Adhering to the Fujifilm Group’s corporate management philosophy and vision, we strive to foster an open, fair and clear corporate culture and to drive sustainable growth with integrity and good corporate governance.
At FUJIFILM Business Innovation Hong Kong, the top management team are responsible for determining the corporate governance practices. Therefore, the Senior Management Committee (SMC), which consists of the Managing Director and five department heads, including four males and two females from different disciplines that help maintain diverse perspectives, meets monthly to discuss and review the operation and develop future business plan.
SMC Kick-started the new era of FUJIFILM Business Innovation Hong Kong on 1 April 2021.
To further strengthen our governance structure and facilitate the development of guidelines, policies and procedures, the Management Review Committee was established in accordance with the ISO 14001 Environmental Management System, ISO 50001 Energy Management System, ISO 22301 Business Continuity Management System, ISO/IEC 27001 Information Security Management System, 5S and FSCTM Chain of Custody (CoC). The committee is responsible for reviewing the overall effectiveness of our systems regularly to achieve continuous performance improvement. Meanwhile, collaborations and committees at operational level have been formed to ensure the successful implementation of various management systems.
The governance structure of FUJIFILM Business Innovation Hong Kong
In order to prevent any misconduct or major violations of the law, all colleagues are required to read and understand the Fujifilm Group Charter for Corporate Behavior and Code of Conduct at job orientation and attend anti-corruption and related compliance training regularly. Besides, a whistle-blowing policy and mechanism for reporting fraud and misconduct are in place.
We align our disclosure practices with global trends and compliance requirements, such as the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD). According to the TCFD’s framework, recommendations related to “Governance”, “Strategy”, “Risk Management” and “Metrics and Targets” have been applied to all business units of FUJIFILM Business Innovation Hong Kong.
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Members of the Risk Management Committee deliberate on the risks and opportunities presented by climate change and report to the SMC. Their climate-related responsibilities include:
The General Manager, Internal Audit and Sustainability is responsible for overseeing our sustainability and climate-related governance and coordinating our environmental initiatives. Plans and communications related to climate-related issues are reported regularly to the SMC and the regional headquarters.
Risks and opportunities brought by climate change are identified over the short-term (0 to 5 years), medium-term (5 to 10 years) and long-term (10 years and beyond) horizons.
Our operations could be directly impacted by frequent short-term business disruptions caused by severe weather or natural disasters, such as flooding and typhoons in locations where we operate. These events could undermine our ability to provide effective support services to customers, to control the operating costs, and to meet the revenue and market share targets.
As our products, spare parts and consumables are supplied by overseas manufacturing plants, our supply chain may be disrupted by severe weather events and other unexpected events, such as COVID-19.
Climate-related regulations and standards, either mandatory or voluntary, addressing energy use and greenhouse gas (GHG) emissions reduction are expected to be tightened in the short-term. If we fail to comply with regulations on product energy efficiency, it will lead to an increase in operating cost.
We enjoy unique competitive advantages with our document management expertise, innovative technologies and service excellence. However, such advantages could be affected by climate-related customer behavioral changes, such as printing less and going paperless. The awareness of environmental protection and climate change has been on the rise globally, creating a higher demand for low or zero carbon products. Consumers and other stakeholders also expect businesses to minimize their carbon footprint and to help their partners reduce adverse environmental impact throughout the product lifecycle. If we fail to recognize this expectation, our reputation could be undermined, leading to deteriorated brand value, and eventually the loss of sales and market share.
In light of the tighter regulations and standards on energy efficiency and pollution management, the higher consumer awareness created an opportunity for the Fujifilm Group to launch the “Green Value Products”, a certification program to certify its group-wide products and services, ensuring that they meet the stringent criteria on environmental consciousness. As a benchmark in the industry, this program allows us to showcase our sustainable offerings that adhere to the rigorous standards from manufacturing to end-of-life disposal as well as our leadership as an industry pioneer. It also helps us attract more environmentally conscious customers and subsequently increases our revenue.
One of the most important components of our business strategy is to create value for our customers and other stakeholders by enhancing the sustainability benefits of our solutions and services through innovation. We offer more sustainable and energy-saving digital printing and document management solutions to improve our customers’ environmental performance and mitigate climate change. Also, more efficient and effective business processes have helped us achieve the emissions reduction targets internally and along the supply chain, and consequently cut down the electricity consumption and costs.
One of our long-term strategies is to create shared value for our customers and other stakeholders through our printers and services. As such, we capture the strategic growth opportunities through innovations that simplify, automate, and optimize business processes using cloud and AI technology.
Climate Scenario Planning:
Led by the Fujifilm Group, this scenario analysis assesses the potential long-term business implications of direct and indirect transition and physical climate-related risks and opportunities. This active response to anticipated risks and opportunities has been integrated into our business strategy and enterprise risk management processes to ensure our business resilience. The analysis also covers our key locations and operations in Hong Kong, focusing on a range of potential climate-related and long-term physical risks and transition risks.
Since Hong Kong and Macau are more vulnerable to flooding caused by typhoons and heavy rain, our service delivery and support may be disrupted. Therefore, the analysis assessed our asset-level risk exposure to flooding and extreme weather, and resilience measures such as a contingency supply chain plan managed under the ISO 22301 Business Continuity Management System were implemented accordingly.
Our risk management framework with long-term targets covers various climate-related risks, supporting Fujifilm Group’s SVP2030.
In accordance with the ISO 14001 Environmental Management System, we assess the impact of our business activities from two perspectives: “compliance with laws and regulations” and “impact on the environment”. As the first company in Hong Kong to receive the newly launched ISO 14001:2015 Environmental Management System certification in 2015, we also obtained the latest ISO 50001:2018 Energy Management System certification in 2019. Guided by the ISO 20400 Sustainable Procurement - Guidance published in 2017, we manage our supply chain and actively integrate sustainability into the procurement process. The adoption of these management systems has enabled us to manage our day-to-day climate-related risks.
Metrics and Targets
Committed to the Science Based Targets Initiative, the Fujifilm Group aims to reduce its CO2 emissions by 50% (compared to FY2019 levels) across the entire product lifecycle by FY2030. Besides, adhering to the RE100 initiative, the Fujifilm Group strives to convert 100% of its purchased electric power to renewable energy, achieving zero CO2 emissions by FY2040.
Keeping up with the SVP2030, FUJIFILM Business Innovation Hong Kong has been adopting and advocating various sustainability initiatives to address environmental issues, such as implementing the daily “earth hour” during lunch break, zoning lighting devices and adopting our self-developed ESG data management tool. In FY2021, we reduced our CO2 emissions by 11.1% annually and reaffirmed our commitment to being a carbon neutral operation by purchasing 636 tonnes of carbon offsets and supporting renewable energy projects in Southeast Asia.