The Kyosan Group has identified the high importance materiality (management-critical issues) based on the importance of stakeholders and their relevance to our company, with reference to an international framework on GRI Standards, in the following four steps.

Materiality identification process

Materiality identification process

Materiality mapping

Materiality mapping
References to frameworks such as GRI (here, keywords derived from the above materiality mapping)

1) Global environmental conservation
2) High quality, pursuit of safety and value creation
3) Job satisfaction and human resource development
4) Honest and fair business practices

In identifying the materialities, we referred to international frameworks such as the GRI Standards and SASB, evaluated stakeholders and the importance to our company management, and mapped them as shown in the above figure. The upper-right portion of the chart identifies the items considered to be of high importance as "Materialities (Important Management Issues).“

The identified materialities have been approved by the Board of Directors after discussion at the Corporate Strategy Committee, each KPI has been set, and the PDCA is passed through business execution.

Our materialities

Materialities Subject* Materiality (corresponding our company measures
- issues of key focus in the Medium-Term Management Plan -
Contributing to a decarbonized society Through our business activities, we will fulfill our responsibility to pass on to future generations a prosperous and beautiful planet by promoting initiatives to achieve carbon neutrality and create a recycling-based society, including in our supply chain. Kyosan Group
  • Reducing Greenhouse Gas Emissions through Business Activities
  • Develop products and services that solve social issues (achieve SDGs and reduce C02 emissions)
  • Improve Profilore traffic signals (reduce C02 by improving congestion)
  • Evolve into a sustainable business and address social issues (achieve SDGs and reduce C02 emissions)
Innovative product development Contribute to sustainable social development by developing innovative products and creating new businesses.
  • Signals/Traffic: Contribute to the safety, security and pleasant travel of all people.
  • PE: Contribute to the development of an evolving digital society.
Kyosan Group
  • Promote product development that has a low environmental impact
  • Contribute to society by creating new value through the providing of safety and peace of mind
  • Create added value that leads to customer value
  • New products for labor-saving operations and maintenance
  • New services such as subscription models
  • Development of train control functions for wireless GNSS and automatic operation
  • Acquisition of new technologies to transform mobility
  • Technological aspects: Development and deployment of products for semiconductor manufacturing equipment and expansion of business areas through research and development of next-generation technologies
  • Business aspects: Restructuring SCM, increasing production efficiency, strengthening quality, responding to industry and customer needs
Strengthening the management base and governance We will strictly comply with all laws and regulations, promote the development of an internal environment that enables us to strengthen governance, and deliver management that earns the trust of our stakeholders, in order to operate our business honestly and fairly, including fair competition and fair transactions based on high ethical standards. Kyosan Group
  • Strengthening group governance
  • An IT environment where internal and external data can be digitally aggregated for effective use ( Including the introduction of ERP)
  • Increased capital efficiency
  • Appropriate shareholder returns and growth investments
Enhancement of human capital We will promote work style reforms, including an evaluation system that gives employees a sense of fulfillment, such as "growing well" or "performing to their potential," and improvements to the work environment, to increase employee engagement and develop human resources that create sustainable value. Kyosan Group
  • Build and operate a flexible HR system that deals effectively with duties and skills
  • Improve engagement to optimize human capital

*Signal: Signal Systems Business; PE: Power Electronics Business

By formulating the Medium-Term Management Plan 2025 which is a medium-term plan related to materiality, and reviewing it annually, we will establish a checking system for businesses and initiatives in line with the materialities.


Contact Us

You may submit questions and other comments using the inquiry form.