Materiality (Material Issues)

Considering stakeholder interests and social issues, as well as their impact on our business management, Artner has identified eight materiality topics that should be prioritized. Based on our understanding of the importance of the materiality topics we have identified, we are committed to engaging in effective management practices and business activities to resolve these issues.

Identification Process of Materiality

Identify the issues
We analyzed potential materiality topics based on various international standards, ESG-related external evaluations, and requirements from society including stakeholders.Thirty-one topics were identified.
 
Prioritize the issues
The identified issues were assessed by conducting internal and external stakeholder surveys in terms of their expectation and requirement levels for Artner, and then prioritized by two criteria:“importance to stakeholders” and “importance to Artner.”
 
Validate and determine the material issues
Selected and prioritized issues were reviewed in the Sustainability Committee for validation to finalizeArtner’s eight materiality topics.
Identify the issues
We analyzed potential materiality topics based on various international standards, ESG-related external evaluations, and requirements from society including stakeholders.Thirty-one topics were identified.
 
Prioritize the issues
The identified issues were assessed by conducting internal and external stakeholder surveys in terms of their expectation and requirement levels for Artner, and then prioritized by two criteria:“importance to stakeholders” and “importance to Artner.”
 
Validate and determine the material issues
Selected and prioritized issues were reviewed in the Sustainability Committee for validation to finalizeArtner’s eight materiality topics.

Related SDGs, Risks, and Opportunities

Through its business activities, Artner aims to help resolve social problems, thereby contributing to the realization of the UN’s Sustainable Development Goals (SDGs) for the world.
The Member States of the United Nations adopted the Sustainable Development Goals (SDGs) in September 2015. The aim of the SDGs is to achieve 17 goals by 2030 with a view towards ending all forms of poverty, fighting inequalities, and tackling climate change while ensuring that no one is left behind.
Category ID Item Related SDGs Risk Opportunity
Environmental 1 Improve energy efficiency and reduce energy usage
●Declining reputation and technological obsolescence if we are slow to respond

●Increasing risk of extreme weather and natural disasters caused by climate change

●Increasing costs due to stricter environmental regulations, etc.
●Increasing demand for dispatch of related engineers due to a growing need to adapt to a decarbonized and recycling society

●Increasing funding from ESG investors
2 Contribute to carbon neutrality through business activities
Social 3 Resolve social issues by creating jobs
●Increasing competition and costs in the talent acquisition market

●Declining quality of talent and labor productivity

●Declining reputation associated with human rights issues
●More opportunities to acquire excellent talent

●Innovation creation through diversity

●Higher employee motivation

●Contributing to the realization of a sustainable society
4 Respect human rights
5 Promote diversity and inclusion
6 Develop and secure promising talents
Governance 7 Strengthen corporate governance
●Loss of social trust and deterioration of enterprise value due to violation of laws and regulations or corporate behavior that deviates from social norms

●Increasing funding costs
●Establishing a stable business foundation through more transparent decision- making and appropriate responses to changes

●Strengthening relationships with diverse stakeholders

●Increasing funding from ESG investors
8 Promote compliance management
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