Relationship with the Global Environment

Basic Stance on the Environment and Management System

Core Environmental Philosophy

Based on the concept of "Manufacturing is possible only when the global environment is preserved," we formulated the "Core Environmental Philosophy" in 1997. The "Company Environmental Policy" reflects this core philosophy, and the "Environmental Action Guideline" defines the actions that all employees are required to take in their business activities. We conduct all business activities based on this philosophy and policy.

Core Environmental Philosophy

Recognizing global environmental protection as a critical issue shared by the entire human race, Tokyo Seimitsu makes environmental protection an integral element of all the areas of product development, design, manufacturing, and service activities.

Company Environmental Policy

In all business activities, from manufacturing of semiconductor manufacturing equipment and precision measuring instruments to the provision of services, all employees of Tokyo Seimitsu must work in an environmentally responsible manner to minimize our environmental impact.

Environmental Action Guideline

  1. We will resolutely conduct environmental protection activities based on a company-wide environmental management system that is overseen by the Environmental Management Committee.
  2. We will prevent pollution and protect the environment by complying with environmental laws, regulations, agreements, and the Tokyo Seimitsu environmental policy, as well as by establishing voluntary goals.
  3. We will develop and improve environmentally responsible products(reductions in energy and resource consumption and non-use of harmful substances).
  4. We will establish environmental objectives and targets for the following measures concerning the environmental impact of our business activities, make improvements continuously to achieve greater environmental performance, and perform internal audits and take other measures to make necessary changes.
    1) Effective use of natural resources by lowering energy and resource consumption, reducing waste materials, and increasing recycling
    2) Proper management of harmful substances, reduction in their use, and adoption of alternative substances
    3) Prevention of global warming through greenhouse gas emissions control
  5. We will conduct training programs for all employees to raise awareness of environmental protection. We will also ask for the understanding and cooperation of suppliers in the execution of environmental protection activities.
  6. We will promote the environmental protection activities, such as use of sustainable resources, climate change measures, and biodiversity conservation, through each business operation to realize a better global environment and contribute to social development.
  7. The environmental management system is applicable to the activities of the Semiconductor Company and Metrology Company, as well as to the environmental protection activities of the plants related to products, services, and business activities.
  8. We will disclose this environmental policy to the public and make all employees aware of this policy.

Environmental Management System

The Tokyo Seimitsu Group has established the internal
"Environmental Management Committee" to promote
environmental protection activities continuously based on the
"Tokyo Seimitsu Environmental Philosophy." The activities are conducted in accordance with the ISO 14001 management system.
In response to the enforcement of the "Act on the Rational Use of Energy" in April 2009, we have appointed an energy manager.

Organizational Chart of Environmental Management System

*1[Environmental Management Committee]
This organization discusses and promotes environmental management activities. It is comprised of the Environmental Management Committee chairperson, vice-chairperson, environmental management secretaries (one secretary per site), and several representatives from the implementing organizations.

*2[Standardization Committee]
This organization prepares and administers the necessary standards and criteria for environmental and quality management.

*3[Quality System Team]
This organization: 1. Operates the environmental management system; 2.Prepares drafts of environmental guidelines and environmental management manuals; 3. Prepares materials for the Environmental Management Committee; and 4. Prepares and processes proposed measures for issues related to both sites.

*4[Environmental Working Group]
This organization is set up at each site and promotes specific efforts to achieve the sites' environmental goals.

Internal Environmental Audits

We conduct a regular internal environmental audit twice a year to check the implementation of the actions prescribed in the environmental management manual. Audits are conducted by a team consisting of 2 to 3 members led by a chief auditor based on the checklist prepared by the secretariat.

Internal Environmental Audit at an Operation Site

Environmental Targets and Overview of Environmental Impact

Environmental Targets and Actual Results

Since fiscal 2010, we have been working under a 5-year plan to achieve the set environmental targets. We created the second 5-year plan in fiscal 2015, with the goal of reducing the use of electricity, paper, and water and CO2 emissions by 1% annually in basic production units from the levels of the final year of the first 5-year plan and achieving a recycling rate of 95% or more, and have been doing environmental activities. Since a new large plant will be completed on the Hachioji Plant premises and put into operation in April 2016, we will manage this plant individually in fiscal 2016. We are planning to set the target values of the 5-year plan again in fiscal 2017. In fiscal 2015, we achieved the targets of electricity, paper, and recycling rate, while the consumption of water and CO2 emissions of Tsuchiura Plant failed to meet the targets.
Despite various reduction measures, the consumption of water remained almost flat because the ratio of products requiring purified water for production and operation to the production volume increased 40% from fiscal 2014. We will review the basic unit criteria in fiscal 2016 and set the targets again for the period from 2017 to 2019, the final year of the second 5-year plan.
We failed to reduce the CO2 emissions of Tsuchiura Plant by the planned amount within the fiscal year because the work of replacing the existing air-conditioning system with an energysaving one was delayed. However, this will not affect the 5-year plan since we will make up for the delay in the work early in fiscal 2016.

Environmental Targets and Actual Results

Overview of Environmental Impact

We conduct life cycle assessment (LCA) in order to reduce the environmental impact not only from our business activities in the plants and elsewhere but also from the use of our products by customers.
Looking at things from the perspective of a product life cycle from material procurement to production, use, and disposal, we have realized that the environmental impact arising from the use of products by customers accounts for a large portion of the total environmental impact generated over the entire life cycle.
Therefore, in addition to efforts for the plants (eco-factories) to reduce environmental impact from business activities, we are making efforts to develop environmentally friendly products (eco-products) that save energy and resources in order to reduce environmental impact generated by customers.

Overview of Environmental Impact

Eco-factory

Efforts to Prevent Global Warming

Tokyo Seimitsu has plants in Hachioji and Tsuchiura as domestic production bases and, according to the Energy Saving Act, the company is designated as a specified business operator that uses more energy than the specified level. Also, Hachioji Plant is designated as a business operator subject to the Environmental Preservation Ordinance of the Tokyo Metropolitan Government.
As an enterprise that uses an amount of energy exceeding the specified level in business activities, we see global warming prevention as an important issue that corporations need to address and are committed to promoting energy conservation and use of renewable energy.

Promotion of Energy Conservation

Electricity accounts for a considerable part of the energy consumed. We have sought to reduce the consumption of electricity by 1% in basic production units from the fiscal 2014 level. In fiscal 2015, electricity consumption increased by about 290,000 kWh from fiscal 2014. However, by installing photovoltaic facilities, replacing existing lamps with LED lamps, and upgrading existing air-conditioners, compressors, and other equipment with energy-saving types, we have been able to cut electricity consumption by more than 1% in basic production units. We intend to continue our energy conservation efforts to reduce electricity consumption in the next fiscal year and beyond.

Major Electricity Consumption Reduction Measures
Hachioji Plant ・Installation of photovoltaic facilities
・Replacement of existing lamps with LED lamps
・Upgrading of existing air-conditioners, compressors, and other equipment with energy-saving types
Tsuchiura Plant ・Intermittent operation of water purification equipment
・Replacement of existing lamps with LED lamps
・Upgrading of existing air-conditioners with energy-saving types

Actual Electricity Use

Promotion of the Use of Renewable Energy

We promote the use of renewable energy to reduce CO2 emissions resulting from the use of electricity. In June 2015, we introduced photovoltaic facilities to Hachioji No. 5 Plant. These facilities can generate electricity of more than 210,000 kWh a year. In the one-year period after the installation of the facilities, CO2 emissions dropped by 122 t-CO2, compared to when electricity is purchased from an electric utility. The electricity generated by these facilities accounts for 1.5% of the total power consumption at the Hachioji site. This can also reduce electricity consumption during the daytime when power demand is generally high.
As a result of taking various energy conservation measures in addition to the installation of photovoltaic facilities, the CO2 emissions of Hachioji Plant in fiscal 2015 were 7,861 t-CO2, 16.2% lower than the standard emission level of 9,383 t-CO2, achieving the required reduction rate of 15%.
With photovoltaic facilities planned to be installed in the No. 6 Plant completed in May 2016, we intend to curb the use of electricity further in the Hachioji site.

Reduction in Water Consumption

In fiscal 2015, we consumed 117,100 m3 of water, an increase of 7,440 m3 from fiscal 2014. Since the ratio of products that use water has increased by 40% from fiscal 2014, the consumption of water has remained flat compared to the target in basic production units, offsetting the effects of the measures taken to reduce water consumption.
In fiscal 2016, we will review the current situation of water consumption and take appropriate reduction measures, such as setting reasonable basic unit criteria, while at the same time establishing adequate evaluation standards, in order to meet the fiscal 2019 target of achieving a 5% reduction from the fiscal 2014 level.

Actual Water Consumption

Waste Management and Recycling Rate Increase

In addition to the implementation of internal measures, we also request cooperation from external parties to reduce waste and increase the recycling rate.
In fiscal 2015, we achieved the recycling rate of 98.1% by recycling polluted sludge among other measures.

1. Metal Scraps

  • Sale of iron, aluminum, and stainless steel scraps as salable materials
  • Revisions to technical drawings to minimize cutting stock
  • Shift to cast metal and lost wax

2. Waste Plastic

  • Request for cooperation from suppliers in using less packaging and returnable containers
  • Melting down materials for recycling*1 (Semiconductor Company)
  • Thermal recycling*2 → Substitute for fossil fuels (Metrology Company)

3. Polluted Sludge

  • Changes in waste water treatment facilities and systems
  • Disposal through landfill → Reuse of backfill materials

4. Paper and Lumber

  • Using both sides of paper for internal documents
  • Request for suppliers' cooperation in using less packaging and returnable containers
  • Sale of old paper and cardboard materials as salable materials
  • Reuse of lumber (excluding plywood) as chips
  • Reduction in paper use by using CD-ROMs for manuals

5. Discarded Electrical Materials

  • Sale of electrical wire scraps, substrate scraps, and old office equipment as salable materials

6. Unsorted Noncombustible Waste

  • Salvaging of recycled products by thoroughly sorting waste when collected
  • Improvements to waste collection boxes and collection methods

7. Waste Oil and Liquid

  • Recycling as recovered heavy oil or auxiliary fuel by oil/water separation
  • Recovery and recycling of valuable resources

*1Material recycling:
Reuse of waste plastic and other waste materials as raw materials for products

*2Thermal recycling:
Use of heat generated when waste is burned as energy

Chemical Substances Management

We strive to minimize the adverse effects of the chemical substances we use on the environment and people by complying with laws and regulations as well as managing these substances based on our voluntary standards.

Chemical Substances Management Based on Voluntary Standards

The Tokyo Seimitsu Group applies internal company regulations which specify substances with the potential to pollute the environment. When these substances are used, the environmental management secretary must be notified. The amount of each substance used, the storage location, and the maximum storage amount are identified. SDS* and emergency tools are made available and regular contingency drills are conducted.

* SDS stands for Safety Data Sheet. Information on the name of the chemical substance, the manufacturer, handling methods, the nature of the hazard and type of toxicity, physical properties, impact on the environment, safety measures, emergency measures, and actions in the event of an emergency are recorded on this sheet for each chemical substance. The PRTR Law requires that manufacturers and other companies compile data on the amount of chemical substances discharged and the amount of waste materials transferred, which must be reported to the national government via local governments. The SDS must also be attached to this report.

Specified Chemical Substances Management

Among the chemical substances we handle, the PRTR specified chemicals include the following two. The report has been submitted for those that exceed the reference amount. Hachioji Plant also handles five substances designated as requiring special management in the Nature Protection Ordinance of the Tokyo Metropolitan Government. The report has been submitted on these substances.

Eco-products

Efforts for Environmentally Friendly Products

We are committed to efforts to reduce the environmental impact of our products and contribute to the development of a sustainable society by developing environmentally friendly products in compliance with the Tokyo Seimitsu Engineering Standard*1 (TES*2). In developing products, we give top priority to high precision and high quality. Our measures to curb environmental impact include reduction in the environmental impact resulting from the use of products (energy conservation and reduction in water consumption), measures for chemical substances contained in products, and reduction in the amount of materials used. To realize environmentally friendly products, not only direct departments, such as development, design, purchasing, production, manufacturing, and shipping, but also indirect departments, such as planning, sales, administration, and services, work together. Collaboration with suppliers and other external partners is also vital.
We continue to raise the awareness of the environment by providing internal environmental training and other education programs and bolster the collaboration with external partners.

*1Tokyo Seimitsu Engineering Standard (TES): A set of basic rules that apply to development, design, manufacturing, production management, quality control, services, and environmental management pertaining to production activities. It refers to binding and mandatory rules, standards, criteria, and guidelines.

*2TES configuration: 1. General Standards, 2. Product Standards, 3. Management Standards, 4. Design Standards, 5. Equipment Standards, 6. Work Standards

Environmentally Friendly Products

Control of Chemical Substances Contained in Products

In recent years, requirements for chemical substances management have been becoming stricter, particularly in Europe, calling for compliance with the RoHS Directive and the REACH Regulation among other things. Although semiconductor manufacturing equipment in the category of LSSIT (Large-Scale Stationary Industrial Tools) is currently exempt from the RoHS Directive, we have decided to make all such equipment compliant with the Directive. The Environmental Green Initiative Department was established under the direct control of the president in early fiscal 2013 to initiate a companywide activity to keep track of the chemical substances contained in our products.
The implementation of such control requires cooperation of our suppliers. We worked to develop a system to manage chemical substances contained in products and linked the existing design/development system and the ordering system. Thus, we have achieved a new comprehensive chemical substances management system.
This system will begin operation in fiscal 2016 so that we will be able to fully comply with the regulation when it becomes effective in 2017. Along with such environmentally sound manufacturing, we are also committed to increasing the reliability and safety of our products.

Management Database System Configuration

History of Environmental Protection Activities