderangeofbusinesstypesandcategories,suchasmassretailers,conveniencestores,specialtys tores and res t aurant s ,throughavarietyofprod-ucts including POS sys-tems,electroniccash registersandcomputingscales.

OfficeSolutionsOperationsoffernewvaluesandsolutionsbasedonthecombinationofDigitalMul-tifunctionPeripherals(MFP),amustforof-ficework,withnet-work devices andsoftware.

SupplyChainSolutionsOperationsofferinfrastruc-turesandsolutionsnecessaryforsoci-etythroughautoIDsystemsutilizingbarcodesorRFID,andvarioustypesofprinters.

The InkjetBusinessGroupoffers inkjetheadsen-ablinghighqualityprintingtothe inkjetprintingmarketforvariousindustries.

UV curable ink enables printing on various types of materials. (The above is a sample of printing on a tile.)


�

Wearepromotingqualityassuranceactivitiesthroughoutthecompany,basedonthevoiceofcustomers.

To Be Trusted by Customers

Preciselycapturingthevoiceofcustomers(VOC)andof-feringqualityandservicesbeyondcustomers’expecta-tions.Wethinkthisisthesourceofcustomertrust.Intheproductplanninganddevelopmentphases,wecreateat-tractiveproductsandestablishareliablesystemthroughsimulationsanddesignevaluationsbasedonassump-tionsrelatingtoeverypossibleusageenvironmentandcondition.Inaddition,wedevoteourenergiestopredict-ingscenariosinwhichproductfailuresoraccidentsmayoccurasameansofpreventingsuchoccurrences,andevaluatetheactualproductorsystemforafinalconfir-mationofsafety,allowingcustomerstousethemwithpeaceofmind.Asaresult,wehaveachievedareductioninfailuresafterinstallationorsafety-relatedaccidents,andhaveensuredsafetyandreliabilityforcustomers.

To Provide Safety and Security

Weconductdesignreviewstoevaluatefunctionsandreliabilityaswellasproductsafetyreviewstoevaluatesafetyineachphaseofproductplanning,design,devel-opment,manufacturinganddistribution,asthebasisforourqualitymanagementattheTOSHIBATECGroupandamarkerofourcommitmenttosafetyandreliability.WeadoptthePersonamethodandR-Mapforriskmanage-ment,toassumeusageofproductsfromacustomerstandpoint, iden-tify risks and prevent them fromoccurring,aswellascomplywithlawsandregulationsinandoutsideJapan,thusleadingtocommercial-ization.Theseeffortshaveresulted

Producing Safe and Reliable Quality Products

inuswinningtheMETIMinisterAwardastheBestCon-tributortoProductSafetyinfiscal2009,encouragingustocontinuesucheffortswithconfidence.

To Help Customers Use Products with Ease

TheTOSHIBATECGrouppreparesservicesystemsonaworldwidebasisaswellasinJapan,toenablecustomerstoalwaysusetheproductswitheaseintheirbestcondi-tion.Thevoiceofcustomers,receivedathelpdesksorduringvisitsforperiodicalmaintenanceorrepairs,isimmense-lyvaluablefortheTOSHIBATECGroup.Intheeventthatinformationregardingaseriousprod-uctaccident is sent tous,wearewellpositionedtorespondtotheaccidentquicklyandwithsincerity, inaccordancewith instructionssetoutbythePresidentandCEO.Atthistime,thechiefqualityofficer(CQO)isresponsibleforimplementation.

To Develop Human Resources and Quality-Centered Company Culture

Whiledevelopingspecialistsinproductsafety,reliabil-ityandriskassessment,theTOSHIBATECGroupmakeseffortstoattainevenhigherlevelsofability,aswellasworkingontechnical researchtoensurequalitythatreassurescustomers,onthebasisofthe“TOSHIBATECGroup’sBasicPolicyonTheProductSafety.”Also,weprovideeducationtoengineerstoallowthemtoacquirebasicskillsandstandardsofconductrelatedtoquality,reliability,safety,andcompliancealongwithengineeringethics.

Basic Policy on The Product SafetyThe TOSHIBA TEC Group recognizes that our topprioritymissionisgainingthetrustofthecustom-ersandcommunitiesregardingtheproductsafetythroughoutthelifecycleofeveryproductmanufac-turedanddistributed,definesandfaithfully imple-mentstheCorporatePolicy.

1) Compliancewithlawsandregulations2) Establishmentofavoluntaryactionplanfor

productsafety3) Qualitycontrolsystemensuringsafetyand

security4) Properactiontoaccidents5) Measurestoavoidmisuses

Basic policy on the product safety http://www.toshibatec.co.jp/csr/group/safety/ in Japanese only

Centralized monitoring zoneFull-time staff continuously monitors customer networks displayed on the large screen at all hours.

CUSTOMERS




10

The TOSHIBA TEC Group exercises its business activities, while giving top priority to providing products and services, which satisfy and please customers from the customers’ point of view.

Respecting the Voice of Customers

"We aim to provide timely products and services with reliable quality and functions as well as high user-friendliness, creating value with our customer in mind through our superior proprietary technology and in col-laboration with the world's best partners." is defined in the TOSHIBA TEC Group’s Corporate Philosophy.The TOSHIBA TEC Group exercises its business activi-ties, while giving top priority to providing products and services, which satisfy and please customers. From this perspective, each employee needs to think and behave from the customers’ point of view, by asking himself or herself what customers want and what value is impor-tant for customers, to realize this ideal stance.

Customer Satisfaction Policy

The TOSHIBA TEC Group aims to deliver maximum cus-tomer satisfaction (CS) in terms of products, systems and services and communication with customers based on the "TOSHIBA Group CS Promotion Policy" estab-lished in 2003.

Providing Products and Services that Satisfy Customers

Improvements in Customer Satisfaction

Toshiba MFP Operator's Manual Awarded Hon-orable Mention in Category in the Japan Manu-al Contest 2010We think the simplicity of how to use a product signifi-cantly affects customer satisfaction. As one of the ap-proaches to improve simplicity, the TOSHIBA TEC Group aims to improve product-related documents including operator's manuals.As an indication of the improvement, the operator's manual "Toshiba Multifunctional Digital Systems Quick S t a r t G u i d e e - S T U -DIO255/355/455" created by TOSHIBA TEC Docu-ment Processing Systems Co., Ltd. was awarded an honorable mention in the category "Usage Manuals--General Users" in the Ja-pan Manual Contest 2010 (held by the Japan Techni-cal Communicators Asso-ciation) in August 2010.

JapanTechnicalCommunicatorsAssociationhttp://www.jtca.org/en/tc_award/index.html

As the staff members of the oper-ator's manual department, we are operating a working group for con-tinuous improvement in the quality

of operator's manuals.A variety of functions such as copying, fac-simile transmission/reception and scanning via a network are integrated in the MFP. We cre-ate operator's manuals while discussing easy-t o - u n d e r s t a n d descriptions to e n a b l e a f i r s t-time user to suc-cessfully engage i n t h e d e s i r e d operation on the MFP.

TOSHIBATECDocumentProcessingSystemsCo.,Ltd.

Key persons

TOSHIBA Group CS Promotion PolicyWe make the voice of customers the starting point for all ideas and provide products, systems and services that deliver customer satisfaction.

1. We provide products, systems and services that are safe and reliable.

2. We respond to requests and inquiries from customers sincerely, rapidly and appropri-ately.

3. We value the voice of customers and endeav-or to develop and improve products, systems and services to deliver customer satisfaction.

4. We provide appropriate information to cus-tomers.

5. We protect personal data provided by cus-tomers.

CUSTOMERS


11

Education and Training System

Theeducationandtrainingsystemconsistsofseveraltraining programs, to enable employees to acquiresophisticatedexpertise inconjunctionwiththeirowngoals and aspirations, to provide education includ-ingcomplianceeducationforallemployeesthroughenlightenmentactivities,andtoprovideeducationac-cordingtotheirpositionateverylevelthroughoutcor-poratelife.Avarietyoftrainingcoursesareprovidedinresponsetoindividualemployeesandtaskneeds.Education according to PositionStartingwithavarietyofintroductiontrainingprogramstonewemployees,grouptrainingisprovidedfornewlyappointeddeputyspecialists,andbasicknowledgeformanagementregardingcomplianceandcorporateac-countingisprovidedformanagers.Afteradeterminedperiod,grouptrainingisprovidedforthesemanagerstoimprovehumanskillssuchascoaching.Forgeneralmanagers,grouptrainingandtrainingbyexternal instructorsareprovidedwiththepurposeofimprovingconceptualskillstodevisestrategiesfromatopmanagement’spointofview.Global Personnel Development CourseUnderthecurrentbusinessenvironment,theneedforper-sonnelwhocanplayimportantroleswithintheinternationalarenaismagnified.TOSHIBATECCorporationestablishedtheglobalpersonneldevelopmentcourseforyoungemployeestomid-careeremployees,tosystematicallydevelophumanresourceswith inge-nuity,culturalenrich-mentandasenseofinternationalism, aswellaslanguageabil-ity.

Everyemployee is respected,whileproperevaluationsandrewardsarepracticed.Safetycon-trolandhealthcarearepositionedasatoppriorityissueformanagement.

Basic Policy on Human Resources

TheTOSHIBATECGrouprespectseveryemployeeandstrivestoimproveeachemployee’scapabilities.TheTOSHIBATECGrouppracticesfairandproperevalu-ationsandrewards,aswellascreatesanopen,broad-mindedandsoundorganizationalculture. Inaddition,byprovidingaworkingenvironmentwheremotivatedpersonnelcanbringtheircapabilitiesintofullplay,whilestrikingabalancebetweenworkandfamily,theGroupestablishesarewardsystemforallhumanresourcesasitisanessentialsupportsystemforitsemployeestoformapowerfulprofessionalgroupwhichkeepsonchalleng-ingitself.

Personnel System

Thehumanresourcessystemisdesignedtoensureallemployeesrealizejobsatisfactionandaspiritofchal-lengetoachieveself-fulfillmentthroughtheirtasks,aswellastopracticeproperrewards,bylinkingindividualachievementswithorganizationalachievements.TOSHIBATECCorporation isdevoting itsenergiestocreatinganopen,broad-mindedandsoundorganiza-tionalculturetoformaprofessionalgroup,whocanac-centuateitsorganizationalstrengths,whilehavingeachofitsemployeesacquiremoreadvancedcapabilitiesinbecomingindependent.Human Resources Development and Utilization Systems1) Target Attribution System 2) Expertise Development Evaluation System 3) Role Assignment System 4) Utilization of In-house Job Posting5) Employment Extension System

Personnel System http://www.toshibatec.co.jp/en/csr/people/employees/#a02

Accepting and Respecting Promotion of Diversity

Onthebasisofgenderequality,TOSHIBATECCorpora-tionisaimingtoprovideaworkingenvironmentwheremotivatedpersonnelcanbringtheircapabilitiesintofullbloomregardlessofgender.Inordertosupporttheem-ployeestobalanceworkandfamily,thesystembelowisprovided:Future Generation Development Support Programs1) Child-care leave 2) Nursing-care leave 3) Short-time work 4) Annual paid holidays on an hourly basis 5) Leave for pregnant employees

Accepting and respecting promotion of diversity http://www.toshibatec.co.jp/en/csr/people/employees/#a03

Male-Female Ratio and Number of Foreign Employees for Mid-Term Target

2010 2013

(1) Ratio of female employees 12.4% 11.4%

(2) Difference of male-female ratio in manage-ment post between ages 37 and 45 23.6% 17.2%

(6.4%pointsincrease)

(3) Number of foreign employees 12 15

Employee Relations

Employment of People with Disabilities

TOSHIBATECCorporationendeavorstocreatework-ingenvironmentswherepeoplewithdisabilitiesandthosewithoutdisabilitiescanworktogetherasequals.Employeeswithdisabilitiesareinvolvedinavarietyofoperations.Jobopportunitiesforpeoplewithdisabilitiesareexpandedandworkingenvironmentsareimprovedtobringtheircapabilitiesintofullplay,throughInternetrecruitmentandvariousothertypesofforums.Rate of Employees with Disabilities

June 2009 April 2010 April 2011

TOSHIBATEC 1.91% 1.86% 1.92%

TOSHIBATECGroupinJapan 2.11% 2.21% 2.07%

EMPLOYEES




12

Listening to the Voice of Employees

TOSHIBA TEC Corporation started a “TEAM Survey” in fiscal 2009, in place of the corporate philosophy sur-vey, which has been conducted to root the corporate philosophy. We use this survey to listen to the voice of employees for fostering better corporate culture and workplace, as well as to root the corporate philosophy.

Labor Management Relations

The labor contract governing laws for labor-manage-ment relations has been concluded between TOSHIBA TEC Corporation and its labor union, to foster the policy of coexistence, i.e. "corporate development encourages the economic status of its labor union members, while improvements in the economic status of its labor union members lead to corporate development." Under this policy, labor and management merge their energies to improve productivity, while openly discussing manage-ment issues and reviewing directions to deepen mutual understanding.

Health and Safety

Occupational Health and Safety Management SystemThe production group companies have been accredited with OHSAS 18001, an international occupational safety and health management system speci� cation. Addition-ally, non-production group companies launched prepa-ration for introducing the system. Thus, the TOSHIBA TEC Group will further seek safe working environments and employees’ health maintenance and promotion.

Prevention of Industrial AccidentsPromotion of employees' safety and health is set as one of priorities in corporate management. The occurrence of accidents with lost days is well below the industry av-erage, as shown below.

Level 4 Accident-Free Operations at the Shizuoka Business Center (Ohito)The Shizuoka Business Center has sustained accident-free operations at the former Ohito Business Center since October 1995, and taken further safety measures through activities of OHSAS 18001 accredited in 2008, resulting in Level 4 accident-free operations (23.7 mil-lion hours) on April 14, 2010.

A ceremony was held to honor this achievement at the Mishima Labor Standards Inspection O� ce on July 6, 2010, and Mr. Hara, General Manager of the Shizuoka Business Center received a testimonial from Mr. Ishida, Head of the Labor Standards Inspection O� ce. We will make e� orts to improve our record with the aim of creating an accident-

free, safe and comfortable workplace toward Level 5 accident-free operations (35.6 million hours) while ensuring risk assessment is appropri-ately implemented at the workplace.

Healthcare ProgramsAiming to prevent and improve lifestyle-related dis-eases, health instructions are provided by medical professionals based on the results of the annual health checkup. All employees who have worked over a certain amount of hours per month are obliged to take an inter-view and guidance with the doctor, to seek employees' health maintenance and promotion. In addition, the Re-turn to Work pro-gram is established to help employees who have taken a long -term leave adjust back into the working envi-ronment with ease, as well as prevent recurrence.

OHSAS 18001 accredited consolidated affi liates by region (production companies)

1 in America3 in

Japan3 in

Southeast Asia

1 in China

1 in Europe

Occurrence of Accidents with Lost Days (per million man-hours)

0.0

0.5

1.0

1.5

2.0

2.5

1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007

0.340.18 0.09 0.19 0.09 0.09 0.10 0.11 0 0

0.25 0.13 0.13 0.27

1.88 1.891.75 1.72 1.8 1.82 1.79 1.77 1.78 1.85 1.83 1.75 1.62

1.95 1.90

2008 2009 2010

(Fiscal year)

(Accidents)

0.13 0.13

All industries in Japan

TOSHIBA TEC

I have been responsible for health-care services since 2010. I provide health a s s i s t a n c e a s a

person familiar with everyone’s needs, while taking into account workplace culture and require-ments.I also hope to create a workplace where employees can enjoy their work. Health nurse

Key person


13

Through various avenues, we make every endeavor, so that our shareholders and investorstrustandproperlyunderstandTOSHIBATECCorporation.

Composition of Shareholders

Communication with Shareholders

TOSHIBATECCorporationrecognizestheGeneralMeet-ingofShareholdersasan important forumfordirectcommunicationwithshareholders.Byprovidingvisualizedbusinessreportingandtheman-agementplanatthegeneralmeetingofshareholders,aswellasshowroomtoursafterthemeeting,TOSHIBATECCorporationstrives foreasieranddeeperunder-standingof“TOSHIBATEC”byshareholderswhoattendthemeeting.Inaddition,TOSHIBATECCorporationpreparesanddeliversBusinessReportstoallshareholdersaswellaspostingthereportsonitswebsite.TheBusinessReportsincluding information, such as major products andexpectedachievementsaswellasoverviewsofopera-tions,arepreparedwithdiagramsandphotosforeasyunderstanding.

Shareholders/Investors Relations

Disclosure

TOSHIBATECCorporationmakesefforts topromptlydisclosepropercorporate information including itsmanagementpolicy,financialstatementsandfinancialinformation,togainthetrustofitsstakeholders,includ-ingshareholders, investorsandlocalcommunities,toensureadeeperunderstandingoftheCorporation.Inparticular,informationispromptly,properlyandfairlydisclosedbasedonin-houserules,lawsandregulationswhenimportantcorporateinformationarises.Theac-countsettlementmeetingforinstitutionalinvestorsandfinancialanalystsisheldtwiceayear.Easy-to-understand disclosure information regard-ingbusinessoperationsis immediatelypostedontheTOSHIBATECwebsite.TOSHIBATECCorporationstrictlymanagesinformationtopreventinsidertrading.Annual Communication Schedule for Fiscal 2010

Month Communications

April AnnouncementoffinancialstatementsAccountsettlementmeeting

May Announcementofmid-termmanagementplanMid-termmanagementplanmeeting

June

Distributionofnoticeregardinggeneralshare-holdersmeetingDistributionofbusinessreportsDistributionofgeneralmeetingresolutionsDisclosureoffinancialstatementsIssuanceofCSRreport

July Announcementoffirst-quarterfinancialstate-ments

October

Announcementofsecond-quarterfinancialstatementsAnnouncementofsecond-quarterfinancialstatements

December Distributionofinterimbusinessreports

January Announcementofthird-quarterfinancialstate-ments

Business Report

Individual and other shareholders

11.16%

Financialinstitutions17.55%

Japanese corporations50.75%

Non-Japanese

corporations

15.04%Composition

of Shareholdersat the end

of March 2011

Securities firms 0.65% Own shares 4.85%

Mid-term management plan meeting

SHAREHOLDERS/INVESTORS




1�

Whileestablishingmutual relationshipswithsuppliersbasedontrust, throughfairandopentrade,weassignpriority toandadvancetransactionswithsuppliers,whicharecommittedtocomplyingwithlawsandregulations,upholdinghumanrightsandprotectingtheenvironment.

Procurement Policy

While theTOSHIBAGroup is running itsbusinessona global basis regarding a wide range of products,TOSHIBATECCorporation,asamemberoftheTOSHIBAGroup,strivestoconductathoroughprocurement inaccordancewiththeTOSHIBAGroupprocurementpoli-cies, inordertofulfill itssocialresponsibilitythroughfairprocurementactivities.

Compliance in Procurement

TOSHIBATECCorporationpositionscomplianceasatop-priorityitemfor"BusinessContinuanceandFurtherDevelopment"toensurecompliance inprocurementtransactions.

Promotion of CSR Procurement

Whilecommunicatingwithsuppliersonadailybasis,weaskthemtothoroughlyensurecompliancewithintheircompaniesasrequestsforsupplies.Ontheassumptionoftrouble,wealsoasksupplierstoensurethefollowing:

(1) Establishmentand improvementofasystemtopromptlycommunicatewithTOSHIBATECCorpo-ration

(2) Establishmentand improvementofasystemtopromptly respondtotroubleandminimize im-pacts

TOSHIBA TEC Partner Hotline Setup

A"TOSHIBATECPartnerHotline"whistle-blowersys-temforsuppliersissetuponthewebsiteforoutsiders.TOSHIBATECCorporationgivestopprioritytocompli-ancewithlaws,regulations,socialcustomsandcorpo-rateethicsthroughoutitsbusinessactivities.Aspartoftheefforts,asystemhasbeenestablishedandisusedtoencouragesupplierstoreportissuesandconcernswithTOSHIBATECCorporationintermsofcomplianceinpro-curementtransactions.WhensuppliersreportmattersviathePartnerHotline,TOSHIBATECCorporationstrivestoestablishmutualre-lationshipsthroughopencleantrade,aswellastobuildsoundpartnershipswithsuppliersbasedonmutualtrust.

TOSHIBA TEC Partner Hotline http://www.toshibatec.co.jp/contacts/partnerline/ in Japanese only

Procurement Policy (Abstract)BasicProcurementPolicy

(1) CompliancewithrelevantlawsandregulationsandEn-vironmentalConsiderations

(2) Promotionoffairandopentrade(3) Reinforcementofpartnershipwithsuppliers

PolicyforSelectingSuppliers(1) Thecompanycomplieswithlawsandregulations,and

placesemphasisonhumanrightsandenvironmentalconsciousness.

(2) Thecompanyhassoundbusinessoperations.(3) Thecompanyhastheabilitytosupplygoods,products,

softwareand/orservicestotheTOSHIBAGroupwithem-phasisonappropriatequality,priceanddeliverylead-time.

(4) Thecompanyiscapableofprovidingastableandcon-tinuoussupplyofgoods,products, softwareand/orservices.Alsothecompanymusthavetheflexibilitytorespondquicklytosupply/demandfluctuations.

(5) ThecompanypossessestechnologythatcontributespositivelytoTOSHIBATECGroupproducts.

SupplierExpectationsThe"TOSHIBAGroupProcurementPolicy"forsuppliers ispreparedandrequirementsrelatedtosocialresponsibilityaredescribedinits"SupplierExpectations"tothoroughlymakethemknowntosuppliers,inordertocontributetothecreationofasustainablesocietythroughsupplychains.

Procurement Policy http://www.toshibatec.co.jp/procure/plan/ in Japanese only

Compliance in Procurement

Electrical Safety LawProduct Liability Law

Green ProcurementRoHSREACH

Antitrust LawSubcontracting LawWorker Dispatch Law

Classified informationPersonal data

Compliance with relevant laws and regulations

Protection of confi-dential information

Open and fair trade

Human rights & workplace safety

Environmental protection

Quality maintenance and improvement

Compliant Procurement Control System

Compliance executives of the business groups and business divisions (General managers of business groups and business promotion divisions)

Compliance executives (General managers of the production & procurement dept. and resales pro-curement division)

Chief procurement officer:Assistanttothechiefrisk-compliancemanagementofficerDeputy procurement officer:Executiveofficerinchargeoftheprocurementgroup

Person responsible for handling (General managers of the production & procurement dept. and assign-ees of the resales procurement division)

Production & Procure-

ment Dept.

Supervised group

companies

Resales Pro-curement Division

Production depts.

or other related

divisions

Risk Compliance Committee

Executive officer in

charge of the corporate

procurement group

T h e f o l l o w i n g a r e p r o v i d e d to the business g r o u p s a n d b u s i n e s s d i v i -sions:· S u p p o r t , g u i d a n c e a n d education, etc

SUPPLIERS

TOSHIBA TEC GROUP CSR REPORT 2011

15

Local Contribution and Volunteer Activities

Utilization of Philanthropy Fund

"TOSHIBA TEC Philanthropy Fund," which consists of donations from employees accompanied by matching contributions from the Corporation, is endowed to local and nationwide social welfare and disaster victim support groups.

Donations for the Great East Japan Earthquake ( See Page 7.)

Books donated to nearby elemen-tary schools in Mishima, Shizuoka

Voluntary Participation

Hosted by Shinagawa Ward Voluntary participation in the commemorative gathering during the “Week for Persons with Disabilities”

We supported this event jointly with people who have overcome disabilities to participate actively in society.

Donation of calendars/diaries to social welfare organizations

S p a r e c a l -e n d a r s a n d diaries at work or home were donated.

Donation of laptop computers to “Save the Children”Donated computers are used for educational sup-

port of children, who lead the next generation in Vietnam and Nepal in � scal 2010, following the previous year.

Blood donor reception equipment endowed

The TOSHIBA TEC Group defines the Corporate Policy regarding "Community Relations" in its Standards Of Conduct (SOC) and gets involved in philanthropy based on this Policy.

Philanthropy

Contributions to social welfare organizations· Central Community Chest of Japan · Head o� ce (Shinagawa) region, Shizuoka (Mishima) (Izunokuni)

region Donation of blood donor reception equipment

The TOSHIBA TEC Group has promoted blood drive activities. In addition, we endowed blood donor reception equipment as indi-rect support, following the blood drive PR vehicle endowed in the previous year.

Participated in clean-up activities around the Shizuoka Business Center

Participated in clean-up activities around Participated in "Memorial Gathering"Calendars/diaries donated

Educational support pro-g r a m s f o r c h i l d r e n a r e one of the foundations for future development of the country. The introduction of computers has given a great boost to local people, as business qualit y and efficiency are expected to increase dramatically. Save the Children JAPAN

Hosted by Shizuoka Prefecture Clean-up activities around the Shizuoka Business Center

Employees participate in annual clean-up activities around the Shizuoka Business Center.

Participation in the "Pink Ribbon Smile Walk"During the Pink Ribbon Month (October) in 2010, our employees and their families joined the walking events held in Tokyo, Kobe and Sendai, following the previous year.

D o n a t i o n s t h r o u g h "Heart-Full Vendors"3 9 9 , 7 15 y e n w a s raised in � scal 2010.

PHILANTHROPY




16

Support for Children Who Lead the Next Generation

Holding a company tour and work-studyAsasupportofthework-studyofelementary, juniorhighandhighschoolstudents,acompanyandshowroomtourwascar-riedout, inwhichthestudentsexperiencedinworkingasca-shiersbyusingactualPOS terminals . The"tour for employees'children"wascarriedout during the sum-mer vacation, allow-ing the children tofamiliarizethemselveswith the workplacesof their parents byseeingthematwork.

Activities to Preserve the Global Environment

Exhibition of self-checkout terminals at the summer vacation event

Ourself-checkoutterminalswereexhibitedatthesummervacationevent in "Sai-no-KuniKurashiPlaza,"allowingmanyfamiliesandchildrentoex-perienceshoppingusingtheseterminals.

Children experience "exchanging business cards"

Philanthropy Corporate Policyhttp://www.toshibatec.co.jp/en/csr/people/contribution/contribution_1/

perienceshoppingusingtheseterminals.

Donation of female offi ce uniformsWedonatedfemaleofficeuniformstorefugeecampsandrefugeesallovertheworld,followingthediscontinua-tionoftheiruseinoffices.

Donation of reused computersComputers not used for businesswereendowedtosupporttheinfor-matizationofsocialwelfareandcivicactiongroups,whichdonothaveanadvancedITenvironment.

Worldwide participation in the TOSHIBA Group's 1.5 Million Tree-Planting Project

TheTOSHIBAGroup's"1.5MillionTree-PlantingProject"toplant1.5milliontreesisbeingexpandedbothinandoutsideJapan.

Joint tree planting by the subsidiary in Germany Joint tree planting jointly by the subsidiary in Singapore


1�

TOSHIBA TEC INFORMATION SYSTEMS (SHENZHEN) CO., LTD.

Support for elementary school edu-cation (continued every year)

Schoolexpensesandstudymaterialsareprovidedtolocalchildreninneedoffinancialassistance,aswellascon-tinuoussupport forbuildingor re-constructionofelementaryschools.

Donation to the Giant Panda Breed-ing Research Base in Chengdu

ActivitiestoprotectendangeredGi-antPandasaresupported.( SeePage6.)

Tree-planting activities

Clean-up activities

* Aniconaddedtoeachactivityshowstheactivitymentionedbelow.

NewActivityBloodDriveEnvironmentalApproachVoluntaryWorkEndowment/DonationOtherActivities

Group Companies in Japan

TOSHIBA TEC SOLUTION SERVICES CORPORATION http://www.toshibatec-ttss.co.jp/ in Japanese only

Donation to the Central Community Chest of Japan Participation in blood drives Clean-up activities Support and exhibition at environmental events Eco-drive campaign Outside introduction support and in-house promotion for the

Environmental Education Program "Kids’ ISO" Delivery of environmental lectures at elementary schools

( SeePage6.)

TEC INFORMATION SYSTEMS CORPORATION Kids’ ISO

Support to theKids' ISOprogramhascontinuedsince2005.Employ-ees are Kids' ISO instructors sup-portenvironmentalmanagementactivities for fifthandsixth-gradestudents.Sixstudentsobtainedthe interna-tionalcertificatethisyear.

Collection of plastic bottle caps

T.T. BUSINESS SERVICE, CO., LTD. Donations through Heart-Full Vendors

CollaborationwithTOSHIBATECCorporation( SeePage15.) Collection of plastic bottle caps

Group Companies outside Japan

TER CORPORATION Participation in the EXPO Eco-Money Project

Byusingpublictransportationsystems, Eco-Money pointsareearned.WhenEco-Moneyexceeding a certain amountof points is donated, a tree-plantingcertificateisobtained.

Clean-up activities

Participation in blood drives Collection of plastic bottle caps

TEC MANUFACTURING CO., LTD. Clean-up activities

CollaborationwithTOSHIBATECCorporation( SeePage15.)

TEC APPLIANCE CORPORATION Participation in blood drives Collection of plastic bottle caps

TOSEI ELECTRIC CORPORATION Participation in blood drives Holding a summer festival Acceptance of internship stu-dents

AI SOLUTIONS CO., LTD. Donations through Heart-Full Vendors

Collaboration with TOSHIBATECCorporation( SeePage15.)

PASSTACK CO., LTD. Collection of plastic bottle caps

Donation to the Giant Panda Breed-

Tree-planting in Shenzen

Clean-up activity in Phoenix Mountain For-est Park, Fuyong




18

TOSHIBA TEC (HK) LOGISTICS & PROCUREMENT LTD. Tree-planting activities

Employeesandtheirfamiliesparticipatedintheac-tivitytolearnabouttheimportanceofnaturalenvi-ronmenttogether.

TOSHIBA AMERICA BUSINESS SOLUTIONS, INC.* Home building volunteer

TOSHIBAAMERICABUSINESSSOLUTIONSINC.par-ticipatedintheactivitiesfor the self-support ofpeople with economicdifficulties.Forthisactiv-ity,CEOsorboardmem-bersoflocalcompaniesplayedacentral role infund-raising to buildhousesfordisabledvet-eransordisadvantagedfamilies, incooperationwiththelocalNavy.* This achievement received the "Toshiba ASHITA Award," a presiden-

tial award for corporate citizenship achievements in fi scal 2010.

Holding a Christmas eventChristmasgiftsweredeliveredtochildreninthehos-pital.

Support for elementary school educationBooksandeducationalvideosareprovidedtoel-ementaryschools.

Participation in Earth Week 2010 ActivitiesWeparticipatedinEarthWeek2010Activitiesjointlywithlocalresidents.

TOSHIBAAMERICABUSINESSSOLUTIONSINC.par-

* This achievement received the "Toshiba ASHITA Award," a presiden-

Support for elementary school education

Participation in Earth Week 2010 Activities

P.T. TEC INDONESIA Clean-up activities

Provision of internship

TOSHIBA TEC SINGAPORE ELECTRONICS PTE LTD. Tree-planting activities ( SeePage16.)

SevenTOSHIBAGroupaffiliatesareconductingtree-plantingactivities.

Company tour

1�


Environmental Promotion StructureCorporate Environmental

Protection Council

Wepracticeglobalsustainabilitywiththeaimofrealizinga low-carbonsociety,recycling-basedsocietyandnaturalsymbiosissocietybyseekingtobringtogetherbusinessandenvironmentalactivities,inordertohanddowntoournextgeneration,ourirreplaceableEarthinasoundstate.

Basic Policy for the Environment

TheBasicPolicyfortheEnvironmenthasbeenrevisedalongwiththepolicychangeto"Pro-activeEnvironmentalMan-agement"wherestakeholders'increasingdemandsforcorporateeffortsforenvironmentalmanagementareintegratedwithbusinessandenvironment,aswellasthenewadditionofbiodiversity.

Practicing Sustainability under the Corporate Philosophy and CSR Activities

Corporate Environmental Protection CouncilCorporate Environmental Protection Council

Basic Policy for the EnvironmentWe,theTOSHIBATECGroupasaglobalenterprise,whichexpandsitsoperationsonaglobalbasisunderthebusinessesofRetailSolutionsandDocumentSolutions, InkjetHeadsandassociatedservicesandsupplies,contributetosocietybyreducingourcustomers'andourenvironmentalimpactsthrough"Monozukuri,"bycreatingenvironmentallyconsciousproductsorECPs.Wepracticeglobalsustainabilitywiththeaimofrealizingalow-carbonsociety,recycling-basedsocietyandnaturalsymbiosissocietybyseekingacombinationofbusinessandenvironmentalactivities,inordertohanddowntoournextgeneration,ourirreplaceableEarthinasoundstate.Givensustainabilitymanagement,eco-products,eco-processandenvironmentalcommunicationastheimportantpillarsofsustainability,theTOSHIBATECGroupisactivelydrivingenvironmentalprotection,tocontributetothereductionofenvironmentalimpactsinbusinessfieldssuchasstoresandoffices.(1)SustainabilityManagement

· TheTOSHIBATECGroupspecifiesandpromotesobjectivesandtargetsforitsbusinessactivities,productsandservicestoassessenvironmentalimpactsincludingbiodiversity,reduceenvironmentalimpactsandpreventpollution,andcontinuallystrivestoimprovetheenvironment.

· TheTOSHIBATECGroupcompliesnotonlywithlawsandregulationsappliedincountriesorregionsallovertheworld,butalsowithindustryguidelines,whichithasendorsed,forenvironmentalprotection.

(2)Eco-Products· TheTOSHIBATECGroupreducesenvironmentalimpactsthroughoutitsproductlifecyclethroughgreenprocurementofenvironmentallyconsciousmaterials

andparts,3Rs,energyconservation,andabolitionofcertainchemicalsubstances,inordertoprovideECPsonaglobalbasis.· TheTOSHIBATECGroupadvancesdistributionofECPsandservices,tocontributetothereductionofenvironmentalimpactsoftheproductsorservices

whenusedbycustomers.· TheTOSHIBATECGroupcontributestotheestablishmentofarecycling-basedsociety,whilecollectingandrecyclingend-of-useproductsandreusingend-of-

useparts.

(3)Eco-Process· TheTOSHIBATECGroupstrivestowardresourceandenergyconservation,aswellascorrectcontrolofchemicalsubstances,forenvironmentallyconscious

production,marketingandservicing,allowingforregionalcharacteristics.· TheTOSHIBATECGroupaimsatrealizingalow-carbonsocietythrough"Monozukuri,"bycreatingECPsandimprovingtheefficiencyoflogisticsoperations.

(4)EnvironmentalCommunication· TheTOSHIBATECGroupprovidesenvironmentaleducation,conductseducationalcampaigns,andexpandseachemployee'senvironmentalawarenessto

promoteenvironmentalactivities.· TheTOSHIBATECGroupactivelyandwidelydisclosesitsenvironmentalpolicyandactivitiesinsideandoutsidetheGroup.· TheTOSHIBATECGroupparticipatesinsociety-wideenvironmentalactivitiesincooperationwithadministrations,communitiesandbodiesconcerned.

TOSHIBATECGroupRevisedinMarch2011

Sustainability of the TOSHIBA TEC GroupCorporate Philosophy CSR Activities

Practice of Sustainability

· Fourth Action Plan· Environmental Impact Assess-

ment including Biodiversity· Environmental risk manage-

ment system· TOSHIBA Group Environmental

Audit

· Provision of ECPs· Reduction of environmental

impacts throughout a life cycle· Expansion of collection, reuse

and recycling of products

· Reduction of environmental impacts at production and non-production sites

· Resource and energy-savings· Chemical substances control· Improvement in effi ciency of

"Monozukuri" and logistics operations

· Environmental education, educational campaigns

· Environmental public relations· Exhibition and participation at

environmental events· Communication with the

society

Environmental Communication

Eco-ProcessEco-ProductsSustainability Management

President and CEO

Business Group General Managers

Environmental Group Offi cers

Strategic Environmental Management Division

Executives

Environmental Promotion Division Managers of Business Groups

Business Groups

Business Centers and Offi ces

Affi liates outside Japan

Sustainability Promotion Committee

ECP Promotion Committee

Business Process Environmen-tal Promotion Committee

Affi liates in Japan

SUSTAINABILITY MANAGEMENT

�0




TOSHIBA Group Environmental Audit

TheTOSHIBAGrouphasannuallyconductedtwo-dayenvironmentalauditsinaccordancewithitsproprietaryEnvironmentalAuditSystemateachproductionsiteoftheTOSHIBAGroupsince1993,topromoteenvironmen-talmanagement.TheTOSHIBAGroupalsoreflectstheresultsinitsenvironmentalmanagementandstrivestoensurecompliance.As the featuresof thisenvironmentalaudit, theauditsystembasedontheworkplaceprinciplesandnumericalevaluationisused,anditconsistsofenvironmentalman-agementauditattheheadoffice,environmentalauditofsitesandenvironmentaltechnologyauditofproducts.Theaudit isannuallycarriedoutatallproductionandnon-productionsites, inaccordancewiththenewstan-dardstoensurecomplianceandcompletetheactionplan.PersonsatproductionsitesoutsideJapanhavebeenqualifiedasauditors,toparticipateintheenvironmentalauditofsites.Thiswillhelpusperformmorespecificenvironmentalactivitiesineveryregion.

Fourth Environmental Action Plan (Former Fourth Voluntary Plan for Environmental Protection)

Allgoalsforitemsregardingeco-productsandeco-processwereachievedinfiscal2010.Infiscal2011,anewproduc-tionsitewillstartoperationsinChina.Thisnewproductionsitewillbecomeengagedmainlyinpartprocessing,thuswillconsumemoreenergy,comparedtotheexistingassemblysites.Therateofenergy-intensivemanufacturedprod-uctswillincreasealsoinJapan.Therefore,asgoalsforandafterfiscal2011,valuesareincreasedcomparedtotheresultsinfiscal2010.SinceCO2emissionsrelatingtopowergenerationinJapanareexpectedtochangeduetotheeffectsoftheGreatEastJapanEarthquake,trendsneedtobeassessedtoexaminetargetsforenergy-originatedCO2emissions.WewillcontinueeffortstorestrainemissionsofCO2,wasteandchemicalsubstancestothefullestextentthroughim-provementsinmanagementanddeliberatebusinessinvestment.

Note: "YES" indicates the goal for 2010 has been achieved and "NO" indicates the goal for 2010 has not been achieved.

Indicator Reference year

Fiscal 2010 Fiscal 2011 Fiscal 2012

Target Result Evaluation Target Target

Eco-Products

Productfactor 2000 1.95 2.00 YES 2.00 2.05

RatioofECPstosales - 80% 87% YES 83% 85%

EffectsofCO2emissionsthrougheco-products 2000 32,000t 36,000t YES 57,000t 57,000t

15certainsubstancescontainedinproducts - 100% 100% YES 100% 100%

Eco-Process

Globalw

arming

prevention

Energy-orig-inatedCO2emissions*1

Globalproductionsites

CO2emissions

1990

117% 110% YES 150% 151%

RatioofCO2emissions

119% 112% YES 150% 150%

ProductionsitesinJapan 67% 64% YES 89% 87%

CO2Emissionsassociatedwithproductlogistics

RatioofCO2emissions 2006 78% 60% YES 60% 59%

Efficientuseof

resources

Totalamountofwastegenerated

Ratioofdischargedwaste 2000 68% 60% YES 82% 81%

Ratiooffinallandfilldisposal - 1.5% 1.5% YES 2.0% 2.1%

Reductionofwaterconsumption Ratioofinputwater2000

74% 60% YES 104% 104%

Chemicalsubstanceemissions Emissionstoairandwater 66% 52% YES 124% 127%

Note 1: Targets for energy-originated CO2 emissions will be examined by determining changes in CO2 emissions relating to power generation in Japan.Note 2: For goals using ratios, a quantity-based net output rate is used as an indicator for evaluating activities. Net Output = [Nominal Output in Japan] / [Corporate goods price index (electrical equipment) announced by the Bank of Japan for each year (the index for 1990 is 1)] + [Nominal

Output outside Japan]· The amount of electricity generated is adopted as the CO2 conversion factor for electricity in Japan: 4.17t-CO2/10 thousand kWh for fiscal 1990, 3.4 for fiscal 2010, and 3.51 for

fiscal 2011 and 2012.· The amount of electricity-received specific to the relevant countries was adopted as the CO2 conversion factor for electricity outside Japan in fiscal 1990. The GHG Protocol

values for fiscal 2006 are adopted for fiscal 2010 or later.

TOSHIBA Group Environmental Audit

Improvement in the environmental management level and reduction of environmental risks

Environmental Management AuditAudits the corporate-wide environmental management.

Environmental Technology Audit of Products

Audits the progresses of environ-mental management promotion and compliance at business groups and engineering divisions of affiliates.

Environmental Audit of Sites

Audits the progresses of environ-mental management promotion, compliance and facility manage-ment at each site.

Desk auditWorkplace audit

�1


Environmental Costs Million yen

Classification DetailsExpenditure Cost Change in costs

from 2009Consoli-

datedNon-con-solidated

Consoli-dated

Non-con-solidated

Consoli-dated

Non-con-solidated

1)Businessareacosts Reductionofenvironmentalimpacts(1)to(3) 138.2 97.5 187.2 103.7 14.2 -15.4

(1)Pollutionpreventioncosts Preventionofair,waterandsoilpollution,etc. 56.6 28.9 39.9 13.6 2.2 -1.3

(2)Globalenvironmentalprotectioncosts Globalwarmingprevention,ozonelayerprotection,etc. 77.3 68.6 89.5 54.2 11.1 -12.3

(3)Resourcecirculationcosts Recyclingofwaste,etc. 4.4 0.0 57.7 35.8 1.0 -1.9

2)Upstream/downstreamcosts Greenprocurement,collectionandrecyclingofproducts,etc. 0.4 0.0 79.1 78.5 -33.2 -33.3

3)Administrationcosts EstablishmentofEMS,environmentaleducation,tree-planting/clean-upcampaigns,etc. 2.9 0.0 381.1 345.5 -12.5 -13.4

4)R&Dcosts TechnicaldevelopmentforECPs,etc. 0.0 0.0 74.6 74.6 -123.5 -123.5

5)Socialactivitycosts Donationsandsupporttogroups/organizations,etc. 0.0 0.0 7.9 7.1 2.5 2.1

6)Environmentalremediationcosts Recoveryfromsoilpollution,etc. 0.0 0.0 1.0 1.0 0.2 0.2

Total 141.4 97.5 730.8 610.3 -152.2 -183.3

Environmental Benefits Million yen

Classification Details TOSHIBA TEC Affiliates Total

Actualbenefits Reducedchargesforelectricityandwater,etc. -22.3 -70.6 -93.0

Assumedbenefits Reducedenvironmentalimpactsonwaterandatmosphereinmonetaryvalue -240.5 2.54 -237.9

Customerbenefits Benefitsofimpactsreducedintheproductusagephaseinmonetaryvalue 1,098.5 0.0 1,099

Total 835.7 -68.1 767.7

Environmental Accounting

Environmentalaccountingisusedtoquantitativelyunder-standenvironmentalprotection-relatedcostsandbenefits,andutilizethequantitativedataasguidelinesforbusinessactivities.

Costs and BenefitsFor environmental protection costs in 2010, capitalinvestmentsofapproximately140millionyenandex-pensesofapproximately730millionyenweremadeonaconsolidatedbasis.Investmentsweremadeespeciallytowardglobalwarm-ingpreventionandenergy-savingmeasures.

Benefitsresultedin770millionyen.Expansioninproductionresultedindecreasesinactualandassumedbenefitsoverthepreviousyear.Greaterbenefitsarosefromthereductionofenvironmentalim-pactsintheproductusagephase.

Targetdatatabulated:ThreeTOSHIBATECproductionsites,HeadOffice,threeproductionaffiliatesinJapanandsixproductionaffili-atesoutsideJapanTabulationperiod:April1,2010toMarch31,2011

Note: The amount partly includes estimate.

Breakdown of Actual Benefits Million yen

Item Amount of reduction in environmental impacts*

Monetary value

Energy

TOSHIBATEC -15,321GJ -23.6

Affiliates -18,070GJ -64.9

Total -33,391GJ -88.4

Finaldisposalofwaste

TOSHIBATEC -0.07t 1.5

Affiliates -139.5t -3.2

Total -1140.2t -1.7

Water

TOSHIBATEC -7,600m3 -0.3

Affiliates -14,200m3 -2.5

Total -21,800m3 -2.8

Grandtotal -93.0

Breakdown of Assumed Benefits Million yen


Monetary value

Chemicalsubstancedis-chargereductionbenefits

TOSHIBATEC -1.5t -240.5

Affiliates 0.22t 2.54

Total -1.28t -237.9

Customer Benefits Million yen


Monetary value

Environmentalimpactreductionintheusagephase

Electricity 19,830,000kwh 456

Paperrolls 1,090t 642

* The amount of reduction in environmental impacts indicates differences be-tween fiscal years 2009 and 2010.

Negative figures indicate an increase in environmental impacts beyond reduc-tion benefits due to increased production, etc.

Basis for calculation of assumed benefitsMonetaryvalueswerecalculatedbygivingeachsubstance,calculatedintermsofcadmium,aweightingbasedonenvironmentalstandardsandACGIH-TLV(allowableconcentrationofeachsubstanceasdeterminedbytheAmericanConferenceofGovernmentalIndustrialHygienists)andmultiplyingtheresultbytheamountofcompensationinthecaseofcadmiumpollution.Theamountofreductioninenvironmentalimpactsonatmosphere,waterandsoilareindicatedandcomparedtothepreviousyear’sresults,aswellascalculatedintermsofmonetaryvaluetoenablecomparisonsofvariousenvironmentalimpactsonthesamebasis.Basis for calculation of customer benefitsBenefitsofreductioninenvironmentalimpactsthroughouttheproductlifecyclearecalculatedintermsofphysicalquantityunitsandmonetaryunits.Thelifecyclecomprisesseveralphases:1)procurementofrawmaterials,2)manufacturing,3)transport,4)usage,5)collection,6)recyclingand7)appropriateprocessing.TOSHIBATEC’senvironmentalaccountingfocusesonthebenefitsofreductioninenvironmentalimpactsintheusagephase.Energy-savingbenefitsarecalculatedusingthefollowingformula:Benefits(yen)=∑[(electricityconsumptionperyearoftheformermodel–electricityconsumptionperyearofthenewmodel)xnumberofunitssoldperyearxbenchmarkunitpriceofelectricitycharge]

��




Environmental Impacts in Fiscal 2010*1

Ononehand,theTOSHIBATECGroupminimizesextractionfromglobalresources,andemissionsofpollutantsintotheglobalenvironment.Ontheotherhand,theGroupmaximizesenvironmentallyconsciousactivitiessuchasthedevelopmentofenvironmentallyconsciousproductsorECPs.Inaddition,theGroupstrivestoreduceenvironmentalimpactswhileunderstandingandanalyzingtheimpactsateachstageofaproductlifecycle.

Environmental Impacts throughout the Life Cycle

IntermsoftheTOSHIBATECGroup'sproducts,rawma-terialsandcomponentsareprocuredfromsuppliers,processedandassembledtobuildproducts.Finishedproductsaretransportedtodistributorsorwarehousesbyoutsourcedforwardingagents.Then,end-of-useproductsarecollectedfromcustom-erswherepossibleforreuseorrecycling.Thediagrambelowshowsenvironmental impactsateachstageofaproductlifecycle.

Environmental Impacts in Fiscal 2010

Notes:*1 Target data tabulated: TOSHIBA TEC Corporation and its affi liates within Japan. However, “Offi ce”

applies to TOSHIBA TEC Corporation.*2 INPUT of raw materials/components procured:

1) INPUT for TOSHIBA TEC Corporation is calculated from material procurement data using the TOSHIBA Group proprietary method.

2) INPUT for affiliates is an estimated amount calculated from material composition of major products.

*3 Target chemical substances: 552 types specifi ed by TOSHIBA Corporation.*4 Product logistics: All CO2 for outsourcing*5 The CO2 emission factor for electricity is 3.4t- CO2/10 thousand kWh

announced by the Federation of Electric Power Companies of Japan (after credit adjustment).

*6 CO2 in the product usage phase: Amount of CO2 emitted from major products, which were shipped in fi scal 2010, until the end of their product lives.

Theenvironmental impactsat theproductionstagecontain9,769tonsofCO2emittedfromplantsand2,543tonsofCO2emittedfromofficesduetotheconsump-tionofallenergies.35tonsofchemicalsubstancesweredischargedintoairandwater,1.09tonsofwastewerelandfilledand1,705tonsofdischargewererecycled.TheamountofCO2emittedfrommajorproducts,whichwereshippedinfiscal2010,untiltheendoftheirprod-uctlivesisapproximately93,487tons.Therefore,itisessentialtotakeenergy-savingmeasuresforproducts.

Business ProcessINPUT OUTPUTFerrousmetals 11,704 tAluminum 2,042 tCopper 789 tOthernonferrousmetals 1,027 tPlastic 7,987 tRubber 381 tGlass 787 tPaper 374 tOthers 6,318 t

Electricity 26,802 MWhGas 240,000 m3

Heavyoil/kerosene 12.8 kl

Electricity 266,345 MWh

CO2fromelectricity*5 2,543 t

CO2fromfuel*4 963 t

CO2fromelectricityintheproductusagephase*6 93,487 tTransferredchemicalsubstancesincorporatedintoproducts 103 t

Waterresources 186,000 m3

Chemicalsubstances*3 153 t

Fueluse*4 14,049 GJ

Weightofend-of-useproductscollected 2,199 t

Amountrecycled 2,184 t

CO2*5 9,769 t

SOX 0 tNOX 0 tSmokeanddust 0 t

BOD 9.1 tSS 6.8 tN-hexane 0.03 tTotalnitrogen 2.7 tAmountofdrainage 186,000 m3

R&D and Design

Procurement

Manufacturing

Office

Product Logistics

Use of Products

Collection and Recycling

Electricity 7,478 MWh

SUSTAINABILITY MANAGEMENT

*2

Chemicalsubstances*3 35 t

Amountofwasterecycled 1,705 tVolumeofwasteforfinallandfilldisposal 1.09 t

�3


Three ECP Aspects

Development of ECPs

TheTOSHIBATECGroupcreatesECPs,whereenviron-mental impactsarereducedthroughouttheirproductlifecycles*.Mostoftheenvironmental impactsgener-atedthroughoutaproductlifecyclearedeterminedintheproductplanninganddesignphases,thus,TOSHIBATEC Corporation focuses on the upstream phase ofproductdevelopment.TheECPdesignincludesthreeaspects:globalwarmingprevention,efficientuseofresourcesandchemicalsub-stancescontrol.ECPsaredesignedtobeenvironmen-

TOSHIBATECCorporationdevelopsECPs,whereenvironmental impactsarereducedthrough-outtheirproductlifecycles.Ecotargetshavebeensettoachievethehighestlevelofenviron-mentalperformanceforproductstobedevelopedinthefuture.

Contribution to the Reduction of Environmental Impacts on Society through the Provision of Environmentally Conscious Products or ECPs

3 ECP aspects

·Reduction in power consumption ·Reduction in standby power consumption ·Energy-saving mode ·Power consumption indication

· Reduction in the use of certain hazardous substances · Green procurement · Communication of chemical substances · Compliance with regulations on hazardous substances

in each country

· Reduction in the use of raw materi-als, use of recycled materials

· Reduction in the use of packaging materials

· Reduction in the use of consumables · Long service life

· Reduction in the use of certain hazardous substances

· Reduction in the use of raw materi- · Reduction in the use of raw materi-

Effi cient use of resources

Chemical substances control

·Reduction in standby power consumption ·Reduction in standby power consumption ·Energy-saving mode ·Energy-saving mode ·Energy-saving mode ·Power consumption indication ·Power consumption indication ·Power consumption indicationGlobal warming prevention

System for the Greening of Products

tallyconsciousinalltheseaspectsthroughallphasesoftheirlifecyclesandcreated.* Product life cycle: All stages from materials procurement, manufactur-

ing and transportation, through to usage, recycling and disposal

ECO-PRODUCTS

Eco Targets

InadditiontomeasurestopromotecreationofECPs,theTOSHIBATECGroupstartedanewECPinitiativeinfiscal2010.First, inthephasesfrombusinessstrategytoproductplanning, based on technological and competitortrends, "ecotargets"areset for thedevelopmentofproductswiththehighest levelofenvironmentalper-formanceatthetimeofproductrelease.Then, in the development and design phases, theTOSHIBATECGroupperformsenvironmentalassess-ments of products to make sure that the productscomplywith lawsandregulationsandmeettheECPstandardsinallthreeaspects(globalwarmingpreven-tion,efficientuseofresourcesandchemicalsubstancescontrol)throughallphasesoftheirlifecycle.Intheproductapprovalphase,theTOSHIBATECGroupcheckstoseethelevelofachievementof"eco-targets"andcompliancewiththeECPstandards.Then,products,whichhaveachieved"eco-targets,"areappliedtoTOSHIBAfor thecertificationasExcellentECPswhenreleased.

Feedback for the development of new products · Environmental impacts based

on LCA · Review of benchmarking results

and development specifi cations

Checking the level of achievement of eco-t a r g e t s a n d c o m p l i a n c e w i t h t h e E C P standards.

Based on technological and competi-tor trends, setting "eco targets" for the development of products with the highest level of environmental performance in the industry at the time of product release.

· Making sure that products meet the Toshiba environmental standards in all three aspects of ECPs throughout all phases of their prod-uct life cycles.

· Checking to see that products comply with laws and regulations.

Business strategy

Product planning

Development and design

Manufactur-ing and ship-

ment

QFD

LCA

Eco-effi ciency and Factor

Product approval

Customer requirements

Compliance with laws and regulations

ECP standards· Toshiba environmental standards· Environmental assessment of products

Green procurementInformation disclosure and

environmental appeal

Pursuit of "Integrity"

Creation of "Innovative products"Data update

Benchmarking of competitors' products

Creative "imagination"

Eco-targets

Environmental label (third-party certifi cation)

Eco Mark, International ENERGY STAR® Pro-gram, ECO Leaf, environmental labels, etc.

Information on individual products regard-ing specif ic aspec ts of environmentally conscious product designs

The highest level of environmental per-formance in the industry in terms of major functions

Disclosure of information on environmental performance Excellent ECPs

New

Revised

��




Resource Saving

Electronic Cash Register MA-500Bythinningthethicknessofplasticparts,thenumbersof plastic and sheet metalparts have been reduced.Also, one pr inted circuitboard instead of the previ-ousfiveboardshasreducedthevolumebyapproximately12%andthemassbyapprox-imately16%,comparedwiththepreviousmodel.

Multi-Card Terminal IP-4500Previously, the display and key-board were separated. Since im-proveddisplayresolutionenablesinputonlyon the touchpanel,amorecompactstructurehasbeenachievedwithoutakeyboard, re-sultinginthereductionofthemassbyapproximately40%.

Thetonerrecyclingmechanismintegrated intotheB/WMFPhasrealizedzerodisposaloftoner.Recycledplasticsandplant-basedplasticsareusedforsomepartofPOSterminalsandMFPs.

Reduction of Environmental Impact Substances

POS Terminals M-8000 and QT-10, Vertical Scanner LS-790TInplaceofthepreviousCCFL(ColdCathodeFluorescentLamp)backlightLCDpanel,theLEDbacklightLCDpanelhasresultedinzeromercuryinthebacklight.TheLEDbacklight,whichnolongerrequiresan inverter (high-voltagepowersupply),hascontributedtoresourceandenergysavings.

●

●

Energy Saving

Vertical Image Processing Scanner IS-890TA first for Japan! New function enables recogni-tion of writing on discount stickers.Inplaceofthepreviouslaserscan-ner,thecurrentcamerawithimagesensorhasresultedinareductionin operating power of approxi-mately 30% and standby powerconsumption of approximately20%.

WILLPOS-Unity M-8000 POS Terminal for supermarkets or mass retailersInnovativecombinationoftheCPUforenergysavingmobilePCandthechipsetfortheserver,whichadopthighperformanceECCmem-ory, has realized both sup-portofenergysaving,highperformanceandreliabilityatthesametime.Thismodelhassucceededintheincreaseof throughput to almostdouble,andthereductionofstandbypowerconsumptionbyapproximately8%,com-paredtothepreviousmodel.

B/W MFP e-STUDIO 255/355/455Owingtothereductionofunnecessarypowerandtheincreaseofthepowerefficiencybyunit,standbypowerconsumptionhasbeenreducedby95%,comparedtothepreviousmodel.InthecasetheMFPisinstandbymodeforalongtimethroughthenight,thisfeaturecancontributetotherunningcost reduction.Also,byshorteningtherecoverytimefromstandbyandadoptingtheSoC* technology, thisproductmeetsstandardsforacquiringthe InternationalENERGYSTARPro-gramandGermanBlueAngel.* SoC: System On Chip

Color MFP e-STUDIO5520c/6520c/6530cA combination oftechnologies thatfinelycontrolthetem-peraturethroughIHfusingandreducethefixingtemperaturebyloweringthemeltingpointofthetonerissuccessful inachiev-ingenergysavings.

HereareexamplesoftechnologiestorealizeECPs.

POS Terminal M-8000

POS Terminal QT-10

Vertical Scanner LS-790T

�5


Eco, Substances of concern exchange & management system in the Toshiba group

Component Database and Design Support System

Theenvironmentalprotectionassessmentonsuppliersand theenvironmentalperformancesurveyonprocuredproductsareconducted.Relevantdataisutilizedinthedesign,productionandprocurementdivisions.

Green Procurement

ToprovideECPs,theTOSHIBATECGroupaimstopro-cureitemswithlowerenvironmentalimpactsfromsup-pliers,whoactivelypromoteenvironmentalprotection,whileimplementinggreenprocurementattheprocure-mentphaseofrawmaterialsrelatedtoproducts.The"GuidelinesforGreenProcurement"havebeenformu-latedincooperationwithTOSHIBACorporation.

Promotion of Environmental Protection at Suppliers

TOSHIBATECCorporationgivesprecedencetosuppli-ers,whoareactivelypromotingenvironmentalprotec-tion,forprocurement.

Control on Environment-Related Substances in Delivered Items

TOSHIBATECCorporationrequestssupplierstoprovideitemswithlowerenvironmentalimpactsincompliancewithenvironment-related laws,regulationsandstan-dards.

Data Utilization

Environmentalperformance informationdata ispro-videdfromthegreenprocurementsupportsystemtovarious in-housesystemsvia theglobalcomponentdatabase,andutilized inthedesign,productionandprocurementdivisions.TOSHIBATECCorporationrequestssupplierstounifycommunicationpatterns(JAMPAIS·MSDS)toprovidedataonchemicalsinproducts. Inaddition,theCorpo-rationcollectsdataontheEco,Substancesofconcernexchange&managementsystemintheToshibagroup(EcoSocce-T),andcomplieswithlawsandregulationsincludingREACH,topromotegreenprocurementandreductionofhazardoussubstances.

Guidelines for Green Procurement

Component search system screen

Environmental Protection1)Setupanenvironmentpolicy.2)Maintaintheenvironmentalprotectionsystem.3)Establishsystemsforeducationandtocheckwhether

educationisprovided.

Control on Envi ronment-Related Sub-stances1) Thoroughlykeeprelevantdivisionsandsuppliersknown

aboutthecontrol.2)Satisfy requirements formanagementofenvironment-

relatedsubstances.3)Respondtothesurveyonwhetherenvironment-related

substancesareused.4)Obtaininformationrequiredtorespondtotheabovesurvey.5)Performanalysisandmeasurement,andobtainanalysis

resultsfromsuppliers(whennecessary).6)Investigateandunderstandsuppliers'controlsystem. Eco Socce-T screen

Promoting Environmental Considerations toward Suppliers and Procured Prod-ucts, to Provide Environmentally Conscious Products or ECPsECO-PRODUCTS

Brochures and purchasing specifications Standard com-

ponent information

Manufacturingend information

Characteristic information

Numbering information

OCA

[Export Control Div.] master

Purchase resultinformation

STC assess-ment result

Provision of component information

Component search system screen

Numbering purchased com-ponents by the component

information division

Product compli-ance information

Green procurement

support system

Delivery schedule

information

RoHS Compliance

Designsupport system

Configuration list system

Component search system EXCEL toolECAD

�6




TheTOSHIBATECGroupiscarryingoutthecollectionandrecyclingofend-of-useproductsonaglobalbasis.TheGroupisalsopreparingthecollectionofend-of-useproductsinAsia.

Collection and Recycling of End-of-Use Products

Europe

B as e d o n th e EU Was teElectrical and ElectronicEquipmentorWEEEDirec-tive,whichcameintoforcein2005,dutyisimposedonmanufacturers to recycleelectrical and electronicequipment in EU MemberStates. The TOSHIBA TECGroupcollectsandrecyclessuchequipmentwhilereg-isteringmanufacturersandtakingpart intherecyclingschemethroughitsaffiliatesinEurope.

Japan

TOSHIBATECmainbranchesandsalesofficesin54areascollectend-of-useproductssuchasPOSterminalsfromcustomers.Then,designatedinterme-diatedealersmanuallydismantleandseparatethecollectedproductstoincreasetherecyclingratio.End-of-use copiers and MFPs arecollectedateightbasesthroughoutJapan.Inaddition,thecollectionef-ficiencyisincreasedthroughtheRe-cycledEquipmentExchangeSystemwithintheJapanBusinessMachineandInformationSystemIndustriesAssociationorJBMIA. Manual dismantling of a POS terminal

productssuchasPOSterminalsfromcustomers.Then,designatedinterme-

Manual dismantling of a POS terminal

ECO-PRODUCTS

Australia and North America

TheTOSHIBATECGroupimplements the "ZeroWastetoLandfill"recy-clingprogramtogetherwithClosetheLoop®.Almost 100% of con-sumablesandreplace-ment parts of copiersa n d M FPs co l l e c te dthrough this programhavebeenrecycled. Collection box

Japan

The TOSHIBA TEC Group hasjoined the "JapanBatteryRecy-cling Center or JBRC" as a cor-porate member, to collect andrecycleportablesecondarybat-teries jointlywithothermembercorporations.TheGrouphasbeenrankedinthetop5forsevenyearsinarowandreceivedacertificateofapprecia-tion.

Certificate of Appreciation for Cam-paign for "Collection and Recycling Portable Rechargeable Batteries 2010"

��


TheTOSHIBATECGroupcontinuouslymakesefforts tominimize increases inenvironmentalimpactdespitetheexpandingscaleofproduction.

Reduction of Environmental Impacts Arising from Business Activities

Global Warming Prevention

Minimizing increase in CO2 emissions due to en-ergy consumptionMeasurestoreducepowerconsumptionthroughenergy-savingfacilitiesarecontinuouslytaken,inordertoreduceCO2emissionsassociatedwithenergyconsumptions.Infiscal2010,CO2emissionsdecreasedby3%inJapan,butincreasedby16%outsideJapan,duetotheexpand-ingscaleofproduction,comparedwiththepreviousyear.Note: The amount of electricity received is adopted as the CO2 emission

factor for electricity in Japan: 4.17t-CO2/10 thousand kWh for fiscal 1990, 4.23 for fiscal 2005 and 4.1 for fiscal 2006, 4.53 for fiscal 2007, 3.73 for fiscal 2008 and 2009, and 3.4 for fiscal 2010. The amount of electricity-received specific to the relevant countries is adopted outside Japan.

Regulation of CO2 emissions associated with product transportIn f iscal 2010, improved transportation eff iciencythroughdeliveryofMFPsaccordingtothedeliveryrouteandcontinuedecodrivingbydeliveryroutereservedcarsallowedCO2emissionsassociatedwithlogisticstodecreaseby7%,comparedwiththepreviousyear.Note: Sales in Japan are applied.

The TOSHIBA TEC Group does not emit any greenhouse gases other than CO2.

LED lighting in the entrance lobby

TOSHIBA TEC SINGAPORE ELECTRONICS PTE LTDTOSHIBATECSingaporeElectronicsPteLtd. fastadoptedtheLEDDownlight,unreleasedinSingapore,intheentrancelobby to announce theenergy saving effect ofLEDlightingamongvisi-tors, and raise the em-ployees’environmentalawareness.

Trend of CO2 emissions associated with product transport in Japan

Trend of CO2 emissions at production sites outside Japan

Trend of CO2 emissions at production sites in Japan

0

5,000

10,000

15,000

20,000

1990 2005 2006 2007 2008 2009(Fiscal year)

12,00310,754

19,366

14,140 13,365

10,105

2010

9,769

( t )

0

10,000

20,000

30,000

40,000

2004 2005 2006 2007 2008

30,109

2009

34,14437,757

33,188 33,102 34,055

2010

39,353

(Fiscal year)

( t )

0

500

1,000

1,500

2,000

( t )

2006 2007 2008

2,020

1,585

2009

1,039

2010

963

(Fiscal year)

1,407

CO2 Emissions Reduced by Use of Solar-powered LED Street Light

TIM ELECTRONICS SDN. BHD.Asolar-poweredLEDlightwas installedtodeepentheem-ployees' interest inreductionofCO2emissionsandrenew-ableenergies.Thepreviouslyusedstreetlightcomprisedofballastandamercuryvaporlampconsumedalargeamountofenergy.However,thenewlyintroducedLEDlightwithoutballasthelpstomitigateCO2emissions.

Mercury vapor light

Case

Case

Energy-saving Air Conditioning and Lighting

SHIZUOKA BUSINESS CENTER, TOSHIBA TEC CORPORATIONHigh-efficiencyairconditioningandlightingareinuseattheShizuokaBusinessCenter.Infiscal2010,whilehigh-efficiencyairconditioningandlightingwereadoptedattheOhitosite,high-efficiencylightingwasadoptedattheMishimasite.Asaresult,31tonsofCO2emissionswerereducedannually.

TOSHIBA TEC INFORMATION SYSTEMS (SHENZHEN) CO., LTD.Inadditiontotheadoptionofhigh-efficiencyaircondition-ing and lighting, every employee participates in energy-savingactivitiesbyreducingatotalof900fluorescentlightsinallfacilities,aspartofmanagement-ledmeasures.

Case

Solar-powered LED light

ECO-PROCESS

28




Chemical Substances Control

Reduction of emissions of chemical substances used in the manufacturing processSubstances covered by the environment-related laws and regulations are classified into three types: "prohibition of use," "reduction in use" and "control of release." In terms of "reduction in use," the TOSHIBA TEC Group strives to reduce the release of chemical substances, which have a direct impact on the environment. In fiscal 2010, the amount of chemical substances was reduced by 5% in Japan, compared with the previous year. It was reduced by 9% outside Japan despite the expanding scale of production, compared with the previous year.The TOSHIBA TEC Group makes efforts to reduce the pur-chase, waste and emissions of substances with solvent waste recycling machines and power coating without solvent.

Efficient Use of Resources

Regulation of the total amount of waste dischargedTo effectively use resources, the TOSHIBA TEC Group is tackling reducing the total amount of waste discharged, including recycled waste. Returnable containers, which are repeatedly used to deliver parts, are now in full use, resulting in a reduction in the use of corrugated cardboard. In fiscal 2010, the total amount of waste dis-charged remained unchanged in Japan, but increased by 30% outside Japan due to the expanding scale pf production, compared with the previous year.

The TOSHIBA TEC Group has abolished the use of ozone-depleting substances.

Reduction of the Amount of Purchase/Waste with IPA* Recovery Regeneration System

TOSHIBA TEC SINGAPORE ELECTRONICS PTE LTD, P.T. TEC INDONESIASince fiscal 2009, TOSHIBA TEC Singapore Electronics Pte Ltd. and P.T. TEC Indonesia have adopted solvent waste recycling machines to reduce input/emissions through IPA recovery regeneration.This system is used to separate and re-store the residual waste IPA to its original condition as a solvent. 95% of IPA can be successfully recycled and reused.* IPA: Isopropyl alcohol

Efficient use of water resourcesAlmost no water resources are used in the production process, however, the TOSHIBA TEC Group makes efforts to check water leakage and implement water-saving ed-ucation. The TOSHIBA TEC Group will continue activities to use worldwide valuable water resources as efficiently as possible.

Water Resource Intake

0

100

200

300

400

500

600

2000 2006 2007 2008 2009 2010

(thousand m3)578

180172 192 176 185

(Fiscal year)

0

100

200

300

400

2005 2006 2007 2008 2009 2010

404

300308

378 389441

(Fiscal year)

(thousand m3)

Reduction of Corrugated Card-boards with Returnable Containers

TOSHIBA TEC INFORMATION SYSTEMS (SHENZHEN) CO., LTD.Since the second half of fiscal 2004, TOSHIBA TEC Information Systems (Shenzhen) Co., Ltd. has been using returnable containers in place of corrugated card-board. 65 out of 9 0 v e n d o r s i n mainland China

are currently using returnable containers, in other words, returnable containers are used for 90% of the total logistics volume. As a result, the usage of corrugated card-board has been significantly reduced (HK$ 6M on an annual basis), making a large contribution to envi-ronmental protection.

Case

Powder Coating without Solvent

TOSEI ELECTRIC CORPORATIONA part of solvent coating was re-placed with powder coating, in order to improve the coating quality of the panels of washing machines and reduce organic s o l v e n t s . A c -co r d i n g l y, th e coat ing b o oth was designed for

solvent and powder coatings, and the dry-ing furnace was renewed. As a result, the usage of organic solvents was reduced by 7%, compared to the usual method. A scratch-resistant coating was achieved by increased coating thickness. Deputy Manager

Production Technology Section

Powder coating gun

Case

Case

Trend of total amount of waste discharged

4,689

3,2083,1362,711

1,7651,769

2,826

0

1000

2,000

3,000

4,000

5,000

2000 2005 2006 2007 2008 2009 2010

( t )

(Fiscal year)

0

500

1,000

1,500

2,000

2,5002,143

2,6322,5992,492

2,0991,787

2,323

2004 2005 2006 2007 2008 2009 2010(Fiscal year)

( t )

Production sites in Japan Production sites outside Japan

Trend of emissions of chemical substances

0

20

40

60

80

2000 2005 2006 2007 2008 2009 2010

( t )

78.3

49.544.1 49.2 54.4

36.4 34.5

(Fiscal year)

0

10

20

30

2004 2005 2006 2007 2008 2009 2010

29.526.4 25.8 27.0

21.0 22.4 20.4

(Fiscal year)

( t )



Assistant ManagerProduction Control Group,

PPD1 (First Production Planning Dept)PSI Center

Returnable container

��


Communicationisenhancedthroughoutavarietyofmedia,forpeopleindifferentpositionstounderstandtheTOSHIBATECGroup’senvironmentalmanagementandadvanceenvironmentalactivitiestogether.

Environmental Activities Carried out with Society

Concept regarding Environmental Com-munication

TheTOSHIBATECGroupstatesinitsCorporatePhiloso-phy;"Weputconcernfortheenvironmentasapriorityinallourbusinessactivitiessoastoprotectpeople'ssafetyandhealthaswellastheworld'snaturalresourc-es."Therefore,theTOSHIBATECGroupiscommittedtoad-dressingenvironmentalissueswithagenuineattitude,tobuildasustainablesociety.However, it isessentialnotonlyfortheTOSHIBATECGroupbutalsoforpeopleindifferentpositions,torec-ognizesuchacommitment, inordertoaddressenvi-ronmentalissuesinsocietyandadvanceenvironmentalactivities together.Thus, theTOSHIBATECGroup isimprovingcommunications throughoutavarietyofmedia,forpeopletounderstanditsstanceandactivitiestowardenvironmentalprotection.

Environmental Activities at Business Sites

The Great East Japan Earthquake that occurred onMarch11causedunprecedenteddamage.TheFukushimanuclearaccidenthasresultedinpowershortagesthatarehavingahugeeffectonourlives.A t t h e T O S H I B A T E CG r o u p, t h e l i g ht s a r eturnedoffatworkduringthedaylighthours.Eachemployeemakesef-forttosaveelectricitybyunplugging computerswhenleavingwork.

Initiatives at the Shizuoka Business CenterOhito

Fromthe5thtothe7thofJune,theEnvironmentMonth,thesignboardilluminationswerevoluntarilyturnedoff.Inaddition,theywereturnedoffonJune5andJuly7,daysthatweredesignatedbytheMinistryoftheEnvi-ronment.Environmentsloganswerecollectedfromtheemployees,andselectedoneswerepostedonthebul-letinboardsforenvironmentalenlightenment.

Light down of the signboard illuminationThe initiativeattheShizuokaBusinessCenter forthe

Izu Nichi Nichi Shimbun (June 19, 2010)

environmentalmonthwasintroducedinthelocalnews-paper.

When the lights are off

4.75 kWh electricity/day saved

Light-Down Campaign in fiscal 2010FromJune5(Sat.,EnvironmentDay)to7(Mon.):VoluntarylightdownJune21(Sun.)andJuly7(Tue.):RequestedbytheMinistryoftheEnvironment

MishimaAsapartofIMS*activities,theenvironmentalnewsin-cludingquality,safetyandinformationsecurityisdeliv-eredviaintranetandpostedontheelectronicbulletinboardasIMSnews.

Electric bulletin board

IMS news

Clean-up activity

ECO-PROGRAM

MifukuSincefiscal2009,employeeshaveconductedenviron-mentalpatrolsandclean-upofthepathwaysusedbynearbykindergartenkidsandneighbors,andtheriverrunningaroundthesiteonceamonth,asapartofenvi-ronmentalactivities.

* IMS: Integrated Management System

30




For more information on environmental information, see the URL below:http://www.toshibatec.co.jp/en/csr/environment/

Initiatives at Subsidiaries outside Japan

Recycling of electronic devicesTOSHIBA TEC SINGAPORE ELECTRONICS PTE LTD

TOSHIBATECSingaporeElectronicsPteLtd.recyclesnolongerusedelectronicdevicescollectedbyemployees,incooperationwithToshibaAsiaPacificPteLtd.

Environment exhibitionTIM ELECTRONICS SDN. BHD.

TIMElectronicsSdn.Bhd.hostedtheenvironmentex-hibitionfromthe8thtothe11thofJune2010anddem-onstratedphilanthropy,promotionof3Ractivities, ISO14001andTOSHIBAGroupEnvironmentalAudit.The exhibition was successfully held where a largeamountofpeopleparticipated,suchasthemembersoftheDepartmentofEnvironmentMalaysia,suppliersandemployees.

Recycling of electronic devices

Scene at the environment exhibition

Social and Environmental Activities Eco-Products Inquiries about Social and Environmental Activities (CSR)

Eco-ProcessEffortstowardglobalwarmingprevention,energyconservation,reductionofwaste/resourceconserva-tion,chemicalsubstancecontrolandreductionofenvironmentalimpactsonlogistics

Eco-ProgramEnvironmentalCommunicationandSiteReport

Management Basicpolicyfortheenvironment,environmentalpro-motionstructure,environmentalactivities,mid-termenvironmentalstrategies,environmentalaccountingandenvironmentalmanagementatbusinesssites

Eco-ProductsDevelopmentofenvironmentallyconsciousproducts(ECPs), reductionofenvironmental impacts,greenprocurement,collectionandrecyclingofend-of-useproductsandreuseofend-of-usecomponents,en-vironmentallabelsandtheGreenProcurementLawandECPactivityresultsandachievements

31


Corporate Governance Structure

CSR Promotion Structure

BusinessactivitiesarepromotedwithCSRpositionedatthecoreofmanagement.TheTOSHIBATECGroupistakingmeasurestoimprovemanagementefficiencyandtransparency.

CSR Management

TheTOSHIBATECGrouppromotesbusinessactivitieswithCSRpositionedatthecoreofmanagement.TheGroupencouragesitsemployeesallovertheworldtopracticeCSRactivitiesbasedonitscorporatephiloso-phy"OurFiveCommitments"and"TOSHIBATECGroupStandardsofConduct."TheGroupalsoorganizesCSR-relatedactivitiesinclud-ing"CustomerSatisfaction,""HumanRights&Employ-ees,""Philanthropy"and"EnvironmentalProtection"aswellasmaintainsthepromotionstructure,torootCSRinthecorporateculture,whilefocusingontheCSRPro-motionCenteronthepremiseof"Compliance"toabidebycorporateethics,lawsandregulations.

TOSHIBA TEC Group Standards Of Conduct http://www.toshibatec.co.jp/en/corporate/philosophy/action/

Corporate Governance

TOSHIBATECCorporationiscommittedtotakingmea-surestoimprovemanagementefficiencyandtranspar-ency,aswellastoreinforcethefunctionsfortheBoardofDirectorsandthe(Boardof)CorporateAuditors,whilerecognizingcorporategovernanceasanessentialman-agementpolicy,whichmeetstheexpectationsofstake-holdersandcontinuouslyimprovescorporatevalues.Intermsofthecorporatebody,whenintroducingtheexecutiveofficersystemunderthecorporateauditorsystem,withtheintentionofseparating"functionsre-latedtosupervisionanddecisionmaking"fromotherfunctions,aswellasrightsizingthenumberofdirectors,TOSHIBATECCorporationfocusesonimprovementsinpromptnessandmobility indecisionmaking. Inaddi-tion,twooutsidedirectorsandthreeoutsidecorporateauditorsareassignedtoensuremanagementtranspar-

CSR and Corporate Governance as the Foundation of Business Activities

ency,andaone-yeardirector’stermisdeterminedtospecifymanagementresponsibilitiesandpromptlyre-spondtochangesinthemanagementenvironment.Formanagementmonitoring,directorssupervisetasken-forcement,corporateauditorsaudittasks,andaccountingauditorsperformaccountingaudits,whilethe"CorporateAuditGroup"underthedirectcontrolofthepresidentandCEOisestablishedtoperforminternalaudits.Also,TOSHIBATECCorporationstrivestoenhancetheinternalcontrolsystemsintermsofoperatingeffective-nessandefficiency, reliabilityof financial reporting,compliancewithlawsandregulationsrelatedtoitsbusi-nessactivities,andsafeguardingofassets.

CSR Promotion Committee

CSR Promotion Center

President and CEO

Customer Satisfaction Promotion Committee

Human Rights & Employees Committee

Social Contribution Comm

ittee

Environmental Protection Council

Risk Compliance Com

mittee

Task enforcement, Internal control

Appointment/removal

業務監査

業務監査

Supervision

Task audit

Task audit

Accounting audit

Accounting audit

Internal audit

General Meeting of Shareholders

The Board of DirectorsIn-house Directors, Outside Directors

Accounting auditors

The Board of Corporate Auditors

In-house Corporate AuditorsOutside Corporate Auditors

Vice PresidentsPresident and CEO, Executive Vice Presidents

Senior Vice Presidents, Vice Presidents

Executive Division

Internal Control Systems

Corporate Audit Group

CSR MANAGEMENT/CORPORATE GOVERNANCE

Appointment/removal Appointment/removal

Appointment/removal

3�




TheTOSHIBATECGroupstrivestofosteranawarenessofriskcompliance.

Risk Compliance

TheTOSHIBATECGroupappointseachpresidentandCEOasaCRO* inordertopropagateandthoroughlyimplementthe"TOSHIBATECGroupStandardsOfCon-duct"whilepromotingthemeasuresofRiskCompli-ance.Topmanagementexercisestheinitiativetodeviseandpromotevariousmeasures,aswellasrespondtoemergencysituations.AppointingtheCROasachairperson,TOSHIBATECCor-porationorganizestheRiskComplianceCommittee,tomaintainaGroup-widestructure,deviseandpromotemeasurestowardtheadvancementofriskcompliance.Asystem,whichenableseveryemployeetoreportriskcompliance-relatedissuestothe"CRO"or"outsideat-torneys,"and"TOSHIBATECPartnerHotline"onthewebsite,whichallowsbusinesspartnerstoprovidesuchinformation to the corporation, are introduced andimplemented.

* CRO: Chief Risk-Compliance Management Offi cer

TOSHIBA TEC Partner Hotlinehttp://www.toshibatec.co.jp/contacts/partnerline/ in Japanese only

Information Security

TheTOSHIBATECGrouprecognizesall information,includingsalesandtechnicaldatahandledwhilecarry-ingoutthetasks,asimportantproperty,andmakesanefforttoprotectsuchinformationfromimproperdis-closure,leakageoruse.TheGroupestablishedasystemandrules for informationsecuritymanagement,andreviewstheminresponsetochangesinthesocialenvi-ronment.Eachdivisioniscontinuouslymakingimprove-mentsbyconductingself-auditsregardingcompliancewiththeinternalrules.e-Learningisusedtolearncompanyrulestopreventac-cidentsandensureinformationsecuritywhilehandlinginformation.Educationisprovidedtodirectors,employ-ees,employeesdispatchedfromcooperatingcompa-nies.Theserver ishousedinasafedatacenter,tomanageimportant informationand informationsystems,andtakeanti-riskmeasuresincludingdisasters.Furthermore,bylimitingavailableinformation,controllingusageofrecordsandencryptingconfidentialinformationinclud-ingpersonaldata,securityisenhanced.SimilarmeasuresaretakenateachTOSHIBATECGroupcompany,thus,theGroupmakesaconcertedefforttomaintainandimproveinformationsecurity.

Security Export Control

Exportcontrolisaimedatpreventingtheproliferationofweaponsofmassdestructionandothersensitiveitemstocountriesandregionsofsecurityconcernorterroristorganizations.Export transactionsofgoodsandtechnologythathavepotentialweaponsofmass-destruction(WMD)/conventionalweaponsapplicationsareregulatedunderlawsandregulations.TheTOSHIBATECGroupmaintainsthebasicpolicy,that,itwillnotengageinanytransaction,whichcouldpoten-tiallyundermineinternationalpeaceandsecurity.Un-derthisbasicpolicy,theTOSHIBATECGroupcomplieswithallapplicableexportcontrollawsandregulationsincountriesandregionswhereitoperates(theForeignExchangeandForeignTradeControlLawinJapan).TheGroupalsocomplieswithU.S.exportcontrol lawsandregulationswithrespecttotransactionsinvolvingU.S.origincargosandtechnologies.Basedonthisbasicpolicy,TOSHIBATECCorporationhasestablishedthe"ExportControlProgram"andbuiltanexportcontrolsystem.Accordingly, theCorpora-tionmakescargo/technologyrelevancejudgmentsandstricttransactionscreeningsfordeterminingtheneedforexportpermission,conductsperiodicexportcontrolaudits,andprovideseducationandsupporttoitsGroupcompanies.

Compliance

Education on marketing risk

High ethics and law-abiding spirit = COMPLIANCE

Maintain and improve corporate values in society and the market

Take proper and prompt action in the event of misconduct

Prevent misconducts

COMPLIANCE

Compliance Education

Tothoroughlyensurehighethicalstandardandalaw-abidingawareness, theTOSHIBATECGroupprovidesvariouseducationalseminars toemployees.For theGroupcompaniesoutsideJapan,complianceeducationreflectingregionalcharacteristicsisprovided.


33

Third-Party CommentsDr. Takeshi ShinodaProfessor of College of Social Sciences, Ritsumeikan University, Japan

Dr. Shinoda received a doctorate of Economics from the Graduate School of Economics, Nagoya University.His field of specialization is socioeconomics.Dr. Shinoda is a member of the Japan Society of Political Economy and Japan Association for Evolutionary Economics, Dr. Shinoda is currently chairman of the Japan Association for Northern European Studies (JANES).

His current research themes include new economic and social gov-ernance in globalization, and comparative research on work-life balance. His target regions include North Europe and Latin America.

TheGreatEastJapanEarthquakecausedincalculabledamagetotheTohokuregion.Iwouldliketoexpressmydeepestcon-dolencestoallvictimsandsufferersoftheGreatEastJapanEarthquake.Theimpactcausedbythisdisasterandnuclearaccidentwasextremelysevere,anditmadeusrealizejusthowmuchtheTohokuregionhadsupportedthefoundationsofJapaneseindustry.Reconstructionandexpansionof industry inthisregion isanurgentand imperative issue for theJapaneseeconomy,thus,strongsupportfromthegovernmentandthepeople isneeded.Nevertheless,thedisaster inMarch2011madeusrethinkriskmanagementissues,andtheidealwaytodemonstrateleadership.Foryourinformation,riskmanage-menthastwomeanings.Oneisriskmanagementtopredictpotentialrisksandrespondtothem.Anotheriscrisismanage-menttorespondtocrisesthathavehappened.Insufficiencyinboththesetypesofriskmanagementfurtherexacerbatesthecurrentissue.Theroleofaresponsibleleaderiscriticalinriskmanagement.Asenseoftrust inoroutsidetheteamisdevelopedthroughaccuratejudgments,firmprinciplesandpolicies,aswellasinformationdisclosure,sharingandasenseofcommitment.Itestablishesthecredibilityoftheleader,andanorganizationcanrespondtoriskswithasenseofunity.Now,IwouldliketoconfirmthatcorporateCSRcommitmentsplayanimportantroleforcorporations.ThinkingofavarietyofCSRcommitmentswithgoals,suchasenvironmental is-sues,theimplementationitselfentailsriskmanagement.Itin-dicatesriskmanagementnotonlyinthenaturalenvironmentbutalsointheevaluationofcorporations.Therefore,corpo-rateCSRcommitmentsareessentialfortheenvironment,andalsoanimportantmatterrelatedtothesocialevaluationofcorporations,whichiswhyIbelievethosecommitmentsareinvolvedinriskmanagement.Firstofall, Iwould liketocommentonthefeaturesofCSRReport2011.Unlikepreviousreports, Iwould liketotakealookatthemessagefromthePresidentandCEO,Mr.Suzuki,providedinaninterviewstyleinthisreport,withyou.IthasbeenalreadytenyearssinceTOSHIBATECCorporationimple-mentedthosecommitmentsin2000.Thiscouldleadtoaten-dencytotalkingeneralterms,or,toputitanotherway,tobe"careless."Intoday’sworld,Ithinktheinterviewstyle,whichisusedforthetopofthecompanytostatetheimportanceofCSRcommitmentsisofgreatsignificance. IbelievethatMr.SuzukiastheheadofthecompanyhasfullyrecognizedCSRasanessentialpartofriskmanagementforcorporatedevel-opment.Healsostatesthat,"ThefoundationtoachievethismissionisCSR."Giventhattheheadofthecompanydeliveredhiscomprehensivedeterminationinaninterviewstyle inatimelymanner, Ihopeallemployeestakehisthoughtsandcommentsseriously.Then,I'dliketopointoutthefollowing:

Secondly, Iwouldliketocommentonthedescriptionspro-videdinthereport.(1)ProductionvolumeincreasesatproductionsitesoutsideJapanaspartoftheprocessofglobalizationhavebeenac-companiedbycorrespondingincreases inCO2emissionsatthosesites.Theseproductionsitesareengagedmainly incomparatively energy-intensive components processing,however,IwouldlikeyoutodiscusswhetherornottolowerthetargetemissionslevelattheproductionsitesoutsideJa-pan,towardtheFifthEnvironmentalActionPlanfor2013andthereafter.TOSHIBATECCorporation,includingitsproductionsitesoutsideJapan,haspromptlypromotedCSRandprovid-edCSR-relatedinformation. Ifproductionsiteswillbecomemoreprominentinbusinessstrategies,youmayberequiredtoclearlydefineissuesinasummaryandprovidedueexami-nationofyourcommitments.(2)TOSHIBATECCorporationistakingauniqueapproachtoprovidedataregardingenvironmentalimpactineachphasethroughouttheproduct lifecycleandinbusinessprocess,aswellas inproduction.Thisdataeffectivelyspecifiestheimportanceofenergysavingsonproducts,leadstodevelop-mentof"ecotargets"andachievesresults.Thus,Iexpectyoutomakecontinuedeffortstodevelopproductswith lowerenvironmentalimpact.(3)Weareallrequiredtosaveelectricityduetotherecentnu-clearaccident.Takingadvantageofthisopportunity,Iexpectyoutorecognizetheimportanceofelectricityconservation,setagoalbypositioningit inCSRandmakecorporate-widecommitmentstoconcretelyimplementthegoal.(4)Iwouldliketocommenton"EmployeeRelations"aswell.Iadmire"AcceptingandRespectingPromotionofDiversity,"whichhasbeenincludedinthereportsince2010, indicatestheratiooffemaleemployees,ratioofemployeeswithdis-abilitiesandratioofnon-Japaneseemployeesalongwiththemale-femaleratesinmanagerialpostsinaconcretemanner.Iexpectyoutocontinuouslysetgoals forthe increasinglyimportantfuturegenerationdevelopmentsupportprogramsandenhanceeffortstoreachthegoalsthatyouset.Thirdly, Iwould liketocommentonthereportasawhole.Thevoicesofthosewhoparticipatedinavarietyofactivitiesgivethisreportaneasy-to-readtoneinthisreport,followingpreviousyears.Asindicatedlastyear,currently,whiletheCSRreportisemphasizedasacommunicationtool,moredetailedinformationonaccountability isavailableonthewebsite. Itisbecomingevermore importanttoselectaspecificmes-sagethatyouwanttoputacrossinyourCSRreporteachyear.Thoseareincludedas"TOPICS" inthe2010report,andalsointhe2011report. Ihopeyoukeepdevisingwaystocreatereportsthatwillimpressreadersandprovideinformationthatwillremainintheirminds.

THIRD-PARTY COMMENTS




3�

CSRhttp://www.toshibatec.co.jp/en/csr/

The"News"sectionisprovidedtointroduceCSRactivities inatimelymanner.

Redesigned Website

In April 2011, the TOSHIBA TEC website was redesigned to make it more user-friendly and accessible, by standardizing its designs and interfaces.

Throughthewebsite,TOSHIBATECCorporationaimstodeliverstakeholder-friendly informationinatimelyfashion, includingaboutvariousGroupcommitments,productsandsolutions.

INVESTOR RELATIONShttp://www.toshibatec.co.jp/en/ir/

Everyeffortismadetoprovidecorporateinformationasquick-lyaspossible.

PRODUCTShttp://www.toshibatec.co.jp/en/products/

Products and solutions in re-sponse to customer businessneedsareintroduced.

Top Pagehttp://www.toshibatec.co.jp/en/

Main Items (CSR)

· News· Corporate Philosophy· Topics · People & Toshiba Tec· Environment & Toshiba Tec· Management

Main Items (Investor Relations)

· IR News· Management Policy· IR Library· Strategies & Financial

Main Items (Products)

· Retail Solutions (POS Systems, Electronic Cash Registers, etc.)

· Multi Function Peripherals (Color MFP, B/W MFP, etc.)

· Barcode Printers and RFID Products (Barcode Printers, RFID Products, etc.)

· Inkjet Heads (Inkjet Heads, etc.)

"Toshiba eco style," a unified global brand for environmental initiatives

Greening of Process

Greening of Product

Greening by Technology

In order to evolve into one of the world's foremost eco-companies, Toshiba Group has been accelerating its environmental management under the glob-al brand "Toshiba eco style." The three circles surrounding the eco style logo, which symbolizes innovative ideas and imagination, represent Greening of Process, Greening of Products, and Greening by Technology.

Use of FSC-certified PaperPaper certified by Forest Stewardship Council (FSC) is used, which is made from wood from FSC-certified forests.

2011Corporate Social Responsibility Report

Issued in August 2011

Oval Court Ohsaki Mark East2-17-2, Higashi Gotanda, Shinagawa-ku, Tokyo141-8664 JAPAN

Phone: +81-3-6422-7039Fax: +81-3-6422-7111

URL: http://www.toshibatec.co.jp/enE-mail: [email protected]

Contacts: Paper

Waterless Printing

Non-VOC Ink

Printing

Waterless printing, a printing process that eliminates the use of water, is adopted, taking advantage of the characteristics of printing plates made of ink-shedding material.

100% vegetable ink containing no volatile organic compounds (VOCs) is used.

CSR Promotion CenterCorporate General Affairs & Administration Group

Production and printing of the Toshiba TEC CSR Report 2011 reflect the following considerations:

TTEC CSR2011 EN cover€¦ · a strong professional team may tirelessly seek new challenges, by...

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