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Material Issues and Quantitative Indicators(KPI)

To support value creation, we define material issues (materiality) from a management perspective and aim to achieve sustainable growth by putting them into practice.

Material Issues for the TechnoPro Group

Theme 1: Human Resources

Raising Everyone’s Potential

  • Develop human resources and maximize opportunities to flourish
  • Resolve shortage of engineering personnel and promote innovation
  • Pursue rewarding work and employee satisfaction
  • Provide learning for all people
  • Achieve human resource diversity and equal opportunity

Theme 2: Business

Contributing to Society through the Power of Technology

  • Realize high-value-added solutions
  • Use IT to achieve business innovation
  • Accelerate overseas business
  • Maximize customer satisfaction
  • Resolve social issues through business

Theme 3: Social Responsibility

A Trusted Partner

  • Observe ethics and compliance
  • Ensure health and safety of the working environment
  • Thoroughly protect information security and privacy
  • Respect human rights
  • Minimize environmental impact

Theme 4: Governance

A Sustainably Growing Company

  • Reinforce governance
  • Expand business through sound trading relationships
  • Engage in dialogue and disclosure
  • Enhance business continuity in times of emergency
  • Execute appropriate capital strategies

The Materiality Definition Process

We extracted issues based on their degree of impact, both for the Group’s stakeholders and for the Group.
When defining these issues, we reflected the opinions of outside experts and outside directors, as well as department heads and people in charge of business units.
We then grouped the material issues according to four themes, clarifying their content. At the same time, we set key performance indicators (KPIs) and targets for each theme. Through such initiatives, we aim to achieve sustainable growth.

  • STEP 1: Ascertaining the Issues

    Based on international guidelines and principles, we extract issues, taking into account social issues and stakeholders’ requests.

  • STEP 2: Ordering the Issues

    We select and add industry- or Group-specific issues.

  • STEP 3: Defining the Issues

    Following discussions among outside experts, outside directors, department heads and people in charge of business units, the issues are deliberated and approved by the Board of Directors.

Deliberation at the Board of Directors

Links with SDGs

We support the SDGs philosophy of solving social issues affecting the entire human race with not just governmental participation, but also participation by individuals and companies, and we also plan to actively contribute. In particular, we aim to contribute to the sustainable development of mankind through education for people, correction of inequality, and technological innovation.

Quantitative Indicators (KPIs) and
Target Values for Material Issues (Materiality)

Theme 1: Raising Everyone’s Potential

We provide the venue for engineers to move beyond the borders of specific industries or fields and make the most of their abilities. In this way, we aim to help create an even more attractive society. Furthermore, we aim to continue being the platform that enables the engineers who drive innovation in society to hone their skills. Going forward, we aim to continue providing opportunities that will enable the engineers of the future to unlock their potential.

Quantitative Indicators (KPIs) and Target Values

Training and Education
(Years ended June 30) 2018 2019
Group training Cumulative
71,023 people
Cumulative
97,306 people
e-learning 8,082 people 111,216 people
Time Spent in Training
(including e-learning)
293,546
hours/year
512,231
hours/year
Number of Unique
Participants
7,034 people 8,175 people

Target value:Total of 200,000 people/year by 2022 (including e-learning)

Long-Term Training for People without Field-Specific Industry Experience
(Years ended June 30) 2018 2019
People generally undergoing one month or more of training 964 people 1,543 people

Target value:Continuing increase in the number of attendees

Percentage of People Taking Paid Leave
(Years ended June 30) 2015 2016 2017 2018 2019
(%) 65.0 68.8 71.3 75.0 72.1

Target value:Maintain at 75% or higher

Employee Satisfaction
(Years ended June 30) 2015 2016 2017 2018 2019
(2013: 100) 104 106 108 107 113

Target value:Ongoing improvements in employee satisfaction

Percentage Employment of Women
(Years ended June 30) 2015 2016 2017 2018 2019
New graduates (%) 16.6 14.0 15.6 15.3 22.5
Mid-career hires (%) 16.3 17.3 18.1 21.1 27.7

Target value:17%*1 for new graduates, 20%*2for mid-career hires

  • *1The percentage of women graduating from university schools of science and engineering is 17.2% (2018).
  • *2According to a 2015 national census survey, the percentage of women involved in engineering and research is 10.8%.
Number of Non-Japanese Recruits
(Years ended June 30) 2018 2019
Number of people
working in Japan
756 people 985 people

Target values:Number of non-Japanese nationals working in Japan 1,100 by 2020, 1,500 by 2022

Percentage of Employees with Disabilities
(Years ended June 30) 2015 2016 2017 2018 2019
(%) 1.98 1.99 2.21 2.21 2.21

Target value:Remain at or above the statutory rate of 2.2%.

Employment of People Aged 60 or More
(Years ended June 30) 2015 2016 2017 2018 2019
(People) 443 495 535 641 725

Target values:Continuous increase in the number of people

Theme 2: Contributing to Society through the Power of Technology

We are always working to strengthen our technical capabilities and skills, providing new value to clients and society.

Quantitative Indicators (KPIs) and Target Values

Contribution and Collaboration in Leading-Edge Technology Development
  • Joint research with the University of Tokyo School of Engineering
  • Joint research with the Tokyo Institute of Technology Laboratory for Future Interdisciplinary Research of Science and Technology
  • Joint research with the Nagoya University Graduate School of Informatics

Target value:At least one new project per year

Number of Engineers in Strategic Fields (Technology Areas considered Important over the Medium to Long Term)
(Years ended June 30) 2018 2019
  3,805 people 4,193 people

Target value:More than 5,500 by the fiscal year ending June 30, 2022

Theme 3: A Trusted Partner

The TechnoPro Group engages in business connected both with employment and social responsibility. As such, we believe in the importance of being sincere and remaining a trusted partner for all our stakeholders.

Quantitative Indicators (KPIs) and Target Values

Average Hours of Overtime
(Years ended June 30) 2015 2016 2017 2018 2019
(Hours/month) 23.3 20.6 19.2 17.6 16.3

Target value:Maintain a level of 20 hours/month or less

Training on Human Rights/Ethics/Information Security/Anti-Corruption
  Fiscal year ended June 30, 2019
Attendance rate 100%

Target value:Continue to increase the number of attendees

Paper Use/Unit of Sales
(Years ended June 30) 2016 2017 2018 2019
(2015: 100) 92.6 89.1 82.2 75.9

Target value:Continue to improve

Theme 4: A Sustainably Growing Company

We recognize the need for sustainable growth and are taking responsibility for providing value to society through our business.

Quantitative Indicators (KPIs) and Target Values

Percentage of Outside Directors
(Years ended June 30) 2018 2019
(%) 37.5 37.5

Target value:Maintain at least one-third

Percentage of Directors Who Are Women or Non-Japanese
  • TechnoPro Holdings Female directors: 1 (13%)
  • For the Group as a whole, out of 50 directors, two are women and 10 are non-Japanese

Target values:For TechnoPro Holdings, continue to have at least one woman on the Board of Directors; for the Group as a whole, continue to increase director diversity over the long term.

Status of M&A Activity
(Years ended June 30) 2018 2019
(Number) 5 5

Target value:Invest ¥20.0 billion over five years.

Sustainable Growth in Earnings Per Share (EPS)
(Years ended June 30) 2015 2016 2017 2018 2019
(Yen) 201.76 215.80 225.58 244.81 266.86

Target value:Maintain revenue and profit growth of at least 10% as well as long-term EPS growth (achieve targets of medium-term management plan).

Material Legal Violations
(Years ended June 30) 2018 2019
(Number) 0 0

Target value:Continue to have zero material legal violations.

Internal Reporting System
(Years ended June 30) 2016 2017 2018 2019
(Matters reported) 24 23 36 52

Target:Ensure the appropriate operation of the internal reporting system.

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