Sustainability Management

Sustainability Promotion Structure

Nikon Kohden has established the Sustainability Promotion Committee, composed of the president, operating officers, and general managers, to deliberate and decide the direction of sustainability activities and the Sustainability Promotion Meeting, composed of representatives of 17 divisions, to establish and promote annual plans based on the policies and directions formulated by the Committee. The Company strives to implement sustainability activities in the daily business operations, in close coordination with the Compliance Committee, Quality Control Committee, and Environmental Committee.
Furthermore, we established the Advisory Board consisting of four outside experts to incorporate outside perspectives in July 2021.
In order to raise awareness of the SDGs within the company, we take actions such as educating employees in Japan and overseas through webinars.

Sustainability Promotion Structure

Sustainability Promotion Committee

Sustainability Promotion Meeting Organizational Structure

Sustainability Promotion Meeting Organizational Structure

Material issues and KPIs

In order to review the progress of sustainability activities, Nihon Kohden’s management has set KPIs (Key Performance Indicators) and assigned departments for each materiality. Members of the Sustainability Promotion Meeting, who represent the departments in charge of each materiality, report on the progress of sustainability activities and exchange opinions with other members at regular meetings.
We will disclose the results each year in the Nihon Kohden Report and our website.
* Click the image to enlarge.

KPIs and Targets

Materiality KPI Targets Note
Improve resuscitation rates by expanding access to AEDs Number of AEDs sold in the world  [Target]
Cumulative number of products sold for 3 years worldwide: Over 350k units
Utilization rate of AEDs in Japan and the U.S.  [Actual]
Actual utilization rate of AEDs in Japan and the U.S. for 3 years
(No numerical target (follow-up item))
Utilization rate is the rate of out-of-hospital cardiac arrests responded to by laypersons using AEDs (all AEDs, including our products).
Provide educational opportunities for medical professionals in emerging countries Promote training in epilepsy diagnosis in Indonesia  [Target]
Start operations at four local education centers by the end of FY2023
Number of educational seminars held, hosting countries, participants (including online programs) [Target]
・Cumulative number of hosting countries for 3 years: Over 5 countries (North America, Latin America, Europe, Asia, Middle East)
・Cumulative number of participants for 3 years: Over 100k
Automatic control of medical equipment R&D investment in a robotic anesthesia system  (*) (*)We have not set individual investment target figure for each KPI, but the cumulative three-year investment target for the whole Nihon Kohden Group is expected to be approximately 20 billion yen.
R&D investment in closed loop control of ventilators (*)
Develop and provide sensors which are gentle on the patient R&D investment in new sensors  (*)
Number of products sold that have esCCO*1, synECi18*2, and iNIBP*3 installed  [Target]
Cumulative number of products sales for 3 years worldwide: Over 85k units
Create a peaceful patient environment with advanced alarm technology R&D investment in improved alarm algorithms for patient monitors  (*)
Number of hospitals that utilize Alarm reports*4 for improving workflow in Japan and the U.S. [Target]
Cumulative number of new contract hospitals for 3 years:
・Japan: Over 240 hospitals
・U.S.: Over 25 hospitals
Contribute to care for patients with heart failure, brain disorders and infection R&D investment in early warning scores  (*)
R&D investment in new parameters and algorithms for heart failure care  (*)  —
Improve product utilization rate by remote monitoring Number of MD Linkage*5 sold and number of connected models  [Target]
・Cumulative number of connected models for 3 years worldwide: Over 7 models
・Cumulative number of connected units for 3 years worldwide: Over 5k units
Number of advance notifications before trouble with products occurs  [Actual]
Actual cumulative number of notifications for 3 years
(No numerical target (follow-up item))
Only in Japan
Eliminate health disparities through telemedicine Number of network-oriented products sold like LAVITA*6  [Target]
Cumulative number of contract hospitals for 3 years: Over 600 hospitals
Only in Japan
R&D investment in realization of remote support for ICUs  (*)
Foster a corporate culture of pride in contributing to healthcare Employee satisfaction  [Target]
FY2021: Establish operational policy and start survey (Only in Japan)
FY2022: Publication of survery results and subsequent implementation of ongoing surveys
Develop human resources who can succeed globally  [Target]
Cumulative hours of education for 3 years:Over 45 hours per person
House of education by job level provided by the Phoenix Academy (Human Resources Development Center).This training content will enable new employees and managers to acquire the knowledge and skills required for each level.
Pursue the highest level of quality in the world across the value chain Net Promoter Scores  [Target]
FY2021: Set up a system and start survey 
FY2022: Set targets based on survey results of previous year
Strive to achieve a 1 point improvement every year
Number of recalls [Actual]
Cumulative number of products recalled for 3 years(No numerical target (follow-up item))
We have set and are working on achieving a quality target of "zero recalls for 200 days or more".
Ensure strict compliance and strengthen group governance Establish and strengthen compliance programs of the Group  [Target]
Zero occurrence of serious incidents of non-compliance
Establish and promote Global Business Management Policy in overseas subsidearies  [Actual]
Monitoring implementation of Global Business Management Policy by managers of all overseas subsidiaries over the next 3 years
(No numerical target (follow-up item))
Strengthen internal control over domestic sales   [Actual]
Introduce system controls for pre-order processes and monitor their application(No numerical target (follow-up item))
Realize a carbon-free society CO2 emissions  [Target]
・FY2023: 15.2% reduction compared to FY2020 per unit of sales (ISO 14001 certified sites, Scope 1, 2)
・Collect and disclose CO2 emissions for the whole group by end of FY2023 (Scope1, 2, 3)
Number of models and sales ratio of environment-friendly products [Actual]
Number of models in next 3 years
(No numerical target (follow-up item))
Cumulative sales ratio of products for 3 years worldwide: Over 20%
Amount of waste from disposal of products and parts  [Target]
FY2023: 8% reduction of products and parts retirement compared to FY2020

*1  esCCO (estimated Continuous Cardiac Output): Nihon Kohden’s unique technology which can estimate cardiac output continuously and painlessly based on ECG and pulse waves obtained from pulse oximetry. Previously, cardiac output could not be measured without inserting a catheter into the pulmonary artery. But now, with routinely monitored parameters, non-invasive and continuous estimates can be made without pain or strain on the patient.
*2  Synthesized 18-lead ECG: Synthesized 18-lead ECG uses the 12-lead ECG waveforms to mathematically derive the waveforms of the right chest leads (V3R, V4R, V5R) and back (V7, V8, V9).
    The measurement procedure is the same as the standard 12-lead ECG but more information can be obtained. 18-lead synthesized ECG is expected to be useful in detecting right ventricular infarction and posterior infarction.
*3  iNIBP (non-invasive blood pressure measurement algorithm): Nihon Kohden’s unique non-invasive blood pressure measurement algorithm using a linear inflation technology that completes the measurement while the cuff is inflating. This algorithm was developed with the concept of reducing the burden and stress of patients and medical personnel involved in blood pressure measurement as much as possible. Compared to previous measurement methods, it can measure faster and does not apply more pressure than necessary, reducing the burden and stress on the patient.
*4  Alarm report: This is a report that objectively evaluates the type and frequency of alarms based on alarm information from telemetry systems and central monitors. This report is expected to contribute to improving the medical environment by reducing the occurrence of false alarms.
*5  MD Linkage (Medical device remote monitoring system): This is a network system that automatically sends error messages and self-test information generated by medical devices to our server via a remote terminal. By automatically detecting equipment abnormalities and failures and notifying us, we can respond quickly and contribute to reducing product downtime.
*6  LAVITA (Medical and nursing care network system): This is a network system that can easily collect patient vital data, automatically send it to a cloud server, and share information in real time with various people such as medical workers and soclial workers. By collaborating with various medical institutions through LAVITA, it is possible to provide the support needed for comprehensive community care.

Engagement with Stakeholders

Nihon Kohden’s planning and implementation of sustainability initiatives are predicated on harmony achieved with all of its stakeholders. Nihon Kohden is committed to establishing trust with its stakeholders and achieving growth accepted by its stakeholders in all aspects of its business, from product development, production and sales to after-sales services, the Company’s financial standing, and human resource development efforts. In addition to its citizenship activities and information disclosure through its business activities, Nihon Kohden also leverages the opinions and requests of stakeholders in its future business activities as part of its efforts to be a trusted member of society.
Stakeholder Main Communication Method Main Responsibility and Issues
Customers Daily sales activities
Call center
Customer satisfaction survey
Academic seminars
ME (medical electronics) workshops
Offer of products and services with safety and security
Enhancement of customer satisfaction
Response to customer complaints
Disclosure and offer of adequate information of products and services
Business Partners Daily procurement activities
Questionnaire of sustainable procurement
Open and fair trade
Promotion of sustainable procurement
Shareholders and Investors General shareholders meetings
Earnings presentations
Company briefings
Events for individual investors
Website for investors
Enhancement of corporate value
Appropriate shareholder returns
Timely and appropriate disclosure
Response to Social Responsible Investment 
Employees Self-enumeration system
Level-specific training sessions
Labor-management council meetings
Consultation counter
Company newsletters and intranet
Respect for human rights and promotion of proper labor practices
Development and utilization of human resources
Securement of occupational health and safety
Respect for diversity of human resources and work style
Local Communities Volunteer activities in local communities
Participation in local events
Participation and contribution to local communities