Key Performance Indicators

SHARE

in

Action plans, KPIs and targets for specific material issues are determined as below. We will report our progress and results on each issue on this website. The below provides an overview of the main issues. For more details, please see the report pages for each activity.

Governance

Enhance group governance to maximize our corporate values.

Corporate governance

Target Establish global-standard governance
Action plan Establish a Group governance system
KPI Coverage of improved governance rules and procedures (%)

Target / ProgressOPEN or CLOSE

  • Target for FY2016

  • ・Implement Corporate Governance Guidelines and commitments

    ・Appoint independent outside directors as chairs of the Nomination, Compensation and Audit Committees

  • Progress as of 2016

  • ・Established standards within Corporate Governance Guidelines for dealings with related parties. Conducted Board of Directors self-appraisal

    ・Appointed independent outside directors as chairpersons of the Nomination, Compensation, and Audit Committees

  • Target for FY2017

  • ・Set clear rules and procedures for business boards and other committee groups

    ・Ensure 100% coverage of improved governance rules and procedures

  • Target for FY2020

  • ・Employ and establish global best practices as a company with nominating committee, etc.

Compliance

Target Develop comprehensive and effective compliance structure across the Group
Action plan Strengthen compliance-related education and training
1. Develop training for Group Code of Conduct and ensure each employees' commitment
2. Strengthen training by regions and corporate positions
KPI Group-wide:
1. Basic training and commitment to Group Code of Conduct (%)
2. Implementation of training by regions and corporate positions (%)

Target / ProgressOPEN or CLOSE

  • Target for FY2016

  • ・Inspect high-risk regions and implement a compliance system and training plan, based on the observations

    ・Develop training programs by regions and corporate positions, and a mechanism to monitor the training record

  • Progress as of 2016

  • ・Established Group-wide basic training and acknowledgment mechanism under Group Code of Conduct. Achieved 99% acknowledgment rate in Japan and 94% overseas

    ・Consolidated FY2017 reporting framework for status of training and completion from each technology business unit

    ・Implemented key basic training programs for all new graduate hires, new managers, and directors in Japan

  • Target for FY2017

  • ・Build a system for compliance education and training

    ・Group-wide basic training and commitment to the Group Code of Conduct: 100%

    ・Group-wide implementation of training by region and corporate position: 100%

  • Target for FY2020

  • ・Unify the following three processes 1) group-wide basic training, 2) training by corporate positions and 3) acknowledgment process of the Group Code of Conduct, and achieve an implementation rate of 100%

Risk management

Target Establish and operate a Group-wide enterprise risk management system, and nurture a risk management culture in the organization
Action plan Establish a risk management system to contain the occurrence of crisis events and minimize damage
KPI Coverage of the risk management system across Group companies (%)

Target / ProgressOPEN or CLOSE

  • Target for FY2016

  • ・Clarify risk definitions to ensure common understanding throughout the Group

  • Progress as of 2016

  • ・Established an action plan, including risk definitions and risk management system to be developed from FY 2017

  • Target for FY2017

  • ・Establish a set of systems, processes and rules to identify, analyze, evaluate and respond to significant risks (Boundary: all Group companies.)

  • Target for FY2020

  • ・Foster a culture where risks are owned by respective executives (risk owners) globally, and establish cooperation among risk owners, risk management department and audit department to promote "risk countermeasures" to govern enterprise risks on a daily basis

    ・Cultivate "risk management culture" globally to promote quick escalation when incidents occur and implement action plans according to timelines in order to prompt appropriate initial countermeasure

Intellectual property (IP) strategy

Target Maximize the value of the Group's intellectual property by operating a streamlined global IP governance system
Action plan Extend the global reach and functionality of the IP Committee (IPC)
KPI Number of meetings of IPC, designed to maximize the value of Group IP

Target / ProgressOPEN or CLOSE

  • Target for FY2016

  • ・Convene IPC meetings to decide how to drive forward the Group-wide IP management

  • Progress as of 2016

  • ・Convened LWT IP Committee at GROHE and ASB

  • Target for FY2017

  • ・Build a system to monitor IP creation, maintenance and application at individual technology businesses, as well as external IP disputes and IP contractual relationships

    ・Convene IPC meeting at least twice a year

  • Target for FY2020

  • ・Maximize the value of the Group's intellectual property by conducting PDCA for the global IP governance structure and process

    ・Hold an IP Committee meeting once every quarter (4 times annually)

Detailed action plan, KPI and target for :

Fair Business Practices

Engage all employees and officers in our business operations with a high standard of corporate ethics.

Anti-corruption

Target Develop an effective anti-corruption mechanism across the Group
Action plan ・Establish a Group Compliance Policy and Group Compliance Guideline
KPI Group-wide:
・Compliance-related education and training ratio (%)

Target / ProgressOPEN or CLOSE

  • Target for FY2016

  • ・Under the Group Code of Conduct, create Group-wide policies and guidelines for anti-corruption and transparent political relations

  • Progress as of 2016

  • ・Developed six global polices (concern-raising, anti-corruption, conflict of interest, fair competition, international trade controls, and anti-discrimination and harassment) and email investigation guidelines based on risk assessments attained through inspections of high-risk regions and analysis of internal reporting incidents

    ・As a subset of the Group Code of Conduct, established Policy on Third Party Compliance for Suppliers, Anti-Money Laundering Policy, and Global Gifts and Entertainment Guidelines

  • Target for FY2017

  • ・Group-wide compliance-related education and training ratio: 100%

  • Target for FY2020

  • ・Establish a group-wide system that effectively prevent, detect and respond to violations, by developing a local process that is based on LIXIL's relevant global policies and guidelines

Detailed activities for :

Human Rights

Advance human rights across the business to operate as a responsible corporate citizen.

Human rights due diligence

Target Appropriately manage human rights considerations that fall within the scope of our operational influence across our entire value chain
Action plan Create a LIXIL Group Human Rights Principles and promote awareness amongst all LIXIL Group employees
KPI Implementation of Human Rights Principles learning across the Group (%)

Target / ProgressOPEN or CLOSE

  • Target for FY2016

  • ・Ensure full implementation across the Group

  • Progress as of 2016

  • ・In Japan, LIXIL Corporation fully implemented a human rights policy education program in the form of quarterly interactive departmental meetings

  • Target for FY2017

  • ・Implementation of training in main LIXIL Corporation overseas subsidiaries: 100%

  • Target for FY2020

  • ・Conduct human rights due diligence globally to identify and reduce human rights risks for all of LIXIL's stakeholders, including customers, employees and business partners

    ・Respond quickly and sincerely if any human rights violations are identifies. Carry out periodical reviews of the human rights due diligence framework and communicate initiatives and processes with transparency

Detailed activities for :

Labor Practice

Build a strong corporation and workplace where all employees can achieve their fullest potential.

Working environment

Target Build a worker-friendly environment for all employees
Action plan Conduct a regular employee awareness survey across the Group
KPI Implementation of action plans derived from the global employee awareness survey across the Group (%)

Target / ProgressOPEN or CLOSE

  • Target for FY2016

  • ・Implementation of action plans derived from the 2015 global employee awareness survey across the Group: 100%

  • Progress as of 2016

  • ・Implemented actions in each organization based on the results of the Group-wide employee survey conducted during FY2015

    ・Set up the LIXIL Engagement Committee and shared best practices Group-wide via the intranet

  • Target for FY2017

  • ・Implementation of action plans derived from the 2017 global employee awareness survey across the Group: 100%

  • Target for FY2020

  • ・Increase the positive answer rate for questions in the "Work Life Balance" category of the group-wide employee survey by 10% compared to previous year
    (*The survey is conducted bi-annually. The most recent survey was conducted in 2017 and the next survey will be held in 2019.)

Diversity and equal opportunity

Target Secure highly competent people by respecting diversity across the Group
Action plan Promote the active participation of women in the workplace
KPI Percentage of women among regularly recruited new hires (Japan only) (%)

Target / ProgressOPEN or CLOSE

  • Target for FY2016

  • ・Percentage of women among regularly recruited new hires in March 2016: over 30%

  • Progress as of 2016

  • ・Percentage of women among regularly recruited new hires in April 2017: 30.8%

  • Target for FY2017

  • ・Percentage of women among regularly recruited new hires (Japan only): over 30%

Occupational health and safety

Target Establish an Environment, Occupational Health and Safety (EHS) management system across the Group
Action plan Build a common Group EHS management system
KPI Group-wide coverage of EHS management system (%)

Target / ProgressOPEN or CLOSE

  • Target for FY2016

  • ・Set up a Group EHS Committee

    ・Formulate Group-wide operational rules (EHS manual, EHS emergency response guidelines, EHS governance inspection guidelines)

  • Progress as of 2016

  • ・Scope of EHS performance data capture (employees): 98%

    ・Developed and implemented Group Occupational Health and Safety Policy, core rules such as the EHS manual and EHS internal audit guidelines

  • Target for FY2017

  • ・Group-wide operational scope of occupational health and safety covered by the EHS management system: 98%

  • Target for FY2020

  • ・Increase theoperational scope of occupational health and safety covered by the group-wide EHS management system to 100%

Detailed activities for :

Quality and Satisfaction

Strengthen relationships with customers through our products and services.

Product safety

Target Eradicate product accidents
Action plan Make continuous improvements to the product quality management system
KPI Number of serious product accidents across the Group (#)

Target / ProgressOPEN or CLOSE

  • Target for FY2016

  • ・Zero cases of serious  product accidents across the Group

    ・Extend product safety strategy by setting specific KPI for each technology business

  • Progress as of 2016

  • ・Four serious product accidents across the Group. Held a product accident conference to share details of the experience and confirm countermeasures

  • Target for FY2017

  • ・Number of serious product accidents across the Group: 0 cases

  • Target for FY2020

  • ・Continue to keep the number of serious product accidents across the Group at zero cases

Detailed activities for :

Environment

Contribute to a sustainable society through innovative products and services, and improving the environmental efficiencies over all operational processes.

Greenhouse gas reduction

Target Promote reduction in greenhouse gas emissions across the Group
Action plan ・Pursue more environment-conscious product design and sales expansion strategies, taking into account the entire lifecycle of both products and services
・Improve CO2 emissions/units
KPI Group-wide:
1. Benefits from CO2 emissions reduction achieved from the products and services
2. Levels of CO2 emissions across all operational processes

Target / ProgressOPEN or CLOSE

  • Target for FY2016

  • 1. Create a guideline for calculating the decrease in CO2 emissions to help achieve our mid-term target for FY2016-20 (1.4 times more efficient than in FY2015), and monitor the FY2015 result

    2. Target -1.6% compared to FY2015, in FY2016 compared to FY2015 to achieve our new mid-term CO2 emissions target for FY2016-20 (-8% v. FY2015)
    *Above includes water resource conservation data (indirect avoided emissions and actual emissions related to water use)

  • Progress as of 2016

  • 1.Contributions from CO2 emissions reduction achieved from products and services increased by 1.08 times (compared to FY2015). Created Guideline for Calculation of Environmental Contribution to clarify calculation method for individual products and services, and calculated results based on FY2015 performance

    2.CO2 emissions from operational processes increased by 5% (compared to FY2015). Set targets and initiatives for each business organization in compliance with med-term targets

    ・Created Guideline for Calculation of CO2 Emissions from Value Chain to clarify calculation method for all processes from procurement of raw materials through to product disposal

  • Target for FY2017

  • 1.Group-wide benefits from CO2 emissions reduction achieved from products and services increased by 1.16 times (compared to FY2015) to achieve our mid-term CO2 emissions target for FY2016-20

    2.Group-wide levels of CO2 emissions across all operational processes reduced by 3.2% (compared to FY2015) to achieve our mid-term CO2 emissions target for FY2016-20
    *Above includes water resource conservation data (indirect avoided emissions and actual emissions related to water use)

  • Target for FY2020

  • 1.Group-wide benefits from CO2 emissions reduction achieved from products and services increased by 1.4 times (compared to FY2015) to achieve our mid-term CO2 emissions target for FY2016-20

    2.Group-wide levels of CO2 emissions across all operational processes reduced by 8% (compared to FY2015) to achieve our mid-term CO2 emissions target for FY2016-20

Water conservation

Target Promote efficient use of water resources across the Group
Action plan ・Pursue more environment-conscious product design and sales expansion strategies, taking into account the entire lifecycle of both products and services
・Improve efficient use of water resources
KPI Group-wide:
1. Benefits from CO2 emissions reduction achieved from the products and services
2. Levels of CO2 emissions across all operational processes

Target / ProgressOPEN or CLOSE

  • Target for FY2016

  • 1. Create a guideline for calculating the decrease in CO2 emissions to help achieve our mid-term target for FY2016-20 (1.4 times more efficient than in FY2015), and monitor the FY2015 result

    2. Target -1.6% compared to FY2015, in FY2016 compared to FY2015 to achieve our new mid-term CO2 emissions target for FY2016-20 (-8% v. FY2015)
    *Above includes water resource conservation data (indirect avoided emissions and actual emissions related to water use)

  • Progress as of 2016

  • 1.Contributions from CO2 emissions reduction achieved from products and services increased by 1.08 times (compared to FY2015). Created Guideline for Calculation of Environmental Contribution to clarify calculation method for individual products and services, and calculated results based on FY2015 performance

    2.CO2 emissions from operational processes increased by 5% (compared to FY2015). Set targets and initiatives for each business organization in compliance with med-term targets

    ・Created Guideline for Calculation of CO2 Emissions from Value Chain to clarify calculation method for all processes from procurement of raw materials through to product disposal

  • Target for FY2017

  • 1.Group-wide benefits from CO2 emissions reduction achieved from products and services increased by 1.16 times (compared to FY2015) to achieve our mid-term CO2 emissions target for FY2016-20

    2.Group-wide levels of CO2 emissions across all operational processes reduced by 3.2% (compared to FY2015) to achieve our mid-term CO2 emissions target for FY2016-20
    *Above includes water resource conservation data (indirect avoided emissions and actual emissions related to water use)

Sustainable use of raw materials

Target Promote sustainable use of resources across the Group, from procurement through disposal of raw materials
Action plan ・Pursue more environment-conscious product design and sales expansion strategies, taking into account the entire lifecycle of both products and services
・Improve waste recycling ratio
KPI Group-wide:
1. Benefits from CO2 emissions reduction achieved from the products and services
2. Levels of CO2 emissions across all operational processes

Target / ProgressOPEN or CLOSE

  • Target for FY2016

  • 1. Create a guideline for calculating the decrease in CO2 emissions to help achieve our mid-term target for FY2016-20 (1.4 times more efficient than in FY2015), and monitor the FY2015 result

    2. Target -1.6% compared to FY2015, in FY2016 compared to FY2015 to achieve our new mid-term CO2 emissions target for FY2016-20 (-8% v. FY2015)
    *Above includes water resource conservation data (indirect avoided emissions and actual emissions related to water use)

  • Progress as of 2016

  • 1.Contributions from CO2 emissions reduction achieved from products and services increased by 1.08 times (compared to FY2015). Created Guideline for Calculation of Environmental Contribution to clarify calculation method for individual products and services, and calculated results based on FY2015 performance

    2.CO2 emissions from operational processes increased by 5% (compared to FY2015). Set targets and initiatives for each business organization in compliance with med-term targets

    ・Created Guideline for Calculation of CO2 Emissions from Value Chain to clarify calculation method for all processes from procurement of raw materials through to product disposal

  • Target for FY2017

  • 1.Group-wide benefits from CO2 emissions reduction achieved from products and services increased by 1.16 times (compared to FY2015) to achieve our mid-term CO2 emissions target for FY2016-20

    2.Group-wide levels of CO2 emissions across all operational processes reduced by 3.2% (compared to FY2015) to achieve our mid-term CO2 emissions target for FY2016-20
    *Above includes water resource conservation data (indirect avoided emissions and actual emissions related to water use)

Detailed activities for :

Supply Chain

Through responsible management of the overall supply chain, deliver a stable portfolio of products and fulfill stakeholder accountability.

Supply chain management

Target Identify supplier's CR risk, and establish a mechanism to respond accordingly
Action plan Extend our Japanese CR procurement process across the Group
KPI Responsible procurement surveys coverage ratio (based on purchased amount) (%), and percentage of suppliers which satisfy CR management standards (%) and improvement rate (%)

Target / ProgressOPEN or CLOSE

  • Target for FY2016

  • ・Promote Group-wide awareness of the LIXIL Group's procurement strategy

    ・Implement existing CR procurement process across the Group

  • Progress as of 2016

  • ・Achieved responsible procurement surveys coverage ratio of 85% in Japan and 80% outside of Japan, Proportion of suppliers that meet CR management standards conformity rate of 94% in Japan and 88% outside of Japan
    *exclude GROHE Group S.a r.l.、American Standard Brands and PERMASTEELISA GROUP

  • Target for FY2017

  • ・Achieve responsible procurement surveys coverage ratio* of 100% in Japan and overseas, 90% conformity rate, and 100% improvement rate
    *exclude PERMASTEELISA GROUP

  • Target for FY2020

  • ・Achieve responsible procurement surveys coverage ratio* of 100% in Japan and overseas, 90% conformity rate, and 100% improvement rate (*based on purchased amount)

Detailed activities for :

Stakeholder Engagement

Proactively engage with LIXIL's key stakeholders for better business management.

Stakeholder engagement and collaboration

Target Proactively engage with LIXIL's key stakeholders for better business management
Action plan Hold regular stakeholder engagement meetings, and disclose the content of these meetings
KPI Number of stakeholder meetings held across the Group (#). Meeting quality based on meeting content

Target / ProgressOPEN or CLOSE

  • Target for FY2016

  • ・Extend the reach of currently implemented mechanisms and encourage more sophisticated and effective engagement initiatives

    ・Encourage the sharing and adaptation of successful engagement initiatives across the Group

  • Progress as of 2016

  • ・Engaged at least once with each stakeholder

    ・Collected and shared information on stakeholder engagement across the Group

  • Target for FY2017

  • ・Hold at least ore annual dialogue with each group of stakeholders (stakeholders, employees, business partners, local residents, end users, suppliers, etc)

  • Target for FY2020

  • ・Utilize global frameworks such as SDGs to drive stakeholder engagement activities and communicate the results accurately and transparently

Contribution to Global Sanitation & Hygiene

Target Help improve global hygiene and sanitation through our business
Action plan Launch and develop a business
KPI ・Number of beneficiaries

Target / ProgressOPEN or CLOSE

  • Target for FY2016

  • ・Form a solid operational platform for legal affairs, intellectual property, etc

  • Progress as of 2016

  • ・Generated 6.24 million beneficiaries as of March 31, 2017

    ・Created a support team of HQ specialists to help form solid business platforms in individual countries

    ・Created new SATO brand guidelines

    ・Strengthened advocacy activities

  • Target for FY2017

  • ・Generate 10.9 million beneficiaries by March 31, 2018 in order to achieve our 2020 target of 100 million beneficiaries

  • Target for FY2020

  • ・Improve the livelihood of 100 million people through sanitation and hygiene solutions

R&D for solving social problems

Target Create products that contribute to the environment
Action plan Pursue product R&D that is designed to help resolve problems for elderly people and people with disabilities
KPI Development of IoT-driven applications

Target / ProgressOPEN or CLOSE

  • Target for FY2016

  • ・Complete our IoT House Project in July (ready for public viewing)

    ・Develop two IoT-driven applications

  • Progress as of 2016

  • ・Built latest IoT experimental housing facility on LIXIL property in July 2016 to demonstrate how IoT could be employed in living environments

    ・Conducted two surveys for IoT-driven applications

  • Target for FY2017

  • ・Development of IoT-driven applications: 10 applications

CR Activities (FY2012-2015):

SHARE

in
PageTop