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Materiality (Key Issues) and
Our non-financial goals

SNBL has identified a total of seven materiality issues, three for "solving social issues through business" and four for "strengthening our management base to meet social demands," in order to sustainably increase corporate value. Addressing these materialities will also contribute to the achievement of the SDGs and the realization of a sustainable society.

Solving Social Issues Through Business

1. Support for Drug Discovery and Medical Technology Improvement (Enhancing Access to Pharmaceuticals)

  • Health and Well-being for All
※Diplomate of the America Board of Toxicology
Submateriality KPIs the goal
Creating Time Value in Non-Clinical Trials
  • Reducing Lead Time in Non-Clinical Trials
  • FY 3/2026: In as little as 6 weeks
    Submission of the draft final report
Towards Becoming a Top CRO
Improving scientific capabilities
  • Conferences/Paper presentations
  • Obtaining qualifications
  • FY 3/2029: 40 conference presentations/
    13 papers published
  • FY 3/2029: DABT※ of
    Number of people who obtained the certificate: 10
For Unmet Medical Needs
contribution
  • The number of approvals for nasal drugs utilizing our intranasal drug delivery platform technology
  • FY 3/2031: 2 or More
Support for Bioventures
  • Number of Funds Formed in the Gemseki Business
  • FY 3/2029: 3 Funds

2. Providing a Healthy Life (Well-being Living)

  • Health and Well-being for All
  • Decent work and economic growth
Submateriality KPIs the goal
Achieving Well-Being
  • Employee Satisfaction Survey
  • Employee Engagement Survey
  • Performance Management
  • Performance Management
Enhancing Hospitality Mindset
  • Customer Satisfaction Survey
  • Performance Management

3. Preservation of a Beautiful Global Environment

  • Energy for Everyone, and Cleanly
  • Concrete Measures Against Climate Change
  • Protect the abundance of the ocean
  • Protect the abundance of land
※ SNBL Non-consolidated.
Submateriality KPIs the goal
Achieving Carbon Neutrality
  • Scope1＆2＆3
  • SNBL Carbon Neutrality Index
  • CO2 eco-efficiency
  • Renewable Energy Production Volume
  • Performance Management
  • FY 3/2031: Net Zero※
  • FY 3/2031: 50% Improvement
    (Based on FY2020)
  • FY 3/2029: 30 million kWh
Transition to a Circular Economy
  • Water Eco-Efficiency
  • Water resource reuse rate
  • Performance Management
  • Performance Management
Transition to Nature Positive
  • Fully farmed eel production
  • FY 3/2027: 100,000 Fish Annually

Strengthening Management Foundations to Meet Social Demands

4. Creating an Organization Where Work is Enjoyable

  • Let's Achieve Gender Equality
  • Decent work and economic growth
  • Let's Eliminate Inequality Among People and Nations
※1 Percentage of Employees Reading 7 or More Books Annually
※2 Refer to Our Website ESG Data on Health Management
Submateriality KPIs the goal
Diversity, Equity &
Promoting inclusion
  • Percentage of Women in Management Positions
  • Employee childcare leave utilization rate
  • FY 3/2029: 30% or More
  • FY 3/2029: 100% Continuation
Promoting human capital management
  • Number of training hours per person
  • The spread of Reading Week※1
  • Performance Management
  • Performance Management
Promoting health and productivity management
  • SNBL Health Management Promotion Indicators
    (10 items)
  • FY 3/2027: Achievement of Each Indicator's Target※2
Mutual growth of employees and the company
  • Employee Satisfaction Survey
  • Employee Engagement Survey
  • Performance Management
  • Performance Management

5. Business Evolution Through DX/RPA Promotion

  • Let's Build the Foundation for Industry and Technological Innovation
Submateriality KPIs the goal
Digitization of test data
  • Paper resource reduction
  • FY 3/2024: Reduction of 1.2 Million Sheets
    (Based on FY 3/2022)

6. Improvement of Stakeholder Engagement

  • Peace and justice for all people
  • Let's achieve the goals through partnership
Submateriality KPIs the goal
Maximizing customer benefits
  • Customer Satisfaction Survey
  • Performance Management
Sharing growth with business partners
  • Rated
    Percentage of major suppliers
  • Performance Management
Improving shareholder value
  • Number of investor meetings
  • Performance Management

7. Building governance to realize the corporate philosophy

  • Let's Eliminate Inequality Among People and Nations
  • Peace and justice for all people
Submateriality KPIs the goal
Improving the functioning of the Board of Directors
  • Directors and Auditors
    Board of Directors Meeting Attendance Rate
  • Performance management (maintain over 80%)
Promoting fair business activities
  • Compliance with the Corporate Governance Code
  • Performance management (maintaining 100%)
Compliance
  • Number of compliance behavior guideline training sessions
  • Performance Management

Main Opportunities and Risks for Each Materiality

Materiality Main Opportunities Main risks
Support for the advancement of drug discovery and medical technology
Improving access to pharmaceuticals
  • New Drug Discovery Modalities
    Accelerated development
    Increasing demand for non-clinical trials
  • To CRO of pharmaceutical company
    Acceleration of outsourcing
  • Decline in credibility due to insufficient ability to respond to customer needs
  • Decline in competitiveness due to delays in adapting to next-generation non-clinical testing technologies
Providing a healthy life
A well-being lifestyle
  • Due to the super-aging society
    Extension of healthy life expectancy due to increased social security costs and expansion of pre-symptomatic needs
  • Acquisition of new markets through the utilization of Real World Data (RWD)
  • Mismatch with Consumer Needs in Wellness Programs
  • Failure to capture the market due to delays in the development and maintenance of RWD utilization systems and responses to institutional changes.
Preserving the beautiful global environment
  • Expansion of business opportunities for geothermal power generation (renewable energy) contributing to the realization of carbon neutrality
  • Strengthening business structures that can adapt to abnormal weather conditions
  • Occurrence of business damage due to the intensification of climate disasters
  • Increase in response costs due to strengthening of environmental regulations
Creating an organization where the joy of working can be practiced
  • Opportunities to acquire talented personnel
  • Improvement of employee productivity and motivation through the development of a rewarding workplace environment
  • Increased costs due to intensified competition for talent acquisition
  • The outflow of talented personnel due to inadequate workplace environment maintenance, and the decline in productivity and motivation.
Evolution of Business through DX/RPA Promotion
  • Improvement of business productivity and communication level with customers
  • Improvement of employee motivation freed from simple tasks
  • Decline in competitiveness due to failure or delay in DX response
  • Increase in costs associated with meeting niche needs
Improvement of stakeholder engagement
  • Acquisition of new business opportunities and enhancement of credibility through strengthening relationships with stakeholders.
  • Enhancing resilience during disasters and other emergencies through the establishment of a sustainable procurement system
  • Increase in monitoring costs due to the expansion of business activities and supply chains
  • Business delays and decline in creditworthiness that occur when unable to appropriately respond to changes in the business environment
Realizing our corporate philosophy
Building governance
  • Building a stable business foundation by establishing a strong governance system
  • Improvement of external evaluations centered on ESG
  • Occurrence of business continuity risks and unexpected losses due to vulnerabilities in internal controls
  • Decline in corporate trustworthiness due to compliance violations

Materiality identification process

1. Understanding and consolidating social issues and social demands

Based on various guidelines (SDGs, GRI guidelines, etc.), ESG rating agency indicators, and Japanese government guidelines, identify 'social issues' to be solved through business and 'social demands' for strengthening the management foundation, organize similar items, and consolidate them into 30 items considering their relevance to our company.

2. Identification of important stakeholders

Identify our company's important stakeholders in collaboration with each business division and organize the expectations and demands from stakeholders.

3. Extraction of high-priority issues and demands

Based on our company's desired future state, consider the risks and opportunities for our company regarding the 30 'social issues' and 'social demands', and extract high-priority issues and demands as materiality candidates.

4. Identification of materiality and opportunities, risks, and KPIs

Organize the opportunities, risks, and desired state for the extracted materiality candidates, and identify 7 important items as materiality.