Daifuku Co., Ltd. has recently identified materiality (priority issues), also known as material issues, in line with its efforts to promote sustainability.
Daifuku will contribute to the achievement of the SDGs* by working on materiality through its business activities, thereby enhancing its corporate value and helping it realize a sustainable society.
1. Background behind the identification of materiality
The business environment surrounding the Daifuku Group is undergoing drastic change due to climate change and the COVID-19 pandemic. The Group is conducting business from a long-term perspective to realize a sustainable society as envisioned by the United Nations when it established the SDGs. The Company recently reviewed its current “CSR priority issues” and has reformed these as materiality.
2. Overview of materiality
Daifuku has set five themes for the promotion of sustainability management and the SDGs: 1) contribute to a smart society, 2) maintain and improve the quality of products and services, 3) enhance operational framework, 4) respect human dignity, and 5) contribute to the environment through our business. It has also identified 18 material issues related to these themes.
3. Sustainability Action Plan
In April 2021, Daifuku plans to publish a three-year Sustainability Action Plan to address the identified materiality.
* SDGs: The Sustainable Development Goals are international goals adopted by the United Nations General Assembly in September 2015 that aim to achieve a better, sustainable world by 2030. The SDGs consist of 17 goals and 169 targets.]]>
Daifuku Co., Ltd. has formulated the Daifuku Environmental Vision 2050 (the "Vision"), a new environmental vision looking toward 2050 for the realization of a sustainable society.
The Vision is a long-term environmental goal that follows on from Daifuku’s initial vision (Daifuku Environmental Vision 2020) adopted in April 2011. The Daifuku Environmental Vision 2020, which set fiscal 2020 as its final year, focused on three themes: 1) promote environmentally friendly activities in business operations, 2) expand environmentally friendly products and services, and 3) enhance the foundations for environmental management.
In the new Vision, the Company has set a goal to create material handling systems with zero environmental impact by 2050, and toward that goal has established targets for issue areas until 2030: 1) climate change and energy and 2) resource recycling. During its implementation period from 2021 to 2030, the Vision shall be driven by the Sustainability Committee with the president as chair.
As a global provider of material handling systems, Daifuku will contribute to the realization of a sustainable society through its achievement of the Vision and will work toward continued, sustainable growth and the enhancement of its corporate value by continuing to solidify the trust-based relationships it maintains with its customers, shareholders, investors and other stakeholders.]]>
Osaka, Japan – Daifuku Co., Ltd. (“Daifuku”) and Germany-based AFT Industries AG (“AFT”) concluded an agreement to form a business partnership aimed at leveraging the material handling expertise of both companies in the automotive industry.
Daifuku and AFT will use this mutually beneficial business partnership as a way globally to open channels and secure growing demand and investment from automotive manufacturers for material handling systems.
Specifically, both companies will collaborate on a project-by-project basis by leveraging AFT Industries’ European automotive customer base, product standards and technologies, and procurement knowledge and knowhow, and Daifuku’s extensive global network encompassing sales, production and service to increase the level of our offerings to customers in the global automotive industry.
Of the partnership, Daifuku’s Automotive Global Business Head, Toshiaki Hayashi, commented, “With the rise of Connected, Autonomous, Shared and Electric (CASE) vehicles, and Mobility-as-a-Service (MaaS), the automobile industry is said to be in the midst of a once-in-a-century period of major change, resulting in automotive manufacturers increasingly shifting the direction of their businesses. Viewing this change as a business opportunity, the partnership with AFT Industries will enable us to expand our Automotive business and global network to bring about continued growth.”
Heiko Hofmann, CEO of AFT Industries said, “The automotive industry is undergoing a transformation across the globe. On the one hand, Automotive manufacturers are changing into mobility providers, on the other hand, transportation must become CO2 neutral for environmental reasons. To successfully master this radical change our customers need reliable support. Together with Daifuku we have created a strong strategic alliance to provide this service worldwide and to position our business for the challenges of the future.”Corporate Profiles
|Headquarters||3-2-11 Mitejima, Nishiyodogawa-ku, Osaka, Japan|
|Representative||Hiroshi Geshiro (President and CEO)|
|Established||May 20, 1937|
|Business||Comprehensive manufacturer and integrator, including consulting, engineering, design, production, installation and after-sales service, of material handling systems|
|Paid-in capital||31,865.3 million yen (as of the end of March, 2020)|
|Net sales||443,694 million yen (as of the end of March, 2020)|
|Employees||10,863 (consolidated, as of the end of March, 2020)|
|Headquarters||79650, Schopfheim, Baden-Württemberg, Germany|
|Representative||Heiko Hofmann (CEO)|
|Business||Manufacturer and seller of material handling systems to a variety of industries, including automotive manufacturers|
|Paid-in capital||1 million euros|
|Net sales||122.1 million euros (as of December 2019）|
|Employees||301 (consolidated, as of the end of April, 2020)|
A number of fake websites that closely resemble Daifuku Co., Ltd.’s corporate website have been discovered online.
Daifuku has absolutely no connection with such websites, and any pictures and content replicated on the fake sites are being used without permission.
Do not access any of the fake sites due to the potential harm they may cause.
The official address (URL) for Daifuku’s global corporate website is shown below.
The fake websites, while looking almost identical to Daifuku’s corporate website, have different URLs.]]>
We at Daifuku Co., Ltd. announced our assent to the recommendation of the Task Force on Climate-related Financial Disclosures (TCFD) in May 2019. In accordance with the framework of the TCFD recommendations, we have identified risks and opportunities that climate change creates for our businesses globally. Today, we will disclose information about the four items of (1) Governance, (2) Strategy, (3) Risk Management, and (4) Metrics and Targets.
1. Basic stance on environmental issues
At Daifuku, we produced the Daifuku Environmental Vision 2020 in 2011. Since then, we have been operating an environmental certification program for our products (Daifuku Eco-Products), which is aimed for energy and resource conservation, as well as pollution control, aspiring to contribute to society through manufacturing. We are now taking this a step further. Since last fiscal year, we have been carrying out an environmental management strategy aimed at decarbonizing society and achieving the Sustainable Development Goals (SDGs).
At Daifuku, we regard intensifying global environmental issues as one of the important factors in the social environment surrounding the Daifuku Group. Moving forward, we will revise the Daifuku Environmental Vision to better reflect the demands of society in our management. At the same time, we will strive to improve our business activities, products and services through dialogues with our stakeholders, thereby contributing to the development of society and aiming to improve our corporate value.
For that purpose, we will further develop our frameworks of corporate governance and risk management related environmental management.
2. Risk and opportunity
The core of this information disclosure is resulted from our analysis based on two scenarios; a rise in temperature of 4 degrees Celsius in the 21st century and the rise in temperature below 1.5 degrees Celsius until the end of the 21st century. While business cost will increase, we expect growth in demand for our products and services that exceeds the above negative impact.
3. Metrics and targets
A new environmental vision we are now developing will include metrics and targets on climate change. The new vision will be looking ahead a final target in 2050 with an interim target in 2030 and also contain our environmental contribution through providing best products and services, use of renewable energy in process of operation, and initiatives toward recycling-oriented society.
First and foremost, Daifuku Co., Ltd. offers its deepest sympathy to those affected by the novel coronavirus.
In response to the Japanese government's “Basic Policies for Novel Coronavirus Disease Control” announced on February 25, Daifuku established a “Novel Coronavirus Response Committee,” with the Company president as its head.
Committed to preventing the spread of infection and safeguarding the health of its employees, partners and local communities, Daifuku continues to monitor government measures in all countries and regions where it has sites and offices, and is managing its business with its affiliates around the world according to local operating environments and instructions from authorities.
While the coronavirus has the potential to affect the Group's business and supply chains, the uncertainty of the global situation means it is difficult to predict any potential impact on business. Daifuku will disclose information regarding the coronavirus and its effects on the business through its global site in a timely manner as necessary.]]>
Osaka, Japan－Daifuku Co., Ltd. announces that is has supplied Japan Airlines Co., Ltd. (headquartered in Tokyo, Japan) with Self Baggage Drops (SBDs) that were collaboratively developed with the company.
Increasingly adopted at airports around the world, SBDs enable passengers to check-in their own baggage by following the on-screen instructions, which greatly reduces queuing time compared to conventional manned check-in counters.
Japan Airlines commenced operation of six SBD units at Haneda Airport Terminal 1 for domestic flights in February 2020, and plan to introduce a total of 38 units to the terminal by summer 2020.
Through close collaboration with Group companies, Daifuku’s Airport Technologies business boasts a high market share of the baggage handling system market, with installations in over 500 airports around the world. Along with baggage handling systems, the Group also provides operations and maintenance services to airports.
Daifuku continues to use its globally cultivated technologies and expertise to supply airports around the world with state-of-the-art systems.
Details of the installed equipment can be found on Japan Airlines’ website at the link below.
https://press.jal.co.jp/ja/release/202002/005494.html (Japanese language only)
Osaka, Japan – Daifuku Co., Ltd. is pleased to announce the establishment of Vietnamese subsidiary, Daifuku Intralogistics Vietnam Co., Ltd. Scheduled to commence operations on October 1, 2019, Daifuku Intralogistics Vietnam will manage local sales, installation and after-sales services of material handling systems for the manufacturing and distribution sectors.
Since 2016, Daifuku and its Thai subsidiary have managed business in Vietnam, selling primarily automated storage and retrieval systems to local manufacturers and Japanese-owned companies. Now, with an abundance of labor and against the backdrop of continuing U.S.-China trade friction, Vietnam has become a prime location for companies relocating their manufacturing facilities. Further, substantial foreign direct investment into Vietnam is leading to wage increases, which in turn has seen growing momentum toward automation.
As part of the global strategy highlighted in our medium-term business plan, Value Innovation 2020, Daifuku promotes affiliate management autonomy to accelerate area-based business development. Daifuku Intralogistics Vietnam provides Daifuku the means to actively expand its business in Vietnam across a range of industries in the manufacturing and distribution sectors.Subsidiary Overview
|Name||Daifuku Intralogistics Vietnam Co., Ltd.|
|Location||Ho Chi Minh City, Vietnam|
|Representative||Yuji Maki, General Director (CEO)|
|Capital||USD 450,000 (wholly owned by Daifuku)|
|Business Overview||Sales, installation and after-sales services of material handling systems|
Osaka, Japan – Daifuku Co., Ltd. announced today it is to acquire Netherlands-based Scarabee Aviation Group B.V. and Australia-based Intersystems (Asia Pacific) Pty Limited.
Scarabee provides a range of airport solutions to many of the world’s leading airports and airlines. Recognized for their human centered design, convenience and performance, Scarabee’s state-of-the-art “Smart Security Lanes” have supported airports transforming their security process.
From design through to after-sales service, Intersystems provides airport information management systems, including its world-leading flight information display (FIDs) software. Headquartered in Australia, it also maintains sites in the U.S. and China.
In recent years, the economic development of emerging countries has brought a surge in movement of people. Global passenger numbers reached 4 billion in 2017 and are anticipated to rise to 8.2 billion by 2037 according to the International Air Transport Association. Against this backdrop, Daifuku expects increased demand for the upgrade and expansion of airport facilities, and drive towards “smart airports” that offer greater convenience. Per its medium-term business plan, Value Innovation 2020, Daifuku aims to establish its Airport Technologies business as its fourth core business.
The acquisition of both companies enables the Daifuku Group to enter the airport security checkpoint and information management fields, both of which hold growth potential. Along with diversifying Daifuku’s business unit for airport systems and complementing its existing hardware, the acquisitions will strengthen its global competitiveness as it generates synergy between its group companies based in North America, Europe, Asia and Oceania.
As the world’s leading system supplier for airports, Daifuku continues to leverage its technology and expertise to provide an array of automated systems that contribute to airport safety, efficiency and accuracy.Overview of Scarabee Aviation Group B.V.
|Location||Amsterdam, the Netherlands|
|Representative||Boudewijn Wellink (CEO)|
|Business||Solutions for airports:
- Smart Security Lanes
- Self-service baggage drop-off systems
- Life cycle services
- System integration
|Employees||151 (as of April 30, 2019)|
|Primary locations||The Netherlands (headquarters), Japan, U.K. & Germany|
|Representative||Bruce Allen (CEO & Management Director)|
|Business||Design, develop and install airport information management systems:
- Resource management systems
- Airport information displays
- Big data storage and analysis systems
|Employees||19 (as of March 31, 2019)|
|Primary locations||Australia (headquarters), U.S., China|
Daifuku Co., Ltd. has announced its assent to the recommendations from the Task Force on Climate-related Financial Disclosures (TCFD), an organization established by the Financial Stability Board (FSB).
Daifuku will analyze risks and opportunities climate change might pose to its business across the globe and disclose related information in accordance with the TCFD Recommendations framework.
Based on this, Daifuku will aim for its sustainable growth, promoting its initiatives to address climate change, through dialogues with its stakeholders including institutional investors.
Daifuku’s Initiatives for Addressing Climate Change
In 2011, we established a policy, the Daifuku Group Environmental Vision 2020, to contribute to building a sustainable global environment through our business. Within this policy, we have stated that we will contribute to the preservation of the global environment, and strive to be environmentally aware in every business activity, including consistently developing and providing material handling systems and equipment with low environmental impact.
About the TCFD
Established by the FSB, an international organization comprising representatives from central banks, financial supervisory authorities and finance ministries of major countries and regions, TCFD works to help companies understand what financial markets want from disclosure in order to measure and respond to climate change risks and encourage them to align their disclosures with investors’ needs. In June 29, 2017, TCFD launched its Recommendations report and supplemental materials.
Daifuku Co., Ltd. announced that it has completed its acquisition of India-based Vega Conveyors & Automation Private Limited (“Vega”) on April 3, 2019. Vega is involved in the consulting, design, manufacture, installation and after-sales service of conveyors and other material handling equipment within its domestic Indian market.
In recent years, the robust growth of the Indian economy has brought a surge in needs for automation within the manufacturing and logistics sectors. Accordingly, in September 2016, Daifuku established a sales office in Mumbai for the Factory and Distribution Automation (FA&DA) Division of Indian subsidiary, Daifuku India Private Limited. Now, underpinned by strong demand, and as equipment for customers in India must be manufactured and shipped from Japan, there is a growing need to establish a localized manufacturing network in India.
Generating synergy with Vega's development and manufacturing bases, Daifuku aims to expand its business in India and other markets within Asia and Oceania by leveraging its technology and expertise cultivated through global business development.
“We are excited to be part of the Daifuku Group, the world’s top manufacturer and supplier in the material handling industry,” said Garimella Srinivas, Managing Director of Vega. “We look forward to sharing resources and improving our services to the Indian market.”
Daifuku is committed to the Indian market and supporting Vega employees and customers,” said Kanji Anno, Daifuku Co., Ltd. Managing Officer and General Manager of FA&DA Global Operations. “Consolidating our expertise and capabilities with Vega will allow for the expansion of our manufacturing and distribution business segments within Asia.”
Vega’s office, factory and technology center will remain at their existing locations in India.
|Representatives|| Garimella Srinivas (Managing Director)
Sri Ranga Sai Srinivas Vavilala (Chief Operating Officer)
|Business||Conveyor and other material handling equipment design, manufacture, installation and after-sales service|
|Employees||73 (as of March 31, 2019)|
About Daifuku Co., Ltd.
Founded in 1937, Daifuku Co., Ltd. is the world's leading provider of material handling systems to the factory and distribution, cleanroom, automotive, airport, and general industry markets, and has established a total support system ranging from consulting to after-sales services. Daifuku is headquartered in Osaka, Japan, with production and sales bases in 23 countries and regions.
Daifuku Co., Ltd. has updated CSR webpages on its corporate website. Along with expanding information, we have made substantial changes in page structure.
We will continue to provide useful information for our stakeholders.]]>
Osaka, Japan － Daifuku Co., Ltd. will install a state-of-the-art baggage handling system (BHS) at the international passenger terminal of New Chitose Airport, which is operated by New Chitose Airport Terminal Building Co., Ltd. (headquartered in Chitose, Hokkaido, Japan), in line with the airport’s renewal plans to meet the 2020 Tokyo Olympics and Paralympics, and the Rugby World Cup Japan 2019. This installation marks Daifuku’s first domestic order for a BHS.
Through collaboration with its Group companies, along with installing BHS and related equipment to over 500 airports around the world, boasting the world’s top market share, the Daifuku Group also supplies airport operation and maintenance services.
New Chitose Airport’s installation will consist of a variety of conveyor types, the latest camera-based barcode scanners and advanced software for tracking and monitoring baggage during transport. Compared to the conventional system, the new installation will bring improved bag tag scanning accuracy and enable 3D real-time tracking of baggage, preventing instances of late or lost baggage, which is expected to reduce management costs and increase passenger satisfaction.
In recent years, economic growth of developing countries has led to a boom in the movement of people around the world, with global air passenger numbers, which reached 4.1 billion people in 2017, anticipated to reach 8.2 billion by 2037, according to the International Air Transport Association (IATA). In response to this, there is expected to be increased demand for system renewals and expansions, along with investment in airport equipment and facilities that offer traveler-friendly experiences.
Within Japan, overseas tourist numbers (Japan National Tourism Organization) tripled over a five-year period, rising from 8.36 million in 2012 to 28.60 million in 2017, with this expected to further increase in the future.
Setting the installation to New Chitose Airport as a key example within the domestic market, Daifuku will continue to promote installations of state-of-the-art baggage handling system within Japanese airports.]]>