Strengthening non-financial capital for further value creation

Non-financial capital such as human resources who are the source of value creation and technological capabilities that have been refined over the 100 years since our founding are important management resources that support the sustainable growth of the Group.
We are working to strengthen non-financial capital in order to further evolve value creation.

manufacturing capital

Concept of capital

Domestic and overseas production bases and highly efficient production equipment and lines

The Group has established production bases widely in Japan and overseas, and manufactures products in optimal locations according to product characteristics and customer needs. We promote material supply and cross-sourcing between each base, division of roles in development and manufacturing, etc., and build a global and efficient production system. Also, we support the integrated production system from materials to finished products and the resource-recycling business model that characterize the group.
In addition, we are promoting the introduction of high-efficiency manufacturing equipment and construction of manufacturing lines at each site to create products that are competitive in terms of both cost and environment.

Strengths and current status of capital

  • Optimal global production system (domestic + 18 production bases in 7 countries overseas)
  • eco-friendly high-efficiency electric furnace "ECOARC™"
  • Crude steel production capacity Approx. 1 million tons/year
  • Advanced metal sorting equipment at the Akemi Recycling Center
  • Manufacturing equipment and lines based on original technology
  • Capital investment amount: 8.9 billion yen (FY2022)

Related materiality

  • Promotion of green innovation
  • Contribution to building a recycling-oriented society
  • Contribute to society through business

Initiatives to strengthen capital

intellectual capital

Concept of capital

Proprietary technology/know-how and research and development for next growth

Throughout our history of more than 100 years, our group has always taken on new challenges while repeating our originality and ingenuity as a pioneer, creating diverse and creative technologies. In recent years, customer demands have been wide-ranging, including weight reduction, shape and size, and environmental friendliness, but our strength is an ability to respond to customer needs, backed by the proprietary technologies and know-how that we have cultivated over the years. 
Furthermore, by applying these technologies and know-how, we create new technologies and expand our business.

Strengths and current status of capital

  • electric furnace steelmaking technologies
  • technologies for rolling deformed section steel
  • metal processing technologies
  • heat treatment technologies
  • coating technology
  • Business Development Strategy Center
  • Research and development expenses 1 billion yen (FY2022)

Related materiality

  • Promotion of green innovation

human capital

Concept of capital

Diverse Human Resources Supporting Sustainable Growth

The Group believes that human resources are its greatest assets, and that enhancing their capabilities is the source of value creation. In order to respond to rapidly changing society and technology and open up the future, human resources who always think and act (think and act) on their own are required. In addition, we believe that having diverse human resources recognize each other's differences in values, enhance organizational strength, and take on the challenge of achieving big goals will be the power to create new value.
The Group is working to strengthen human capital by developing human resources and creating a work environment where diverse human resources can play an active role.

Strengths and current status of capital

* “Health Management®” is a registered trademark of Nonprofit Organaization Kenkokeiei.

Related materiality

  • Respect for human rights
  • Support for diverse human resources

social capital

Concept of capital

Trust from stakeholders such as customers, business partners, and local communities

The Group has earned the trust of customers by providing products and services that meet their needs. In addition, by building strong relationships of trust and cooperation with many business partners and alliance partners, we are able to stably provide products and services around the world.
Furthermore, coexistence with the local communities where our business sites are located is essential for the business activities of our group, and we are working on activities that contribute to the local communities at each site.

Strengths and current status of capital

  • High market share based on customer trust

・Steel wheels for passenger cars: Domestic 55%

・Steel wheels for commercial vehicles: 93% domestic

・ ultra-large wheels for mining equipment: Global 90%

・Hydraulic excavator track shoe: Domestic 71%

*All figures are sales share results for automobile manufacturers and construction machinery manufacturers in 2022 (according to our research)

Related materiality

  • Respect for human rights
  • Contribute to society through business

natural capital

Concept of capital

Efficient use of various resources

Our group's business activities are closely related to natural capital, such as the use of water resources and the use of mineral resources as raw materials for products and fuel for power generation.
The Group contributes to the realization of a sustainable recycling-based society by making effective use of limited resources through recycling through a resource-recycling business model. In addition, with "promotion of green innovation" as our materiality, we will promote the efficient use of natural capital and the reduction of environmental impact through the development and sophistication of environmental technology, and work to conserve the global environment and biodiversity and create economic value.

Strengths and current status of capital

  • CO2排出量(連結・国内 2022年度)
    Scope1:233千t-CO_{2}
    Scope2:332千t-CO_{2}
    Scope3:1,334千t-CO_{2}
  • Environmental management system ISO14001 acquisition rate (consolidated/production bases)
    75% (FY2022)
  • Akemi Recycle Center processing capacity
    About 4,000 tons per month

Related materiality

  • Promotion of green innovation
  • Contribution to building a recycling-oriented society