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NTT Group’s Material Issues

NTT Group’s Material Issues

STEP1 Identify CSR Issues

STEP2 Assign Priorities

STEP3 Confirm Validity

In revising our CSR Charter and reviewing the CSR Priority Activities,
we took the following steps based on the principles and processes of
the GRI G4 Sustainability Reporting Guidelines.

We identified 41 CSR Issues based on due consideration of GRI and other guidelines, external assessment of ESG aspects and new social requirements such as the SDGs.

We assigned priorities to the CSR Issues identified in Step 1 based on the two axes of “relevance to stakeholders” and “relevance to NTT Group” to identify the 18 NTT Group CSR Priority Activities representing the materiality that drives our CSR efforts.

The validity of the CSR Priority Activities was confirmed by the Group CSR Committee and CSR Committees.

In revising our CSR Charter and reviewing the CSR Priority Activities, we took the following steps based on the principles and processes of the GRI G4 Sustainability Reporting Guidelines.

STEP1 Identify CSR Issues

We identified 41 CSR Issues based on extensive consideration of various guidelines, including the GRI G4 and ISO 26000 (social responsibility) guidelines, external ESG assessments, such as the Dow Jones Sustainability Index (DJSI), as well as new issues related to sustainability, such as the SDGs.

41 CSR Issues

STEP2 Assign Priorities

The 41 CSR Issues identified in Step 1 were categorized under the four CSR Goals of the NTT Group CSR Charter and their underlying foundations. The four CSR Goals were evaluated along the two axes of “relevance to stakeholders” and “relevance to NTT Group,” and the results were mapped on the matrix to identify the NTT Group CSR Priority Activities.

In assessing priorities, we sought to reflect the expectations of a broad range of stakeholders by also taking into account the results of the NTT Group employee satisfaction survey and feedback from customers.

Activities categorized as the underlying foundations of the four CSR Goals have been positioned as activities requiring steadfast effort.

Enrich Society
Protect Environment
Safety and Security
United NTT

Underlying Foundation of the Four Communication Activities

  • Reinforce corporate governance
  • Brand management
  • Ensure diversity of directors
  • Manage intellectual property
  • Appropriateness and transparency of directors’ compensation
  • Determine materiality and manage PDCA cycle
  • Establish sustainability governance
  • Enhance reliability and disclosure of ESG data
  • Efforts to encourage long-term ownership of shares
  • Control negative incidents and disclose information
  • Risk Management
  • Engage with stakeholders
  • Formulate and comply with compliance guidelines
  • Participate in various initiatives

STEP3 Confirm Validity — Validation and Determination of New CSR Priority Activities

The identified CSR Priority Activities were examined by the Group CSR Committee attended by the CSR Committee Chairpersons of major NTT Group companies and the CSR Committee chaired by the representative director and senior executive vice president and comprised of heads of each department and office. The committees confirmed the validity of the CSR Priority Activities based on how well they reflected the expectations of stakeholders and whether they covered all the issues that are of importance to NTT Group. Consequently, the following items were determined as new CSR Priority Activities.

Enrich Society

CSR Priority Activities

  • Contribute to society through ICT and data usage
  • Pursue customer satisfaction
  • Reinforce and globalize research and development
Protect Environment

CSR Priority Activities

  • Use ICT to contribute to the environment
  • Reduce the environmental impact of business operations
  • Effectively use resources
Safety and Security

CSR Priority Activities

  • Reinforce Information Security
  • Personal Information Protection
  • Ensure Stability and Reliability of Communications Services
United NTT

CSR Priority Activities

  • Promote Diversity
  • Respect for Human Rights
  • Reinforce Value Chain Management
  • Ensure Employee Safety
  • Promote Health Management
  • Create Attractive Workplaces
  • Promote a United Group Effort on Social Contribution Activities

Goals and Achievements of CSR Priority Activities

NTT Group has established CSR Quantitative Indicators (KPI) based on the NTT Group CSR Priority Activities identified as material issues in order to promote CSR in a uniform manner across the entire Group.

Enrich Society

CSR Priority Activities Medium-term
Targets
CSR Quantitative Indicators KPI Target Achievement FY
Contribute to society through ICT and data usage

Evolve into a B2B2X business model which uses digital services and data management

Number of B2B2X projects 100 projects FY2022
Leverage the characteristics of 5G to create new value with a broad range of partners 5G service-related indicators*1 To be set at the commercialization stage
Promote personalization to support changing lifestyles Number of places where payments can be made and points can be used*1 Two million places FY2022
Provide ICT services available for a broad range of customers, including the elderly and persons with disabilities Number of UD-capable products and services provided Expand -
Pursue customer satisfaction Provide high value-added products and services and fine-tuned support Reductions in waiting and customer service times at DOCOMO shops*1 Decrease by half compared to FY2018 -
Number of improvements made based on suggestions from customers More than in the previous fiscal year -
Response rates at our call centers Better than in the previous fiscal year -
Reinforce and globalize research and development Globalize and expand the competitiveness of research and development to generate world bests, world firsts, and amazing results Number of patent applications More than in the previous fiscal year -
Number of academic papers published outside the company More than in the previous fiscal year -
Number of successful practical applications*1 More than in the previous fiscal year -

Protect Environment

CSR Priority Activities Medium-term
Targets
CSR Quantitative Indicators KPI Target Achievement FY
Use ICT to contribute to the environment While reducing CO2 emissions of the Company, contribute to the reduction of CO2 emissions of all society, including value chains, through the utilization of ICT Amount of contribution to the reduction of CO2 emissions of all society At least 10 times the Company’s emissions

FY2031

Reduce the environmental impact of business operations Improve power efficiency to reduce the environmental impact of business operations Power efficiency of communications services (power efficiency per data transmission) At least 10 times higher than in FY2014 FY2031
At least two times higher than in FY2018*1 FY2026
Ratio of EV adoption in Japan*1 100% 50% FY2031 FY2026
Effectively use resources Control the final disposal ratio of waste and work toward the effective use of resources Final disposal ratio of waste under 1% FY2031

Safety and Security

CSR Priority Activities Medium-term
Targets
CSR Quantitative Indicators KPI Target Achievement FY
Reinforce information security Train security experts Number of security experts - -
Personal information protection Prevent leaks of personal information Number of incidents of personal information leaks 0 -
Ensure stability and reliability of communications services Provide stable communications services free of major communications problems Stable service provision rate 99.99% -
Number of major accidents 0 -

United NTT

CSR Priority Activities Medium-term
Targets
CSR Quantitative Indicators KPI Target Achievement FY
Promote diversity Aggressively promote the active participation of women Ratio of female managers 6%

FY2021

Expand employment of people with disabilities Employment rate of people with disabilities*2 2.2%*3 -
Respect for human rights Conduct business activities with respect for human rights at all business locations by introducing the United Nations Guiding Principles on Business and Human Rights (Ruggie Framework) and other international principles Number of confirmed human rights violations 0 -
Percentage of participation in training concerning human rights*4 More than in the previous fiscal year -
Reinforce value chain management Appropriate management of environmental and social risks, including value chains Number of confirmed high-risk suppliers 0 -
Ensure employee safety Enhance safety measures and the safety mindset of employees in order to prevent accidents causing injury or death and industrial accidents Number of industrial accidents 0 -
Number of accidents causing injury or death during construction work *5 0 -
Promote health management Create an environment that raises each individual employee’s motivation and dynamism while enabling them to continue to work healthily and energetically Implementation rate of specified health guidance 31% -
Ratio of non-smokers*1 79% -
Create attractive workplaces Provide workplaces where employees can work with good spirits Employee satisfaction Better than in the previous fiscal year -
Promote a united Group effort on social contribution activities Employees actively participate in volunteer activities Number of times employees participated in social contribution activities More than in the previous fiscal year -
  Number of times employees participated in activities through the Group’s internal volunteer site*1 2,000/year
[10,000]
-
[FY2021]
[Number of people registered]
  • *1 Newly established in fiscal 2020
  • *2 Results as of June 1 of the following year
  • *3 45.5 or more employees
  • *4 Includes e-learning and other similar types of training
  • *5 Construction by partner companies and directly managed construction

Major Reports

  • NTT Group Environmental Activities
  • NTT Annual Report 2019

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