Process for identifying materialities

In order to contribute to achieving a sustainable society through its business activities, increase corporate value and grow over the medium and long term, the DAIDO METAL GROUP has identified materialities (important issues) to address as a priority in the area of ESG.

Identification of Materialities (Important Issues)

【STEP1】Extraction of issues

From DAIDO METAL GROUP policies and business plans, and matters relating to risks, SDGs, ISO 26000, GRI standards, ESG surveys and benchmarking against other companies, we have extracted 84 issues for the Group that have a significant impact on the economy, the environment, and society.
  

【STEP2】Evaluation of issues (1)

The order of priority for the Group of these extracted issues was assessed in the context of policies and business strategies such as the management philosophy and the Midterm Business Plan, and in conjunction with interviews with the heads of related departments and discussion by related subcommittees. 19 candidates for the important issues were extracted.
  

【STEP3】Evaluation of issues (2)

The order of priority for stakeholders of these extracted issues was assessed in the context of international norms, major sources of guidance, analysis of important issues at other companies and an understanding of requests from stakeholders, in conjunction with discussion by related subcommittees.
  

【STEP4】Identifying issues to be addressed as a priority

As a result of this evaluation 10 important issues were identified.
To assess their validity the issues were reviewed by Outside Directors and Outside Audit & Supervisory Board Members, and underwent deliberation by the Sustainability Committee and the Board of Directors before being identified as materialities.
 
 
 

Identification of materialities through evaluation of issues