Idemitsu Group's materiality (key challenges)
Idemitsu Group's materiality (key challenges)
Concept of materiality (key challenges)
Our group reviews its key challenges (materiality) in line with the formulation cycle of Medium-term Management Plan, from the perspective of sustainability and enhancing corporate value.
In our Medium-term Management Plan (FY2026-2030), we have identified eight material issues, organized from the perspectives of business, environment, society, and governance, taking into account changes in the materiality environment and social issues, and we are working to address these issues.
materiality (key challenges) list
| Thorough implementation of safe operations and stable supply |
• Strengthening the supply chain |
|---|---|
| Deepening existing businesses |
• Optimization of the allocation of management Resources |
| Creating growth businesses |
• Accelerating global expansion and strengthening international competitiveness |
| Harmony with the global environment |
• Promoting initiatives toward the realization of a circular economy |
| Achieving sustainable growth for individuals and organizations |
• "More co-creation and innovation" |
| Accelerating digital transformation |
|
| Deepening governance |
• Improving the quality of management decision-making through advanced ERM (Enterprise Resource Management) |
| Thorough emphasis on health, human rights, and compliance |
• Pursuing a safe and fair work environment |
Materiality (key challenges) identification process
At our company, we have established Corporate Sustainability Office within the Corporate Planning Department as a dedicated organization for sustainability. This office regularly identifies sustainability-related risks and opportunities across our group's business segments and value chain, and conducts materiality assessments. materiality assessment is based on the concept of "double materiality * We conduct our research from the perspective of "[...] and for each risk, we take into account future business environment assumptions based on scenario analysis, and extract materiality based on three elements: (a) financial impact, (b) likelihood of occurrence, and (c) short-term, medium-term, and long-term time axes, through interviews with external experts and discussions at management meetings.
*This approach examines the importance of environmental and social issues from both the perspective of their financial impact on a company (financial materiality) and the impact of corporate activities on environmental and social issues (impact materiality).
2026
-
- StepOrganization of issues and linking them to Idemitsu’s initiatives
-
- List environmental and social issues with reference to sustainability-related goals and guidelines (GRI standards, SASB, SDGs, ISO26000, etc.)
- Organize the relationship between current business/initiatives and the above environmental/social issues (extract those that are related from both positive and negative perspectives)
-
- StepLink businesses and initiatives to issues
- From a double materiality perspective, we map linked environmental and social issues and weight each impact.
-
- Step dialogue with Stakeholders
- Based on the mapping results, we conducted dialogue with external experts to confirm the validity of their expectations and challenges for our group.
-
- Step Discussion and decision at management level
- The final decision will be made after discussions at Management Committee chairperson by the President.