Message from the Director in Charge of CSR

We will conduct sustainability
management with a focus on
the material tasks we have
newly identified.

Yuji Sakon
Managing Director
General Manager of Administration Division,
Chairman of CSR Committee
MEDIPAL HOLDINGS CORPORATION

Strengthening Our Sustainability Promotion Structure

To promote sustainability management, we established a dedicated group in April 2021 and have been conducting our corporate activities with an awareness of sustainability.
For example, the CSR Committee meets every month, and engaged in lively discussions during the fiscal year ended March 31, 2022, primarily on topics such as formulating the Sustainability Policy, setting medium-to-long-term targets, and reviewing material sustainability tasks (materiality) for the MEDIPAL Group. These efforts have significantly raised awareness of sustainability, enabling us to establish the foundation for sustainability management.

Identifying MEDIPAL Group Materiality

I felt that the time had come to reconsider the relationship between our current management issues and material sustainability tasks, so we conducted a questionnaire survey of our executives and outside directors to assess the importance (order of priority) of the sustainability tasks for the MEDIPAL Group, and held discussions with the CSR Committee and others to review our materiality.
As the result, we newly identified material sustainability tasks (materiality) in October 2022. In particular, we clarified “new value creation” and “human resource development” to make a clear connection with the 2027 MEDIPAL Medium-Term Vision. We position this materiality as key elements in achieving sustainable growth and resolving issues through our business activities.
We have set medium-to-long-term targets related to initiatives for decarbonization, promotion of diversity and inclusion, and sound and transparent corporate management. Our target for decarbonization is to become carbon neutral by the fiscal year ending March 31, 2051. On the way to achieving this goal, we aim to halve greenhouse gas emissions by the fiscal year ending March 31, 2031 compared with the fiscal year ended March 31, 2021. To promote diversity and inclusion, we will work toward a target of raising the proportion of women in managerial positions to 20% or higher by the fiscal year ending March 31, 2031. For sound and transparent corporate management, we will expand compliance training and enhance corporate governance to accommodate Group companies.

Human Capital: The Source of Sustainable Value Creation

We realize that more diverse human capital is one of the most important issues for the MEDIPAL Group in working to transform its business.
Creating a workplace where women play an active role in resolving issues is crucial. MEDICEO CORPORATION has received Eruboshi certification (three stars, which is the highest level) as a company that promotes women’s participation and advancement in the workplace. For the MEDIPAL Group overall, however, the proportion of women in managerial positions is 7.3% (as of March 31, 2022), so achieving our target of 20% or higher by the fiscal year ending March 31, 2031 will require drastic reforms under the leadership of MEDIPAL HOLDINGS CORPORATION. To begin with, we have started laying the groundwork with measures including awareness surveys of female employees, in addition to increasing the talent pool. In April 2022, MEDICEO CORPORATION, EVERLTH Co., Ltd., and ATOL CO., LTD. created a sales position for female employees called a Women’s Coordinator to concentrate on providing academic information to hospital departments and clinics in the field of women’s medical care.
Moreover, we will focus on human resource strategies, including recruiting, training, and personnel system reforms, so that each employee can play an active role, cheerfully, happily, and positively. We have also been proactive in recruiting mid-career employees over the past few years, using them not just to strengthen our business foundation, but also in specific fields such as human resource development and new businesses. In addition to cultivating the human resources who will take the lead in the future, we are actively bringing in people from outside the Group.

Promoting Compliance Management

Since 2020, the MEDIPAL Group has been working to develop a system to promote stronger compliance. The Representative Director, President and CEO has been appointed as the Chief Compliance Officer and he is taking the initiative in promoting compliance management.
There are potential compliance-related risks in a variety of situations. In addition to risks related to legal violations, risks include information leaks and internal fraud. We recognize the importance of the role Group governance plays in visualizing and comprehensively managing latent risks at each company of the MEDIPAL Group from the perspective of group governance, and will promote such efforts.