10.01.2015 Views

Download full text in PDF format. - Mazda

Download full text in PDF format. - Mazda

Download full text in PDF format. - Mazda

SHOW MORE
SHOW LESS

Create successful ePaper yourself

Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.

Note from the Editors<br />

From this year, the <strong>Mazda</strong> Motor Corporation annual Environmental Report not only<br />

summarizes our activities <strong>in</strong> environmental protection, but also <strong>in</strong>cludes a variety of<br />

social <strong>in</strong><strong>format</strong>ion.<br />

With the enhancement of our <strong>in</strong>ternal approach to this report, <strong>in</strong>clud<strong>in</strong>g the creation of<br />

the CSR Committee, this edition <strong>in</strong>troduces the <strong>Mazda</strong> approach to environmental<br />

protection, workplace safety, and our responses to the plant fire that occurred <strong>in</strong><br />

December 2004. We have also expanded the amount of material cover<strong>in</strong>g the people so<br />

important <strong>in</strong> advanc<strong>in</strong>g our corporate improvement efforts, <strong>in</strong> particular our personnel<br />

development system and programs to ensure that the skills of master technicians and<br />

other experts are success<strong>full</strong>y passed on to others.<br />

We hope that this document will help you better understand <strong>Mazda</strong>'s corporate<br />

activityies, and our objective of work<strong>in</strong>g together with society for susta<strong>in</strong>able<br />

development.<br />

Scope of this Social & Environmental Report<br />

[Organizations covered]<br />

<strong>Mazda</strong> Motor Corporation, its domestic (Japan) Group companies, and selected overseas Group companies.<br />

[Period covered]<br />

In pr<strong>in</strong>ciple, the fiscal year from April 2004 to March 2005, but also <strong>in</strong>clud<strong>in</strong>g selected<br />

activities from fiscal 2005.<br />

[Website]<br />

A variety of <strong>in</strong><strong>format</strong>ion is available for view<strong>in</strong>g or download on our website, <strong>in</strong>clud<strong>in</strong>g<br />

f<strong>in</strong>ancial <strong>in</strong><strong>format</strong>ion and annual reports.<br />

http://www.mazda.com/<br />

[Referenced guidel<strong>in</strong>es]<br />

This report was made with reference to the follow<strong>in</strong>g guidel<strong>in</strong>es.<br />

GRI Susta<strong>in</strong>ability Report<strong>in</strong>g Guidel<strong>in</strong>es 2002<br />

M<strong>in</strong>istry of the Environment Guidel<strong>in</strong>es for Environmental Report<strong>in</strong>g 2003<br />

[For additional <strong>in</strong><strong>format</strong>ion]<br />

Global Communications Plann<strong>in</strong>g Department, <strong>Mazda</strong> Motor Corporation<br />

Tel: +81 (82) 287-4676 Fax: +81 (82) 287-5225<br />

[Major public <strong>in</strong><strong>format</strong>ion releases]<br />

Environmental report<br />

Environmental data for each model<br />

<strong>Mazda</strong> <strong>in</strong> Brief<br />

Press releases<br />

Annual<br />

Website<br />

Annual<br />

As required<br />

The next Environmental Report is scheduled to be released <strong>in</strong> summer 2006.


Message from the President<br />

CSR Efforts by the <strong>Mazda</strong> Group<br />

The History and Spirit of <strong>Mazda</strong><br />

Corporate Vision and CSR Activities<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

Crisis Management<br />

Report on the Pa<strong>in</strong>t Shop Fire at the Uj<strong>in</strong>a No. 1 Plant<br />

<br />

Social & Environmental Report <br />

2005<br />

The Challenges Fac<strong>in</strong>g Automobile Manufacturers<br />

Meet<strong>in</strong>g our Responsibilities, while Creat<strong>in</strong>g Cars People Want to Drive<br />

Ensur<strong>in</strong>g that <strong>Mazda</strong>'s Image, and our Vehicles, are Highly Valued Throughout the World <br />

Develop<strong>in</strong>g Cars with a View to our Future Responsibilities <br />

Respond<strong>in</strong>g to the Diversity of our Customers <br />

Towards a Safer Automotive Society <br />

Develop<strong>in</strong>g and Populariz<strong>in</strong>g Vehicles that Contribute to Cleaner Air and the Prevention of Global Warm<strong>in</strong>g<br />

Creat<strong>in</strong>g Easy to Recycle Cars <br />

Reduction <strong>in</strong> Environmental Substances of Concern <br />

Noise Reduction<br />

Rais<strong>in</strong>g Levels of Customer Satisfaction and Quality <br />

Help<strong>in</strong>g Customers to Use their Cars for Longer, and with more Peace of M<strong>in</strong>d<br />

Recycl<strong>in</strong>g End-of-Life Vehicles <br />

<br />

Activities as an Automobile Manufacturer<br />

Environmental Management/Environmental Profection Activites<br />

Build<strong>in</strong>g a Groupwide Management Stance for a New Environmental Policy <br />

Environmental Education and Communication <br />

Environmental Activities Promotion Plans and Results of Activities dur<strong>in</strong>g Fiscal 2004 <br />

Lower Environmental Impact <strong>in</strong> Every Phase of Company Operations <br />

LCA Implementation <br />

Environmental Account<strong>in</strong>g <br />

A State-of-the-Art Clean Factory, through our Unique Technology and Knowledge <br />

Efforts to Help Prevent Global Warm<strong>in</strong>g <br />

Reduc<strong>in</strong>g Waste <br />

Reduc<strong>in</strong>g Chemical Substance Emissions and Clean Production Activities <br />

Green Purchas<strong>in</strong>g<br />

<br />

Cooperation with Suppliers <br />

The "Green" Office <br />

<br />

<br />

Activities as a Corporate Citizen<br />

Respect<strong>in</strong>g and Energiz<strong>in</strong>g People<br />

Our Vision for People<br />

Respect for Human Rights<br />

Specific Policies for Human Resources Tra<strong>in</strong><strong>in</strong>g<br />

Build<strong>in</strong>g Creative People<br />

Promot<strong>in</strong>g a Work-Life Balance<br />

Safety and Health for Workers<br />

Excellence <strong>in</strong> Staff Relations<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

Activities as a Corporate Citizen<br />

Partner<strong>in</strong>g with Society, Contribut<strong>in</strong>g to Society<br />

<strong>Mazda</strong>'s Role as a Corporate Citizen<br />

The <strong>Mazda</strong> Foundation and its Activities<br />

Communicat<strong>in</strong>g with Society<br />

Management Systems that Ensure Trustworthy Corporate Governance<br />

Corporate Governance<br />

Corporate Ethics and Compliance<br />

Risk Management<br />

Economic Susta<strong>in</strong>ability Report<br />

Company Outl<strong>in</strong>e<br />

Environmental Data<br />

Third-Party Op<strong>in</strong>ions<br />

Topics References <strong>in</strong> GRI Guidel<strong>in</strong>es


Social & Environmental Report 2005


Message from the president<br />

<strong>Mazda</strong> developed its Millennium Plan to achieve "Product-Driven Growth," and the success of new-generation<br />

products start<strong>in</strong>g with the <strong>Mazda</strong>6(Atenza) has fueled our growth <strong>in</strong> the global marketplace. In November 2004<br />

we announced the outl<strong>in</strong>e of our long-term corporate vision for the com<strong>in</strong>g decade, along with the "<strong>Mazda</strong><br />

Momentum" mid-term management plan designed to lay the foundation for <strong>full</strong>-scale growth <strong>in</strong> the future. We<br />

have taken a large step toward the realization of our goals.<br />

The outl<strong>in</strong>e of the long-term vision clearly positions corporate social responsibility (CSR) as a key foundation of<br />

the company. <strong>Mazda</strong> has always worked toward a susta<strong>in</strong>able society, tak<strong>in</strong>g a lead<strong>in</strong>g and strategic role <strong>in</strong><br />

resolv<strong>in</strong>g a host of related issues as an automobile manufacturer, especially <strong>in</strong> environmental protection.<br />

In December 2004 we established the CSR Committee at <strong>Mazda</strong> to better direct our efforts. The immediate<br />

tasks are to ensure a deeper, groupwide understand<strong>in</strong>g of what CSR means to <strong>Mazda</strong>.<br />

We believe that CSR demands a deep understand<strong>in</strong>g of the demands of society and the current situation, and<br />

work<strong>in</strong>g to f<strong>in</strong>d solutions through <strong>in</strong>novation <strong>in</strong> technology and organization. We strive first to understand<br />

precisely what our stakeholders need, and then to expla<strong>in</strong> ourselves completely and factually from that<br />

understand<strong>in</strong>g. This report provides as much <strong>in</strong><strong>format</strong>ion as possible, <strong>in</strong> a readily understandable <strong>format</strong>, to our<br />

customers, the local community, employees, shareholders and other stakeholders.<br />

One important part of this corporate activity is the revision of the <strong>Mazda</strong> Global Environmental Charter spell<strong>in</strong>g<br />

out our environmental policy, <strong>in</strong> April 2005. The Charter now specifies that the entire Group will cooperate <strong>in</strong><br />

achiev<strong>in</strong>g these goals. The older <strong>Mazda</strong> Global Environmental Conference was replaced <strong>in</strong> July 2005 by the<br />

<strong>Mazda</strong> Environment Committee to promote these activities while <strong>in</strong>corporat<strong>in</strong>g a global perspective.<br />

We are committed to the "One <strong>Mazda</strong>" stance, with all employees <strong>in</strong> Japan and around the world work<strong>in</strong>g toward<br />

a common goal. We are advanc<strong>in</strong>g the <strong>Mazda</strong> Bus<strong>in</strong>ess Leader Development(MBLD) program <strong>in</strong> human<br />

development, help<strong>in</strong>g all employees share a common understand<strong>in</strong>g of company goals and work toward those<br />

goals <strong>in</strong> their jobs. As we enter our second period of corporate growth we are revolutioniz<strong>in</strong>g ourselves with a<br />

new sense of unity.<br />

This report provides as much <strong>in</strong><strong>format</strong>ion as possible, <strong>in</strong> a readily understandable <strong>format</strong>, to our customers,<br />

local community, employees, shareholders and other stakeholders. In spite of report<strong>in</strong>g our fourth consecutive<br />

quarter of <strong>in</strong>creased revenues and profits, we also experienced the Uj<strong>in</strong>a No. 1 Plant fire, and the occurrence of<br />

and responses to that fire are also covered. We wish once aga<strong>in</strong> to express our s<strong>in</strong>cere apologies to all those<br />

affected by the fire, and hope that through this report you will better understand our efforts <strong>in</strong> health and safety,<br />

the environment, products, service, contribution to society, compliance and other CSR-related issues.<br />

<strong>Mazda</strong> Motor is determ<strong>in</strong>ed to cont<strong>in</strong>ue its commitment to these issues as a foundation for the future.<br />

President and CEO<br />

Hisakazu Imaki<br />

Social & Environmental Report 2005


Dialogue : CSR efforts by the <strong>Mazda</strong> Group<br />

S<strong>in</strong>cerity and the Concept of "One <strong>Mazda</strong>"<br />

as Guides for <strong>Mazda</strong> CSR Activities<br />

Senior Researcher Eiichiro Adachi of The Japan Research Institute, Limited. and Senior Manag<strong>in</strong>g<br />

Exective Officer <strong>in</strong> charge of CSR, Ryoichi Hasegawa, discussed what activities the <strong>Mazda</strong> Group<br />

is engaged <strong>in</strong> to fulfill its corporate responsibility, and exactly what the company's CSR is.<br />

Senior Manag<strong>in</strong>g Executive<br />

Officer <strong>in</strong> charge of CSR<br />

Ryoichi Hasegawa<br />

The Japan Research Institute, Limited.<br />

Senior Researcher<br />

Eiichiro Adachi<br />

Help<strong>in</strong>g stakeholders see<br />

<strong>Mazda</strong> as it really is<br />

Adachi: the Social & Environmental Report for FY 2003 <strong>in</strong>cluded a thirdparty<br />

op<strong>in</strong>ion from the viewpo<strong>in</strong>t of a firm provid<strong>in</strong>g corporate <strong>in</strong><strong>format</strong>ion<br />

on CSR for <strong>in</strong>vestment by f<strong>in</strong>ancial <strong>in</strong>stitutions. The author praised the<br />

report for break<strong>in</strong>g new ground <strong>in</strong> report<strong>in</strong>g on the company's relations<br />

with customers, dealers and employees. A special issue of Newsweek<br />

magaz<strong>in</strong>e n CSR earlier this year placed <strong>Mazda</strong> as the company with the<br />

4th-highest improvement <strong>in</strong> CSR rat<strong>in</strong>g. I feel that the <strong>Mazda</strong> approach to<br />

corporate responsibility is gradually solidify<strong>in</strong>g and CSR activities are<br />

beg<strong>in</strong>n<strong>in</strong>g to grow.<br />

Hasegawa: <strong>Mazda</strong> has been <strong>in</strong>volved <strong>in</strong> efforts called CSR for some time,<br />

but we didn't always publicize our activities sufficiently. From 2004, the<br />

Environmental Report was issued as the Social & Environmental Report,<br />

<strong>in</strong>clud<strong>in</strong>g social issues, and we cont<strong>in</strong>ue to do our best to show <strong>Mazda</strong> as<br />

it really is.<br />

Adachi: The term CSR has had two major <strong>in</strong>terpretations. The first is to<br />

show what the corporation has accomplished, releas<strong>in</strong>g more <strong>in</strong><strong>format</strong>ion<br />

to the public. The second is to <strong>in</strong>crease awareness of what social issues<br />

affect<strong>in</strong>g the <strong>in</strong>dustry rema<strong>in</strong> to be resolved. <strong>Mazda</strong> has begun by<br />

<strong>in</strong>tensify<strong>in</strong>g the <strong>in</strong><strong>format</strong>ion campaign.<br />

Hasegawa: I th<strong>in</strong>k both are important, but we believe that keep<strong>in</strong>g all our<br />

stakeholders well <strong>in</strong>formed on what we are and what we are do<strong>in</strong>g is the<br />

first step. We th<strong>in</strong>k that by start<strong>in</strong>g with that, and then advanc<strong>in</strong>g<br />

corporate activity to address emerg<strong>in</strong>g needs and wants will heighten<br />

corporate value. At the same time, we established the CSR Committee last<br />

December to def<strong>in</strong>e clearly what <strong>Mazda</strong>'s CSR is, and to guide cont<strong>in</strong>u<strong>in</strong>g<br />

CSR activity. We have def<strong>in</strong>ed six key criteria to evaluate and guide CSR<br />

activity, namely compliance, environmental protection, customer<br />

<strong>in</strong>teraction, human development and support, contribution to society, and<br />

<strong>in</strong><strong>format</strong>ion disclosure.<br />

Strengthen<strong>in</strong>g activities as "One <strong>Mazda</strong>"<br />

Adachi: What about the other po<strong>in</strong>t: social issues related to automobile<br />

manufactur<strong>in</strong>g, <strong>Mazda</strong>'s major l<strong>in</strong>e of bus<strong>in</strong>ess<br />

Hasegawa: With our CSR activity, along with <strong>in</strong><strong>format</strong>ion disclosure,<br />

another crucially important project is environmental protection. First, the<br />

<strong>Mazda</strong> Global Environmental Charter (page 34), which def<strong>in</strong>es the basic<br />

concepts of our environmental policy, was revised <strong>in</strong> April 2005. Second,<br />

the older <strong>Mazda</strong> Global Environmental Conference was replaced <strong>in</strong> July<br />

2005 by the <strong>Mazda</strong> Environment Committee (page 35) to promote these<br />

activities. The Environment Committee has five sub-committees handl<strong>in</strong>g<br />

key issues <strong>in</strong>clud<strong>in</strong>g suppliers and dealers, and is designed to promote<br />

Groupwide environmental protection activity.<br />

Adachi: You are strengthen<strong>in</strong>g efforts along the entire supply cha<strong>in</strong>,<br />

<strong>in</strong>corporat<strong>in</strong>g the entire Group.<br />

Social & Environmental Report 2005<br />

Senior Manag<strong>in</strong>g Executive<br />

Officer <strong>in</strong> charge of CSR<br />

Ryoichi Hasegawa<br />

Hasegawa: That's right. We are stress<strong>in</strong>g the "One <strong>Mazda</strong>" concept now,<br />

elim<strong>in</strong>at<strong>in</strong>g barriers between departments and work<strong>in</strong>g as one to achieve<br />

our goals. This applies to <strong>Mazda</strong> worldwide, not just <strong>in</strong> Japan.


CSR efforts<br />

Dialogue<br />

by the <strong>Mazda</strong> Group<br />

The appo<strong>in</strong>tment of Executive Vice President John Parker from Ford was<br />

done to ensure that <strong>Mazda</strong> approached the global environmental protection<br />

<strong>in</strong> a unified manner.<br />

Adachi: Of the <strong>in</strong>dividual environmental technologies, the progress made <strong>in</strong><br />

hydrogen rotary eng<strong>in</strong>es is especially noteworthy. It was featured <strong>in</strong> last<br />

year's report, too.<br />

When do you expect to release it<br />

Hasegawa: We hope to beg<strong>in</strong> leas<strong>in</strong>g <strong>in</strong> 2006. We are not only <strong>in</strong>terested <strong>in</strong><br />

it as a clean energy vehicle with m<strong>in</strong>imal environmental impact, but also as<br />

an important step <strong>in</strong> fulfill<strong>in</strong>g our "Zoom-Zoom" concept for fun driv<strong>in</strong>g<br />

(page 14). I tried it out myself, and it feels every bit as good as a gasol<strong>in</strong>e<br />

design. Compared to fuel cell vehicles us<strong>in</strong>g hydrogen, it will be a lot<br />

easier to drop prices, and I really can't wait to start sell<strong>in</strong>g it.<br />

And as employees rise to the challenge of corporate improvement, I th<strong>in</strong>k<br />

that <strong>in</strong>novation will blossom.<br />

Adachi: Cont<strong>in</strong>ually <strong>in</strong>novat<strong>in</strong>g your bus<strong>in</strong>ess process <strong>in</strong> accordance with<br />

expectations, while disclos<strong>in</strong>g <strong>in</strong><strong>format</strong>ion to stakeholders and<br />

ma<strong>in</strong>ta<strong>in</strong><strong>in</strong>g a balance between expectations of your company. To meet<br />

the challenge of issues such as environmental protection through<br />

<strong>in</strong>novation. And to <strong>in</strong>novate the organization and develop personnel <strong>in</strong> the<br />

pursuit of an established objective. When I hear these approaches, it<br />

seems clear that <strong>Mazda</strong> has def<strong>in</strong>ed a clear direction for CSR activity. I<br />

look forward to see<strong>in</strong>g the results!<br />

Fulfill<strong>in</strong>g social responsibility:<br />

an opportunity for <strong>in</strong>ternal <strong>in</strong>novation<br />

Adachi: In March I was <strong>in</strong>vited to the 10th anniversary symposium of CSR<br />

Europe. One of the presentations was named "The European CSR<br />

Roadmap for Corporations," and I was impressed that companies<br />

<strong>in</strong>terpreted the ultimate significance of their CSR efforts as <strong>in</strong>novation, the<br />

entrepreneurial spirit, and personnel development. Europe has been<br />

work<strong>in</strong>g to def<strong>in</strong>e the term CSR for a decade now, and has apparently<br />

reached the conclusion that it is more than just an obligatory activity, but<br />

rather demands an aggressive, strategic stance to take advantage of the<br />

opportunity provided for corporate evolution <strong>in</strong> social issues. The<br />

development of a hydrogen rotary eng<strong>in</strong>e vehicle is one example of <strong>Mazda</strong><br />

<strong>in</strong>novation. Our surveys <strong>in</strong>dicate that <strong>Mazda</strong> has a number of superior<br />

characteristics when it comes <strong>in</strong> personnel development and support.<br />

Hasegawa: Thank you. We have always believed that our people are<br />

important, and taken action to back it up. The <strong>Mazda</strong> Momentum mid-term<br />

management plan (page 77) has positioned personnel development as a<br />

key component. The company is based on its people. One of our unique<br />

educational programs is the MBLD (page 56), which was <strong>in</strong>itiated by<br />

President Fields five years ago. MBLD is designed to ensure that each and<br />

every employee understands the position of <strong>Mazda</strong>, and exercises<br />

leadership as needed. S<strong>in</strong>ce the program was <strong>in</strong>stituted for all employees,<br />

almost all of our people correctly understand the company situation, and<br />

are work<strong>in</strong>g together to achieve key goals.<br />

The Japan Research Institute, Limited.<br />

Senior Researcher<br />

Eiichiro Adachi<br />

Social & Environmental Report 2005


HISTORY & SPIRIT OF MAZDA<br />

The History and Spirit of <strong>Mazda</strong><br />

Ever s<strong>in</strong>ce our foundation, we have carried forward our ideals: a zeal for technology and vehicles, as evidenced by<br />

our development of the rotary eng<strong>in</strong>e, and our determ<strong>in</strong>ation to contribute locally as a good corporate citizen. Here<br />

are a few illustrations from our history that will help del<strong>in</strong>eate the essence of <strong>Mazda</strong>.<br />

A Love of Technology from Our Early Days<br />

<strong>Mazda</strong> Brand Symbol (established June 1997)<br />

Symboliz<strong>in</strong>g the determ<strong>in</strong>ation of <strong>Mazda</strong> and the <strong>Mazda</strong> Group to<br />

cont<strong>in</strong>ue revolutioniz<strong>in</strong>g itself to develop and grow, it is a stylized capital<br />

"M" for <strong>Mazda</strong>.<br />

<strong>Mazda</strong> Corporate Mark (established 1975)<br />

Def<strong>in</strong>ed as the logo as part of the overall Corporate Identity established <strong>in</strong><br />

1975. It was positioned as the <strong>Mazda</strong> corporate mark when the brand symbol<br />

was established <strong>in</strong> 1997, represent<strong>in</strong>g susta<strong>in</strong>ability.<br />

The orig<strong>in</strong> and mean<strong>in</strong>g of "<strong>Mazda</strong>"<br />

The company's name,"<strong>Mazda</strong>," derives from Ahura <strong>Mazda</strong>, a god of the<br />

earliest civilizations of West Asia. We have <strong>in</strong>terpreted Ahura <strong>Mazda</strong>, the god<br />

of wisdom, <strong>in</strong>telligence and harmony, as the symbol of the orig<strong>in</strong>s of both<br />

Eastern and Western civilization, and also the primitive symbol of the<br />

automobile culture. It <strong>in</strong>corporates a desire to achieve world peace and the<br />

development of the automobile manufactur<strong>in</strong>g <strong>in</strong>dustry. It also derives from<br />

the name of our founder, Jujiro Matsuda.<br />

<strong>Mazda</strong> was established <strong>in</strong> 1920 as Toyo Cork Kogyo, Ltd. We<br />

leveraged the mechanical technology of those early years to change<br />

our name to Toyo Kogyo, and <strong>in</strong> March 1931 we manufactured our<br />

first three-wheel truck, lay<strong>in</strong>g the foundation for future growth to<br />

evalve <strong>in</strong>to an automobile manufacturer.<br />

In the three-wheel truck field, where almost all eng<strong>in</strong>es were imported<br />

at that time, we emphasized R&D with the goal of achiev<strong>in</strong>g a totally<br />

Japan-built product. Our recognition that technical capability was the<br />

driv<strong>in</strong>g force beh<strong>in</strong>d corporate growth cont<strong>in</strong>ued after World War II,<br />

and R&D cont<strong>in</strong>ued <strong>in</strong>to basic technologies, especially materials. At<br />

the same time we <strong>in</strong>troduced a range of new <strong>in</strong>dustrial technologies<br />

<strong>in</strong>clud<strong>in</strong>g shell cast<strong>in</strong>g, hailed as a revolution <strong>in</strong> cast<strong>in</strong>g, cont<strong>in</strong>uous<br />

gas immersion technology, Alf<strong>in</strong>g technology and ductile cast<strong>in</strong>g<br />

manufactur<strong>in</strong>g technology. The technological expertise and experience<br />

we ga<strong>in</strong>ed laid the groundwork for the future development of the<br />

rotary eng<strong>in</strong>e.<br />

The Region and <strong>Mazda</strong> – And August 6, 1945<br />

<strong>Mazda</strong> enjoyed a wide range of benefits thanks to the geographical<br />

circumstances of Hiroshima. For example, the region already had<br />

considerable technical experience <strong>in</strong> steel product fabrication and<br />

shipbuild<strong>in</strong>g, to name two, and as a result had an extensive number of<br />

highly-tra<strong>in</strong>ed people with crucial knowledge and skills. <strong>Mazda</strong> also<br />

made good use of Hiroshima's excellent transportation network and<br />

its position on Japan’s Inland Sea, becom<strong>in</strong>g the first firm <strong>in</strong> the<br />

<strong>in</strong>dustry to utilize maritime transport for domestic shipments, such as<br />

to Hokkaido. Contribution to the local community where we work has<br />

always been a core part of <strong>Mazda</strong>, ever s<strong>in</strong>ce our birth.<br />

On August 6, 1945, the atomic bomb was dropped on Hiroshima, and<br />

Toyo Kogyo ceased all production activities. While damage to<br />

company facilities was m<strong>in</strong>imal, because of our location 5.3 km from<br />

the center, employee morale was devastated. The company<br />

immediately opened all facilities and its stock of medical supplies to<br />

the public, and devoted all of its efforts to rescue activities. The<br />

follow<strong>in</strong>g day, on the morn<strong>in</strong>g of August 7, we opened emergency<br />

contact centers <strong>in</strong> four locations throughout the city, work<strong>in</strong>g to<br />

facilitate communication between employees and their families, and<br />

provide assistance.<br />

For about a year from August 20, 1945, we provided portions of our<br />

corporate facilities to the Hiroshima Prefectural government, the local<br />

court and NHK Hiroshima Broadcast<strong>in</strong>g. For this unfortunate period,<br />

<strong>Mazda</strong> was the center of government <strong>in</strong> Hiroshima.<br />

Glossary 1<br />

Shell mold<strong>in</strong>g<br />

This method of fabrication allows cast<strong>in</strong>g with greater strength and<br />

better dimension precision than standard cast<strong>in</strong>g, and is suited to<br />

mak<strong>in</strong>g small and th<strong>in</strong> products. The name “shell” mold<strong>in</strong>g comes<br />

from the fact that the molds used are quite th<strong>in</strong> and shell-like <strong>in</strong><br />

appearance.<br />

Social & Environmental Report 2005<br />

Glossary 2<br />

Cont<strong>in</strong>uous gas carburiz<strong>in</strong>g technology<br />

Carburiz<strong>in</strong>g is a type of surface treatment, consist<strong>in</strong>g of<br />

quench<strong>in</strong>g and temper<strong>in</strong>g, used to enhance the wear<br />

resistance of surface layers after highly workable lowcarbon<br />

steel is fabricated.<br />

Glossary 3<br />

Alf<strong>in</strong>g technology<br />

A general-purpose copy lathe developed by ALFING<br />

Kessler Masch<strong>in</strong>enfabrik GmbH of Germany. It is capable<br />

of preserv<strong>in</strong>g circularity while cutt<strong>in</strong>g a stepped shaft I.D.


The Orig<strong>in</strong> of the Zoom-Zoom Spirit:<br />

The Challenge of the Rotary Eng<strong>in</strong>e<br />

The cont<strong>in</strong>uously-rotat<strong>in</strong>g <strong>in</strong>ternal combustion eng<strong>in</strong>e <strong>in</strong>vented by<br />

Felix Wankel of Germany <strong>in</strong> 1919 was the first rotary eng<strong>in</strong>e.<br />

Compared to standard reciprocat<strong>in</strong>g eng<strong>in</strong>es it rotated smoothly, and<br />

the extremely simple structure mean a very low parts count. These<br />

features, along with very low noise and vibration, drew considerable<br />

attention years later, and over 100 firms around the world expressed<br />

<strong>in</strong>terest <strong>in</strong> access<strong>in</strong>g the technology even as development proceeded<br />

toward a practical implementation. <strong>Mazda</strong> was also extremely<br />

<strong>in</strong>terested <strong>in</strong> develop<strong>in</strong>g this new type of eng<strong>in</strong>e, recogniz<strong>in</strong>g <strong>in</strong> it a<br />

possible solution to the needs of the emerg<strong>in</strong>g motorized society.<br />

In 1961 we entered <strong>in</strong>to negotiations with NSU and Wankel GmbH,<br />

concern<strong>in</strong>g rotary eng<strong>in</strong>e technology. <strong>Mazda</strong> cleared a host of<br />

technical obstacles, and <strong>in</strong> May 1967 f<strong>in</strong>ally released the Cosmo<br />

Sports, mount<strong>in</strong>g the world's first 2-rotor rotary eng<strong>in</strong>e. This created<br />

the solid base beh<strong>in</strong>d <strong>Mazda</strong>'s technology, which has earned its<br />

reputation across the globe, and was also the start<strong>in</strong>g po<strong>in</strong>t of the<br />

"Zoom-Zoom" spirit represent<strong>in</strong>g our love for mach<strong>in</strong>ery and vehicles.<br />

From Post-War Recovery to the Present<br />

On a local radio program broadcast on January 4, 1953, Chairman<br />

Koichi Tanaka of Sanyo Mokuzai Bofu K.K. (now Xyence Corp.)<br />

commented "The War ended seven years ago, and there is still no<br />

place for the people assemble. It's a bit sad. I'd really like some sort<br />

of public auditorium." Tsuneji Matsuda, then president of <strong>Mazda</strong>,<br />

responded by approach<strong>in</strong>g eight key f<strong>in</strong>ancial leaders <strong>in</strong> the region<br />

together with President Tanaka to raise funds. The ten firms<br />

contributed about 350 million yen, and with the cooperation of local<br />

<strong>in</strong>dustry the Hiroshima Public Auditorium (now the International<br />

Conference Center Hiroshima) was completed with<strong>in</strong> the Peace<br />

Memorial Park <strong>in</strong> February 1955. The ten firms went on to create the<br />

Futaba Association, which led efforts to improve the city<br />

<strong>in</strong>frastructure, such as through the donation of the Hiroshima<br />

Prefectural Government offices (1956), the Hiroshima Municipal<br />

Baseball Stadium (1957) and the Hiroshima Bus Center (1957), as<br />

well as the Hiroshima Prefecture Gymnasium and Hiroshima Bus<br />

Center. Their selfless spirit cont<strong>in</strong>ues to impact social contribution<br />

today, while <strong>Mazda</strong> itself provides f<strong>in</strong>ancial support for local<br />

professional sports teams such as the Hiroshima Carp (baseball) and<br />

References:<br />

"Corporate History of Toyo Kogyo: The First 50 years" (1972),<br />

"A Company that Helped Keep Hiroshima Vital" (2004, Hiroshima City Plaza for Town Development through Citizen Exchange)<br />

Three-wheel truck production starts.<br />

<strong>Mazda</strong>'s first vehicle was the three-wheel "<strong>Mazda</strong>-go" truck. 66<br />

units were manufactured the first year.<br />

<strong>Mazda</strong> R360 Coupe <strong>in</strong>troduced.<br />

This lightweight 4-seater has a 356-cc air-cooled 2-cyl<strong>in</strong>der<br />

OHV (16 H.P.) eng<strong>in</strong>e. Its thorough weight-reduction design<br />

gave it a mileage of 32 km/liter.<br />

<strong>Mazda</strong> Cosmo Sports, world’s first rotary eng<strong>in</strong>e vehicle, <strong>in</strong>troduced.<br />

The Cosmo Sports, a 2-seater, mounted a newly-developed 491 cc x 2,<br />

rotary eng<strong>in</strong>e(110 H.P.) . It delivered a top speed of 185 km/h and a 0-<br />

400 meter acceleration of 16.3 seconds.<br />

<strong>Mazda</strong> Savanna RX-7 <strong>in</strong>troduced.<br />

Developed under the basic theme of "pursu<strong>in</strong>g the sheer joy of<br />

driv<strong>in</strong>g," the 12A-type rotary eng<strong>in</strong>e (130 H.P.) was mounted<br />

front-mid, deliver<strong>in</strong>g superb handl<strong>in</strong>g and stability.<br />

<strong>Mazda</strong> Familia w<strong>in</strong>s<br />

"Japanese Car for the Year."<br />

Eunos Roadster (<strong>Mazda</strong> MX-5) released.<br />

Marketed to provide drivers with the thrill of driv<strong>in</strong>g as a lightweight<br />

sports car carry<strong>in</strong>g on a proud tradition, the Roadster became extremely<br />

popular <strong>in</strong> North America before it was released <strong>in</strong> Japan, and went on to<br />

become a best-sell<strong>in</strong>g product.<br />

<strong>Mazda</strong> RX-8 4-door,<br />

4-seater sports car released.<br />

<strong>Mazda</strong> RX-8 w<strong>in</strong>s RJC 2004<br />

Car of the Year. (Japan)<br />

<strong>Mazda</strong>6/Atenza w<strong>in</strong>s<br />

Car of the Year for 2004 <strong>in</strong> Ch<strong>in</strong>a.<br />

<strong>Mazda</strong>'s mid-size Atenza sedan won the "2004 Ch<strong>in</strong>ese Car<br />

of the Year" awarded by Motor Trend Ch<strong>in</strong>a magaz<strong>in</strong>e.<br />

Glossary 4<br />

Ductile cast iron<br />

By mak<strong>in</strong>g the crystals <strong>in</strong> cast iron spherical, it is possible to<br />

<strong>in</strong>crease the strength and elongation of the material. Formal name<br />

is, this is called nodular graphite cast iron.<br />

Glossary:5<br />

Felix Wankel<br />

This <strong>in</strong>ventor researched the rotary eng<strong>in</strong>e, wonder<strong>in</strong>g if it could be<br />

possible to make a completely-rotational eng<strong>in</strong>e, <strong>in</strong>stead of a<br />

reciprocat<strong>in</strong>g one. His dream was f<strong>in</strong>ally realized <strong>in</strong> 1959 with German<br />

motorcycle manufacturer NSU (later merged with Audi).<br />

Social & Environmental Report 2005


Corporate Vision and CSR Activities<br />

In accordance with its "corporate vision" (corporate objectives),<br />

<strong>Mazda</strong> is constantly revolutioniz<strong>in</strong>g itself, work<strong>in</strong>g to create new value for its customers.<br />

Corporate Vision<br />

<strong>Mazda</strong> has developed its exist<strong>in</strong>g management philosophy <strong>in</strong>to a newly-formulated<br />

corporate vision. Consist<strong>in</strong>g of the three key elements of Vision (corporate goals),<br />

Mission (corporate role and responsibility) and Value (the value created by <strong>Mazda</strong>), our<br />

corporate vision def<strong>in</strong>es the objectives of the company and its employees, their roles<br />

and responsibilities, and what sense of values guides us as we strive to achieve our<br />

tasks.<br />

Corporate Visionestabrished 1999<br />

Corporate objectives<br />

To create new value, excite and delight our customers<br />

through the best automotive products and services.<br />

Roles and responsibilities<br />

With passion, pride and speed, we actively<br />

communicate with our customers to deliver <strong>in</strong>sightful<br />

automotive products and services that exceed their<br />

expectations.<br />

The values <strong>Mazda</strong> seeks to produce<br />

We value <strong>in</strong>tegrity, customer focus, creativity, and efficient<br />

and nimble action, and respect highly motivated people<br />

and team spirit. We positively support environmental<br />

matters, safety and society. Guided by these values, we<br />

provide superior rewards to all people associated with<br />

<strong>Mazda</strong>.<br />

Glossary 1<br />

CSR<br />

An abbreviation for Corporate Social Responsibility.<br />

Social & Environmental Report 2005


What "social responsibility" means to <strong>Mazda</strong><br />

At <strong>Mazda</strong>, fulfill<strong>in</strong>g our social responsibility means rema<strong>in</strong><strong>in</strong>g a corporation that is beneficial to society, by tak<strong>in</strong>g care with quality, safety<br />

and the environment, and deliver<strong>in</strong>g unique products and services to keep our customers satisfied.<br />

This is why we are mak<strong>in</strong>g every effort to achieve and ma<strong>in</strong>ta<strong>in</strong> sound and transparent management, expand our corporate governance<br />

program, promote improved risk management, and ensure compliance with <strong>in</strong>dustry ethics and applicable laws and regulations. At the<br />

same time, we are work<strong>in</strong>g to ensure that corporate activity takes the needs and wants of all our stakeholders – shareholders, customers,<br />

<strong>in</strong>vestors, employees, the local community and government agencies – <strong>in</strong>to account.<br />

Through these activities we will further <strong>in</strong>crease the value of the corporation to society, and grow together with it <strong>in</strong> a susta<strong>in</strong>able manner.<br />

CSR Committee<br />

CSR Committee<br />

<strong>Mazda</strong> departments<br />

Chair: President<br />

Vice Chair: Senior Manag<strong>in</strong>g Executive<br />

Officer <strong>in</strong> charge of CSR<br />

Members: Members of the Executive Committee<br />

Secretariat<br />

Group companies<br />

In December 2004 the president created the CSR Committee to serve as a<br />

review board for Corporate and Social Responsibility (CSR) activities.<br />

Senior Manag<strong>in</strong>g Executive Officer <strong>in</strong> charge of CSR Ryoichi Hasegawa<br />

serves as vice-chair, and the membership consists of the company’s<br />

Executive Committee members. This Committee approves and promotes<br />

CSR activities for all Group companies. To provide a firm foundation for the<br />

Committee and ensure that future activities are effective, the CSR<br />

Promotion Project was launched <strong>in</strong> July 2007, mak<strong>in</strong>g a complete review of<br />

Groupwide CSR activities and evaluat<strong>in</strong>g them as the work<strong>in</strong>g arm of the<br />

Interaction with stakeholders<br />

Appropriate return on <strong>in</strong>vestment<br />

Corporate governance<br />

Shareholders and <strong>in</strong>vestors<br />

Timely disclosure<br />

Customers<br />

Customer satisfaction<br />

Safe<br />

trustworthy products<br />

Appropriate provision of <strong>in</strong><strong>format</strong>ion<br />

Strong partnerships<br />

Cooperation <strong>in</strong> environmental issues<br />

Procurement & suppliers<br />

<strong>Mazda</strong><br />

Group<br />

Tax payments, compliance with laws<br />

Government and adm<strong>in</strong>istration and regulations,<br />

cooperation with government policy<br />

Consideration for the environment<br />

Contribution to society<br />

Local society<br />

NGO & NPO<br />

Cooperative activity<br />

Employees<br />

Reward<strong>in</strong>g work<br />

Comfortable workplaces<br />

Social & Environmental Report 2005


Report on the Pa<strong>in</strong>t Shop Fire at the Uj<strong>in</strong>a No. 1 Plant<br />

Details of the fire that occurred at the <strong>Mazda</strong> Uj<strong>in</strong>a No. 1 Plant <strong>in</strong> December 2004 are given below.<br />

The pa<strong>in</strong>t shop fire at the Uj<strong>in</strong>a No. 1 Plant<br />

Response follow<strong>in</strong>g fire<br />

At about 22:45 on Wednesday, December 15, 2004, a fire occurred on<br />

the pa<strong>in</strong>t shop at the <strong>Mazda</strong> head office Uj<strong>in</strong>a No. 1 Plant (M<strong>in</strong>ami-ku,<br />

Hiroshima). The <strong>Mazda</strong> plant fire brigade responded immediately,<br />

followed shortly by the local fire department, and the fire was<br />

completely ext<strong>in</strong>guished at 6:05 on Thursday, December 16.<br />

<strong>Mazda</strong> expresses its most s<strong>in</strong>cere apologies to the residents <strong>in</strong> the<br />

area of the fire, our customers and all other parties affected by this<br />

event. At the same time, we wish to express our gratitude for the<br />

words of encouragement and support we received <strong>in</strong> the days.<br />

Uj<strong>in</strong>a Plant layout and fire location<br />

Uj<strong>in</strong>a Area<br />

Report and apology<br />

Employees visited residences <strong>in</strong> the local area to report on the accident<br />

and apologize for the difficulties it caused.<br />

The "Safety first" policy<br />

<strong>Mazda</strong> has always taken safety seriously, and has always worked to<br />

ma<strong>in</strong>ta<strong>in</strong> an accident-free record, such as through plant <strong>in</strong>spections<br />

performed jo<strong>in</strong>tly by management and labor. Employees are tra<strong>in</strong>ed <strong>in</strong><br />

fire prevention, evacuation, and response procedures through tra<strong>in</strong><strong>in</strong>g<br />

sessions, safety meet<strong>in</strong>gs and preparation of formal procedural<br />

manuals.<br />

The follow<strong>in</strong>g measures were implemented after the fire to further<br />

improve our safety performance.<br />

On the day follow<strong>in</strong>g the fire, all employees of all plants were<br />

given a repeat course <strong>in</strong> safety education, and all plant locations<br />

were <strong>in</strong>spected. It was verified that all employees knew and<br />

followed safety rules.<br />

Uj<strong>in</strong>a park<strong>in</strong>g lot<br />

Uj<strong>in</strong>a No. 1 Plant F<strong>in</strong>al assembly l<strong>in</strong>e<br />

Uj<strong>in</strong>a No. 2 Plant F<strong>in</strong>al assembly l<strong>in</strong>e<br />

Uj<strong>in</strong>a No. 1 Plant pa<strong>in</strong>t<strong>in</strong>g l<strong>in</strong>e<br />

Uj<strong>in</strong>a No. 2 Plant pa<strong>in</strong>t<strong>in</strong>g l<strong>in</strong>e<br />

Body<br />

Body<br />

Stamp<strong>in</strong>g<br />

The most of the pa<strong>in</strong>t<strong>in</strong>g build<strong>in</strong>g was closed to provide safety<br />

dur<strong>in</strong>g the <strong>in</strong>vestigation of damage caused by the fire, and<br />

placed off-limits to all but authorized personnel. In addition to<br />

these and other safety rules, every effort was made to prevent a<br />

second fire from occurr<strong>in</strong>g.<br />

All employees, not only plant personnel, were <strong>in</strong>formed of the<br />

details of the accident, stress<strong>in</strong>g the importance of prevent<strong>in</strong>g<br />

accidents before they occur, and received safety tra<strong>in</strong><strong>in</strong>g. Based<br />

on thorough accident prevention education and a position<br />

plac<strong>in</strong>g priority on assurance of safety and quality, efforts were<br />

begun to restore the facility to <strong>full</strong> production as soon as<br />

possible.<br />

Scope of fire on the Uj<strong>in</strong>a No. 1 Plant pa<strong>in</strong>t<strong>in</strong>g l<strong>in</strong>e<br />

Dry<strong>in</strong>g process Primer coat process<br />

Dry<strong>in</strong>g process Scope of fire<br />

Top coat process<br />

Stock space<br />

Models produced at the Uj<strong>in</strong>a No. 1 Plant (as of December 2004)<br />

RX-8RoadsterDemioVerisaMPV<br />

Bongo FriendlyBongo VanBongo Brawny Van<br />

Dry<strong>in</strong>g process<br />

E-coat process<br />

Production recovery<br />

The Uj<strong>in</strong>a No. 2 Plant pa<strong>in</strong>t l<strong>in</strong>e was utilized for the pa<strong>in</strong>t<strong>in</strong>g process, and<br />

recovery production after that po<strong>in</strong>t was implemented through a bypass<br />

approach start<strong>in</strong>g with the Demio on January 6, 2005, immediately after<br />

w<strong>in</strong>ter vacation.<br />

Ineegrated production will be gradually expanded to cover all models until<br />

the Uj<strong>in</strong>a No. 1 Plant is restored to normal operation. The Uj<strong>in</strong>a No. 2 Plant<br />

and facilities of other firms will handle about 34,000 vehicles, while an<br />

additional 6,000 vehicles will be handled by the Hofu Plant and other<br />

facilities.<br />

Of the approximately 70,000 vehicles affected by the fire <strong>in</strong> fiscal 2004,<br />

Social & Environmental Report 2005


Cause of the fire and prevention measures<br />

Restoration of plant facilities<br />

Under a policy of "safety first," a heavy-duty crane was transported onto<br />

the site on December 25, 2004 to beg<strong>in</strong> the l<strong>in</strong>e repair process. Measures<br />

were taken to m<strong>in</strong>imize noise and other effects on nearby residents, and<br />

the cooperation of <strong>in</strong>volved parties was actively sought and ga<strong>in</strong>ed. The<br />

follow<strong>in</strong>g equipment and methods were used to achieve <strong>full</strong> restoration<br />

of plant operation as soon as possible.<br />

Three Layer Wet Pa<strong>in</strong>t System<br />

Because no equipment is required for the color base application process,<br />

process time is shortened and the process is considerably more<br />

environmentally friendly. This technology was developed by <strong>Mazda</strong>, and was<br />

awarded the Prize for Promot<strong>in</strong>g Mach<strong>in</strong>e Industry/M<strong>in</strong>istry of Trade,<br />

Economy and Industry Award. See page 43 for more <strong>in</strong><strong>format</strong>ion.<br />

Cause of the fire<br />

Experiments to determ<strong>in</strong>e the cause of the fire, performed by <strong>Mazda</strong> <strong>in</strong><br />

cooperation with <strong>in</strong>volved agencies, <strong>in</strong>dicated that the probable cause<br />

was an electrostatic discharge generated <strong>in</strong> a small-capacity pa<strong>in</strong>t<br />

mixer.<br />

Prevention of a recurrence<br />

Based on the results of the tests performed by <strong>Mazda</strong> and <strong>in</strong>volved<br />

agencies, it is believed that the cause of the fire was an electrostatic<br />

discharge generated <strong>in</strong> the return pipe of the small-capacity pa<strong>in</strong>t<br />

mixer. Based on guidance from the authorities, the follow<strong>in</strong>g<br />

measures were taken to assure safety and prevent a recurrence.<br />

Modular construction<br />

Build<strong>in</strong>gs are often made us<strong>in</strong>g modular construction, where<br />

prefabricated steel-beam structures are assembled <strong>in</strong> a planned<br />

sequence to make the build<strong>in</strong>g.<br />

Our production facilities also used this approach, such as assembl<strong>in</strong>g<br />

the stands for pa<strong>in</strong>t<strong>in</strong>g robots before transport<strong>in</strong>g them <strong>in</strong>to the plant.<br />

The result was a much shorter construction period.<br />

Leverag<strong>in</strong>g MDI<br />

We utilize <strong>Mazda</strong> Digital Innovation (MDI) technology to share digital<br />

data between all processes, from car concept design to detail design,<br />

test<strong>in</strong>g and production ramp-up. Pa<strong>in</strong>t<strong>in</strong>g robots were taught offl<strong>in</strong>e and<br />

pa<strong>in</strong>t coat thickness simulations run to m<strong>in</strong>imize the time needed for<br />

trial production runs when restor<strong>in</strong>g the pa<strong>in</strong>t l<strong>in</strong>e to normal operation.<br />

As a result of these measures we were able to significantly reduce the<br />

amount of time needed for restoration. Instead of the usual six months,<br />

production was started aga<strong>in</strong> only about four months later, on April 27,<br />

2005.<br />

The pa<strong>in</strong>t pipe used by the feed pump for the small-capacity pa<strong>in</strong>t mixer<br />

will be cleaned <strong>in</strong>side a provided area equipped with ventilation and<br />

automatic fire ext<strong>in</strong>guish<strong>in</strong>g systems.<br />

All advance <strong>in</strong>spections of ground<strong>in</strong>g, electrostatic discharge<br />

prevention measures and ventilation equipment will be<br />

performed <strong>in</strong> duplicate.<br />

All employees will be retra<strong>in</strong>ed <strong>in</strong> handl<strong>in</strong>g dangerous materials.<br />

As a result of these measures we were able to significantly reduce the amount of<br />

time needed for restoration. Instead of the usual six months, production was<br />

started aga<strong>in</strong> only about four months later, on April 27, 2005.<br />

Compla<strong>in</strong>ts received dur<strong>in</strong>g restoration<br />

We notified approximetely 2,500 local residents that construction would<br />

be start<strong>in</strong>g shortly and established a dedicated hotl<strong>in</strong>e to provide them<br />

with immediate access. Our efforts to work closely with the local<br />

community resulted <strong>in</strong> zero compla<strong>in</strong>ts received dur<strong>in</strong>g the period,<br />

although a number of requests for <strong>in</strong><strong>format</strong>ion were received via the<br />

Social & Environmental Report 2005


Report on the Pa<strong>in</strong>t Shop Fire at the<br />

Uj<strong>in</strong>a No. 1 Plant<br />

Environmental report for the pa<strong>in</strong>t shop fire at the Uj<strong>in</strong>a No. 1 Plant<br />

W ater, atmosphere and soil<br />

To m<strong>in</strong>imize the environmental effects of the fire on water quality,<br />

an oil fence was set up on the dra<strong>in</strong>age gutter as soon as possible,<br />

along with other measures.<br />

Water used to ext<strong>in</strong>guish the fire was recovered, tested for water<br />

quality, and confirmed as be<strong>in</strong>g safe before be<strong>in</strong>g processed.<br />

Ra<strong>in</strong>fall dur<strong>in</strong>g the restoration construction process was<br />

recovered and stored until the completion of the precipitation<br />

process<strong>in</strong>g facility for the pa<strong>in</strong>t shop, on March 13, 2005.<br />

None of the pa<strong>in</strong>ts or other materials used <strong>in</strong> the pa<strong>in</strong>t<strong>in</strong>g l<strong>in</strong>e<br />

conta<strong>in</strong>s heavy metals or other hazardous substances, so there<br />

was no danger of atmospheric pollution by chemical substances<br />

due to the fire.<br />

No chemical agents were used <strong>in</strong> firefight<strong>in</strong>g activities, so there<br />

was no danger of soil pollution.<br />

Wastes generated by clean-up operations<br />

Construction lumber<br />

130.8<br />

Waste materials 2<br />

PS sheet<br />

Concrete, etc.<br />

1,721.1<br />

Waste materials 1<br />

ALC sheet<br />

2,196.3<br />

8,838.2<br />

tons<br />

Wastes generated by new construction<br />

Recyclable materials<br />

Steel structural members<br />

Metal scrap<br />

4,694.0<br />

Waste plastic<br />

Unit: Tons<br />

Asphalt waterproof<strong>in</strong>g<br />

Insulation<br />

66.0<br />

Waste coat<strong>in</strong>gs<br />

30.0<br />

Unit: Tons<br />

Process<strong>in</strong>g of waste materials<br />

A total of 8838.2 tons of structural waste was generated by the<br />

fire, such as ALC sheet. The restoration project itself generated<br />

another 126.9 tons. These wastes were appropriately processed<br />

under guidance from Hiroshima City. Every effort was made to<br />

keep the amount of waste generated to the m<strong>in</strong>imum, and some<br />

58% was recycled.<br />

Mixed construction waste<br />

10.4<br />

Waste plastic<br />

19.8<br />

126.9<br />

tons<br />

Scrap wood and paper<br />

40.6<br />

Glass<br />

Ceramic waste<br />

55.5<br />

Waste alkali<br />

0.6<br />

Effect on corporate performance<br />

Direct losses of about 2.7 billion yen were absorbed for damage to<br />

structures, equipment and semi-f<strong>in</strong>ished products, but this total<br />

does not <strong>in</strong>cludes costs <strong>in</strong>curred <strong>in</strong> clean-up or restoration<br />

operations. The recovery production efforts described on page 10<br />

helped m<strong>in</strong>imize the effects on the performance for the FY 2004.<br />

The fire had no effect on production of the new <strong>Mazda</strong>5<br />

Premacy.<br />

Breakdown of processed waste<br />

Processed<br />

2,790.6<br />

31.2<br />

8,965.1<br />

tons<br />

Unit: Tons<br />

Recycle<br />

6,174.5<br />

68.8<br />

Sales activities<br />

The fire occurr<strong>in</strong>g at the end of 2004 affectd deliveries of about<br />

1,500 cars to customers <strong>in</strong> Japan, and about half of these<br />

customers either settled for an <strong>in</strong>-stock model or selected a<br />

different model or color. The management of <strong>Mazda</strong> wishes to<br />

thank all its customers and sales people for their understand<strong>in</strong>g<br />

and cooperation.<br />

<br />

Social & Environmental Report 2005


The fire at the Uj<strong>in</strong>a No. 1 Plant and follow<strong>in</strong>g events<br />

2004<br />

Wednesday, Dec. 15<br />

22:45<br />

Fire breaks out <strong>in</strong> the passageway between the top coat pa<strong>in</strong>t<strong>in</strong>g booths on the Uj<strong>in</strong>a No. 1 Plant pa<strong>in</strong>t<strong>in</strong>g l<strong>in</strong>e.<br />

Plant fire brigade arrives onsite.<br />

Local fire department equipment arrives onsite.<br />

Thursday, Dec. 16<br />

Predawn<br />

04:00<br />

06:05<br />

President Imaki contacts management and other key personnel from overseas.<br />

Emergency response team formed under Yasuto Tatsuta, general manager of Production Eng<strong>in</strong>eer<strong>in</strong>g Div.<br />

Fire completely ext<strong>in</strong>guished.<br />

Personnel forbidden from enter<strong>in</strong>g site.<br />

Hiroshima City Fire Department beg<strong>in</strong>s scene <strong>in</strong>vestigation.<br />

Press conference at <strong>Mazda</strong> Head Office (Senior Manag<strong>in</strong>g Executive Officer Hasegawa, Manag<strong>in</strong>g<br />

Executive Officer Wakayama and Executive Officer, Hiroshima Plant General Manager Kamiya)<br />

Friday, Dec. 17<br />

Notice concern<strong>in</strong>g fire posted on <strong>Mazda</strong> official web site (English and Japanese)<br />

Hiroshima City Fire Department beg<strong>in</strong>s scene <strong>in</strong>vestigation.<br />

Friday, Dec. 24<br />

Press conference held at Head Office by President Imaki, Senior Manag<strong>in</strong>g Executive Officer<br />

Hasegawa, Manag<strong>in</strong>g Executive Officer Yamamoto and Head Office Plant Manager Kamiya.<br />

Announcement made that the Uj<strong>in</strong>a No. 2 Plant pa<strong>in</strong>t l<strong>in</strong>e would be used to restart production for the No. 1 Plant.<br />

Saturday, Dec. 25<br />

Large crane erected at site; removal of damaged equipment and materials begun.<br />

2005<br />

Saturday, Feb. 19<br />

<br />

Construction of the Uj<strong>in</strong>a No. 1 Plant build<strong>in</strong>g begun.<br />

Tuesday, Mar. 8<br />

Installation of pa<strong>in</strong>t<strong>in</strong>g equipment begun.<br />

Wednesday, Apr. 20<br />

F<strong>in</strong>al <strong>in</strong>spection by Hiroshima City Fire Department.<br />

Friday, Apr. 22<br />

Jo<strong>in</strong>t fire control practice with Hiroshima City M<strong>in</strong>ami Fire Department.<br />

Certification of compliance issued by Hiroshima City Fire Department.<br />

Monday, Apr. 25<br />

Religious ceremony for safe operation held.<br />

Wednesday, Apr. 27<br />

Production restarted.<br />

Social & Environmental Report 2005


The Challenges Fac<strong>in</strong>g Automobile Manufacturers<br />

Social & Environmental Report 2005<br />

Meet<strong>in</strong>g our Responsibilities, while Creat<strong>in</strong>g Cars People Want to Drive<br />

Ensur<strong>in</strong>g that <strong>Mazda</strong>'s Image, and our Vehicles, are Highly Valued throughout the World<br />

Develop<strong>in</strong>g Cars with a View to our Future Responsibilities<br />

Respond<strong>in</strong>g to the Diversity of our Customers<br />

Towards a Safer Automotive Society<br />

Develop<strong>in</strong>g and Populariz<strong>in</strong>g Vehicles that Contribute to<br />

Cleaner Air and the Prevention of Global Warm<strong>in</strong>g<br />

Creat<strong>in</strong>g Easy to Recycle Cars<br />

Reduction <strong>in</strong> Environmental Substances of Concern<br />

Noise Reduction<br />

Rais<strong>in</strong>g Levels of Customer Satisfaction and Quality<br />

Help<strong>in</strong>g Customers to Use their Cars Longer, and with more Peace of M<strong>in</strong>d<br />

Recycl<strong>in</strong>g End-of-Life Vehicles<br />

Social & Environmental Report 2005


Ensur<strong>in</strong>g that <strong>Mazda</strong>'s Image, and our Vehicles,<br />

are Highly Valued throughout the World<br />

At <strong>Mazda</strong>, we are committed to help<strong>in</strong>g our customers throughout the world enjoy the <strong>Mazda</strong> Brand,<br />

through ensur<strong>in</strong>g that our priorities are reflected <strong>in</strong> creat<strong>in</strong>g cars that people want to drive.<br />

The brand message "Zoom – Zoom" and what it means<br />

<strong>Mazda</strong> has established its own unique values, by distill<strong>in</strong>g the brand's DNA down to two attributes, "personality" and "products",<br />

which we are communicat<strong>in</strong>g to markets worldwide. The brand message "Zoom - Zoom" expresses the <strong>Mazda</strong> DNA perfectly, as it<br />

speaks not only of our unique values and great products, but also of the excitement we all felt as children when we realized the power<br />

of movement.<br />

Realiz<strong>in</strong>g our corporate vision through products<br />

Corporate Vision<br />

Our brand message expresses the <strong>Mazda</strong> DNA perfectly<br />

Creat<strong>in</strong>g <strong>Mazda</strong> Value<br />

<strong>Mazda</strong> Brand DNA<br />

<br />

Stylish<br />

<br />

Dist<strong>in</strong>ctive Design<br />

Insightful<br />

Spirited<br />

Exceptional Functionality<br />

Responsive Handl<strong>in</strong>g and Performance<br />

The excitement we all felt as children when we<br />

realized the power of movement<br />

"Zoom-zoom" is a phrase children use <strong>in</strong> English to replicate the sound of a car.<br />

Social & Environmental Report 2005


New model Premacy – <strong>full</strong> of <strong>Mazda</strong> <strong>in</strong>sight<br />

The new model Premacy (export name: <strong>Mazda</strong>5) was released <strong>in</strong> February 2005.<br />

For the first time, we have put families <strong>in</strong> the spotlight and entered the m<strong>in</strong>ivan market with the Premacy, which is part of our l<strong>in</strong>eup of newgeneration<br />

vehicles.<br />

The Premacy takes the concept of Zoom-Zoom even deeper, allow<strong>in</strong>g us to realize the concept of '<strong>in</strong>sightful' vehicle manufacture.<br />

Development concept: Communicative and Dynamic<br />

We aimed for a new standard <strong>in</strong> C-class m<strong>in</strong>ivan design, focus<strong>in</strong>g on<br />

balanc<strong>in</strong>g a use of space and functions that facilitate ease of<br />

communication between all passengers, drive quality that exceeds<br />

expectations for a m<strong>in</strong>ivan, and stylish design.<br />

Slid<strong>in</strong>g doors on both sides, and a stylish design<br />

The Premacy<strong>Mazda</strong>5features slid<strong>in</strong>g doors that open to 700mm on both sides, facilitat<strong>in</strong>g entry to<br />

and exit from the car even <strong>in</strong> the tightest of spaces. Most people assume that a m<strong>in</strong>ivan with slid<strong>in</strong>g<br />

doors will have to be a box-type car that looks somehow like a commercial vehicle, but<br />

our stylish design disproves that. By tighten<strong>in</strong>g up the slide rails, as well as focus<strong>in</strong>g<br />

on sharpen<strong>in</strong>g the overall design, we have created a car with excellent<br />

aerodynamic performance, which also provides enough room for<br />

passengers up to 185 cm <strong>in</strong> height to sit comfortably, even <strong>in</strong> the third<br />

row of seats.<br />

Unique package offer<strong>in</strong>g<br />

Six + One seat<strong>in</strong>g<br />

The Premacy's seats are arranged <strong>in</strong> three rows of two, allow<strong>in</strong>g enough space for six adults<br />

to sit comfortably with<strong>in</strong> the available space, with a walk-through open-plan design<br />

throughout.<br />

A foldaway seventh ('+ One') seat, hidden <strong>in</strong>side the passenger-side seat <strong>in</strong> the 2nd row,<br />

allows the car to be used as a six-seater or as a seven-seater, depend<strong>in</strong>g on requirements.<br />

High-level speed safety for high quality driv<strong>in</strong>g<br />

<br />

Social & Environmental Report 2005<br />

'Comfortable speed' is the speed at which a car can be driven without compromis<strong>in</strong>g<br />

safety. Your comfort and enjoyment while driv<strong>in</strong>g <strong>in</strong>creases <strong>in</strong> proportion to the level of<br />

speed safety the car offers. The Premacy<strong>Mazda</strong>5has excellent chassis functionality<br />

and a highly rigid body, as well as handl<strong>in</strong>g accuracy that allows the driver to follow the<br />

exact course he or she determ<strong>in</strong>es, and operat<strong>in</strong>g stability that does not waver, even<br />

dur<strong>in</strong>g overtak<strong>in</strong>g on the expressway. At the same time, it is also quiet enough that<br />

passengers can enjoy conversation while the car is mov<strong>in</strong>g.<br />

The Premacy also features a MZR eng<strong>in</strong>e (see pages 23 and 24) with excellent<br />

environmental performance, <strong>in</strong>clud<strong>in</strong>g l<strong>in</strong>ear acceleration, active responses and<br />

powerful torque dur<strong>in</strong>g acceleration, giv<strong>in</strong>g a sense of luxury alongside superlative<br />

aerodynamic performance.


The Challenges Fac<strong>in</strong>g Automobile Manufacturers<br />

Meet<strong>in</strong>g our responsibilities, while creat<strong>in</strong>g cars people want to drive<br />

The process of creat<strong>in</strong>g new-generation products and a global reputation for Zoom-Zoom<br />

April 8, 2002<br />

Unveil<strong>in</strong>g of brand message 'Zoom-Zoom'<br />

October 15, 2003<br />

Axela (export name: <strong>Mazda</strong>3), a new-generation sports<br />

compact, goes on sale, w<strong>in</strong>n<strong>in</strong>g awards that <strong>in</strong>cluded:<br />

May 20, 2002<br />

August 7, 2002<br />

First stage of <strong>Mazda</strong>'s new-generation vehicle l<strong>in</strong>eup, Atenza<br />

(export name: <strong>Mazda</strong>6), goes on sale, w<strong>in</strong>n<strong>in</strong>g awards that<br />

<strong>in</strong>cluded:<br />

2003 RJC Car of the Year<br />

2004 Ch<strong>in</strong>a Car of the Year<br />

2003 European Car of the<br />

Year (2nd place)<br />

Demio (export name: <strong>Mazda</strong>2)<br />

goes on sale, provid<strong>in</strong>g a new<br />

standard for the compact car.<br />

June 28, 2004<br />

2004 European car of the year<br />

(2nd place)<br />

2003 Canadian Car of the Year<br />

Verisa, the quality compact car, goes on sale, w<strong>in</strong>n<strong>in</strong>g<br />

awards that <strong>in</strong>cluded:<br />

Japan Car of the Year 2004 –<br />

2005 Special Award (Best Value)<br />

April 9, 2003<br />

RX-8 (export name: <strong>Mazda</strong> RX-8) goes on sale, fitted with a<br />

new-generation rotary eng<strong>in</strong>e, w<strong>in</strong>n<strong>in</strong>g awards that <strong>in</strong>cluded:<br />

February 7, 2005<br />

Premacy (export name:<br />

<strong>Mazda</strong>5), a m<strong>in</strong>ivan<br />

<strong>in</strong>corporat<strong>in</strong>g Zoom-<br />

Zoom, goes on sale<br />

2004 RJC Car of the Year<br />

2003 – 2004 Japan Automobile Hall of<br />

Fame: Grand Prize for Automobile<br />

Development<br />

2003 Australian Car of the Year<br />

May 18, 2005<br />

All-new Roadster (export name:<br />

<strong>Mazda</strong>MX-5) beg<strong>in</strong>s production, aim<strong>in</strong>g<br />

for the purest level of Zoom-Zoom<br />

Zoom-Zoom <strong>in</strong> car creation – the example of noise<br />

Creat<strong>in</strong>g automobiles that embody the spirit of Zoom-Zoom <strong>in</strong>volves<br />

more than just the conventional areas of design, functionality and drive<br />

performance of the vehicle. We look at the most detailed aspects of car<br />

design, one of which is the issue of 'noise'. At <strong>Mazda</strong>'s Technical<br />

Research Center, we carry out a wide range of tests to determ<strong>in</strong>e the<br />

relationship between automobiles and noise, and analyze the result<strong>in</strong>g<br />

data with the aim of reduc<strong>in</strong>g vibration-related noise. In the course of<br />

our research, we realized that not everyone sees all types of noise as<br />

disruptive, and that drivers <strong>in</strong> fact enjoy the experience of hear<strong>in</strong>g a car<br />

accelerate, and other noises that add to the 'feel' of the drive. So we<br />

asked ourselves what elements make up the type of sound that makes<br />

people feel as though they are 'driv<strong>in</strong>g'. The results of our research <strong>in</strong>to<br />

this were published as a report entitled 'Sensory Evaluation of the 'Feel'<br />

of Acceleration us<strong>in</strong>g a Driv<strong>in</strong>g Simulator – Quantification of the<br />

Interaction <strong>in</strong> evaluat<strong>in</strong>g the 'Feel' of Acceleration dur<strong>in</strong>g Slow<br />

Acceleration and Overtak<strong>in</strong>g', which won the Society of Automotive<br />

Eng<strong>in</strong>eers of Japan’s Asahara Academic Award. This takes the concept<br />

of Zoom-Zoom and creates a practical expression of our excitement at<br />

the power of movement, as well as new <strong>Mazda</strong> values. Our work <strong>in</strong> this<br />

ve<strong>in</strong> cont<strong>in</strong>ues, <strong>in</strong>clud<strong>in</strong>g our research on noise.<br />

<br />

Won the Asahara Award for research <strong>in</strong>to<br />

the feel of acceleration<br />

Technical Research Center<br />

Chie Fukuhara<br />

The sense of acceleration felt by a driver comprises a comb<strong>in</strong>ation of the<br />

<strong>in</strong>crease <strong>in</strong> speed, eng<strong>in</strong>e noise and the weight of the accelerator pedal. These<br />

elements are not <strong>in</strong>dependent of one another, but work together to create the<br />

effect. Our research showed the <strong>in</strong>teraction between these elements, and<br />

allowed us to predict the ‘feel’ of acceleration. As a result, we have become<br />

able to <strong>in</strong>corporate the accurate development of an improved acceleration<br />

‘feel’ to automobile parts and units, and the results of this research have<br />

already been applied to the RX-8 and the Premacy.<br />

Different people sense sound <strong>in</strong> different ways, and can often f<strong>in</strong>d themselves<br />

confused by hear<strong>in</strong>g a sound that is different to what they expected. Solv<strong>in</strong>g<br />

this problem, and understand<strong>in</strong>g how it is connected to creat<strong>in</strong>g a pleasant<br />

sensory experience, was the most <strong>in</strong>terest<strong>in</strong>g, as well as the most difficult<br />

aspect of this research.<br />

Glossary: 1<br />

Asahara Award<br />

The Asahara Award was established by Genshichi Asahara, founder and first chairman of the Society of Automotive<br />

Eng<strong>in</strong>eers of Japan <strong>in</strong> 1951. The Academic Award is presented each year to the researcher under the age of 37 who<br />

presents the highest standard of thesis relat<strong>in</strong>g to automotive eng<strong>in</strong>eer<strong>in</strong>g, and who is considered to have excellent<br />

future prospects with<strong>in</strong> the field. This is the n<strong>in</strong>th time a <strong>Mazda</strong> employee has been honored with the Asahara Award.<br />

Social & Environmental Report 2005


Develop<strong>in</strong>g Cars with a View to our Future Responsibilities<br />

It is the responsibility of all automobile manufacturers to keep an eye on the future of both car-based societies and<br />

energy issues when develop<strong>in</strong>g new vehicles. At <strong>Mazda</strong>, we are committed to th<strong>in</strong>k<strong>in</strong>g through '<strong>Mazda</strong> Values' <strong>in</strong> this<br />

arena too, and as a result, we have begun development work on hydrogen rotary eng<strong>in</strong>e vehicles. We are currently<br />

test<strong>in</strong>g these eng<strong>in</strong>es with a view to putt<strong>in</strong>g them to practical use.<br />

Beg<strong>in</strong>n<strong>in</strong>g public road test<strong>in</strong>g of the hydrogen rotary eng<strong>in</strong>e vehicle<br />

MAZDA RX-8<br />

HYDROGEN RE<br />

Ma<strong>in</strong> specifications of the <strong>Mazda</strong> RX-8 Hydrogen Rotary Eng<strong>in</strong>e Vehicle,<br />

approved by the M<strong>in</strong>ister for Land, Infrastructure and Transport <strong>in</strong> 2004<br />

Base model<br />

Base eng<strong>in</strong>e<br />

Total length<br />

Total width<br />

Total height<br />

Wheel base<br />

Vehicle weight<br />

No. seats<br />

Fuels used<br />

<strong>Mazda</strong> RX-8<br />

13B Dual-fuel hydrogen rotary eng<strong>in</strong>e<br />

4,435mm<br />

1,770mm<br />

1,325mm<br />

2,700mm<br />

1,440kg<br />

4<br />

Hydrogen and gasol<strong>in</strong>e<br />

Hydrogen is <strong>in</strong> the spotlight at the moment as a particularly<br />

environment-friendly potential source of clean energy for the future.<br />

<strong>Mazda</strong> developed the RX-8 Hydrogen RE by creat<strong>in</strong>g a fusion of its<br />

exist<strong>in</strong>g hydrogen technology with the new-generation rotary eng<strong>in</strong>e<br />

RENESIS, enabl<strong>in</strong>g the natural driv<strong>in</strong>g feel of an <strong>in</strong>ternal combustion<br />

eng<strong>in</strong>e to be comb<strong>in</strong>ed with excellent environmental performance. The<br />

RX-8 Hydrogen RE was unveiled at the 37th Tokyo Motor Show <strong>in</strong><br />

October 2003, and 12 months later, the Vehicle was given approval by<br />

the M<strong>in</strong>ister for Land, Infrastructure and Transport to beg<strong>in</strong> road tests,<br />

and received a number plate. The RX-8 hydrogen rotary eng<strong>in</strong>e car<br />

features a dual fuel system, which allows it to run on either gasol<strong>in</strong>e<br />

or hydrogen, and it is the first example <strong>in</strong> the world of a Vehicle<br />

runn<strong>in</strong>g on two fuels be<strong>in</strong>g allowed to undergo road test<strong>in</strong>g.<br />

The Hydrogen Rotary Eng<strong>in</strong>e emits no CO2 and almost no NOx,<br />

mak<strong>in</strong>g its environmental performance quite superb. In addition to<br />

this, because it uses conventional eng<strong>in</strong>e parts and manufactur<strong>in</strong>g<br />

processes, it can be manufactured at low cost, and has high levels of<br />

built-<strong>in</strong> reliability. <strong>Mazda</strong> is collect<strong>in</strong>g data relat<strong>in</strong>g to the public-road<br />

test<strong>in</strong>g program, and analyz<strong>in</strong>g the<br />

car's performance, and is aim<strong>in</strong>g to<br />

have the RX-8 ready for leas<strong>in</strong>g to<br />

public offices and corporations<br />

with<strong>in</strong> two years, through<br />

cont<strong>in</strong>u<strong>in</strong>g development on the<br />

<strong>in</strong>ternal combustion performance of<br />

the eng<strong>in</strong>e, with the <strong>in</strong>tention of<br />

contribut<strong>in</strong>g to the creation of a<br />

<strong>Mazda</strong> RENESIS hydrogen rotary eng<strong>in</strong>e<br />

Corner seal<br />

Hydrogen gas<br />

Electronically-controlled<br />

hydrogen gas <strong>in</strong>jector<br />

Side seal<br />

Apex seal<br />

Intake<br />

Spark plug<br />

Exhaust<br />

<strong>Mazda</strong> RX-8 Hydrogen RE with its new license plate<br />

Glossary: 1<br />

Dual fuel system<br />

Flipp<strong>in</strong>g a switch near the driver’s seat allows the<br />

system to change from gasol<strong>in</strong>e-driven to hydrogendriven<br />

operations.<br />

<br />

Social & Environmental Report 2005


The Challenges Fac<strong>in</strong>g Automobile Manufacturers<br />

Meet<strong>in</strong>g our responsibilities, while creat<strong>in</strong>g cars people want to drive<br />

The history of develop<strong>in</strong>g <strong>Mazda</strong>’s hydrogen-powered vehicles<br />

RX-8 Hydrogen RE<br />

Premacy FC-EV<br />

Demio FC-EV<br />

Capella Cargo featur<strong>in</strong>g<br />

hydrogen rotary eng<strong>in</strong>e<br />

Roadster featur<strong>in</strong>g<br />

hydrogen rotary eng<strong>in</strong>e<br />

Hydrogen rotary eng<strong>in</strong>e vehicle<br />

HR-X2<br />

Hydrogen rotary eng<strong>in</strong>e vehicle<br />

HR-X<br />

1991 1993 1995 1997 2001 2003<br />

1991:<br />

Developed Hydrogen rotary eng<strong>in</strong>e Vehicle "HR-X"<br />

1997:<br />

Developed Demio FC-EV<br />

1992:<br />

Tested fuel cell powered golf cart<br />

2001:<br />

Developed Premacy FC-EV, and began first public road test<strong>in</strong>g<br />

(us<strong>in</strong>g reformed methanol)<br />

1993:<br />

Developed Hydrogen rotary eng<strong>in</strong>e Vehicle "HR-X2"<br />

Developed experimental Roadster model<br />

featur<strong>in</strong>g hydrogen rotary eng<strong>in</strong>e<br />

2003:<br />

Unveiled RX-8 Hydrogen rotary eng<strong>in</strong>e development vehicle<br />

1995:<br />

First public road test<strong>in</strong>g of hydrogen<br />

vehicle <strong>in</strong> Japan, the hydrogen rotary<br />

eng<strong>in</strong>e-powered Capella Cargo.<br />

2004:<br />

Public road test<strong>in</strong>g of RX-8 hydrogen<br />

RE(dual-fuel hydrogen rotary eng<strong>in</strong>e-powered vehicle)<br />

Installation of first Hydrogen Station <strong>in</strong> the Chugoku region of Japan<br />

As part of our commitment to roll<strong>in</strong>g out the use of the hydrogen<br />

rotary eng<strong>in</strong>e, <strong>Mazda</strong> received permission from the Hiroshima<br />

Prefectural authorities to develop the first hydrogen station <strong>in</strong> the<br />

Chugoku region of Japan on February 3, 2005. The station has begun<br />

operat<strong>in</strong>g <strong>in</strong> the Uj<strong>in</strong>a section of our Hiroshima Head Office plant. This<br />

facility supplies hydrogen for hydrogen rotary eng<strong>in</strong>e vehicles and<br />

hydrogen eng<strong>in</strong>e test<strong>in</strong>g facilities, and has the capacity to fill up to<br />

approximately ten hydrogen-powered cars per day.<br />

Develop<strong>in</strong>g hybrid Vehicles<br />

<strong>Mazda</strong> has also been work<strong>in</strong>g on the development of hybrid cars,<br />

which comb<strong>in</strong>e gasol<strong>in</strong>e eng<strong>in</strong>es with electric motors. In 2001 we<br />

exhibited a hybrid 4WD "MX Sport Tourer" at the 71st Geneva Motor<br />

Show. At present, we are work<strong>in</strong>g with Ford on creat<strong>in</strong>g a hybrid<br />

version of the Tribute and br<strong>in</strong>g<strong>in</strong>g it to market <strong>in</strong> the near future.<br />

A hydrogen fill<strong>in</strong>g station.<br />

Social & Environmental Report 2005


Respond<strong>in</strong>g to the Diversity of our Customers<br />

<strong>Mazda</strong> is committed, through its development work, to see<strong>in</strong>g that many more people are able to use and enjoy<br />

automobiles. We work at <strong>in</strong>corporat<strong>in</strong>g the viewpo<strong>in</strong>ts of women, people with special needs and other customers <strong>in</strong>to<br />

our development, <strong>in</strong> order to create products that meet the diverse needs of drivers.<br />

Reflect<strong>in</strong>g the views of women <strong>in</strong> development<br />

Currently around half of all car users are women, and women's<br />

op<strong>in</strong>ions and <strong>in</strong>st<strong>in</strong>cts carry a significant amount of weight <strong>in</strong><br />

purchas<strong>in</strong>g decisions. In order to respond to the diverse needs of our<br />

customers, <strong>Mazda</strong> <strong>in</strong>corporates the views of women both <strong>in</strong><br />

development and product plann<strong>in</strong>g. This began with specific measures<br />

<strong>in</strong> 2002.<br />

In August of that year, the MPV Sports F was released. A m<strong>in</strong>ivan<br />

developed from a woman po<strong>in</strong>t of view with the aim of be<strong>in</strong>g enjoyed<br />

by every member of the family, the MPV Sports F came <strong>in</strong>to be<strong>in</strong>g<br />

with the assistance of the five-member Women's Development Project<br />

Team, who worked on every stage right through from plann<strong>in</strong>g to<br />

mass production. The Verisa, which was released for sale <strong>in</strong> June<br />

2004, was another of the projects for which a Women's Development<br />

Project Team was formed, and <strong>in</strong>cluded as a result several new<br />

developments such as a makeup mirror, and various other new<br />

aspects that make the car easier to use.<br />

Recogniz<strong>in</strong>g that the m<strong>in</strong>i-van is most commonly used on a daily<br />

basis by women, the Premacy (<strong>Mazda</strong>5), released <strong>in</strong> February 2005,<br />

was planned, designed and test-driven by teams <strong>in</strong>clud<strong>in</strong>g women.<br />

The op<strong>in</strong>ions of these women were taken <strong>in</strong>to consideration<br />

throughout the entire process, from concept design to f<strong>in</strong>al evaluation.<br />

These efforts resulted <strong>in</strong> a range of thoughtful details that make the<br />

Premacy a truly easy-to-use car, such as a low step height, a wide<br />

slid<strong>in</strong>g door that allows a mother carry<strong>in</strong>g a baby to easily get <strong>in</strong> and<br />

out, a center walkthrough some 420 mm wide and free of projections<br />

to catch on skirts or stock<strong>in</strong>gs, and a seat design that flexes to make it<br />

easy even for short women to get <strong>in</strong> and out.<br />

<br />

Premacy (<strong>Mazda</strong>5)<br />

Agreement signed with Hiroshima University Graduate School of Eng<strong>in</strong>eer<strong>in</strong>g<br />

for cooperative research <strong>in</strong>to advanced automotive technologies<br />

Verisa makeup mirror<br />

Verisa<br />

MPV Sports <br />

<strong>Mazda</strong> has engaged <strong>in</strong> cooperative research with Hiroshima University for<br />

many years <strong>in</strong> a variety of <strong>in</strong>dividual projects, <strong>in</strong>clud<strong>in</strong>g eng<strong>in</strong>e combustion<br />

ergonomics. Now that Hiroshima University has been established as an<br />

<strong>in</strong>dependent legal entity, mark<strong>in</strong>g a major change from its prior status as a<br />

national university, <strong>Mazda</strong> signed a formal comprehensive research<br />

agreement with it to advance the <strong>in</strong>dustry-academia cooperative project<br />

more effectively and strategically, and make it possible to more <strong>full</strong>y<br />

contribute to the development of local <strong>in</strong>dustry and progress <strong>in</strong> science<br />

and technology.<br />

Seven concrete research sectors have been def<strong>in</strong>ed for the first 3-year<br />

term of the new agreement: chassis structural technology, control<br />

technology, materials technology, new-generation energy, powertra<strong>in</strong>s,<br />

<strong>in</strong><strong>format</strong>ion technology, and ergonomics. In April 2005 the Cooperative<br />

Research Committee was formed with members drawn from both<br />

organizations, handl<strong>in</strong>g <strong>in</strong><strong>format</strong>ion exchange, formulation and<br />

implementation of concrete measures, management and evaluation of<br />

research progress, promotion of personnel exchange between <strong>in</strong>dustry<br />

and academia, and management of <strong>in</strong>tellectual property.<br />

<br />

Social & Environmental Report 2005


The Challenges Fac<strong>in</strong>g Automobile Manufacturers<br />

Meet<strong>in</strong>g our responsibilities, while creat<strong>in</strong>g cars people want to drive<br />

First Japanese manufacturer to offer vehicles for people with special needs<br />

<strong>Mazda</strong>'s work on the development and promotion of special needs<br />

vehicles is based on the concept of produc<strong>in</strong>g cars that are k<strong>in</strong>d to<br />

everyone, and can be used safely by everyone. Dur<strong>in</strong>g fiscal 2004, we<br />

took orders for 1,017 special needs vehicles, up 30% from the previous<br />

year.<br />

<strong>Mazda</strong> began offer<strong>in</strong>g the first special needs vehicle with a ramp, for<br />

wheelchair users, based on its compact Carol cars, <strong>in</strong> 1995, tak<strong>in</strong>g the<br />

lead over higher-rank<strong>in</strong>g domestic automobile manufacturers.<br />

At present, we are work<strong>in</strong>g on build<strong>in</strong>g up our i-Series l<strong>in</strong>eup of special<br />

needs cars, <strong>in</strong>corporat<strong>in</strong>g lift-up passenger seats, second lift-up seats,<br />

side seat-lifter cars, cars for transport<strong>in</strong>g wheelchairs, cars with rotat<strong>in</strong>g<br />

passenger seats, and various other functions that make us<strong>in</strong>g a car an<br />

easier and more pleasant experience for both the elderly and disabled,<br />

and also for their drivers or caregivers.<br />

Our development of special needs vehicles is based on the Health and<br />

Welfare M<strong>in</strong>istry data which suggests that 'more than 70% of caregivers<br />

are women over the age of 50'. As such, we have focused on issues such<br />

as reduc<strong>in</strong>g the energy required when enter<strong>in</strong>g or leav<strong>in</strong>g a vehicle,<br />

simplify<strong>in</strong>g vehicle operation, and <strong>in</strong>creas<strong>in</strong>g comfort and safety, when<br />

manufactur<strong>in</strong>g these vehicles.<br />

In order to meet the needs of our customers, too, we have begun work<strong>in</strong>g<br />

on offer<strong>in</strong>g specially-modified accessible versions of our new model cars<br />

as soon as possible, and began offer<strong>in</strong>g a retractable-lift passenger seat<br />

version of the new Premacy <strong>in</strong> May of this year.<br />

Demio with revolv<strong>in</strong>g passenger seat<br />

Premacy with lift<strong>in</strong>g / lower<strong>in</strong>g passenger seat<br />

Demio with ramp for transport<strong>in</strong>g wheelchairs<br />

The Challenge of Universal Design<br />

<strong>Mazda</strong> is tak<strong>in</strong>g up the challenge of universal design, with the aim of<br />

mak<strong>in</strong>g its cars easy to use for all. As a basis to this, we are work<strong>in</strong>g on<br />

creat<strong>in</strong>g driv<strong>in</strong>g positions that do not depend on a particular passenger<br />

or driver physique, as well as seat arrangements that can be changed<br />

by anyone, regardless of how much strength they have <strong>in</strong> their arms or<br />

legs. We also give high priority to easy operation and position<strong>in</strong>g,<br />

simple-to-understand controls, organizational and functional comfort,<br />

and safety issues. We are engaged <strong>in</strong> development of functional and<br />

attractive controls, based on ergonomic pr<strong>in</strong>ciples, which can be used<br />

<strong>in</strong> comfort by all. The Verisa's central console, for example, features<br />

controls that have been designed us<strong>in</strong>g a process that quantifies the<br />

extent to which they are turned and strength with which they are<br />

operated, so as to provide ease and comfort of operation for any user.<br />

The Verisa’s central console switch, which<br />

<strong>in</strong>corporates elements of ergonomic design<br />

The Premacy's third row seats <strong>in</strong>corporate simple<br />

one-action seat arrangement features, <strong>in</strong>clud<strong>in</strong>g<br />

lightweight cushions that drop down automatically<br />

as the seat back is folded.<br />

Glossary: 1<br />

Universal design<br />

The philosophy of design<strong>in</strong>g <strong>in</strong> such a way that<br />

anyone can understand and use the product or space<br />

with ease, regardless of age, gender, physique,<br />

disability or other attributes.<br />

Social & Environmental Report 2005


Towards a Safer Automotive Society<br />

<strong>Mazda</strong> believes it is only possible to deliver the enjoyment of its cars and of driv<strong>in</strong>g, embodied <strong>in</strong> our 'Zoom-Zoom'<br />

concept, by also offer<strong>in</strong>g extremely high levels of safety. Our safety technology is be<strong>in</strong>g developed and evolved<br />

cont<strong>in</strong>uously <strong>in</strong> order to make greater contributions to a safe automotive society.<br />

Performance safety at the heart of automobile manufacture<br />

<strong>Mazda</strong> places safety at the heart of its automobile manufactur<strong>in</strong>g, as the<br />

most important aspect of performance. For this reason, we are constantly<br />

develop<strong>in</strong>g and evolv<strong>in</strong>g our safety technology and equipment. <strong>Mazda</strong> aims<br />

for the highest levels of safety <strong>in</strong> its products, and <strong>in</strong> order to do this, we not<br />

only meet all safety regulations set by different countries, but we have<br />

established our own, higher standards of safety, and are constantly engaged<br />

<strong>in</strong> research and development <strong>in</strong> order to atta<strong>in</strong> these high standards.<br />

<strong>Mazda</strong>'s policy on safety development<br />

Safety Technology as featured <strong>in</strong> our products<br />

Active Safety Technology<br />

We have <strong>in</strong>corporated 4Wheel-ABS, EBD and brak<strong>in</strong>g assistance to<br />

our cars, to support improved brak<strong>in</strong>g, as well as Dynamic Stability<br />

Control (DSC), which prevents the car from skidd<strong>in</strong>g sideways, with<br />

the aim of both facilitat<strong>in</strong>g safe driv<strong>in</strong>g, and also <strong>in</strong>creas<strong>in</strong>g drivers'<br />

abilities to avoid danger. We also use water-repell<strong>in</strong>g glass and door<br />

mirrors, and self-level<strong>in</strong>g discharge headlights, to <strong>in</strong>crease visibility<br />

for the driver.<br />

In order to strengthen its research and development <strong>in</strong> the area of<br />

safety, <strong>Mazda</strong> established a Safety Development Promotion<br />

Committee <strong>in</strong> 1990, and has implemented the follow<strong>in</strong>g safety<br />

Image diagram of DSC effect<br />

Car fitted with DSC<br />

Based on an awareness that safe cars are one of the foundations of<br />

a worry-free life, <strong>Mazda</strong> is committed to:<br />

<br />

Research<strong>in</strong>g the ways <strong>in</strong> which customers use our cars,<br />

and the traffic environment <strong>in</strong> which they are be<strong>in</strong>g used<br />

Car without DSC:<br />

over-steer<strong>in</strong>g<br />

(back wheels skid sideways)<br />

<br />

Deepen<strong>in</strong>g research <strong>in</strong>to safety technology, and reflect<strong>in</strong>g the<br />

results of this research <strong>in</strong> our products <strong>in</strong> a way that offers<br />

our customers the best available appropriate technology.<br />

Car without DSC:<br />

under-steer<strong>in</strong>g<br />

(front wheels skid sideways)<br />

These safety policies give <strong>Mazda</strong> the basis for our research programs,<br />

which <strong>in</strong>clude the development <strong>in</strong> the areas of 'Active Safety<br />

Technology', which is allow<strong>in</strong>g us to actively predict the occurrence of<br />

traffic accidents, and 'Passive Safety Technology', which allows us to<br />

reduce <strong>in</strong>jury to persons <strong>in</strong>volved <strong>in</strong> any accident that does happen.<br />

The benefits of DSC only apply with<strong>in</strong> the scope of the tires’ ability to grip the road.<br />

<br />

Brak<strong>in</strong>g performance of<br />

the RX-8 and Axela (<strong>Mazda</strong>3)<br />

achieves highest evaluation ever.<br />

The results of the FY 2003 Automobile Assessment, issued by the M<strong>in</strong>istry of Land,<br />

Infrastructure and Transport on 27th April 2004 showed that the RX-8 achieved the<br />

shortest stopp<strong>in</strong>g distance to date on a dry road <strong>in</strong> brake performance tests. The<br />

stopp<strong>in</strong>g distance achieved was 38.6m, a significant improvement over previous<br />

records.<br />

The Axela also achieved the top results with<strong>in</strong> the compact car class, giv<strong>in</strong>g a stopp<strong>in</strong>g<br />

distance on a dry road of 41.1m . <strong>Mazda</strong> has achieved the ultimate balance between<br />

response, l<strong>in</strong>earity and stopp<strong>in</strong>g power with<strong>in</strong> the brak<strong>in</strong>g system, and these results<br />

show just how effective our 'Active Safety' policy, which has been <strong>in</strong>corporated <strong>in</strong>to the<br />

It spirit is possible of 'Zoom-Zoom' that weather conditions that goes at the <strong>in</strong>to time all of our the cars, test may can have be. shortened the stopp<strong>in</strong>g distance slightly.<br />

Glossary: 1<br />

EBD<br />

(Electronic Brake-force Distribution)<br />

Increases the brak<strong>in</strong>g force on the rear wheels when a<br />

car is <strong>full</strong> and significant weight is be<strong>in</strong>g born at the<br />

rear of the vehicle.<br />

Glossary: 2<br />

Brak<strong>in</strong>g assistance<br />

Allows a shorter stopp<strong>in</strong>g distance to be achieved<br />

when the driver brakes suddenly, by add<strong>in</strong>g power to<br />

the force with which the brake pedal is pushed to stop<br />

<strong>in</strong> an emergency.<br />

Social & Environmental Report 2005


The Challenges Fac<strong>in</strong>g Automobile Manufacturers<br />

Meet<strong>in</strong>g our responsibilities, while creat<strong>in</strong>g cars people want to drive<br />

Passive Safety Technology<br />

We have developed and are consistently evolv<strong>in</strong>g a highly rigid, safe body<br />

for our cars known as <strong>Mazda</strong> Advanced Impact-energy Distribution and<br />

Absorption System, which <strong>in</strong>corporates both a 'crushable zone', which<br />

absorbs impact dur<strong>in</strong>g a collision, and an extremely strong triple-H<br />

structure, <strong>in</strong> order to offer passengers safety at all times. Inside the car, we<br />

have <strong>in</strong>corporated a 'horizontally-mov<strong>in</strong>g impact absorption steer<strong>in</strong>g<br />

system' , which effectively reduces the impact on the head and chest<br />

dur<strong>in</strong>g collision, by mov<strong>in</strong>g horizontally if an impact occurs from the front,<br />

and a 'crushable brake pedal', which reduces the risk of <strong>in</strong>jury to the lower<br />

legs of the driver. We have also developed front seats that reduce head<br />

and neck <strong>in</strong>jury, and impact-absorb<strong>in</strong>g <strong>in</strong>teriors. In addition to this, <strong>Mazda</strong><br />

is also committed to pedestrian safety, and is develop<strong>in</strong>g front body<br />

structure for its cars that reduces <strong>in</strong>jury and impact to pedestrians <strong>in</strong> the<br />

event that they are hit by a car.<br />

Adopted <strong>in</strong> Axela and Premacy.<br />

<br />

Premacy's body – highly rigid and extremely safe<br />

The H-type structure has been strengthened further <strong>in</strong> l<strong>in</strong>e with the <strong>in</strong>troduction of the wideopen<strong>in</strong>g<br />

slid<strong>in</strong>g doors, <strong>in</strong> order to distribute impact safely throughout the whole body <strong>in</strong> the<br />

event of collision from the side. In addition to this, the high level of cab<strong>in</strong> strength and excellent<br />

impact absorption make the car extremely safe when subject to impact from the front or rear.<br />

Impact-absorb<strong>in</strong>g steer<strong>in</strong>g system:<br />

operat<strong>in</strong>g image<br />

Crushable brake pedal:<br />

operat<strong>in</strong>g image<br />

Cross-car beam<br />

Brake pedal<br />

Verification of Safety<br />

<strong>Mazda</strong> implements a variety of verification tests on its cars dur<strong>in</strong>g<br />

development, to ensure that safety levels are be<strong>in</strong>g achieved. We implement the<br />

newest crash-test technologies us<strong>in</strong>g a supercomputer, and utilize both crash<br />

simulators and actual vehicle-based crash tests <strong>in</strong> order to achieve the highest<br />

levels of verification and ensure that we are supply<strong>in</strong>g cars that are truly safe to<br />

drive.<br />

Collision safety test<strong>in</strong>g us<strong>in</strong>g a crash simulator<br />

Progress on the development of ASVs (Advanced Safety Vehicles)<br />

<strong>Mazda</strong> is committed to utiliz<strong>in</strong>g progressive technologies and safety measures wherever<br />

possible to ensure <strong>in</strong>creased general safety for the traffic environment, as well as for the<br />

movement of people <strong>in</strong> other circumstances. We are tak<strong>in</strong>g part <strong>in</strong> the M<strong>in</strong>istry of Land,<br />

Infrastructure and Transport's ASV Development Promotion Project, with a view to<br />

develop<strong>in</strong>g safety technologies for the future, and we are currently <strong>in</strong> the process of<br />

develop<strong>in</strong>g and road test<strong>in</strong>g a trial vehicle based on the MPV. We hope to be able to<br />

develop the car <strong>in</strong>to a viable product <strong>in</strong> the near future. We are also committed to the<br />

creation of a traffic environment that is accident- and congestion-free, and are<br />

participat<strong>in</strong>g <strong>in</strong> the ITS project, which is aim<strong>in</strong>g to create a next-generation Intelligent<br />

Transport System.<br />

<br />

Bonnet used to verify pedestrian safety dur<strong>in</strong>g a crash test<br />

RX-8 gets the highest classification – six stars – <strong>in</strong> collision safety, too<br />

In the general evaluation for collision safety of the FY 2003 Automobile<br />

Assessment, too, the RX-8 got the highest possible score of six stars, for both<br />

driver and passenger safety. Despite be<strong>in</strong>g structured without a center pillar,<br />

the car received an excellent evaluation as a sports car with highly safe<br />

performance.<br />

movement<br />

In a front offset collision, the impact energy is<br />

distributed three ways across the front of the cab<strong>in</strong>,<br />

reduc<strong>in</strong>g de<strong>format</strong>ion, as a result of the triple impactdistribut<strong>in</strong>g<br />

structure<br />

Side airbags for the driver<br />

and front seat passenger<br />

With <strong>Mazda</strong>’s unique high-rigidity, extra-safe<br />

body, the crushable zone absorbs impact energy<br />

dur<strong>in</strong>g a collision, and the triple-H structure,<br />

which gives an extremely strong floor, sides and<br />

roof, reduces cab<strong>in</strong> de<strong>format</strong>ion.<br />

Photo: Atenza<br />

The alum<strong>in</strong>um strengthen<strong>in</strong>g materials <strong>in</strong>cluded<br />

<strong>in</strong>side the rear doors, and the vertical, highly<br />

elastic steel pipe built-<strong>in</strong> pillars allow the car to be<br />

far stronger <strong>in</strong> a side-on impact than the average<br />

four-door sedan, despite hav<strong>in</strong>g no center pillars.<br />

Glossary: 3 Glossary: 4<br />

ASV<br />

Advanced Safety Vehicle<br />

ITS<br />

Intelligent Transport Systems<br />

Social & Environmental Report 2005


Develop<strong>in</strong>g and Populariz<strong>in</strong>g Vehicles that Contribute<br />

to Cleaner Air and the Prevention of Global Warm<strong>in</strong>g<br />

<strong>Mazda</strong> is committed to realistic, effective measures to ensure that the environmental burden result<strong>in</strong>g from the use of<br />

cars is reduced. To this end, we have <strong>in</strong>corporated many environmental technologies <strong>in</strong> our cars, and have set<br />

objectives, which we are on target to meet, to further promote environmental automobiles.<br />

Reduc<strong>in</strong>g exhaust emissions<br />

Promot<strong>in</strong>g the wider use of SU-LEV<br />

<strong>Mazda</strong> is engaged <strong>in</strong> constant research and development on the<br />

combustion, control and catalyz<strong>in</strong>g technologies that go to reduce<br />

exhaust emissions, and is proactively <strong>in</strong>creas<strong>in</strong>g the number of cars it<br />

produces that comply with the M<strong>in</strong>istry of Land, Infrastructure and<br />

Transport's Emissions Gas Approval System. FY 2004 was a particularly<br />

good year, <strong>in</strong> that we <strong>in</strong>troduced an <strong>in</strong>creas<strong>in</strong>g number of SU-LEV cars<br />

(75% lower than 2005 exhaust emissions standards). SU-LEV is<br />

currently the most str<strong>in</strong>gent emissions level operated <strong>in</strong> Japan. The<br />

Verisa, which was released <strong>in</strong> June 2004, and the Premacy, which was<br />

released <strong>in</strong> February 2005, both achieved SU-LEV approval for all model<br />

types. With this, <strong>Mazda</strong> raised the percentage of its cars atta<strong>in</strong><strong>in</strong>g SU-<br />

LEV status to 49.2% of all cars produced for the domestic market, a<br />

significant step <strong>in</strong> standardiz<strong>in</strong>g the use of such vehicles.<br />

<br />

100<br />

90<br />

80<br />

70<br />

60<br />

50<br />

40<br />

30<br />

20<br />

10<br />

0<br />

Trends <strong>in</strong> <strong>in</strong>troduction of low-emissions approved passenger cars for the Japanese market<br />

18.1<br />

1.9<br />

40.5<br />

9.3<br />

12.0<br />

52.8<br />

25.2<br />

71.2<br />

16.7<br />

8.6<br />

49.2<br />

38.1<br />

2.8<br />

2.6<br />

FY 2000 FY 2001<br />

FY 2002 FY 2003 FY 2004<br />

(2004.4-2005.3)<br />

SU-LEV: 75% lower than 2005 exhaust emissions standards<br />

U-LEV: 50% lower than 2005 exhaust emissions standards or 75% lower than 2000 exhaust emissions standards <br />

E-LEV: 50% lower than 2000 exhaust emissions standards<br />

T-LEV: 25% lower than 2000 exhaust emissions standards<br />

New cars <strong>in</strong>troduced <strong>in</strong> FY 2004, which meet SU-LEV requirements <strong>in</strong> all model types<br />

Axela (<strong>Mazda</strong>3)<br />

Verisa<br />

Premacy (<strong>Mazda</strong>5)<br />

<br />

Demio (<strong>Mazda</strong>2)<br />

Atenza (<strong>Mazda</strong>6)<br />

NOTE : Axela and Atenza both also have models that are not SU-LEV compliant.<br />

No. of low-pollut<strong>in</strong>g cars sold dur<strong>in</strong>g FY 2004<br />

Passenger Cars<br />

Trucks<br />

Standard / Compact micro-m<strong>in</strong>i Standard / Compact micro-m<strong>in</strong>i<br />

Total<br />

Electric vehicles<br />

0<br />

0<br />

0<br />

0<br />

0<br />

Low-pollut<strong>in</strong>g<br />

Hybrid vehicles<br />

0<br />

0<br />

0<br />

0<br />

0<br />

vehicles<br />

CNG vehicles<br />

0<br />

0<br />

18<br />

0<br />

18<br />

Methanol vehicles<br />

0<br />

0<br />

0<br />

0<br />

0<br />

SU-LEV: 75% lower than 2005 exhaust emissions standards <br />

112,925<br />

4,222<br />

0<br />

0<br />

117,147<br />

Vehicles approved<br />

for high fuel<br />

efficiency and<br />

low emissions 1<br />

U-LEV: 50% lower than 2005 exhaust emissions standards <br />

U-LEV: 75% lower than 2000 exhaust emissions standards <br />

E-LEV: 50% lower than 2000 exhaust emissions standards <br />

31,208<br />

4,061<br />

0<br />

32,232<br />

4<br />

0<br />

3,415<br />

150<br />

0<br />

435<br />

0<br />

7,763<br />

67,290<br />

4,215<br />

7,763<br />

T-LEV: 25% lower than 2000 exhaust emissions standards<br />

<br />

0<br />

142<br />

0<br />

0<br />

142<br />

Diesel alternative LPG vehicles<br />

<br />

<br />

124<br />

<br />

124<br />

Total<br />

148,194<br />

36,600<br />

3,707<br />

8,198<br />

196,699<br />

1Cars which achieved fuel efficiency standards, accord<strong>in</strong>g to the Energy Sav<strong>in</strong>g Act, at an early stage, and which are approved as low-emissions vehicles based on the low-emissions vehicle approval guidel<strong>in</strong>es.<br />

Social & Environmental Report 2005


The Challenges Fac<strong>in</strong>g Automobile Manufacturers<br />

Meet<strong>in</strong>g our responsibilities, while creat<strong>in</strong>g cars people want to drive<br />

Development targets and atta<strong>in</strong>ment status for products that reduce air pollution and help prevent global warm<strong>in</strong>g<br />

Category Objective<br />

Results for FY 2004<br />

Prevention of atmospheric pollution<br />

Reduc<strong>in</strong>g exhaust emissions<br />

90% of passenger vehicles approved as SU-LEV<br />

or U-LEV by end of FY 2005<br />

Demio, Verisa, Premacy and Axela (1.5-liter) models approved as SU-LEV<br />

87.3% of passenger vehicles approved as SU-LEV (49.2%) or U-LEV (38.1%)<br />

Prevention of global warm<strong>in</strong>g<br />

Improved fuel efficiency<br />

(reduced CO2 emissions)<br />

Achieve fuel efficiency standards set for 2010<br />

<strong>in</strong> all passenger vehicle weight ranks dur<strong>in</strong>g FY 2005<br />

All Verisa models and Premacy (2-liter models) achieved 2010 standards for fuel efficiency<br />

5 vehicle weight classes (out of 7) achieved 2010 fuel efficiency standards<br />

Prevention of atmospheric pollution<br />

and prevention of global warm<strong>in</strong>g<br />

Research and development of<br />

clean energy vehicles<br />

Promote the development of Hydrogen Rotary<br />

Eng<strong>in</strong>e vehicles <strong>in</strong> preparation for leas<strong>in</strong>g<br />

RX-8 hydrogen rotary eng<strong>in</strong>e vehicle received approval from M<strong>in</strong>istry of Land,<br />

Infrastructure and Transport and began public road test<strong>in</strong>g<br />

Hydrogen fuel station opened<br />

Improved fuel efficiency (reduction <strong>in</strong> CO2 emissions)<br />

2010 fuel efficiency standards cleared <strong>in</strong> five weight classes<br />

<strong>Mazda</strong> aims to achieve fuel efficiency standards set for 2010 <strong>in</strong> all<br />

passenger vehicle weight classes dur<strong>in</strong>g FY 2005, <strong>in</strong> order to reduce<br />

CO2 emissions. Dur<strong>in</strong>g 2004, five weight classes achieved this objective.<br />

Improv<strong>in</strong>g fuel efficiency technology of MZR eng<strong>in</strong>e<br />

The MZR eng<strong>in</strong>e, with its new-generation design and components, is<br />

play<strong>in</strong>g a significant role <strong>in</strong> contribut<strong>in</strong>g to <strong>Mazda</strong>'s fuel efficiency<br />

improvements. The MZR eng<strong>in</strong>e utilizes various technologies such as S-<br />

VT, as well as measures to reduce eng<strong>in</strong>e weight, and offers a specific<br />

example of Zoom-Zoom output performance and smooth eng<strong>in</strong>e sound,<br />

along with excellent fuel efficiency technology and low emissions.<br />

Improv<strong>in</strong>g fuel efficiency of Automatic transmission<br />

The new Premacy's improves fuel efficiency at high speeds with its<br />

high gear-ratio fourth gear and slip control technology. The fuel cutoff<br />

area has been expanded <strong>in</strong>to the low speeds, with cutoff control, also<br />

contribut<strong>in</strong>g to improved fuel efficiency. The electronically-controlled<br />

<strong>Mazda</strong>'s automatic four-speed transmission <strong>in</strong> the new Premacy and<br />

Axela provides slope control, ensur<strong>in</strong>g the driver of smooth shift<strong>in</strong>g<br />

that perfectly fits his or her sensitivity.<br />

Reduction of vehicle weight<br />

Weight reduction is effective for fuel efficiency.<br />

<strong>Mazda</strong> has adopted mojoule technology to door and front body parts<br />

for a long time.<br />

The new model Premacy (<strong>Mazda</strong>5) employs a res<strong>in</strong> lift gate as new<br />

generation multi functional unification module that contributes to<br />

weight reduction.<br />

Trend <strong>in</strong> average fuel efficiency by weight class<br />

20<br />

15<br />

10<br />

6<br />

FY 2000 FY 2001 FY 2002 FY 2003 FY 2004<br />

2<br />

<br />

1The 1,000kg weight class was removed <strong>in</strong> FY 2003.<br />

2Includes micro-m<strong>in</strong>i from FY 2004.<br />

1<br />

20.32<br />

20.15<br />

18.15<br />

16.85<br />

11.63<br />

11.05<br />

9.40<br />

750 875<br />

1000 1250<br />

1500<br />

1750 2000 <br />

<br />

21.2<br />

18.8<br />

<br />

17.9<br />

16.0<br />

13.0<br />

10.5<br />

8.9<br />

Fuel efficiency<br />

standard<br />

for 2010<br />

Comb<strong>in</strong><strong>in</strong>g Zoom-Zoom high performance with environmental capabilities<br />

At <strong>Mazda</strong>, we have achieved a comb<strong>in</strong>ation of cleaner emissions and better<br />

fuel efficiency that mean that almost all our cars now qualify for reductions <strong>in</strong><br />

automobile tax and purchase tax under the Automobile Green Tax system.<br />

The <strong>Mazda</strong>speed Atenza, which is due to go on sale <strong>in</strong> August 2005, features<br />

our newest 2.3L direct <strong>in</strong>jection gasol<strong>in</strong>e turbo eng<strong>in</strong>e MZR 2.3 DISI Turbo.<br />

Us<strong>in</strong>g a direct <strong>in</strong>jection eng<strong>in</strong>e means that emissions gases are released at a<br />

lower temperature, and allows the car to meet standards for approval under<br />

both SU-LEV Through achiev<strong>in</strong>g an extremely high compression ratio, fuel<br />

efficiency is also with<strong>in</strong> the category of +5% on fuel efficiency standards for<br />

2010. Its high output 200kW (272PS) and Zoom-Zoom high performance<br />

means that the model offers not only the comfort and economy required for<br />

day-to-day life, but also the tax reductions available under the Automobile<br />

Green Tax system.<br />

<strong>Mazda</strong>speed Atenza<br />

Glossary: 1<br />

S-VT Sequential valve tim<strong>in</strong>g<br />

When driv<strong>in</strong>g at low or medium load, the <strong>in</strong>take valve open<strong>in</strong>g tim<strong>in</strong>g is brought<br />

forward to allow a larger overlap between valves, thereby <strong>in</strong>creas<strong>in</strong>g the amount<br />

of residue gas and reduc<strong>in</strong>g pump<strong>in</strong>g loss. This improves fuel efficiency while<br />

at the same time reduc<strong>in</strong>g CO2 emissions, and also reduces output of NOx.<br />

Glossary: 2<br />

New Slope Control<br />

Reduces unnecessary upwards gear changes on uphill<br />

slopes, and allows an appropriate level of eng<strong>in</strong>e brak<strong>in</strong>g to<br />

be implemented on downhill slopes. This allows <strong>in</strong>creased<br />

safety on expressways and when corner<strong>in</strong>g downhill.<br />

Glossary: 3<br />

DISI<br />

Direct Injection Spark Ignition<br />

Injects high-pressure fuel <strong>in</strong>to the combustion chamber,<br />

achiev<strong>in</strong>g a cool<strong>in</strong>g effect with<strong>in</strong> the chamber.<br />

Social & Environmental Report 2005


Creat<strong>in</strong>g Easy to Recycle Cars<br />

The concept of recycl<strong>in</strong>g resources <strong>in</strong> manufactur<strong>in</strong>g cars is important <strong>in</strong> meet<strong>in</strong>g our responsibilities to the<br />

environment. <strong>Mazda</strong> is press<strong>in</strong>g ahead with adopt<strong>in</strong>g more and more recyclable elements at the design and<br />

development stages, as well as research<strong>in</strong>g recyclable materials and structures.<br />

Promotion of recycl<strong>in</strong>g at the development stages<br />

Atta<strong>in</strong>ment of over 90% recyclability ratio <strong>in</strong> new models<br />

Currently about 80% by weight of end-of-life vehicles (ELVs) can be<br />

recycled, mostly steel, alum<strong>in</strong>um and other metals. Plastic, glass and<br />

other materials mak<strong>in</strong>g up the rema<strong>in</strong><strong>in</strong>g 20% are generally shredded<br />

and landfilled. In order to better utilize this shredded material, <strong>Mazda</strong><br />

is press<strong>in</strong>g ahead with the follow<strong>in</strong>g research and development<br />

projects.<br />

Surveys / research <strong>in</strong>to ELV recycl<strong>in</strong>g technologies<br />

In addition to the reduction <strong>in</strong> quantity of shredder residue produced,<br />

mentioned above, <strong>Mazda</strong> is also <strong>in</strong>volved <strong>in</strong> survey<strong>in</strong>g and research<strong>in</strong>g<br />

recycl<strong>in</strong>g technologies for end-of-life vehicles (ELVs).<br />

We are also work<strong>in</strong>g towards carbon neutralization (br<strong>in</strong>g<strong>in</strong>g the<br />

quantity of CO2 emitted when a substance is burned <strong>in</strong> l<strong>in</strong>e with the<br />

quantity consumed by photosynthesis as it is developed) through<br />

develop<strong>in</strong>g natural materials that can be made <strong>in</strong>to eco-plastics.<br />

<br />

<br />

Research <strong>in</strong>to automobile design that takes <strong>in</strong>to consideration ease of<br />

dismantl<strong>in</strong>g, and research <strong>in</strong>to dismantl<strong>in</strong>g technology, to simplify the<br />

recovery of parts and materials that can be reused.<br />

Research <strong>in</strong>to use of res<strong>in</strong>s, which make up a significant proportion of<br />

shredder residue, so as to reduce the number of different materials used<br />

<strong>in</strong> parts, mak<strong>in</strong>g them easier to recycle.<br />

We have achieved a recyclability ratio of 90%<br />

or better for new model cars sold from FY 2002.<br />

<br />

Example of improved recyclability <strong>in</strong> Premacy<br />

Instrument panel<br />

Use of vibration adhesion to make air duct<br />

dismantl<strong>in</strong>g easier<br />

Door module<br />

Modularization allows simplification to use of PP<br />

A pillar trim<br />

Changes to adhesion method allow simple separation<br />

of PP and PUR<br />

Door trim<br />

Changes to adhesion method allows simple separation of<br />

PP and PUR<br />

Dash <strong>in</strong>sulator<br />

Simplification of noise <strong>in</strong>sulation<br />

and noise absorb<strong>in</strong>g materials<br />

Trunk side trim<br />

Changes to adhesion method allows<br />

simple separation of PP and felt<br />

PP: Polypropylene PUR: Polyurethane<br />

Glossary: 1<br />

Automobile Shredder Residue (ASR)<br />

The residue rema<strong>in</strong><strong>in</strong>g when metals have been<br />

removed from the product of shredd<strong>in</strong>g car bodies.<br />

Comprised of plastics, glass, rubber, etc.<br />

<br />

Social & Environmental Report 2005


The Challenges Fac<strong>in</strong>g Automobile Manufacturers<br />

Meet<strong>in</strong>g our responsibilities, while creat<strong>in</strong>g cars people want to drive<br />

Development targets, and atta<strong>in</strong>ment status, for promotion of recycl<strong>in</strong>g and reduction <strong>in</strong> use of resources<br />

category Objective<br />

Results for FY 2004<br />

Reduction <strong>in</strong> output of<br />

waste and use of<br />

resources<br />

(Improved recyclability)<br />

Promotion of automobile<br />

recycl<strong>in</strong>g<br />

Reduction <strong>in</strong> use of<br />

environmentally unfriendly<br />

substances<br />

Raise the recyclability ratio for new cars to 90%<br />

or higher from 2002<br />

Actively promote the use of recycled bumper<br />

material <strong>in</strong> components for new models<br />

Atta<strong>in</strong>ed <strong>in</strong> Verisa, Premacy<br />

47,300 damaged bumpers collected from the marketplace and utilized <strong>in</strong><br />

components for new cars.<br />

Proprietary pa<strong>in</strong>t stripp<strong>in</strong>g technology used to establish bumper-tobumper<br />

recycl<strong>in</strong>g for use <strong>in</strong> new cars.<br />

Recycl<strong>in</strong>g damaged bumpers <strong>in</strong>to bumpers for new cars<br />

<strong>Mazda</strong> is work<strong>in</strong>g hard on develop<strong>in</strong>g techniques for recycl<strong>in</strong>g res<strong>in</strong>s,<br />

which it believes should be completely recyclable <strong>in</strong> the future. We<br />

have achieved significant results <strong>in</strong> the area of recycl<strong>in</strong>g bumpers,<br />

which are particularly large-scale res<strong>in</strong> parts.<br />

Bumper recycl<strong>in</strong>g promotion<br />

S<strong>in</strong>ce 1992, <strong>Mazda</strong> has been collect<strong>in</strong>g damaged bumpers from dealerships<br />

(see page 50 for details) and reus<strong>in</strong>g the res<strong>in</strong> materials from them <strong>in</strong><br />

undercover and other automobile component materials. S<strong>in</strong>ce 2001, we have<br />

been able to remove between 98% and 99% of the pa<strong>in</strong>t from such bumpers,<br />

allow<strong>in</strong>g us to create components from the recycled materials that are at least<br />

as strong as those made from new materials, and use the recycled material<br />

as bumper re<strong>in</strong>forcement parts and gra<strong>in</strong> surfaced bumpers.<br />

Remov<strong>in</strong>g 99% of the pa<strong>in</strong>t from the bumpers, however, meant that it was<br />

still not possible to create the smooth surfaces required for bumpers on new<br />

cars, which require especially clean l<strong>in</strong>es for pa<strong>in</strong>t<strong>in</strong>g.<br />

Achiev<strong>in</strong>g bumper-to-bumper recycl<strong>in</strong>g<br />

<strong>Mazda</strong> jo<strong>in</strong>ed forces with the gra<strong>in</strong> process<strong>in</strong>g company Satake Inc. <strong>in</strong> 2003<br />

to develop an optical selection technology that allows the removal of pa<strong>in</strong>t<br />

membrane from recycled bumpers (patent pend<strong>in</strong>g). We have achieved a<br />

highly pure material recovery process that allows the removal of 99.9% of<br />

pa<strong>in</strong>t membrane, and subsequently have been able to develop components<br />

from this material that have the same level of strength as bumpers made<br />

from entirely new materials. The bumpers made <strong>in</strong> this way can also be<br />

pa<strong>in</strong>ted to the high quality standards required <strong>in</strong> new cars. This 'bumper to<br />

bumper recycl<strong>in</strong>g' process was put <strong>in</strong>to practice creat<strong>in</strong>g the rear bumpers<br />

for RX-8 models manufactured from the end of March 2005. <strong>Mazda</strong> <strong>in</strong>tends<br />

to <strong>in</strong>troduce recycled bumpers made from this recovered material with the<br />

pa<strong>in</strong>t removed <strong>in</strong>to other models, as well as press<strong>in</strong>g ahead with other<br />

aspects of automobile recycl<strong>in</strong>g.<br />

Trends <strong>in</strong> number of bumpers collected<br />

(No. of bumpers)<br />

50,000<br />

45,000<br />

40,000<br />

35,000<br />

30,000<br />

25,000<br />

20,000<br />

15,000<br />

10,000<br />

5,000<br />

0<br />

<br />

47,300<br />

'95 '96 '97 '98 '99 '00 '01 '02 '03 '04(Fiscal Year)<br />

Achiev<strong>in</strong>g bumper-to-bumper recycl<strong>in</strong>g<br />

A new sense of mean<strong>in</strong>g for<br />

recycl<strong>in</strong>g <strong>in</strong> the future<br />

Kazuhisa To, Technical Research Center<br />

Bumpers are large plastic components, and as such, it is obviously more<br />

effective to be able to reuse bumper material not <strong>in</strong> t<strong>in</strong>y car components but<br />

<strong>in</strong> larger parts, <strong>in</strong> order to be truly effective at recycl<strong>in</strong>g. Be<strong>in</strong>g able to remove<br />

99.9% of the pa<strong>in</strong>t from used bumpers, as opposed to only 99%, made a<br />

huge difference <strong>in</strong> our ability to do this, and it was a change <strong>in</strong> our way of<br />

th<strong>in</strong>k<strong>in</strong>g that brought this about. We had to th<strong>in</strong>k of a way not just to raise the<br />

99% achievement even higher, but to create a whole new technique, and for<br />

this we looked to the optical selection techniques used for cereals and other<br />

materials. We worked on evolv<strong>in</strong>g and apply<strong>in</strong>g these techniques to create a<br />

highly pure product that could be used <strong>in</strong> component production. In the<br />

process of evolv<strong>in</strong>g car recycl<strong>in</strong>g techniques, bumper-to-bumper recycl<strong>in</strong>g is<br />

an extremely large step forward. Hav<strong>in</strong>g crossed this l<strong>in</strong>e makes me feel that<br />

we have given the concept of recycl<strong>in</strong>g a whole new mean<strong>in</strong>g for the future.<br />

<br />

The RX-8 with a recycled rear bumper<br />

Social & Environmental Report 2005


Reduction <strong>in</strong> Environmental Substances of Concern<br />

<strong>Mazda</strong> is press<strong>in</strong>g ahead with the development of technologies that will allow us to use less lead, hexavalent<br />

chromium, cadmium or mercury <strong>in</strong> our automobiles. We have already elim<strong>in</strong>ated the use of lead <strong>in</strong> fuel tanks, wheel<br />

balancers and electrocoat, establish<strong>in</strong>g alternative technologies to replace the substance.<br />

Reduction <strong>in</strong> use of lead, hexavalent chromium, cadmium and mercury<br />

Hexavalent chrome has already been elim<strong>in</strong>ated from a number of<br />

components, and we are develop<strong>in</strong>g alternative technologies for<br />

rema<strong>in</strong><strong>in</strong>g uses <strong>in</strong> critical safety components and torqued nuts and<br />

bolts. We are steadily reduc<strong>in</strong>g the amounts of cadmium used <strong>in</strong><br />

electrical and electronic components, while mercury has been<br />

elim<strong>in</strong>ated from everyth<strong>in</strong>g except LCD panels and discharge<br />

headlights.<br />

Reduced use of air conditioner refrigerant<br />

As part of our program to help prevent global warm<strong>in</strong>g we began us<strong>in</strong>g air<br />

conditioners with CFC alternatives <strong>in</strong> the early 1990s, free of any ozone<br />

depletion agents. It was discovered that these gases still have a<br />

greenhouse gas effect, however, for which reason we are work<strong>in</strong>g to<br />

m<strong>in</strong>imize our amount of these substances. We are also develop<strong>in</strong>g<br />

technology for new refrigerants to allow us to stop us<strong>in</strong>g these CFC<br />

alternatives entirely.<br />

Reductions <strong>in</strong> cab<strong>in</strong> VOCs<br />

Lead-Free fuel Tank Developed for Atenza<br />

We are review<strong>in</strong>g the materials, adhesives and other items used <strong>in</strong> the<br />

cab<strong>in</strong> to m<strong>in</strong>imize VOC(volatile organic compounds) such as aldehydes,<br />

which can irritate nose and throat. We have developed an odor removal<br />

filter with an extremely effective<br />

aldehyde removal function, and<br />

began mount<strong>in</strong>g it <strong>in</strong> our vehicles <strong>in</strong><br />

1999. In addition, we have been<br />

switch<strong>in</strong>g to alternative materials<br />

and adhesives <strong>in</strong> the cab<strong>in</strong> to<br />

m<strong>in</strong>imize the amount of VOCs<br />

generated.<br />

Odor-Removal Filter with Aldehyde-Removal Function<br />

Category Objective<br />

Results for FY 2004<br />

Reductions of environmental<br />

substances of concern<br />

Substances<br />

of concern<br />

Promote reduced use of four substances<br />

(lead, mercury hexavalent chrome, cadmium)<br />

Promote reduced use of four substances(lead,marcury,hexavant chromium,cadmium)<br />

Lead, hexavalent chromium, cadmium: Elim<strong>in</strong>ated <strong>in</strong> some part through use of alternates.<br />

Mercury: Elim<strong>in</strong>ated except for uses <strong>in</strong> LCD panels, discharge head lights and a few other parts.<br />

Promote reduced VOCs <strong>in</strong> cab<strong>in</strong><br />

VOC levels reduced through change <strong>in</strong> cab<strong>in</strong> components<br />

Noise reduction<br />

Vehicle noise is generated primarily by the eng<strong>in</strong>e, the exhaust system, the air <strong>in</strong>take system and the drive tra<strong>in</strong> system.<br />

All of our passenger and commercial vehicles meet noise regulations. The new FY 2004 Verisa and Premacy comply<br />

with the latest noise regulations.<br />

Category Objective<br />

Results for FY 2004<br />

Reductions <strong>in</strong> vehicle noise<br />

Noise<br />

Comply with external noise regulations <strong>in</strong> all new cars<br />

All new models comply with new standards<br />

Social & Environmental Report 2005


The Challenges Fac<strong>in</strong>g Automobile Manufacturers<br />

Rais<strong>in</strong>g Levels of Customer Satisfaction and Quality<br />

Meet<strong>in</strong>g our responsibilities, while creat<strong>in</strong>g cars people want to drive<br />

In the end, our products are only as good as our customers th<strong>in</strong>k they are.<br />

<strong>Mazda</strong> is committed to hear<strong>in</strong>g the views of our customers, and reflect<strong>in</strong>g these <strong>in</strong> better products and services, <strong>in</strong><br />

order to improve customer satisfaction.<br />

Listen<strong>in</strong>g and respond<strong>in</strong>g seriously to our customers' views<br />

Improv<strong>in</strong>g CS, and our responses to customers<br />

At <strong>Mazda</strong>, we consider improv<strong>in</strong>g our levels of customer satisfaction<br />

(CS) to be one of the most important challenges of our corporate<br />

activities. For this reason, we implement customer satisfaction<br />

surveys of our products and services, and have established a call<br />

center that allows us to hear the op<strong>in</strong>ions of a wide range of our<br />

Sales<br />

Divisions<br />

Manufactur<strong>in</strong>g<br />

Divisions<br />

<strong>Mazda</strong><br />

Customer<br />

Service<br />

Divisions<br />

Implementation<br />

Partnerships<br />

<strong>Mazda</strong><br />

Domestic<br />

Dealerships<br />

The <strong>Mazda</strong> Call Center<br />

Be<strong>in</strong>g able to hear what our customers say and require is the basis of<br />

any improvements we make to our manufactur<strong>in</strong>g work. <strong>Mazda</strong><br />

established the <strong>Mazda</strong> Call Center <strong>in</strong> February 1984 <strong>in</strong> order to be able<br />

to gather enquiries, advice, requests and compla<strong>in</strong>ts from throughout<br />

Japan.<br />

The call center currently operates with a staff of 50, and offers a<br />

service that takes all enquiries from customers, either by telephone or<br />

by Internet, extremely seriously. S<strong>in</strong>ce October 2004, we have<br />

extended the call center open<strong>in</strong>g hours to <strong>in</strong>clude Saturdays, Sundays<br />

and national holidays, <strong>in</strong> addition to weekdays, and begun to accept<br />

calls on a toll-free l<strong>in</strong>e, <strong>in</strong> order to make it even easier for our<br />

customers to speak to us. In l<strong>in</strong>e with the Data Protection Act enacted<br />

<strong>in</strong> April 2005, we have also reorganized our system for the handl<strong>in</strong>g of<br />

personal <strong>in</strong><strong>format</strong>ion (see page 68) and respond to all requests for<br />

disclosure.<br />

Dur<strong>in</strong>g 2004, we handled around 74,000 calls at the call center. The<br />

op<strong>in</strong>ions expressed and requests made dur<strong>in</strong>g these calls are<br />

extremely important to us as <strong>in</strong>-house feedback, and play a vital role<br />

<strong>in</strong> improv<strong>in</strong>g customer satisfaction as they are reflected <strong>in</strong> product<br />

development, sales and services.<br />

Technical<br />

Divisions<br />

Meet<strong>in</strong>g the diversify<strong>in</strong>g needs of a lifestyle <strong>in</strong>clud<strong>in</strong>g cars<br />

As cars have become more and more part of our day-to-day lives, the<br />

need for their functions and forms to fit our personal tastes and<br />

lifestyles has become greater. <strong>Mazda</strong>'s group-wide customization<br />

project allows customers to freely choose their own style of car,<br />

thereby meet<strong>in</strong>g a wide range of lifestyle needs and improv<strong>in</strong>g<br />

customer satisfaction at a detailed level.<br />

Web Tune Factory<br />

The Web Tune Factory, which opened <strong>in</strong> February 2001, was the Japanese<br />

automobile <strong>in</strong>dustry's first Internet site to sell order-made production cars.<br />

Customers us<strong>in</strong>g the site can choose their own comb<strong>in</strong>ation of f<strong>in</strong>ish<strong>in</strong>g options,<br />

view a range of exteriors and <strong>in</strong>teriors, see estimates for the features they would<br />

like to have done, and apply to purchase a car. The simulation function of the<br />

site was used <strong>in</strong> FY 2004 by around 1.13 million customers, up around 345%<br />

from the previous year.<br />

WEB TUNE FACTORY<br />

Quality<br />

Divisions<br />

Customer Advice<br />

Division<br />

<strong>Mazda</strong> Call Center<br />

<br />

Customer<br />

<strong>Mazda</strong> Call Center<br />

Social & Environmental Report 2005


Customization projects<br />

Our Group company, <strong>Mazda</strong> E&T Inc., is <strong>in</strong>volved <strong>in</strong> the manufacture<br />

of a wide range of vehicles through its 'Special needs Customization<br />

Project', for special needs vehicles, its 'Pleasure Customization<br />

Project' for a wide range of <strong>in</strong>dividualized and hobby-type cars, and its<br />

'Bus<strong>in</strong>ess Customization Project' for the design, development and<br />

fitt<strong>in</strong>g of refrigerated and other special-order commercial vehicles.<br />

Orders for such vehicles may be for extremely small quantities, but<br />

the vehicles themselves are play<strong>in</strong>g vital roles <strong>in</strong> the lives of many.<br />

Global Customer Satisfaction<br />

Alongside <strong>in</strong>dividual customer needs, the different countries to which<br />

<strong>Mazda</strong> ships its cars also have extremely differ<strong>in</strong>g cultural factors and<br />

preferences relat<strong>in</strong>g to cars. <strong>Mazda</strong> ensures communication between its<br />

development divisions and its sales companies such as MNAO <strong>in</strong> America<br />

and those <strong>in</strong> Europe, Ch<strong>in</strong>a, Southeast Asia, and Australia, and is constantly<br />

coord<strong>in</strong>at<strong>in</strong>g and study<strong>in</strong>g the types of car required <strong>in</strong> different cities<br />

around the world, so as to improve customer satisfaction on a global basis.<br />

Market<strong>in</strong>g staff <strong>in</strong> each country are required to have a thorough knowledge<br />

of the product development and <strong>in</strong>troduction process, and personnel are<br />

frequently sent to different countries from the Head Office Global Market<strong>in</strong>g<br />

Division <strong>in</strong> order to <strong>in</strong>crease communication with development staff.<br />

<br />

Overseas assignment<br />

provides an improved<br />

understand<strong>in</strong>g of the<br />

product development<br />

Global Product Market<strong>in</strong>g Division,<br />

Global Market<strong>in</strong>g Head Office<br />

Tetsu Nakazawa<br />

Japan assignment began <strong>in</strong> June of 2004 and<br />

will complete at the end of 2005.<br />

My current assignment <strong>in</strong>volves work<strong>in</strong>g with R&D on the development of the<br />

European version of the just launched MX-5. Specifically, I communicate daily with<br />

<strong>Mazda</strong> Motors Europe and discuss their various equipment requirements as well as<br />

determ<strong>in</strong><strong>in</strong>g pric<strong>in</strong>g and expected volumes for all of Europe. Additionally, I release<br />

order guides for the <strong>in</strong>divdual markets which conta<strong>in</strong> product specifications, color<br />

comb<strong>in</strong>ations and a detailed equipment and model variation list. While at MNAO I<br />

was also <strong>in</strong>volved work<strong>in</strong>g on the MX-5, however I would make proposals to<br />

<strong>Mazda</strong>'s GPMD as to the market requirements for North America.<br />

In Japan I am us<strong>in</strong>g my previous overseas market experience to try to work closely<br />

with development and expla<strong>in</strong> the market needs. I have ga<strong>in</strong>ed a much better<br />

understand<strong>in</strong>g of the development process and challenges at <strong>Mazda</strong> <strong>in</strong> br<strong>in</strong>g<strong>in</strong>g a<br />

product to market. Hav<strong>in</strong>g direct communication with R&D is a valuable experience<br />

and I hope to keep my contacts when I return to the US.<br />

<br />

<strong>Mazda</strong> Momentum released<br />

to help dealers worldwide<br />

As part of the mid-term management plan known as <strong>Mazda</strong><br />

Momentum, <strong>Mazda</strong> <strong>in</strong>vited dealers and distributors from all over the<br />

world to a Momentum Event <strong>in</strong> May 2005. The purpose of the event<br />

was to deepen our understand<strong>in</strong>g of the 'One <strong>Mazda</strong>' operat<strong>in</strong>g<br />

globally, and thereby to improve customer satisfaction with our<br />

products.<br />

From the po<strong>in</strong>ts of view of participat<strong>in</strong>g numbers, products exhibited,<br />

and scale, it was the biggest event we have hosted to date <strong>in</strong><br />

Hiroshima, and we received excellent feedback <strong>in</strong> relation to the future<br />

products and cycle plans announced at the Event. It was felt that the<br />

event served to confirm our confidence <strong>in</strong> our future and <strong>in</strong> one<br />

Views of visitors from overseas<br />

I learned a lot about some very impressive<br />

products, and I feel confident about the<br />

future of <strong>Mazda</strong>.<br />

I met the people who actually make our<br />

products, and was able to visit the production<br />

l<strong>in</strong>es. I felt a strong sense of the spirit and<br />

culture of <strong>Mazda</strong>.<br />

I was emboldened by my participation <strong>in</strong><br />

the event. I th<strong>in</strong>k it met the objectives of<br />

creat<strong>in</strong>g One <strong>Mazda</strong>, One Team, One Vision.<br />

I felt the passion of <strong>Mazda</strong> for the future<br />

through this event.<br />

Glossary: 1<br />

MNAO<br />

<strong>Mazda</strong> North American Operations<br />

The bus<strong>in</strong>ess name under which <strong>Mazda</strong><br />

Motors of America Inc. operates.<br />

<br />

Social & Environmental Report 2005


The Challenges Fac<strong>in</strong>g Automobile Manufacturers<br />

Meet<strong>in</strong>g our responsibilities, while creat<strong>in</strong>g cars people want to drive<br />

Work<strong>in</strong>g towards dramatic improvements <strong>in</strong> quality<br />

<strong>Mazda</strong> took 'Dramatic Improvements <strong>in</strong> Quality' as its company-wide<br />

theme for the year 2004 onwards. We are aim<strong>in</strong>g not only to improve<br />

our products, but also our overall quality of work, <strong>in</strong>clud<strong>in</strong>g work<br />

processes, <strong>in</strong> order to create even more impressive products for our<br />

customers.<br />

<strong>Mazda</strong> Quality activities<br />

<strong>Mazda</strong> <strong>in</strong>troduced QC circle activities to its work <strong>in</strong> 1962, <strong>in</strong> order to<br />

supply products that satisfied our customers. Subsequently, we<br />

<strong>in</strong>creased the scope of our quality work to cover not only products but<br />

also services and work process, and rolled out a program of quality<br />

improvement activities known as <strong>Mazda</strong> Quality Activities. This<br />

pr<strong>in</strong>ciple cont<strong>in</strong>ues today, and <strong>in</strong> more recent times we have added<br />

Quality Eng<strong>in</strong>eer<strong>in</strong>g and Six Sigma pr<strong>in</strong>ciples, as well as other<br />

methods considered effective throughout the world, to our<br />

conventional Japanese QC activities, <strong>in</strong> order to give quality<br />

management an <strong>in</strong>ternational validity. This has allowed us to recreate<br />

the concepts of <strong>Mazda</strong> Quality further, and <strong>in</strong>crease the quality of<br />

everyth<strong>in</strong>g we offer to our customers. The standard of our activities<br />

has been recognized with several awards at national QC Circle<br />

competitions, as well as with<strong>in</strong> quality eng<strong>in</strong>eer<strong>in</strong>g research<br />

presentations, and we are extremely proud of our current high levels<br />

of quality.<br />

Improv<strong>in</strong>g 'attractive quality'<br />

In addition to improv<strong>in</strong>g our products through <strong>Mazda</strong> Quality and TPM<br />

activities, allow<strong>in</strong>g our customers to feel safe when driv<strong>in</strong>g our cars,<br />

and trust <strong>Mazda</strong>, we also work on 'attractive quality', which allows<br />

customers to feel<br />

satisfied with, and enjoy, own<strong>in</strong>g and us<strong>in</strong>g a car.<br />

Our attention to detail knows no bounds, and allows us to<br />

communicate the sure quality of a <strong>Mazda</strong> car. This is an important<br />

element of the Zoom-Zoom concept beh<strong>in</strong>d all <strong>Mazda</strong> products.<br />

Our recall system and response<br />

We operate a <strong>full</strong> disclosure policy <strong>in</strong> regard to faulty products and the<br />

measures we take to handle them, which are expla<strong>in</strong>ed <strong>full</strong>y to all<br />

related divisions <strong>in</strong>clud<strong>in</strong>g top management, and we aim to implement<br />

any necessary measures swiftly and appropriately. Quality <strong>in</strong><strong>format</strong>ion<br />

gathered from the marketplace is all stored for reference, and <strong>in</strong>ternal<br />

audit<strong>in</strong>g checks are carried out to ensure that any recall response<br />

measures taken are implemented <strong>in</strong> a way that is correct and leaves<br />

no room for error.<br />

Documents submitted to relevant authorities <strong>in</strong> l<strong>in</strong>e with applicable laws for each country<br />

Notifications to customers by direct mail and <strong>in</strong> newspapers, and explanations given to dealerships<br />

Disclosure of recall <strong>in</strong><strong>format</strong>ion on website<br />

Recovery and free repairs to affected products<br />

The challenge of TPM<br />

With<strong>in</strong> the <strong>Mazda</strong> Group, we are committed to <strong>in</strong>creas<strong>in</strong>g the<br />

efficiency of our production systems to the maximum, <strong>in</strong> order to root<br />

out defective products and prevent losses through breakdown and<br />

disaster. Our TPM activities have been <strong>in</strong> place s<strong>in</strong>ce the late 1980s to<br />

assist with this. At present, <strong>Mazda</strong> implements TPM activities <strong>in</strong> 11 of<br />

its operations centers, of which 10 have won awards for TPM.<br />

Our Quality Division, implements a <strong>full</strong> disclosure policy <strong>in</strong> regard to<br />

faulty products and the measures we take to handle them, which are<br />

expla<strong>in</strong>ed <strong>full</strong>y to all related divisions <strong>in</strong>clud<strong>in</strong>g top management, and we<br />

aim to implement any necessary measures swiftly and appropriately.<br />

Quality <strong>in</strong><strong>format</strong>ion gathered from the marketplace is all stored for<br />

reference, and 'recall audit<strong>in</strong>g' checks are carried out to ensure that any<br />

recall response measures taken are implemented <strong>in</strong> a way that leaves no<br />

room for error.<br />

Glossary: 2<br />

Glossary: 3<br />

QC Circle Activities<br />

QC stands for Quality Control. The circle refers to the group of l<strong>in</strong>e<br />

workers and other personnel who work cont<strong>in</strong>ually to manage and<br />

improve quality <strong>in</strong> products, service and work tasks.<br />

TPM Activities<br />

Stands for Total Productive Ma<strong>in</strong>tenance. Activities that aim to<br />

reduce loss to zero through creat<strong>in</strong>g preventative systems<br />

work<strong>in</strong>g towards 'zero accident, zero defect, zero breakdown',<br />

among other targets, with<strong>in</strong> the production system's overall life<br />

cycle.<br />

Social & Environmental Report 2005


Help<strong>in</strong>g Customers to Use their Cars Longer,<br />

and with more Peace of M<strong>in</strong>d<br />

Appropriate ma<strong>in</strong>tenance of a vehicle is vital, s<strong>in</strong>ce use wears many of its component parts down. <strong>Mazda</strong> is<br />

committed to after-sales servic<strong>in</strong>g, so as to ensure that our customers can cont<strong>in</strong>ue to feel confident <strong>in</strong> us<strong>in</strong>g their<br />

cars.<br />

Develop<strong>in</strong>g easy-to-use, convenient services<br />

<strong>Mazda</strong> works to develop products for use <strong>in</strong> car ma<strong>in</strong>tenance that reduce<br />

both the pay on the customer and the load on the environment, <strong>in</strong> order<br />

not only to enable customers to drive their cars <strong>in</strong> safety and comfort<br />

from purchase to end-of-life, but also ma<strong>in</strong>ta<strong>in</strong> environmental<br />

performance through improved fuel consumption and emissions. We are<br />

committed to all aspects of after-sales service. Our nationally qualified<br />

mechanics use only genu<strong>in</strong>e <strong>Mazda</strong> parts for servic<strong>in</strong>g, and we supply<br />

discounted package rates for periodic servic<strong>in</strong>g as required by law, as<br />

well as other unique service packages. Dur<strong>in</strong>g 2004 we extended our<br />

service program, which is designed to give our customers peace of<br />

m<strong>in</strong>d, and also extended our general warranty and special warranty<br />

packages. We developed and <strong>in</strong>troduced new services that offer highquality<br />

repairs for small scratches and dents to cars, as well as easy<br />

ma<strong>in</strong>tenance options, <strong>in</strong> order to improve our overall levels of service.<br />

<strong>Mazda</strong> Tra<strong>in</strong><strong>in</strong>g Center Taibi (located <strong>in</strong> Aki-gun, Hiroshima Pref.)<br />

The Tra<strong>in</strong><strong>in</strong>g Center operates a wide range of research and tra<strong>in</strong><strong>in</strong>g<br />

programs for dealership service staff from Japan and overseas, enabl<strong>in</strong>g<br />

them to improve their skills. The center opened <strong>in</strong> October 1972, and<br />

receives around 1,600 visitors from Japan and overseas per year. In<br />

November 2002, a second tra<strong>in</strong><strong>in</strong>g center was opened <strong>in</strong> Yokohama for<br />

domestic dealership service staff. After requests from local authorities, we<br />

have also begun automobile ma<strong>in</strong>tenance demonstrations for the general<br />

public, as well as various other activities that contribute to the life of the<br />

communities <strong>in</strong> which we operate, and we also offer research opportunities<br />

for car ma<strong>in</strong>tenance eng<strong>in</strong>eer<strong>in</strong>g companies who are members of a public<br />

foundation, at which staff can learn about new ma<strong>in</strong>tenance techniques.<br />

<br />

<br />

<strong>Mazda</strong> Tra<strong>in</strong><strong>in</strong>g Center Taibi<br />

Improv<strong>in</strong>g service skills<br />

In order to tra<strong>in</strong> service staff who can provide the highest possible levels<br />

of service, we operate tra<strong>in</strong><strong>in</strong>g facilities and research programs, as well<br />

as qualification and accreditation systems, and the <strong>Mazda</strong> Excellent<br />

awards system for dealerships. Dealership sales and service staff are<br />

tra<strong>in</strong>ed us<strong>in</strong>g the <strong>Mazda</strong> Excellent Navigator behavior manual, and we<br />

also issue publications deal<strong>in</strong>g with the promotion of environmentally<br />

friendly behavior and adherence to<br />

environmental regulations, which<br />

<strong>in</strong>clude examples of good practice.<br />

In this way, we aim to ensure that<br />

our dealerships are meet<strong>in</strong>g<br />

customer expectations, as well as<br />

the expectations of the regions <strong>in</strong><br />

which they are located.<br />

Host<strong>in</strong>g of All-Japan Service Eng<strong>in</strong>eer<strong>in</strong>g Contest<br />

S<strong>in</strong>ce 1963, <strong>Mazda</strong> has hosted a nationwide contest for excellent,<br />

professional regional service staff, <strong>in</strong> order to encourage the tra<strong>in</strong><strong>in</strong>g of<br />

such staff, and ensure that our customer service potential and<br />

eng<strong>in</strong>eer<strong>in</strong>g skills are<br />

constantly kept up to date.<br />

Similar events are held<br />

worldwide, and on June 17,<br />

2004, we hosted the first<br />

Global Service Eng<strong>in</strong>eer<strong>in</strong>g<br />

Contest, <strong>in</strong> Cologne,<br />

Germany, <strong>in</strong>volv<strong>in</strong>g<br />

representatives from 9<br />

countries.<br />

All-Japan Service Eng<strong>in</strong>eer<strong>in</strong>g Contest<br />

Shar<strong>in</strong>g eng<strong>in</strong>eer<strong>in</strong>g <strong>in</strong><strong>format</strong>ion and quality <strong>in</strong><strong>format</strong>ion with the world<br />

<strong>Mazda</strong> Excellent Navigator<br />

New 6S, a publication that deals with adherence to<br />

environmental laws and better environmental practice<br />

In addition to us<strong>in</strong>g quality <strong>in</strong><strong>format</strong>ion collected from the market <strong>in</strong><br />

after-sales service activities <strong>in</strong> improv<strong>in</strong>g our cars and our service<br />

eng<strong>in</strong>eer<strong>in</strong>g, we also feed back such <strong>in</strong><strong>format</strong>ion regard<strong>in</strong>g<br />

improvements and eng<strong>in</strong>eer<strong>in</strong>g to our service bases worldwide. S<strong>in</strong>ce<br />

April 2005, we have <strong>in</strong>creased the speed at which <strong>in</strong><strong>format</strong>ion is<br />

communicated to our dealerships, and are work<strong>in</strong>g <strong>in</strong> improv<strong>in</strong>g the<br />

speed at which after-sales service quality is updated both <strong>in</strong> Japan and<br />

overseas.<br />

<br />

Social & Environmental Report 2005


The Challenges Fac<strong>in</strong>g Automobile Manufacturers<br />

Recycl<strong>in</strong>g End-of-Life Vehicles<br />

Meet<strong>in</strong>g our responsibilities, while creat<strong>in</strong>g cars people want to drive<br />

In response to the Automobile Recycl<strong>in</strong>g Act that was enacted on January 1, 2005, <strong>Mazda</strong> established a mechanism<br />

for the smooth recycl<strong>in</strong>g of CFCs, airbags and ASRs.<br />

Post-Iaw enactment recycl<strong>in</strong>g results (from Jan-Mar 2005) are reported below.<br />

Automobile recycl<strong>in</strong>g Act Recycl<strong>in</strong>g achievements dur<strong>in</strong>g FY 2004<br />

The Automobile Recycl<strong>in</strong>g Act requires compliance <strong>in</strong> the areas of CFCs, which are<br />

coolants used <strong>in</strong> air condition<strong>in</strong>g units that damage the ozone layer when released<br />

<strong>in</strong>to the environment, and contribute to global warm<strong>in</strong>g, airbags, which are<br />

considered difficult to process because of their explosive properties, and automobile<br />

shredder residue (ASR), which is left after metals have been collected from end-of-life<br />

vehicles (ELVs).<br />

Accord<strong>in</strong>g to the Act, automobile manufacturers are required to recover these three<br />

items and take <strong>full</strong> responsibility for their appropriate disposal. <strong>Mazda</strong> is work<strong>in</strong>g to<br />

ensure that its <strong>in</strong>tegrated recycl<strong>in</strong>g system is constantly runn<strong>in</strong>g smoothly, and works<br />

closely <strong>in</strong> partnership with the <strong>in</strong>dustry and related agencies. Our preparations for<br />

compliance with the act were <strong>in</strong> place by January 1, 2005, when the Act took effect.<br />

Collection and disposal of CFCs, airbag recycl<strong>in</strong>g<br />

The Japanese automobile manufacturers<br />

along with other related organization,<br />

cooperatively formed the Automobile<br />

Recycl<strong>in</strong>g Cooperative Organization to<br />

handle process<strong>in</strong>g and recycl<strong>in</strong>g. S<strong>in</strong>ce<br />

1999, <strong>Mazda</strong> has promoted the use of its<br />

all-<strong>in</strong>-one operat<strong>in</strong>g and process<strong>in</strong>g<br />

connector for airbags <strong>in</strong> all new model cars.<br />

The connector allows the airbag to be operated and then disposed of<br />

without remov<strong>in</strong>g it from the car, and therefore allows airbags to be<br />

dealt with simply while still on board the ELV. We also published and<br />

distributed a manual of appropriate disposal methods for airbags, <strong>in</strong><br />

order to ma<strong>in</strong>ta<strong>in</strong> the safety of people <strong>in</strong>volved <strong>in</strong> dismantl<strong>in</strong>g work.<br />

ASR recycl<strong>in</strong>g<br />

<strong>Mazda</strong> has teamed up with Nissan and eight other manufacturers to<br />

establish ART, which is work<strong>in</strong>g on the collection and recycl<strong>in</strong>g of<br />

shredder residue. The required recyclability ratio of ASR is be<strong>in</strong>g raised<br />

<strong>in</strong> law by stages (30% <strong>in</strong> 2005, 50% <strong>in</strong> 2010, 75% <strong>in</strong> 2015), and we<br />

are committed to adherence to the regulations as well as early<br />

atta<strong>in</strong>ment of future targets.<br />

Other activities<br />

<strong>Mazda</strong> is collect<strong>in</strong>g <strong>in</strong><strong>format</strong>ion regard<strong>in</strong>g the recyclability and<br />

servic<strong>in</strong>g of each of the roughly 4.7 million cars it has sold <strong>in</strong> Japan,<br />

and ma<strong>in</strong>ta<strong>in</strong>s a vehicle database and <strong>in</strong>-house IT system to monitor<br />

such <strong>in</strong><strong>format</strong>ion. We have also been <strong>in</strong>volved <strong>in</strong> various activities as<br />

part of the Ford Group, ensur<strong>in</strong>g that all Ford Group companies are <strong>in</strong><br />

l<strong>in</strong>e with the regulations of the Automobile Recycl<strong>in</strong>g Act. Our <strong>in</strong>-house<br />

IT system is be<strong>in</strong>g further developed so as to be able to handle<br />

<strong>in</strong><strong>format</strong>ion relat<strong>in</strong>g to imported cars from other companies <strong>in</strong> the<br />

Group.<br />

<strong>Mazda</strong> published its results <strong>in</strong> relation to recycl<strong>in</strong>g and compliance with<br />

the three aspects of the Automobile Recycl<strong>in</strong>g Act (ASR, airbags and<br />

CFCs) for the relevant period dur<strong>in</strong>g FY 2004 (January 1 – March 31,<br />

2005) on June 22, 2005. Our results for ASR and airbags exceeded<br />

regulated targets by a significant amount, and CFCs were dealt with<br />

appropriately. <strong>Mazda</strong> is work<strong>in</strong>g to ensure even better results <strong>in</strong> the<br />

future.<br />

Status of compliance with regulations 1<br />

Category Result Regulation standard<br />

ASR recycl<strong>in</strong>g ratio 2<br />

Airbag recycl<strong>in</strong>g ratio<br />

3<br />

56<br />

95<br />

M<strong>in</strong>. 30%<br />

(for FY 2005 – FY 2009)<br />

M<strong>in</strong>. 85%<br />

1Based on Item 2, Article 25, Automobile Recycl<strong>in</strong>g Act<br />

2Based on ratios given for shredder residue <strong>in</strong> Article 28 (Shredder dust process<strong>in</strong>g)<br />

and Article 31 (Total recyclability), Automobile Recycl<strong>in</strong>g Act<br />

Total quantity of recycled airbags<br />

3 Airbag recycl<strong>in</strong>g ratio<br />

Total quantity recovered airbags<br />

Outl<strong>in</strong>e of recycl<strong>in</strong>g ratios achieved dur<strong>in</strong>g FY 2004 (January March 2005)<br />

CFCs<br />

Airbags<br />

Shredder<br />

residue<br />

(ASR)<br />

Total quantity collected<br />

Total quantity collected<br />

Total no. operated and processed<br />

Total quantity ASR collected<br />

Total dust emission after<br />

recyclable materials collected<br />

Total value of repaid deposits<br />

Total value of costs expended <strong>in</strong> recycl<strong>in</strong>g<br />

3,664kg<br />

510<br />

3,444<br />

2,343tons<br />

188tons<br />

For details, please see our website http://www.mazda.co.jp/recycle<br />

(Japanese only)<br />

10,215 units<br />

2,483 units<br />

(<strong>in</strong>cludes 3 cars from which<br />

partially collected / operated)<br />

13,199 units<br />

1,054 units<br />

107,645,930yen<br />

123,552,192yen<br />

Reuse and recycl<strong>in</strong>g of parts<br />

S<strong>in</strong>ce 1996, <strong>Mazda</strong> has been collect<strong>in</strong>g eng<strong>in</strong>es and automatic<br />

transmissions from cars that have been repaired, and sell<strong>in</strong>g them as<br />

rebuilt components. This reuse program is expand<strong>in</strong>g, and our<br />

component parts sales companies have been <strong>in</strong>creas<strong>in</strong>gly form<strong>in</strong>g<br />

partnerships with related companies for the sale of second hand<br />

components.<br />

Glossary: 1<br />

Glossary: 2<br />

ASR<br />

ART<br />

Automobile Shredder Residue<br />

The residue rema<strong>in</strong><strong>in</strong>g when metals have been<br />

removed from the product of shredd<strong>in</strong>g car<br />

bodies. Comprised of plastics, glass, rubber,<br />

etc.<br />

Automobile Shredder Residue Recycl<strong>in</strong>g Promotion Team<br />

Comprised of <strong>Mazda</strong>, Nissan, Mitsubishi, Fuji Heavy Industries, Suzuki,<br />

Isuzu, Nissan Diesel, and Mitsubishi Fuso Truck & Bus.<br />

Social & Environmental Report 2005


Activities as an Automobile Manufacturer<br />

Social & Environmental Report 2005<br />

Environmental Management/Environmental Profection Activites<br />

Build<strong>in</strong>g a Groupwide Management Stance for a New Environmental Policy<br />

Environmental Education and Communication<br />

Environmental Activities Promotion Plans and Results of Activities dur<strong>in</strong>g Fiscal 2004<br />

Lower Environmental Impact <strong>in</strong> Every Phase of Company Operations<br />

LCA Implementation<br />

Environmental Account<strong>in</strong>g<br />

A State-of-the-Art Clean Factory, through our Unique Technology and Knowledge<br />

Efforts to Help Prevent Global Warm<strong>in</strong>g<br />

Reduc<strong>in</strong>g Wastes<br />

Reduc<strong>in</strong>g Chemical Substance Emissions and Clean Production Activities<br />

Green Purchas<strong>in</strong>g<br />

Cooperation with Suppliers<br />

The "Green" Office<br />

<br />

Social & Environmental Report 2005


Activities as an automobile manufacturer<br />

Build<strong>in</strong>g a Groupwide Management<br />

Stance for a New Environmental Policy<br />

Environmental Management/Environmental Profection Activites<br />

On April 1, 2005, <strong>Mazda</strong> reviewed the <strong>Mazda</strong> Global Environmental Charter def<strong>in</strong><strong>in</strong>g basic corporate environmental policy<br />

from the viewpo<strong>in</strong>t of Corporate Social Responsibility (CSR).<br />

The scope of the new <strong>Mazda</strong> Global Environmental Charter has been expanded from merely <strong>Mazda</strong> to cover the entire<br />

<strong>Mazda</strong> Group, and to <strong>in</strong>clude Groupwide efforts <strong>in</strong>to vehicle recycl<strong>in</strong>g and other environmental issues. This revision, the<br />

first <strong>in</strong> the 13 years s<strong>in</strong>ce the Charter was established <strong>in</strong> 1992, br<strong>in</strong>gs it <strong>in</strong> l<strong>in</strong>e with our current corporate stance.<br />

<strong>Mazda</strong> Global Environmental Charter (established 1992, revised April 2005)<br />

Environmental Pr<strong>in</strong>ciples<br />

<strong>Mazda</strong> Group aims to promote environmental protection and contribute to a<br />

better society, while ma<strong>in</strong>ta<strong>in</strong><strong>in</strong>g harmony with nature <strong>in</strong> our bus<strong>in</strong>ess<br />

activities all over the world.<br />

We will contribute to society by creat<strong>in</strong>g environmentally friendly technologies and products.<br />

Basic Policy<br />

We will use the Earth's resources and energy spar<strong>in</strong>gly, and never overlook<br />

environmental considerations when conduct<strong>in</strong>g our bus<strong>in</strong>ess.<br />

We will play our part <strong>in</strong> improv<strong>in</strong>g the environment, hand <strong>in</strong> hand with local<br />

communities and society at large.<br />

1<br />

2<br />

Creation of environmentally sound technologies and products<br />

We are committed to the challenge of creat<strong>in</strong>g clean technologies, <strong>in</strong>clud<strong>in</strong>g those facilitat<strong>in</strong>g cleaner exhaust<br />

emissions, a reduction <strong>in</strong> CO2, the development of clean-energy vehicles.<br />

We will encourage the creation of products that are environmentally sound throughout their lifespan, from the<br />

plann<strong>in</strong>g and development stages through to manufactur<strong>in</strong>g, use, and recycl<strong>in</strong>g/ disposal.<br />

Corporate activities for conserv<strong>in</strong>g resources and energy<br />

In order to conserve limited resources, we will actively promote resource-conservation and recycl<strong>in</strong>g activities.<br />

We will strive to achieve diversified and efficient use of energy.<br />

Guidel<strong>in</strong>es for Action<br />

3<br />

Corporate activities <strong>in</strong> pursuit of a clean environment<br />

We will not merely comply with environmental laws and regulations, but will also impose voluntary controls for higher<br />

standards and implement self-regulated control.<br />

In our pursuit for a clean environment, we will promote the development of new technologies and the <strong>in</strong>troduction of<br />

new systems which contribute to a cleaner environment.<br />

4<br />

5<br />

Work<strong>in</strong>g with others <strong>in</strong> our bus<strong>in</strong>ess activities to create a better environment<br />

We will actively provide our employees with education and <strong>in</strong><strong>format</strong>ion about environmental protection to enhance their<br />

awareness of the global environment.<br />

We will work <strong>in</strong> close cooperation each other to achieve better environmental protection.<br />

Creat<strong>in</strong>g a better environment <strong>in</strong> cooperation with local communities and society<br />

We will work actively to understand and appreciate society's requirements for the environment and reflect them <strong>in</strong> our bus<strong>in</strong>ess activities.<br />

We will disclose and publicize environment-related technologies, systems, and <strong>in</strong><strong>format</strong>ion.<br />

We will not only conduct our own environmental activities, but will also make a collaborative effort <strong>in</strong> other social<br />

activities for the conservation of the environment with society.<br />

Social & Environmental Report 2005


Build<strong>in</strong>g a new environmental management stance<br />

To accelerate Group environmental efforts, <strong>Mazda</strong> recently completed its<br />

review and modification of the of its environmental promotion system.<br />

The former <strong>Mazda</strong> Global Environmental Conference has been replaced<br />

by the <strong>Mazda</strong> Environmental Committee under the president as chair,<br />

and five subsidiary committees have been created to handle<br />

environmental action <strong>in</strong> specific areas. To provide support to our dealers<br />

and suppliers, for example, the Sales and Service Environmental<br />

Committee and the Purchas<strong>in</strong>g Environmental Committee have been<br />

formed. Executive Vice President John Parker has been appo<strong>in</strong>ted as<br />

officer <strong>in</strong> charge of environmental issues, provid<strong>in</strong>g a global perspective<br />

The <strong>Mazda</strong> environmental promotion system (as of July 1, 2005)<br />

Development Environmental Committee<br />

Evaluation, adoption and promotion of environmental<br />

protection activities <strong>in</strong> the development and design areas<br />

EmissionsMileageReduced vehicle weightVehicle noise<br />

Alternative fuelsRecycl<strong>in</strong>g<br />

Substances of concernReduction <strong>in</strong> cab<strong>in</strong> VOCs<br />

Production Environmental Committee<br />

Evaluation, adoption and promotion of environmental protection<br />

activities <strong>in</strong> the production, logistics and bus<strong>in</strong>ess areas<br />

Production area (zero emissions, energy conservation, PRTR, VOCs, etc.)<br />

Logistics area (reduction <strong>in</strong> CO2 emissions, reduction <strong>in</strong> pack<strong>in</strong>g and packag<strong>in</strong>g materials, etc.)<br />

Bus<strong>in</strong>ess area (energy conservation, reduction <strong>in</strong> paper use, waste sort<strong>in</strong>g, etc.)<br />

<strong>Mazda</strong> Environmental Committee<br />

Chair: President Imaki<br />

Officer <strong>in</strong> charge of environmental issues : Executive Vice President Parker<br />

Functions<br />

Evaluation and adoption of mid- and long-term plann<strong>in</strong>g,<br />

evaluation and verification of performance<br />

Formulation and promotion of Groupwide environmental<br />

policy<br />

Decisions related to resource allocation<br />

Purchas<strong>in</strong>g Environmental Committee<br />

Clarification of environmental policy as related to purchas<strong>in</strong>g, support<br />

and promotion of environmental protection activities by suppliers<br />

Common application of the <strong>Mazda</strong> Global Environmental Charter<br />

Evaluation of compliance with environmental laws and regulations<br />

Promotion of the <strong>Mazda</strong> EMS certification program<br />

Sales and Service Environmental Committee<br />

Clarification of environmental policy as related to sales and service, support and<br />

promotion of environmental protection activities by vehicle and parts dealers<br />

Adm<strong>in</strong>istration Office<br />

Common application of the <strong>Mazda</strong> Global Environmental Charter<br />

Evaluation of compliance with environmental laws and regulations<br />

Promotion of the <strong>Mazda</strong> EMS certification program<br />

Recycl<strong>in</strong>g Promotion Committee<br />

Promotion of recycl<strong>in</strong>g of end-of-life vehicles<br />

Appropriate process<strong>in</strong>g and recycl<strong>in</strong>g for end-of-life vehicles <strong>in</strong> the domestic market<br />

Guidance and support for domestic dealers <strong>in</strong> vehicle recycl<strong>in</strong>g methods<br />

Technology surveys and feedback to R&D concern<strong>in</strong>g process<strong>in</strong>g of end-of-life vehicles <strong>in</strong> the domestic market<br />

Appropriate process<strong>in</strong>g and recycl<strong>in</strong>g for end-of-life vehicles <strong>in</strong> the European market<br />

<br />

Social & Environmental Report 2005


Activities as an automobile manufacturer<br />

Environmental Management/Environmental Profection Activites<br />

Environmental management system<br />

As part of its commitment to environmental management, <strong>Mazda</strong> is<br />

actively build<strong>in</strong>g and improv<strong>in</strong>g its environmental management<br />

system. In FY 2000 all major production po<strong>in</strong>ts both <strong>in</strong> Japan and<br />

overseas were certified under ISO14001, followed by n<strong>in</strong>e of our<br />

major affiliates <strong>in</strong> FY 2002.<br />

In FY 2003 the Head Office R&D Divisions were certified, and <strong>in</strong> FY<br />

2004 the <strong>Mazda</strong> Parts Center and <strong>Mazda</strong> Tra<strong>in</strong><strong>in</strong>g Center were added<br />

to the scope of certification for the Hiroshima area. We are assist<strong>in</strong>g<br />

our parts and materials suppliers <strong>in</strong> acquir<strong>in</strong>g ISO14001 certification,<br />

and as of the end of FY 2004 95% of our suppliers have been<br />

successful <strong>in</strong> their efforts. We are now <strong>in</strong>vestigat<strong>in</strong>g the possibility of<br />

implement<strong>in</strong>g our unique management system <strong>in</strong> uncertified smallscale<br />

enterprises, Group companies and suppliers.<br />

ISO14001 certification by domestic production and bus<strong>in</strong>ess sites<br />

Head Office Plant<br />

Hiroshima area June, 2000<br />

Miyoshi Office<br />

Hofu area<br />

Nish<strong>in</strong>oura district<br />

Nakanoseki district<br />

AutoAlliance (Thailand) Company Limited (Thailand)<br />

Sept., 1998<br />

Sept., 1999<br />

ISO14001 certification <strong>in</strong> the product development sector<br />

R&D Division Aug., 2003<br />

ISO14001 certification by overseas production po<strong>in</strong>ts<br />

May, 2000<br />

Auto Alliance International, Inc.(U.S.) June, 2000<br />

ISO14001 certification by affiliates and suppliers<br />

<strong>Mazda</strong> Eng<strong>in</strong>eer<strong>in</strong>g & Technology Co., Ltd.<br />

June, 2000<br />

Manufacture and sale of parts and specially-equipped automobiles / automobile design / development<br />

and implementation of test<strong>in</strong>g<br />

Toyo Advanced Technologies Co. Ltd.<br />

June, 2000<br />

Design, manufacture and sale of production mach<strong>in</strong>ery / automotive components<br />

<strong>Mazda</strong> Ace Co., Ltd.<br />

June, 2000<br />

Security, <strong>in</strong>surance, rebuild<strong>in</strong>g, ma<strong>in</strong>tenance, etc<br />

Malox Co. Ltd.<br />

June 2000<br />

Sea shipp<strong>in</strong>g of automobiles, port and harbor management, land transportation, warehous<strong>in</strong>g, packag<strong>in</strong>g etc.<br />

Microtechno Corp.<br />

Oct., 2001<br />

Manufacture of AT components, air condition<strong>in</strong>g unit components etc.<br />

Kurashiki Kako Co., Ltd.<br />

Dec., 2001<br />

Development, manufacture and sale of vibration-prevent<strong>in</strong>g rubber, hoses, w<strong>in</strong>dow frame rubber, etc.<br />

were certified <strong>in</strong> conjunction with <strong>Mazda</strong>’s Hiroshima Plant.<br />

<br />

Communication with group companies<br />

Representative directors from dealerships meet regularly with <strong>Mazda</strong> officers <strong>in</strong><br />

charge of sales. At the meet<strong>in</strong>g <strong>in</strong> May 2005, <strong>Mazda</strong> requested dealership<br />

cooperation <strong>in</strong> the follow<strong>in</strong>g four po<strong>in</strong>ts related to CSR.<br />

1. Establishment of a CSR stance<br />

Designation of a manager for compliance activities<br />

Regular <strong>in</strong>ternal audits<br />

2. Establishment of an organizational approach stress<strong>in</strong>g CSR<br />

Regular employee awareness activities<br />

3. Thorough risk management<br />

Rapid provision of <strong>in</strong><strong>format</strong>ion to <strong>Mazda</strong><br />

Rapid and legal responses<br />

4. Observance of environmental laws and regulations<br />

Enhanced promotion of MECA21<br />

(<strong>Mazda</strong>'s Environment Care Approach21:<br />

an environmental action or guidel<strong>in</strong>e establishment by the <strong>Mazda</strong> Dealership Association <strong>in</strong> Japan)<br />

Social & Environmental Report 2005


Environmental Audit<strong>in</strong>g<br />

To verify that our environmental management system is function<strong>in</strong>g<br />

effectively, two annual audits are held each for the Hiroshima area, the<br />

Hofu Plant and the R&D Division; one <strong>in</strong>ternal and one by a third-party<br />

organization. Internal auditors are selected primarily from among<br />

middle management, who have received tra<strong>in</strong><strong>in</strong>g from external audit<strong>in</strong>g<br />

organizations and been certified as hav<strong>in</strong>g achieved the necessary level<br />

of qualification.<br />

The FY 2004 <strong>in</strong>ternal audit resulted <strong>in</strong> 62 citations for m<strong>in</strong>or problems<br />

and 112 observations. The external audit, by an external ISO 14001<br />

accreditation organization, resulted <strong>in</strong> no major or m<strong>in</strong>or citations and<br />

only seven observations. All citations and observations were reported to<br />

management and dealt with promptly.<br />

Trends <strong>in</strong> <strong>in</strong>ternal auditors<br />

Hiroshima area<br />

Hofu area<br />

FY2004 Internal Environmental Audit Results (Hiroshima area, Hofu area, R&D)<br />

(Number of cases)<br />

35<br />

30<br />

25<br />

20<br />

15<br />

10<br />

5<br />

0<br />

18<br />

15<br />

15<br />

9<br />

11<br />

9<br />

15<br />

2<br />

15<br />

2<br />

10<br />

7<br />

10<br />

3<br />

3<br />

8<br />

7<br />

4<br />

observation<br />

m<strong>in</strong>or<br />

5 1 2 1 1 1<br />

(Number of people)<br />

600<br />

550<br />

500<br />

450<br />

400<br />

350<br />

63<br />

300<br />

250<br />

200<br />

150 287<br />

48<br />

272<br />

64<br />

335<br />

61<br />

395<br />

111<br />

486<br />

Purpose and<br />

objectives<br />

Tra<strong>in</strong><strong>in</strong>g awareness<br />

and capacities<br />

Operational<br />

management<br />

Structure and<br />

responsibility<br />

Document<br />

management<br />

Environmental<br />

management program<br />

Environmental<br />

aspects<br />

Emergency<br />

response<br />

Record<strong>in</strong>g<br />

Internal audit<br />

Monitor<strong>in</strong>g and<br />

measurement<br />

Environmental management<br />

system documentation<br />

Communication<br />

Law-related etc<br />

100<br />

50<br />

0<br />

2000 2001 2002 2003 2004 (fiscal year)<br />

Environmental Risk Management<br />

<strong>Mazda</strong> deals with a wide range of environmental risks, from production processes<br />

and development of production equipment to products themselves. <strong>Mazda</strong> is<br />

committed to m<strong>in</strong>imiz<strong>in</strong>g these risks, through implement<strong>in</strong>g environmental risk<br />

assessments and tak<strong>in</strong>g preventative measures to protect aga<strong>in</strong>st pollution and<br />

environmental <strong>in</strong>cidents. In addition to this, we implement tra<strong>in</strong><strong>in</strong>g for accident and<br />

emergency situations to ma<strong>in</strong>ta<strong>in</strong> our response capacity <strong>in</strong> regard to environmental<br />

risks. <strong>Mazda</strong> implements periodic monitor<strong>in</strong>g <strong>in</strong> regard to air pollution, water quality<br />

deterioration and pollution related to waste product process<strong>in</strong>g. Each of our plants<br />

and bus<strong>in</strong>ess premises implements appropriate countermeasures and work<strong>in</strong>g hard<br />

towards prevention.<br />

Aga<strong>in</strong> <strong>in</strong> FY 2004, <strong>Mazda</strong> experienced no environmental accidents or <strong>in</strong>cidents that<br />

could lead to environmental pollution, and recorded no <strong>in</strong>cidents of legal or regulatory<br />

contravention. We received a total of one compla<strong>in</strong>t regard<strong>in</strong>g environmental matters<br />

(for dust), which was addressed promptly. The related equipment was immediately<br />

<strong>in</strong>spected and operational stance evaluated, show<strong>in</strong>g no abnormalities, but we<br />

tightened operational management policies.<br />

Environmental monitor<strong>in</strong>g category<br />

Scope of monitor<strong>in</strong>g<br />

Monitored categories<br />

Number of times monitored per year<br />

Air<br />

Boilers, melt<strong>in</strong>g furnaces, heat<strong>in</strong>g furnaces,<br />

dry<strong>in</strong>g furnaces, waste product <strong>in</strong>c<strong>in</strong>eration<br />

furnaces, etc.<br />

SOx, NOx, dust, HCs, diox<strong>in</strong>s (5 categories)<br />

Approx. 400 times / year<br />

Water quality<br />

Waste process<strong>in</strong>g water<br />

Cadmium, cyan, organic phosphates, lead,<br />

hexavalent chromium, diox<strong>in</strong>s etc. (43<br />

categories)<br />

Approx. 1800 times / year<br />

Noise / vibration<br />

Levels at plant perimeter<br />

Noise levels, vibration levels (2 categories)<br />

Approx. 30 times / year<br />

Odor<br />

Levels at plant perimeter<br />

Odor <strong>in</strong>dex<br />

Approx. 10 times / year<br />

Waste<br />

slag, sludge, dust etc.<br />

Cadmium, cyan, organic phosphates, lead,<br />

hexavalent chromium, diox<strong>in</strong>s, etc. (34<br />

categories)<br />

Approx. 600 times / year<br />

Social & Environmental Report 2005


Activities as an automobile manufacturer<br />

Environmental Education and Communication<br />

Environmental Management/Environmental Profection Activites<br />

<strong>Mazda</strong> proactively promotes environmental education and awareness activities <strong>in</strong> an effort to<br />

enhance employee awareness of the environment, as we believe this is key to the<br />

implementation of any environmental measure.<br />

Environmental Education<br />

Environmental education is an important part of new employee tra<strong>in</strong><strong>in</strong>g, and<br />

managers, team leaders, foremen and other managers are given structured<br />

tra<strong>in</strong><strong>in</strong>g based on the environmental management system. Each project<br />

division implements ongo<strong>in</strong>g environmental tra<strong>in</strong><strong>in</strong>g, to ensure thorough<br />

environmental awareness and the capacity to operate the environmental<br />

management system. Staff are also encouraged and supported <strong>in</strong> the<br />

ga<strong>in</strong><strong>in</strong>g of public qualifications related to the environment. We also <strong>in</strong>vite<br />

employees to make suggestions regard<strong>in</strong>g environment-related issues and<br />

improvement strategies, supported by a rewards system for new<br />

discoveries that promotes improvement <strong>in</strong> employee awareness and active<br />

Environmental Education System<br />

Environmental<br />

education<br />

Education at each level<br />

Department managers<br />

Section managers<br />

Group managers<br />

New employees<br />

FY 2004 totals<br />

results of environmental education<br />

125 people<br />

330 people<br />

378 people<br />

Total 833 people<br />

General employee education<br />

Research education<br />

Senior leaders course<br />

<strong>Mazda</strong> Junior College course<br />

Education for employees <strong>in</strong> designated occupations<br />

Operations manuals course<br />

Education for<br />

qualifications<br />

Departmental education<br />

Every department conducts environmental,<br />

education on an extensive, as necessary basis<br />

Accident response course<br />

Course for Environmental Auditors Course for Internal Environmental Auditors Course for environment-related qualifications<br />

Awareness and Communication<br />

<strong>Mazda</strong> promotes awareness among all employees, <strong>in</strong>clud<strong>in</strong>g those of our affiliate<br />

companies, through the use of reports and awareness rais<strong>in</strong>g activities us<strong>in</strong>g our<br />

<strong>in</strong>tranet, and also <strong>in</strong><strong>format</strong>ion pr<strong>in</strong>ted <strong>in</strong> the <strong>in</strong>-house magaz<strong>in</strong>e, 'My <strong>Mazda</strong>'.<br />

As part of the 'Environment Month', held every year <strong>in</strong> June, the company<br />

president broadcasts a message to the whole company, and environmental<br />

exhibitions are held throughout <strong>Mazda</strong>. In addition, employees take part <strong>in</strong><br />

regional clean-up operations, and environmental events, which promote<br />

awareness among employees<br />

and also among their families.<br />

<strong>Mazda</strong> publishes environmental<br />

data relat<strong>in</strong>g to each of our<br />

models on our official website<br />

and <strong>in</strong> product catalogs, and<br />

publish an environmental report,<br />

as well as participat<strong>in</strong>g <strong>in</strong> a<br />

Eco Car World 2004<br />

variety of environmental events, so as to communicate effectively to our<br />

customers and society at large.<br />

We take a lead<strong>in</strong>g role <strong>in</strong> regional environment activities, as well as participat<strong>in</strong>g<br />

<strong>in</strong> the Hiroshima Eco-Forum cover<strong>in</strong>g ISO 14001 sem<strong>in</strong>ars, <strong>in</strong>ternational<br />

cooperation and support for regional environmental education. The Hofu Plant is<br />

also a member of the Environmental ISO Yamaguchi Club.<br />

Examples of models exhibited at environmental events <strong>in</strong> FY 2004<br />

Event<br />

Hiroshima Flower Festival<br />

People and Cars Technology Exhibition<br />

Eco-Car World 2004<br />

Eco-Techno 2004<br />

Tokyo Motor Show<br />

Eco-Products 2004<br />

Term<br />

May 3–May 5<br />

May 19–May 21<br />

June 5–June 6<br />

Oct. 27–Oct. 29<br />

Nov. 2–Nov. 7<br />

Dec. 9–Dec. 11<br />

In addition to the above, <strong>Mazda</strong> also exhibited the RX-8 Hydrogen RE numerous times,<br />

and participated <strong>in</strong> lectures, sem<strong>in</strong>ars and other events both <strong>in</strong> Japan and overseas.<br />

Model(s) exhibited<br />

RX-8 Hydrogen RE<br />

Hydrogen RE unit<br />

Demio and Axela (SU-LEV)<br />

RX-8 Hydrogen RE<br />

Hydrogen RE unit<br />

RX-8 Hydrogen RE<br />

Glossary 1<br />

Glossary 2<br />

Hiroshima Eco-Forum<br />

Environmental ISO Yamaguchi Club<br />

Established <strong>in</strong> March 1993 by cooperat<strong>in</strong>g corporations and<br />

groups <strong>in</strong> Hiroshima Prefecture to contribute to the creation<br />

of a society committed to protect<strong>in</strong>g the global environment<br />

through a harmony of the global environment and economy.<br />

Promotes deeper understand<strong>in</strong>g of the <strong>in</strong>troduction of<br />

the environmental ISO standard among companies <strong>in</strong><br />

Yamaguchi Prefecture, through sem<strong>in</strong>ars and a<br />

newsletter, and works to heighten awareness of related<br />

issues.<br />

Social & Environmental Report 2005


Environmental Activities Promotion Plans<br />

and Results of Activities dur<strong>in</strong>g Fiscal 2004<br />

<strong>Mazda</strong> is work<strong>in</strong>g towards reduc<strong>in</strong>g the burden it places on the environment through its corporate activities and products.<br />

We have established activities promotion plans for each area and category of our work, and are committed to atta<strong>in</strong><strong>in</strong>g the<br />

objectives set <strong>in</strong> these plans.<br />

Category<br />

Environmental activities promotion plans<br />

Objective<br />

Results for FY 2004<br />

Related<br />

pages<br />

Environmental management<br />

Improved management stance<br />

Promotion and support for acquisition of ISO 14001<br />

certification by suppliers<br />

95% of all major suppliers have been certified<br />

Page 36<br />

<br />

Page 49<br />

Exhaust emissions<br />

Ensure that 90% or more passenger cars are SU-LEV or<br />

U-LEV standard by end of 2005<br />

SU-LEV approval received for Demio, Verisa, Premacy<br />

and Axela (1.5-liter)<br />

87.3% achieved for passenger vehicles (49.2% SU-<br />

LEV, 38.1% U-LEV)<br />

Page 23<br />

Fuel efficiency (CO2 reduction)<br />

Atta<strong>in</strong> 2010 fuel efficiency standards for all passenger<br />

car weight classes by fiscal 2005<br />

2010 standards achieved for all Verisa models and<br />

Premacy (2.0-liter)<br />

2010 standards achieved <strong>in</strong> five out of seven weight<br />

classes<br />

Page 24<br />

Noise<br />

Comply with external noise regulations <strong>in</strong> all new cars<br />

All new models comply with new standards<br />

Page 27<br />

Product development<br />

Clean energy vehicles<br />

Promote the development of hydrogen rotary<br />

eng<strong>in</strong>evehicles <strong>in</strong> preparation for leas<strong>in</strong>g<br />

RX-8 Hydrogen RE licensed by M<strong>in</strong>ister of Land,<br />

Infrastructure and Transport; test<strong>in</strong>g on public roads<br />

Hydrogen fuel station opend<br />

Page 17<br />

<br />

Page 18<br />

Raise the recyclability ratio for new cars to 90% or<br />

higher from 2002<br />

Achieved <strong>in</strong> Verisa, Premacy<br />

Page 25<br />

Promotion of recycl<strong>in</strong>g<br />

Actively promote the use of recycled bumper material <strong>in</strong><br />

components for new models<br />

47,300 damaged bumpers collected from the<br />

marketplace and utilized <strong>in</strong> components for new cars.<br />

Proprietary pa<strong>in</strong>t stripp<strong>in</strong>g technology used to establish<br />

bumper-to-bumper recycl<strong>in</strong>g for use <strong>in</strong> new cars.<br />

Page 26<br />

<br />

Page 50<br />

Environmental<br />

Substances of concern<br />

Promote reduced use of four substances (lead, mercury,<br />

hexavalent chrome, cadmium)<br />

Promote reduced use of four substances (lead, mercury,<br />

hexavalent chromium, cadmium) Lead, hexavalent<br />

chromium, cadmium: Elim<strong>in</strong>ated <strong>in</strong> some part through use of<br />

alternates.<br />

Mercury: Elim<strong>in</strong>ated except for uses <strong>in</strong> LCD panels, discharge<br />

Page 27<br />

Promote reduced VOCs <strong>in</strong> cab<strong>in</strong><br />

VOC levels reduced through change <strong>in</strong> cab<strong>in</strong> components<br />

Page 27<br />

Reduction <strong>in</strong> landfill waste<br />

Achieve 1% or less of FY 1990 levels by end of FY 2004<br />

Achieved <strong>in</strong> Jan. 2005 and ma<strong>in</strong>ta<strong>in</strong>ed s<strong>in</strong>ce<br />

Page 47<br />

Production<br />

Energy sav<strong>in</strong>gs<br />

Reduce CO2 emissions from production processes by<br />

5% from FY 1990 levels by end of 2005, and by 10% by<br />

end of FY 2010<br />

33% reduction aga<strong>in</strong>st FY 1990 level<br />

Page 45<br />

Reduction <strong>in</strong> CO2 emissions<br />

Reduce CO2 emissions by improv<strong>in</strong>g distribution<br />

system efficiency<br />

Achieved a further reduction of 5,631 tons<br />

Page 46<br />

Logistics<br />

Efficient use of resources<br />

Reduce use of resources by simplify<strong>in</strong>g packag<strong>in</strong>g and<br />

wrapp<strong>in</strong>g<br />

Achieved a further reduction of 1,275 tons<br />

Page 47<br />

ELVs (End-of-Life Vehicles)<br />

Recycl<strong>in</strong>g<br />

Comply with the domestic Automobile Recycl<strong>in</strong>g Act<br />

Recycl<strong>in</strong>g and other activities begun from Jan. 2005<br />

Page 32<br />

Social & Environmental Report 2005


Activities as an automobile manufacturer<br />

Lower Environmental Impact <strong>in</strong><br />

Every Phase of Company Operations<br />

Environmental Management/Environmental Profection Activites<br />

<strong>Mazda</strong> is collect<strong>in</strong>g data to provide a basel<strong>in</strong>e for the effective reduction of environmental impact of our production and<br />

logistics operations.<br />

Invested resources, and output to the environment<br />

Efficient use of resources and reductions <strong>in</strong> emissions of<br />

environmentally damag<strong>in</strong>g substances, such has CO2, are important <strong>in</strong><br />

reduc<strong>in</strong>g environmental risk, and contribut<strong>in</strong>g to the <strong>format</strong>ion of a<br />

recycl<strong>in</strong>g society. <strong>Mazda</strong> monitors the amount of resources <strong>in</strong>put <strong>in</strong>to<br />

our production processes, and emissions produced, work<strong>in</strong>g to<br />

ma<strong>in</strong>ta<strong>in</strong> an effective balance. Results for fiscal 2004 are shown<br />

<strong>Mazda</strong>'s relationship to the environment<br />

Quantity of electricity,<br />

water and raw materials used<br />

MAZDA<br />

Quantity of emissions<br />

Energy, calculated as crude oil<br />

311,000 S/year<br />

Bus<strong>in</strong>ess<br />

premises<br />

Direct landfill waste<br />

1,140 t/year<br />

Water<br />

15,980,000 3 /year<br />

(of which 270,000 m 3 /year from precipitation)<br />

Research and<br />

development<br />

Wastewater<br />

822,000 million m 3 /year<br />

Raw materials<br />

270,000 t/year<br />

Steel, alum<strong>in</strong>um, etc.<br />

Flow of materials<br />

Purchas<strong>in</strong>g<br />

Gas emissions<br />

140,000 million Nm 3 /hour<br />

Paper<br />

Plants<br />

CO2 (production processes)<br />

374,000 million t/year<br />

In-house<br />

generat<strong>in</strong>g facilities<br />

Market<br />

Logistics and<br />

distribution<br />

Product<br />

AutomobilesAutomobile parts<br />

Recycl<strong>in</strong>g<br />

Flow of materials<br />

Automobile use<br />

Exhaust emissions, noise, etc.<br />

Values are FY 2004(April2004-March2005) results<br />

LCA Implementation<br />

Life Cycle Assessment, or LCA, makes it possible to evaluate the total environmental impact of every stage of production and use, from materials<br />

procurement and component production to vehicle manufacture, product use, ma<strong>in</strong>tenance and disposal. <strong>Mazda</strong> is engaged <strong>in</strong> research <strong>in</strong>to the<br />

databases needed to develop appropriate application and evaluation techniques, and implementation methods, to utilize LCA as a tool to further<br />

reduce environmental impact.<br />

Social & Environmental Report 2005


Environmental Account<strong>in</strong>g<br />

<strong>Mazda</strong> has implemented an environmental account<strong>in</strong>g system <strong>in</strong> order to more accurately grasp the costs and<br />

benefits of our environmental protection activities, and uses this understand<strong>in</strong>g to make corporate activities more<br />

efficient. From FY 2004, Groupwide environmental accounts are <strong>in</strong>cluded <strong>in</strong> the report.<br />

The cost of environmental protection<br />

The cost of environmental protection is calculated as the cost of reduc<strong>in</strong>g<br />

the burden placed on the environment, the cost of <strong>in</strong>vest<strong>in</strong>g <strong>in</strong><br />

environmental protection benefits for the future, and <strong>in</strong>cludes management<br />

costs for projects and product lifecycles <strong>in</strong> all our areas of bus<strong>in</strong>ess. In<br />

comparison with the previous year, the cost of our environmental protection<br />

work <strong>in</strong> FY 2004 showed an <strong>in</strong>crease <strong>in</strong> research and development costs,<br />

<strong>in</strong>clud<strong>in</strong>g prototyp<strong>in</strong>g (an <strong>in</strong>crease of 3,510 million yen), an <strong>in</strong>crease <strong>in</strong><br />

global environment protection cost, <strong>in</strong>clud<strong>in</strong>g switch<strong>in</strong>g to alternate fuels<br />

and energy-sav<strong>in</strong>g measures (890 million yen), <strong>in</strong>crease <strong>in</strong> social activities<br />

costs (610 million yen) and an <strong>in</strong>crease <strong>in</strong> environmental recycl<strong>in</strong>g costs,<br />

such as construct<strong>in</strong>g a new stockyard for <strong>in</strong>dustrial waste (400 million yen).<br />

<strong>Mazda</strong>'s calculations are compatible with the environmental account<strong>in</strong>g<br />

guidel<strong>in</strong>es and guidebook published by the M<strong>in</strong>istry of the Environment, but<br />

are collated us<strong>in</strong>g our own standards.<br />

Environmental protection costs (<strong>in</strong>clud<strong>in</strong>g domestic Group companies) (100 million yen)<br />

Category Capital <strong>in</strong>vestment Expenditure Total<br />

Cost of prevent<strong>in</strong>g pollution<br />

24.8<br />

21.6<br />

46.4<br />

Cost by bus<strong>in</strong>ess area<br />

Cost of protect<strong>in</strong>g the global environment<br />

10.5<br />

20.4<br />

30.9<br />

Cost of recycl<strong>in</strong>g resources<br />

1.7<br />

18.6<br />

20.3<br />

Upstream/downstream costs<br />

Management activity costs<br />

R&D costs<br />

Cost of social activities<br />

Cost of environmental damage<br />

Total environmental cost<br />

3.4<br />

0.1<br />

10.8<br />

0.0<br />

0.0<br />

51.3<br />

2.8<br />

10.6<br />

353.2<br />

9.9<br />

0.0<br />

437.1<br />

6.2<br />

10.7<br />

363.9<br />

9.9<br />

0.0<br />

488.4<br />

Scope of consolidated environmental account<strong>in</strong>g<br />

45 firms <strong>in</strong>cluded <strong>in</strong> consolidated f<strong>in</strong>ancial report<br />

1. 35 consolidated subsidiaries<br />

Dealers 20<br />

Parts dealers 9<br />

Distribution 1<br />

Procurement 3<br />

Other 2<br />

2. 10 equity-method subsidiaries<br />

Dealers 3<br />

Parts dealers 3<br />

Distribution 1<br />

Procurement 2<br />

Other 1<br />

1.Scope of consolidaled environmental account<strong>in</strong>g 2.Includes <strong>Mazda</strong> and 45 subsidiary companies<br />

Environmental protection cost (<strong>Mazda</strong>, unconsolidated)<br />

M<strong>in</strong>istry of the Environment guidel<strong>in</strong>e category<br />

Major activities<br />

Environmental cost (100 million yen)<br />

Capital <strong>in</strong>vestment<br />

Expenditure<br />

Cost by bus<strong>in</strong>ess area<br />

Cost of prevent<strong>in</strong>g pollution<br />

Cost of protect<strong>in</strong>g the global environment<br />

Cost of recycl<strong>in</strong>g resources<br />

Prevention of air, water and soil pollution<br />

Eg. Measures deal<strong>in</strong>g with VOCs, dust, and pa<strong>in</strong>t dry<strong>in</strong>g ovens<br />

Activities to help prevent global warm<strong>in</strong>g and destruction of the ozone layer<br />

eg. L<strong>in</strong>e <strong>in</strong>tegration, switch to alternate energy sources, etc.<br />

Effective utilization, recycl<strong>in</strong>g, waste process<strong>in</strong>g and disposal<br />

eg. New recovery system for cast<strong>in</strong>g sand, new waste stockyard<br />

24.6<br />

10.2<br />

1.7<br />

20.5<br />

19.3<br />

15.8<br />

Upstream/downstream costs<br />

Green procurement (price difference), product recovery and recycl<strong>in</strong>g, reduced<br />

environmental impact from packag<strong>in</strong>g and wrapp<strong>in</strong>g<br />

3.4<br />

2.4<br />

Management activity costs<br />

Environmental tra<strong>in</strong><strong>in</strong>g for employees, construction and operation of an environmental<br />

management system, monitor<strong>in</strong>g and measurement of environmental impact,<br />

<strong>in</strong><strong>format</strong>ion disclosure, nature protection and beautification around company facilities<br />

0.1<br />

8.7<br />

Research and development costs<br />

R&D <strong>in</strong>to products, production methods and logistics contribut<strong>in</strong>g to reduced<br />

environmental impact<br />

10.2<br />

350.1<br />

Cost of social activities<br />

Nature protection, greenery and scenic improvement, f<strong>in</strong>ancial and other support<br />

for local residents and groups, <strong>in</strong><strong>format</strong>ion provision<br />

0<br />

9.9<br />

Cost of environmental damage<br />

Remediation expenses, compensation for environmental damage, <strong>in</strong>surance, etc.<br />

0<br />

0<br />

Total environmental cost<br />

50.2 426.7<br />

476.9<br />

Criteria for calculation of environmental accounts<br />

(1) Scope of data collection: Scope covered by <strong>Mazda</strong> Motor Corporations own account<strong>in</strong>g practices (2) Facilities <strong>in</strong>vestment: Cash flow managed base, with depreciation not <strong>in</strong>cluded. Categories that do not fall naturally <strong>in</strong>to fiscal year account<strong>in</strong>g are <strong>in</strong>cluded for the current period only.<br />

In the case of multi-objective facilities <strong>in</strong>vestment, only the environmental aspect is <strong>in</strong>cluded <strong>in</strong> the accounts. (3) Costs: Staff costs, general costs (4) Research and development costs: Facilities <strong>in</strong>vestment, costs and staff costs for research and development were <strong>in</strong>cluded.<br />

Social & Environmental Report 2005


Activities as an automobile manufacturer<br />

Environmental Management/Environmental Profection Activites<br />

Benefits of Environmental Protection<br />

The follow<strong>in</strong>g is an account of the direct and <strong>in</strong>direct benefits seen as a result of the <strong>in</strong>vestment <strong>in</strong>, and costs of,<br />

environmental protection. Dur<strong>in</strong>g fiscal 2004, the production, logistics and management divisions achieved the follow<strong>in</strong>g<br />

Benefits of environmental protection (<strong>Mazda</strong>, unconsolidated)<br />

Benefits of environmental protection<br />

Economic benefit<br />

Category Unit FY 2003 FY 2004 Improvement ratio Details<br />

Economic benefit<br />

(unit: 100 million yen)<br />

VOC emission reductions<br />

g/m 2<br />

8.0<br />

5.0<br />

11.0% improvement<br />

CO2 emission (annual)<br />

CO2 emission per unit sales<br />

thousand tons-CO2 /year<br />

tons-CO2 /100 million yen<br />

370.6<br />

22.3<br />

373.6<br />

20.2<br />

0.8% <strong>in</strong>crease<br />

9.4% improvement<br />

Energy sav<strong>in</strong>g measures<br />

16.2<br />

Reductions <strong>in</strong> waste product<br />

Direct landfill waste<br />

Inc<strong>in</strong>erated waste<br />

Waste output per sales<br />

revenue for vehicle production<br />

Recycl<strong>in</strong>g ratio<br />

thousand tons/year<br />

thousand tons/year<br />

tons/year<br />

<br />

2.0<br />

10.0<br />

84.8<br />

99.1<br />

1.1<br />

8.2<br />

90.9<br />

99.2<br />

45.0% improvement<br />

18.8% improvement<br />

7.2% <strong>in</strong>crease<br />

0.1% improvement<br />

Efficient resource usage<br />

Steam recovery<br />

Reductions <strong>in</strong> packag<strong>in</strong>g<br />

Recycl<strong>in</strong>g, <strong>in</strong>come from sale of marketable substances<br />

2.0<br />

0.4<br />

0.1<br />

60.3<br />

No. of damaged bumpers recovered<br />

thousand units/year<br />

45.3<br />

47.3<br />

4.4% improvement<br />

Criteria for calculat<strong>in</strong>g economic benefit energy sav<strong>in</strong>g measures reduction <strong>in</strong> process<strong>in</strong>g costs for waste product, or <strong>in</strong>-house recycl<strong>in</strong>g, <strong>in</strong>come from sale of marketable substances, throughout manufactur<strong>in</strong>g / logistics sectors<br />

Trends <strong>in</strong> environmental costs<br />

(100 million yen)<br />

700<br />

3.17<br />

Costs<br />

Facilities <strong>in</strong>vestment<br />

Ratio<br />

<br />

3.5<br />

Waste products from automobile manufactur<strong>in</strong>g<br />

(Tons)<br />

9<br />

Tons/100 million yen<br />

600<br />

500<br />

400<br />

300<br />

2.47<br />

25.4<br />

46.6<br />

2.54 2.52 2.58<br />

50.2<br />

38.5<br />

44.7<br />

3.0<br />

2.5<br />

2.0<br />

1.5<br />

8<br />

7<br />

6<br />

6.5 6.6<br />

200<br />

100<br />

301.5<br />

386.7<br />

352.1<br />

373.8 426.7<br />

1.0<br />

0.5<br />

5<br />

4<br />

5.6<br />

5.1<br />

4.9<br />

0<br />

2000 2001 2002 2003<br />

2004<br />

0<br />

(Fiscal year)<br />

2000 2001 2002 2003<br />

2004<br />

(Fiscal year)<br />

Environmental <strong>in</strong>vestment / facilities <strong>in</strong>vestment<br />

<br />

60<br />

50<br />

40<br />

30<br />

20<br />

10<br />

0<br />

38.2<br />

2000<br />

53.7<br />

2001<br />

42.9 43.5 43.7<br />

2002 2003<br />

2004<br />

Ratio<br />

(Fiscal year)<br />

Quantity of CO2 output by automobile manufactur<strong>in</strong>g process<br />

(tons-CO2)<br />

26<br />

25<br />

24<br />

23<br />

22<br />

21<br />

20<br />

19<br />

25.9<br />

24.7<br />

23.4<br />

22.3<br />

20.2<br />

2000 2001 2002 2003<br />

2004<br />

Tons/100 million yen<br />

(Fiscal year)<br />

Environmental <strong>in</strong>vestment / facilities <strong>in</strong>vestment<br />

<br />

14<br />

Ratio<br />

12<br />

12.6<br />

10<br />

10.6<br />

8<br />

8.2<br />

8.6<br />

6<br />

4<br />

6.1<br />

2000 2001 2002 2003<br />

2004<br />

(Fiscal year)<br />

Social & Environmental Report 2005


A State-of-the-Art Clean Factory, through<br />

our Unique Technology and Knowledge<br />

<strong>Mazda</strong> brought together production technology developed <strong>in</strong>-house and the knowledge ga<strong>in</strong>ed through decades of<br />

experience <strong>in</strong> manufactur<strong>in</strong>g, and the result was this advanced, ultra-clean factory. It has earned its high reputation.<br />

The first simultaneous reduction <strong>in</strong> VOC and CO2 <strong>in</strong> the world<br />

Three-Layer Wet Pa<strong>in</strong>t System technology<br />

Intermediate coat, color base and clear top coat are applied <strong>in</strong> sequence, and then all<br />

three baked together <strong>in</strong> this newly-developed method... the first <strong>in</strong> the world to<br />

simultaneously slash both CO2 and volatile organic compounds (VOC), which have<br />

considerable environmental impact. This technology made it possible to reduce VOC<br />

usage by 45%, and reduce energy consumption (CO2 equivalent) by 15%, as well as<br />

reduc<strong>in</strong>g cost. The technology was adopted <strong>in</strong> all domestic production l<strong>in</strong>es by April<br />

Received 2005. Prize for Promot<strong>in</strong>g Mach<strong>in</strong>e Industry / M<strong>in</strong>ister of Trade, Economy and Industry Award from<br />

the Japan Society for the Promotion of Mach<strong>in</strong>e Industry (February 3, 2004)<br />

Received 2003 Production Award from the Okochi Memorial Foundation (March 9, 2004)<br />

Received Environment M<strong>in</strong>ister's 2004 Global Warm<strong>in</strong>g Prevention Award<br />

(November, 2004)<br />

Received 2004 METI M<strong>in</strong>ister's Prize <strong>in</strong> the Superior Energy-Sav<strong>in</strong>g Application<br />

Example category from the Energy Conservation Center (February 9, 2005)<br />

VOC<br />

45% reduction<br />

CO2<br />

15% reduction<br />

99% reduction <strong>in</strong> energy consumption<br />

World's first friction heat alum<strong>in</strong>um jo<strong>in</strong><strong>in</strong>g technology<br />

In 2003, <strong>Mazda</strong> was the first <strong>in</strong> the world to develop a new alum<strong>in</strong>um jo<strong>in</strong><strong>in</strong>g<br />

technology based on friction heat, slash<strong>in</strong>g electricity consumption by about 99% from<br />

conventional resistance weld<strong>in</strong>g. The new technology elim<strong>in</strong>ates the massive electricity<br />

consumption, huge equipment, cool<strong>in</strong>g water and<br />

compressed air systems required for resistance<br />

weld<strong>in</strong>g, provid<strong>in</strong>g significant energy-sav<strong>in</strong>g<br />

benefits and lower cost. The technology was used<br />

<strong>in</strong> vehicles start<strong>in</strong>g with the RX-8 announced <strong>in</strong><br />

2003.<br />

99% reduction<br />

<strong>in</strong> energy<br />

consumption<br />

Healthier<br />

workplace<br />

environment<br />

Significant contribution to lighter vehicles<br />

World's first friction heat alum<strong>in</strong>um-steel jo<strong>in</strong><strong>in</strong>g technology<br />

In June 2005, <strong>Mazda</strong> extended its alum<strong>in</strong>um jo<strong>in</strong><strong>in</strong>g technology based on friction<br />

heat, and developed the first application capable of jo<strong>in</strong><strong>in</strong>g alum<strong>in</strong>um and steel.<br />

Conventional weld<strong>in</strong>g of different metals, such as steel and alum<strong>in</strong>um, has been<br />

extremely complex, but this new <strong>Mazda</strong> technology makes it simple while at the<br />

same time ensur<strong>in</strong>g a jo<strong>in</strong> free of contact corrosion. The new technology is be<strong>in</strong>g<br />

used <strong>in</strong> the new <strong>Mazda</strong> Roadster scheduled to be<br />

released <strong>in</strong> August 2005, to jo<strong>in</strong> the alum<strong>in</strong>um<br />

trunk lid and the steel bolt reta<strong>in</strong>ers. We will<br />

adopt the technology <strong>in</strong> other places to jo<strong>in</strong> steel<br />

and alum<strong>in</strong>um, mak<strong>in</strong>g it possible to assemble<br />

even lighter cars for improved fuel efficiency.<br />

Mak<strong>in</strong>g<br />

new cars<br />

lighter<br />

than ever<br />

<br />

Social & Environmental Report 2005


Activities as an automobile manufacturer<br />

Environmental Management/Environmental Profection Activites<br />

Order<strong>in</strong>g one at a time, when it's needed<br />

Integrated scheduled production<br />

The basic <strong>Mazda</strong> production method is mixed manufactur<strong>in</strong>g. This approach makes it<br />

Achiev<strong>in</strong>g<br />

zero losses<br />

Improv<strong>in</strong>g<br />

customer<br />

satisfaction<br />

possible for us handle a wide range of product l<strong>in</strong>es and models, meet<strong>in</strong>g chang<strong>in</strong>g<br />

market needs with efficiency, high quality and fast delivery.<br />

<strong>Mazda</strong> is now further enhanc<strong>in</strong>g mixed manufactur<strong>in</strong>g to implement "Integrated<br />

scheduled production" at all our facilities, so that manufactur<strong>in</strong>g will proceed <strong>in</strong><br />

accordance with advance plann<strong>in</strong>g. Planned sequential production means that every step<br />

of the process from materials receiv<strong>in</strong>g to manufactur<strong>in</strong>g and shipp<strong>in</strong>g can be handled<br />

with reduced lead time, on a multi-model production l<strong>in</strong>e, <strong>in</strong> accordance with customer<br />

specifications. Because the components required for each manufactur<strong>in</strong>g step are<br />

provided when required, this approach elim<strong>in</strong>ates losses due to warehous<strong>in</strong>g and<br />

redundant transportation.<br />

Clean, energy-efficient manufactur<strong>in</strong>g<br />

Semi-Dry Mach<strong>in</strong><strong>in</strong>g<br />

Customer<br />

Sequential<br />

production plan<br />

<br />

Integrated scheduled<br />

production plan<br />

<strong>in</strong><strong>format</strong>ion <br />

Body assembly Pa<strong>in</strong>t<strong>in</strong>g Vehicle assembly<br />

<br />

<br />

<br />

Suppliers<br />

<br />

<br />

<br />

<br />

<br />

Internal parts sales<br />

<br />

<br />

<br />

<br />

<br />

Activities are synchronized <strong>in</strong> accordance with the sequential production plan, assur<strong>in</strong>g the m<strong>in</strong>imum lead time for all production activity.<br />

75% reduction<br />

<strong>in</strong> energy<br />

consumption<br />

<br />

Internal sub-l<strong>in</strong>es<br />

Customer<br />

Shipment<br />

80% reduction<br />

<strong>in</strong> waste<br />

products<br />

<strong>Mazda</strong> began utiliz<strong>in</strong>g semi-dry mach<strong>in</strong><strong>in</strong>g <strong>in</strong> 2002 with the objectives of reduc<strong>in</strong>g<br />

electricity consumption and mach<strong>in</strong><strong>in</strong>g waste. The technology was first put <strong>in</strong>to use on<br />

the MZR eng<strong>in</strong>e production l<strong>in</strong>e.<br />

Compared to conventional "wet" mach<strong>in</strong><strong>in</strong>g, semi-dry mach<strong>in</strong><strong>in</strong>g reduces power<br />

consumption by 75% and the volume of waste cutt<strong>in</strong>g fluid by 80%. <strong>Mazda</strong> is now<br />

implement<strong>in</strong>g semi-dry mach<strong>in</strong><strong>in</strong>g <strong>in</strong> a wide range of components besides eng<strong>in</strong>es.<br />

Received FY 2002 MITI M<strong>in</strong>ister's Prize <strong>in</strong> the Superior Energy-Sav<strong>in</strong>g Application Example category<br />

from the Energy Conservation Center (February 2003)<br />

Wet process<strong>in</strong>g<br />

Semi-dry process<strong>in</strong>g<br />

Match<strong>in</strong>g production l<strong>in</strong>es to our people<br />

"Just-Fit Conveyor" System<br />

<strong>Mazda</strong> is work<strong>in</strong>g to m<strong>in</strong>imize environmental impact and at the same time mak<strong>in</strong>g every<br />

effort to improve the work<strong>in</strong>g environment <strong>in</strong> our production facilities. The "Just-fit<br />

conveyor" system used at the Uj<strong>in</strong>a Plant No. 2 improves on the traditional approach of<br />

ask<strong>in</strong>g people to bend or stretch to use the equipment, and <strong>in</strong>stead raises or lowers the<br />

chassis (l<strong>in</strong>e) as needed to fit the workers. This approach significantly reduces physical<br />

fatigue, and has also boosted productivity by elim<strong>in</strong>at<strong>in</strong>g wasted time.<br />

Friendly<br />

work<strong>in</strong>g<br />

environment<br />

Improved work<br />

efficiency<br />

Needed components arrive when needed dur<strong>in</strong>g assembly<br />

"Kit supply" method<br />

<strong>Mazda</strong> is <strong>in</strong>volved <strong>in</strong> a range of activities to improve the<br />

work<strong>in</strong>g environment on the shop floor, one of which is the<br />

"kit supply" method. Instead of hav<strong>in</strong>g workers select the<br />

needed parts for each vehicle as it comes down the<br />

collected <strong>in</strong> advance, and accompany it on the<br />

conveyor. This reduces the number of th<strong>in</strong>gs the<br />

worker has to th<strong>in</strong>k about, mak<strong>in</strong>g it possible for them<br />

to quickly and accurately select the correct<br />

People-frieuclly<br />

work<strong>in</strong>g<br />

environment<br />

Improved work<br />

efficiency<br />

production l<strong>in</strong>e, all the parts required for a given vehicle are<br />

components, improv<strong>in</strong>g task efficiency.<br />

Social & Environmental Report 2005


Efforts to Help Prevent Global Warm<strong>in</strong>g<br />

To help protect the global environment, <strong>Mazda</strong> is work<strong>in</strong>g to m<strong>in</strong>imize CO2 emissions and reduce energy<br />

consumption <strong>in</strong> every phase of our activities, from production to distribution.<br />

Sav<strong>in</strong>g energy <strong>in</strong> production<br />

<strong>Mazda</strong> is reduc<strong>in</strong>g energy consumption, work<strong>in</strong>g to achieve selfimposed<br />

CO2 emission reduction targets for production (nonconsolidated)<br />

of 5% from FY1990 levels by the end of FY 2005, and<br />

10% by the end of FY 2010. In FY 2004 we adopted new production<br />

technologies (see pages 43-44), <strong>in</strong>tegrated production l<strong>in</strong>es, reviewed<br />

losses through TPM activities, and reduced l<strong>in</strong>e operat<strong>in</strong>g times<br />

through improvement activities, to name a few. We are also<br />

convert<strong>in</strong>g to natural gas fuel, which is expected to significantly<br />

reduce CO2 emissions.<br />

Conversion to LNG fuel<br />

Natural gas has the lowest CO2 emissions per thermal unit of any of<br />

the fossil fuels, and <strong>Mazda</strong> is aggressively switch<strong>in</strong>g from exist<strong>in</strong>g<br />

heavy oil and LPG fuels to liquid natural gas (LNG). The Head Office<br />

plant completed the changeover <strong>in</strong> December 2000, followed by the<br />

Hofu Plant <strong>in</strong> 2004. <strong>Mazda</strong> will cont<strong>in</strong>ue to expand its use of LNG to<br />

further reduce CO2 emissions.<br />

Utilization of energy, by category<br />

2001 2002<br />

Electricity<br />

Coke<br />

C heavy oil<br />

B heavy oil<br />

A heavy oil<br />

Gasol<strong>in</strong>e<br />

Kerosene<br />

Diesel<br />

LPG<br />

LNG<br />

Total<br />

4,342<br />

397<br />

1,247<br />

0<br />

50<br />

9<br />

14<br />

12<br />

174<br />

441<br />

6,687<br />

4,970<br />

341<br />

1,252<br />

0<br />

6<br />

10<br />

22<br />

21<br />

88<br />

728<br />

7,438<br />

Volumw of energy use<br />

(x 10 3 GJ/year)<br />

8,000<br />

6,000<br />

4,000<br />

0<br />

6,687<br />

7,438<br />

7,670<br />

5,176<br />

386<br />

1,181<br />

0<br />

6<br />

8<br />

16<br />

29<br />

47<br />

821<br />

7,670<br />

7,818<br />

2001 2002 2003 2004<br />

Quantity of energy used (x 10 3 GJ/year)<br />

2003 2004 (Fiscal year)<br />

(fiscal year)<br />

5,344<br />

386<br />

1,126<br />

0<br />

6<br />

10<br />

16<br />

10<br />

46<br />

874<br />

7,818<br />

LNG<br />

LPG<br />

Diesel<br />

Kerosene<br />

Gasol<strong>in</strong>e<br />

A heavy oil<br />

B heavy oil<br />

C heavy oil<br />

Coke<br />

Electricity<br />

CO2 emissions from vehicle manufactur<strong>in</strong>g<br />

CO2 emissions (thousand tons/year)<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

<br />

(fiscal year)<br />

Trends <strong>in</strong> CO2 emissions per turnover unit<br />

CO2 emissions per unit sale (t/100 million yen)<br />

<br />

<br />

<br />

<br />

<br />

(fiscal year)<br />

Hofu Plant Nakanoseki Area receives the Director-<br />

General of the Agency of Natural Resources and Energy<br />

Award for excellence <strong>in</strong> factory energy management.<br />

In February 2005 The Energy<br />

Conservation Center of Japan<br />

presented the Nakanoseki Area of the<br />

Hofu Plant with the Director-General<br />

of the Agency of Natural Resources<br />

and Energy Award for excellence <strong>in</strong><br />

factory energy management, <strong>in</strong> the thermal energy category. The award<br />

recognized a 1 percent year-on-year reduction <strong>in</strong> the basic energy<br />

consumption unit for the last three years. Employees <strong>in</strong> the Nakanoseki Area<br />

participate <strong>in</strong> TPM activities to improve the workplace, and actively participate<br />

<strong>in</strong> lectures, tra<strong>in</strong><strong>in</strong>g sessions and certification programs related to energy<br />

management.<br />

<br />

<br />

<br />

<br />

<br />

<br />

Glossary: 1<br />

Basic energy consumption unit<br />

A basic unit used for calculat<strong>in</strong>g energy<br />

efficiency. At <strong>Mazda</strong> it is equivalent to the<br />

amount of energy required to produce one<br />

vehicle.<br />

<br />

Social & Environmental Report 2005<br />

Glossary 2<br />

GJ (gigaJoule)<br />

A joule is an <strong>in</strong>ternational unit of heat. One<br />

giga joule is equivalent to 4,186,050 kcal.


Activities as an automobile manufacturer<br />

Environmental Management/Environmental Profection Activites<br />

Sav<strong>in</strong>g energy <strong>in</strong> logistics<br />

<strong>Mazda</strong> is work<strong>in</strong>g to accurately monitor CO2 emissions <strong>in</strong> logistics and<br />

distribution, and reduc<strong>in</strong>g them by improved efficiencies, switch<strong>in</strong>g to<br />

alternate transport modes and other measures. Total CO2 emissions <strong>in</strong><br />

the logistics sector reached 5,631 tons <strong>in</strong> fiscal 2004.<br />

Reduced <strong>in</strong>-house deliveries<br />

<strong>Mazda</strong> began <strong>full</strong>-fledged <strong>in</strong>troduction of the <strong>Mazda</strong> Milk-Run System<br />

(MRS) <strong>in</strong> fiscal 2003, and has been steadily decreas<strong>in</strong>g the number of<br />

trucks used for parts transport. Improvements to the MRS system<br />

reduced CO2 emissions <strong>in</strong> fiscal 2004 by 2,681 tons. Additional<br />

improvements <strong>in</strong> load<strong>in</strong>g efficiency and shared transport of f<strong>in</strong>ished<br />

vehicles reduced emissions by an additional 143 tons.<br />

Utilization of sea transport<br />

Nakanoseki Port<br />

Tak<strong>in</strong>g advantage of its location on the Seto Inland Sea, <strong>Mazda</strong> began<br />

its modal shift toward sea transport quite some time ago. Today about<br />

80% of all vehicles are transported by sea, and 92% of all vehicles<br />

bound for the domestic market. In fiscal 2004 we expanded the feeder<br />

routes throughout Asia and took other measures to shorten transport<br />

distances for export parts, as well as m<strong>in</strong>imiz<strong>in</strong>g truck use to ports,<br />

reduc<strong>in</strong>g CO2 emissions by 2,807 tons.<br />

Logistics system diagram<br />

Parts manufacturer, etc.<br />

<strong>Mazda</strong><br />

Products (vehicles) for domestic market (92% by sea)<br />

Manufacturer<br />

Rail<br />

Between or with<strong>in</strong> plants<br />

F<strong>in</strong>ished vehicles<br />

F<strong>in</strong>ished vehicle pool<br />

Pure car<br />

carrier<br />

Ship<br />

Distribution center<br />

Depot<br />

Dealership<br />

Dealer<br />

Domestic<br />

customer<br />

Overseas<br />

customer<br />

Manufacturer<br />

Ship<br />

Efficiency improvement<br />

of transportation<br />

KD distribution<br />

KD pool<br />

Ship<br />

Local port<br />

Overseas plant<br />

Manufacturer<br />

Plant<br />

Plant<br />

Manufacturer<br />

Base<br />

Us<strong>in</strong>g the MRS (<strong>Mazda</strong> Milk-Run System)<br />

Service parts distribution<br />

Parts Center<br />

Promoto use of<br />

small electric vehicles<br />

Ship<br />

Parts dealership<br />

Distributor<br />

Dealership<br />

Dealership<br />

Domestic<br />

customer<br />

Overseas<br />

customer<br />

Improved efficiency and management <strong>in</strong> parts transport<br />

<strong>Mazda</strong> is steadily switch<strong>in</strong>g to electric forklifts for parts procurement<br />

and <strong>in</strong>-plant transport. At the end of FY 2004 we operated 166 electric<br />

forklifts, represent<strong>in</strong>g 24% of the total. From FY 2003 we have also<br />

begun <strong>in</strong>troduc<strong>in</strong>g tow<strong>in</strong>g tractors <strong>in</strong>stead of forklifts at parts centers<br />

handl<strong>in</strong>g customer parts and other distribution operations, further<br />

slash<strong>in</strong>g CO2 emissions.<br />

Glossary: 3<br />

Glossary 4<br />

Modal shift<br />

MRS (<strong>Mazda</strong> Milk-Run System)<br />

In an effort to reduce the amount of CO2 emissions<br />

from logistics, we are shift<strong>in</strong>g the mode of<br />

transportation to large-volume transport methods<br />

such as ships and tra<strong>in</strong>s, which have lower<br />

The term milk-run is used to refer to a s<strong>in</strong>gle truck which<br />

cycles around multiple suppliers collect<strong>in</strong>g freight. The<br />

name is derived from the milk runs of farmers collect<strong>in</strong>g<br />

milk from their dairy cows throughout the pasture.<br />

Social & Environmental Report 2005


Reduc<strong>in</strong>g Wastes<br />

To most effectively utilize resources and contribute to the realization of a recycl<strong>in</strong>g society,<br />

<strong>Mazda</strong> is work<strong>in</strong>g to m<strong>in</strong>imize waste generation <strong>in</strong> all our activities and to recycle as much as possible.<br />

Second stage of zero-emissions goal achieved<br />

<strong>Mazda</strong> has been steadily advanc<strong>in</strong>g its plan to achieve zero emissions -<br />

the elim<strong>in</strong>ation of the direct landfill wastes - for some time. The orig<strong>in</strong>al<br />

target was to reduce the direct landfill wastes from all domestic<br />

production po<strong>in</strong>ts, <strong>in</strong>clud<strong>in</strong>g development, adm<strong>in</strong>istrative and technical<br />

sectors, to under 5% of the fiscal 1990 level. This goal was achieved<br />

dur<strong>in</strong>g FY 2002, one year ahead of schedule. From FY 2003 we began<br />

work toward our second-stage goal: reduc<strong>in</strong>g the direct landfill waste to<br />

under 1% by the end of FY 2004, and we were successful <strong>in</strong> January<br />

Byproduct and waste reduction and recycl<strong>in</strong>g<br />

The key areas of improvement <strong>in</strong> the atta<strong>in</strong>ment of the second-stage<br />

zero emission goal were reduc<strong>in</strong>g the tonnage of waste generated, and<br />

recycl<strong>in</strong>g more waste. In FY 2004 we slashed the tonnage of metal<br />

scrap generated, and promoted <strong>in</strong>-plant recycl<strong>in</strong>g by melt<strong>in</strong>g and<br />

return<strong>in</strong>g ref<strong>in</strong>ed metal to the feed supply for new parts. We also made<br />

progress <strong>in</strong> recycl<strong>in</strong>g slag and cupola dust, and reduc<strong>in</strong>g the tonnage of<br />

chemical sludge generated. As a result of these efforts our recycl<strong>in</strong>g<br />

efficiency did not drop under 90%, and the direct landfill waste tonnage<br />

was 1,140 tons (a reduction of 887 tons from last year).<br />

Byproducts and waste recycl<strong>in</strong>g with<strong>in</strong> the manufactur<strong>in</strong>g process for FY 2004<br />

Trends <strong>in</strong> the Total landfill waste volume<br />

(%)<br />

100<br />

80<br />

60<br />

40<br />

20<br />

0<br />

Comparison to <strong>in</strong>dex year<br />

100<br />

77.0<br />

68.2<br />

57.6<br />

59.6<br />

42.8<br />

44.9 44.1<br />

39.3<br />

34.0<br />

30.7<br />

19.0<br />

9.8<br />

5.2 4.3<br />

1990 1991 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004<br />

(fiscal year)<br />

Includ<strong>in</strong>g landfill after process<strong>in</strong>g.<br />

Reduc<strong>in</strong>g packag<strong>in</strong>g and wrapp<strong>in</strong>g materials<br />

We are also tak<strong>in</strong>g environmental issues <strong>in</strong>to consideration when design<strong>in</strong>g packag<strong>in</strong>g,<br />

and procur<strong>in</strong>g packag<strong>in</strong>g and wrapp<strong>in</strong>g materials. When <strong>Mazda</strong> automobile parts are<br />

shipped to overseas assembly plants or sales companies with<strong>in</strong> Japan, they are now<br />

packed us<strong>in</strong>g returnable packag<strong>in</strong>g materials. <strong>Mazda</strong> is promot<strong>in</strong>g '3R' activities (the<br />

pr<strong>in</strong>ciples of Returnable, Reuse and Reduce), and have implemented reviews of<br />

packag<strong>in</strong>g materials <strong>in</strong> the light of this, with the aim of reduc<strong>in</strong>g use of resources. The<br />

reductions achieved dur<strong>in</strong>g FY 2004 are shown <strong>in</strong> the table below.<br />

Raw materials and energy<br />

Products<br />

<br />

Transport pallets made<br />

from recycled plastics<br />

Byproducts and waste<br />

In-plant recycl<strong>in</strong>g<br />

External recycl<strong>in</strong>g<br />

Scrap metal<br />

100% 51.5%<br />

Cast<strong>in</strong>g sand<br />

Total recycl<strong>in</strong>g efficiency: 99.2%<br />

48.5%<br />

47.7%<br />

Coal ash<br />

Dust<br />

0.8%<br />

Landfilled waste<br />

Results of reductions <strong>in</strong> packag<strong>in</strong>g and wrapp<strong>in</strong>g materials (wood and cardboard)<br />

Reduc<strong>in</strong>g emissions and general waste<br />

(tons)<br />

6,000<br />

Reduce Reuse Returnable<br />

Expanded use of semi-dry mach<strong>in</strong><strong>in</strong>g (see page 44) resulted <strong>in</strong> a<br />

reduction <strong>in</strong> cutt<strong>in</strong>g fluid consumption, and a result<strong>in</strong>g reduction <strong>in</strong><br />

emissions of sludge and other waste. General office waste like paper,<br />

empty cans and plastic conta<strong>in</strong>ers were thoroughly sorted and recycled,<br />

provid<strong>in</strong>g a further reduction <strong>in</strong> emissions.<br />

These efforts reduced the tonnage of waste processed by direct landfill<br />

to 1% or less of FY 1990 levels, achiev<strong>in</strong>g our second-stage zeroemission<br />

target. <strong>Mazda</strong> will cont<strong>in</strong>ue it activities to ma<strong>in</strong>ta<strong>in</strong> zero<br />

emission performance, and expand the program to the entire Group.<br />

5,000<br />

4,000<br />

3,000<br />

2,000<br />

1,000<br />

0<br />

2,366<br />

1,195<br />

406<br />

765<br />

2001<br />

3,266<br />

1,648<br />

497<br />

1,121<br />

3,843<br />

1,913<br />

629<br />

1,292<br />

5,109<br />

2,243<br />

721<br />

2,145<br />

2002 2003 2004<br />

(Fiscal year)<br />

<br />

Social & Environmental Report 2005


Activities as an automobile manufacturer<br />

Reduc<strong>in</strong>g Chemical Substance Emissions<br />

and Clean Production Activities<br />

Environmental Management/Environmental Profection Activites<br />

<strong>Mazda</strong> believes that the irreplaceable natural resources of the region around our Head Office <strong>in</strong> Hiroshima,<br />

<strong>in</strong>clud<strong>in</strong>g the Seto Inland Sea National Park, are part of humanity's common heritage,<br />

and is committed to "clean production" with m<strong>in</strong>imal impact on the environment.<br />

Advance <strong>in</strong>spection system for chemical substances<br />

Before purchas<strong>in</strong>g a new type of oil, chemical, pa<strong>in</strong>t or other such raw<br />

material or secondary material, an advance evaluation of labor safety<br />

and environmental impact is carried out, based on the material safety<br />

data sheet (MSDS). <strong>Mazda</strong> is committed to the elim<strong>in</strong>ation or<br />

reduction <strong>in</strong> use of dangerous chemicals, and to f<strong>in</strong>d<strong>in</strong>g alternatives<br />

where possible.<br />

PRTR (Pollutant Release and Transfer Register)<br />

Dur<strong>in</strong>g FY 2004, <strong>Mazda</strong> used a total of 23 substances requir<strong>in</strong>g<br />

report<strong>in</strong>g under the terms of the PRTR. Production totals <strong>in</strong>creased by<br />

around 0.2% dur<strong>in</strong>g this fiscal year, but <strong>Mazda</strong> was able to reduce the<br />

quantities of pollutants emitted <strong>in</strong>to the air and water systems by<br />

around 15% (see pages 81-84 for details).<br />

Prevent<strong>in</strong>g wastewater pollution<br />

<strong>Mazda</strong> draws no subsurface water for <strong>in</strong>dustrial usage, recogniz<strong>in</strong>g that<br />

this can lead to subsidence problems, and <strong>in</strong>stead receives a regular<br />

volume of <strong>in</strong>dustrial water. The Miyoshi Prov<strong>in</strong>g Grounds collects ra<strong>in</strong><br />

water for a variety of uses, along with other measures designed to<br />

improve utilization efficiency of water resources. <strong>Mazda</strong> has def<strong>in</strong>ed its<br />

own standards, which are stricter than the legal regulations <strong>in</strong> regard to<br />

wastewater pollution, and clears these standards by an ample marg<strong>in</strong>.<br />

<strong>Mazda</strong> also processes its wastewater appropriately accord<strong>in</strong>g to orig<strong>in</strong>,<br />

by separat<strong>in</strong>g wastewater from process<strong>in</strong>g systems, domestic-hygiene<br />

systems, etc., as shown below.<br />

Outl<strong>in</strong>e of wastewater process<strong>in</strong>g (Hiroshima Plant)<br />

[Domestic hygiene]<br />

toilet,<br />

handwash<strong>in</strong>g<br />

[Process]<br />

cool<strong>in</strong>g water,<br />

wash dra<strong>in</strong> water<br />

Human waste<br />

septic tank<br />

Sub wastewater<br />

storage tank<br />

Wastewater transfer<br />

by pump<br />

Sterilization, <strong>in</strong>itial process<strong>in</strong>g of human waste<br />

Ma<strong>in</strong> wastewater<br />

storage tank<br />

Wastewater transfer<br />

by pump<br />

Wastewater<br />

process<strong>in</strong>g facility<br />

Oil separation<br />

Coagulation<br />

Biological<br />

process<strong>in</strong>g<br />

Prevention of atmospheric pollution<br />

<strong>Mazda</strong> has def<strong>in</strong>ed its own standards for regulat<strong>in</strong>g emissions of SOx (sulfur<br />

oxide), NOx (nitrogen oxides), dust, ground waste and mist, as well as<br />

hydrocarbons and VOCs (volatile organic compounds) which are stricter than<br />

the legal regulations <strong>in</strong> regard to atmospheric pollution, and is clear<strong>in</strong>g these<br />

standards through the <strong>in</strong>stallation of removal equipment, low-impact facilities,<br />

and strict day-to-day controls. (For detailed emissions data, see pages 81-84.)<br />

Prevention of sensory pollution<br />

Noise, vibration, odors and other aspects that affect the senses can upset<br />

people's sense of wellbe<strong>in</strong>g even if fall<strong>in</strong>g with<strong>in</strong> the boundaries of legal<br />

requirements. <strong>Mazda</strong> is well aware of this fact, and <strong>in</strong> order to live <strong>in</strong><br />

cooperation with the local community, is committed to clean<strong>in</strong>g up the<br />

sources of pollution, and implement<strong>in</strong>g plans to take measures aga<strong>in</strong>st noise<br />

and odors.<br />

Other environmental measures<br />

<strong>Mazda</strong> is <strong>in</strong> the process of elim<strong>in</strong>at<strong>in</strong>g all chlor<strong>in</strong>e-based substances from the<br />

cutt<strong>in</strong>g oils used <strong>in</strong> the mach<strong>in</strong><strong>in</strong>g process plants. In addition, <strong>Mazda</strong> abides<br />

strictly by the legal regulations relat<strong>in</strong>g to waste process<strong>in</strong>g and clean<strong>in</strong>g, and<br />

currently stores PCB (polychlor<strong>in</strong>ated biphenyl) for use as <strong>in</strong>sulation oil for its<br />

condensers. As of the end of FY 2004, <strong>Mazda</strong> stored 439 units of PCB.<br />

Help<strong>in</strong>g preserve the natural environment<br />

The Miyoshi Prov<strong>in</strong>g Ground is <strong>in</strong>volved <strong>in</strong> a plan to restore the scenic<br />

beauty and riverhead functions of an extensive region of mounta<strong>in</strong>s<br />

and forest damaged by p<strong>in</strong>e weevils. 22 hectares of land will be<br />

covered through FY 2007, and some 15 hectares have been completed<br />

as of the end of FY 2004.<br />

Our Hokkaido Kenbuchi Prov<strong>in</strong>g Ground, which handles R&D <strong>in</strong>to<br />

technology and safety for frigid climates, operates under self-imposed<br />

regulations limit<strong>in</strong>g development and use to about 50 days <strong>in</strong> the<br />

w<strong>in</strong>ter, to m<strong>in</strong>imize impact on the natural environment.<br />

[Ra<strong>in</strong> water]<br />

Ra<strong>in</strong> water tank<br />

Initial precipitation tank<br />

Initial precipitation<br />

High-level<br />

process<strong>in</strong>g<br />

Release<br />

Release<br />

[Waste liquids]<br />

coolant,<br />

wash dra<strong>in</strong> liquid<br />

Vacuum truck<br />

Ma<strong>in</strong> wastewater<br />

storage tank<br />

Inc<strong>in</strong>erated<br />

on-site<br />

Miyoshi Prov<strong>in</strong>g Grounds<br />

Glossary 1<br />

MSDS<br />

Material Safety Data Sheet<br />

Glossary 2<br />

PRTR<br />

An abbreviation for Pollutant Release and Transfer<br />

Register.<br />

Social & Environmental Report 2005


Green Purchas<strong>in</strong>g<br />

<strong>Mazda</strong> recognizes the need to work with suppliers to further reduce the burden placed on the environment, and are<br />

engaged <strong>in</strong> a wide range of activities under the Green Procurement Guidel<strong>in</strong>es.<br />

Promot<strong>in</strong>g ISO 14001 accreditation among suppliers<br />

As part of its Environmental Management System, <strong>Mazda</strong> requires its<br />

suppliers of automobile parts and materials, as well as suppliers of<br />

manufactur<strong>in</strong>g facilities and equipment, to atta<strong>in</strong> ISO14001<br />

accreditation, and <strong>Mazda</strong> works with suppliers to share <strong>in</strong><strong>format</strong>ion<br />

and best practices to raise environmental awareness. In FY 2004,<br />

<strong>Mazda</strong> held tra<strong>in</strong><strong>in</strong>g sessions on 'Environmental Issues <strong>in</strong> Product<br />

Development', and cooperated <strong>in</strong> promot<strong>in</strong>g recycl<strong>in</strong>g, reduc<strong>in</strong>g use of<br />

substances with environmental impact, and reduc<strong>in</strong>g <strong>in</strong>-cab<strong>in</strong> VOCs <strong>in</strong><br />

cars. As a result of these efforts, 95% of our suppliers had atta<strong>in</strong>ed<br />

ISO14001 accreditation by the end of FY 2004. We will cont<strong>in</strong>ue this<br />

work <strong>in</strong> FY 2005 and beyond, help<strong>in</strong>g even small-scale suppliers<br />

construct effective environmental management systems.<br />

Supplier accreditation under ISO 14001<br />

<br />

100<br />

90<br />

80<br />

90<br />

94 95<br />

70<br />

60<br />

54<br />

50<br />

40<br />

39<br />

30<br />

20<br />

10<br />

0<br />

2000 2001 2002 2003 2004 (Fiscal year)<br />

Purchas<strong>in</strong>g <strong>in</strong> accordance with Green Procurement Guidel<strong>in</strong>es<br />

<strong>Mazda</strong> has worked with suppliers for some time <strong>in</strong> environmental<br />

protection issues, and is committed to expand<strong>in</strong>g purchas<strong>in</strong>g <strong>in</strong><br />

accordance with our Green Procurement Guidel<strong>in</strong>es.<br />

As of May 2005, the Guidel<strong>in</strong>es request suppliers to<br />

Construct environmental management systems (ISO 14001 accreditation),<br />

Manage substances with environmental impact (IMDS entry, observance<br />

of MES for management of substances with environmental impact), and<br />

Designate a person responsible for environmental issues.<br />

2005.5<br />

<strong>Mazda</strong> will give purchas<strong>in</strong>g priority to suppliers that have an<br />

environmental management system <strong>in</strong> place, observe applicable laws<br />

and regulations, and manage substances with environmental impact.<br />

Assess<strong>in</strong>g environmentally damag<strong>in</strong>g substances by us<strong>in</strong>g IMDS<br />

As we work with our suppliers to improve green purchas<strong>in</strong>g, we also<br />

are steadily improv<strong>in</strong>g our environmental system. We collected data<br />

<strong>in</strong>dicat<strong>in</strong>g content by weight of EU-regulated substances such as lead,<br />

mercury, cadmium and hexavalent chrome <strong>in</strong> vehicle parts, and after<br />

evaluation and a number of measures, met regulatory requirements <strong>in</strong><br />

July 2003. As part of efforts to better manage substances with<br />

environmental impact, and reduce quantities used, <strong>Mazda</strong> utilizes the<br />

IMDS (International Material Data System) to <strong>in</strong>vestigate harmful<br />

substances. IMDS data entry guidel<strong>in</strong>es were published at the start of<br />

this fiscal year, with components and materials conta<strong>in</strong><strong>in</strong>g monitored<br />

substances listed, so that data can be ma<strong>in</strong>ta<strong>in</strong>ed.<br />

Assess<strong>in</strong>g environmentally damag<strong>in</strong>g substances<br />

<strong>Mazda</strong><br />

Survey request<br />

Supplier<br />

Data<br />

download<br />

Data<br />

<strong>in</strong>put<br />

IMDS server<br />

Glossary: 1 Glossary: 2<br />

MES<br />

<strong>Mazda</strong> Eng<strong>in</strong>eer<strong>in</strong>g Standard<br />

IMDS<br />

International Material Data System<br />

<br />

Social & Environmental Report 2005


Activities as an automobile manufacturer<br />

Cooperation with Suppliers<br />

Environmental Management/Environmental Profection Activites<br />

To further expand the range of environmental <strong>in</strong>itiatives and ensure the greatest possible effect, <strong>Mazda</strong> is also<br />

cooperat<strong>in</strong>g with suppliers <strong>in</strong> <strong>in</strong>direct sectors such as distribution and sales.<br />

Guidance for distribution-sector firms<br />

<strong>Mazda</strong> began provid<strong>in</strong>g guidance to and mak<strong>in</strong>g <strong>in</strong>spections of distribution<br />

po<strong>in</strong>ts operated by related companies from 2002, check<strong>in</strong>g on environmental<br />

issues. Guidances,<br />

covered both facilities and<br />

operation, <strong>in</strong>clud<strong>in</strong>g<br />

equipment management,<br />

daily and monthly<br />

management, and checks<br />

of various logs. Together,<br />

Group firms are work<strong>in</strong>g<br />

to achieve effective,<br />

environmentally-friendly<br />

distribution.<br />

Safety <strong>in</strong>spection <strong>in</strong> Group companies<br />

the benefits of bumper recycl<strong>in</strong>g, such as exhibitions at the <strong>Mazda</strong><br />

Service Skill Competition, and are steadily improv<strong>in</strong>g the quality of<br />

collected bumpers and the recycl<strong>in</strong>g ratio. We have drawn up the<br />

MECA21 (<strong>Mazda</strong>’s Environment Care Approach 21) environmental<br />

guidel<strong>in</strong>es for dealerships, jo<strong>in</strong>tly with the <strong>Mazda</strong> Dealership<br />

Association, as well as mak<strong>in</strong>g participation <strong>in</strong> environmental efforts<br />

mandatory for consideration for dealership awards, and provide <strong>full</strong><br />

support to ensure that all dealerships take part.<br />

Flow of bumper recovery and recycl<strong>in</strong>g (<strong>in</strong> Japan)<br />

<strong>Mazda</strong><br />

Dealership<br />

Recovery request<br />

Recovery<br />

Shipp<strong>in</strong>g<br />

company<br />

Purchase<br />

Gr<strong>in</strong>d<strong>in</strong>g<br />

plant<br />

Recycl<strong>in</strong>g via dealerships<br />

<strong>Mazda</strong><br />

Recycled<br />

parts purchase<br />

Parts supplier<br />

Recycl<strong>in</strong>g plant<br />

<strong>Mazda</strong> collects damaged bumpers from throughout Japan, recycl<strong>in</strong>g<br />

them for use <strong>in</strong> plastic components and bumpers <strong>in</strong> new cars (see page<br />

26). We are work<strong>in</strong>g to make sure that our employees <strong>full</strong>y understand<br />

Reuse / sale<br />

Reuse of pellets <strong>in</strong> other parts<br />

Conversion to pellets<br />

The "Green" Office<br />

<strong>Mazda</strong> is advanc<strong>in</strong>g a range of environmental management activities <strong>in</strong> its offices,<br />

work<strong>in</strong>g to further reduce environmental impact.<br />

Participation <strong>in</strong> “Team M<strong>in</strong>us 6%” and reduc<strong>in</strong>g environmental burden <strong>in</strong> the office<br />

In July 2005, <strong>Mazda</strong> announced its participation <strong>in</strong> "Team M<strong>in</strong>us 6%."<br />

Team m<strong>in</strong>us 6% was established as a government-supported effort<br />

under Prime M<strong>in</strong>ister Koizumi to reduce emissions of greenhouse<br />

gases by 6%, as called for by the Kyoto Protocol. Japanese citizens<br />

are work<strong>in</strong>g together to help prevent global warm<strong>in</strong>g, do<strong>in</strong>g what they<br />

can <strong>in</strong> their own lives. There are six action plans, cover<strong>in</strong>g a variety of<br />

po<strong>in</strong>ts such as adjust<strong>in</strong>g room air conditioner and heater sett<strong>in</strong>gs,<br />

us<strong>in</strong>g water and vehicles, and select<strong>in</strong>g products.<br />

As an automobile manufacturer, <strong>Mazda</strong> has been work<strong>in</strong>g for over 30<br />

years to reduce emissions of global warm<strong>in</strong>g gases. With<br />

participation <strong>in</strong> Team M<strong>in</strong>us 6% we have reviewed our environmental<br />

activities, and have prepared a pamphlet list<strong>in</strong>g 55 action plans (28<br />

office items and 27 home items) for distribution to all of our<br />

employees (about 25,000, <strong>in</strong>clud<strong>in</strong>g non-<strong>Mazda</strong> employees work<strong>in</strong>g<br />

at our facilities and employees dispatched elsewhere), to promote<br />

awareness of the issue.<br />

Paper represents one item of considerable environment impact<br />

generated <strong>in</strong> the office, and <strong>Mazda</strong> is work<strong>in</strong>g to m<strong>in</strong>imize the use of<br />

paper by distribut<strong>in</strong>g corporate <strong>in</strong><strong>format</strong>ion via the <strong>in</strong>tranet, and us<strong>in</strong>g<br />

electronic forms for various paperwork and f<strong>in</strong>ancial records, for<br />

example. We shred used paper<br />

for use as cushion<strong>in</strong>g pack<strong>in</strong>g<br />

material for parts, and sort<br />

wastepaper care<strong>full</strong>y to recycle<br />

as much as possible. Other<br />

measures to m<strong>in</strong>imize<br />

environmental effects <strong>in</strong>clud<strong>in</strong>g<br />

us<strong>in</strong>g energy-efficient office<br />

equipment, turn<strong>in</strong>g off<br />

computers and lights when not<br />

<strong>in</strong> use, turn<strong>in</strong>g off vehicle<br />

eng<strong>in</strong>es <strong>in</strong>stead of idl<strong>in</strong>g, and of<br />

course mak<strong>in</strong>g sure that each<br />

and every employee rema<strong>in</strong>s<br />

aware of the importance of<br />

reduc<strong>in</strong>g environmental impact<br />

<strong>in</strong> everyth<strong>in</strong>g we do.<br />

Glossary 3<br />

MECA21<br />

<strong>Mazda</strong>'s Environment Care Approach21<br />

Social & Environmental Report 2005


Activities as a Corporate Citizen<br />

Social & Environmental Report 2005<br />

Respect<strong>in</strong>g and Energiz<strong>in</strong>g People<br />

Our Vision for People<br />

Respect for Human Rights<br />

Specific Policies for Human Resources Tra<strong>in</strong><strong>in</strong>g<br />

Build<strong>in</strong>g Creative People<br />

Promot<strong>in</strong>g the Work-Life Balance<br />

Safety and Health for Workers<br />

Excellence <strong>in</strong> Staff Relations<br />

<br />

Social & Environmental Report 2005


Activities as a corporate citizen<br />

Our Vision for People<br />

Respect<strong>in</strong>g and energiz<strong>in</strong>g people<br />

<strong>Mazda</strong> could not function without the people who make up its staff. We are <strong>in</strong> the process of implement<strong>in</strong>g a unique<br />

company-wide human resources system that allows us to express our commitment to the development and activities<br />

of our employees.<br />

'Tobiuo' ('Fly<strong>in</strong>g Fish') Human Resources System<br />

<strong>Mazda</strong> wants to be first and foremost a company filled with people<br />

who love their work, rather than a company that is known only for its<br />

products and services. In a strong team, each member should be able<br />

to develop an environment <strong>in</strong> which he or she can sh<strong>in</strong>e, and work to<br />

his or her own strengths. We want to create that sort of teamwork.<br />

Our 'Tobiuo' ('Fly<strong>in</strong>g Fish') Human Resources System focuses on the<br />

elements that are required to raise the levels of power among each<br />

employee, based on a system of career development support. We are<br />

creat<strong>in</strong>g an environment <strong>in</strong> which each of our employees can develop<br />

his or her own careers, and we have prepared a range of options for<br />

them. Employees can take the <strong>in</strong>itiative <strong>in</strong> utiliz<strong>in</strong>g this system, and<br />

the company offers support for their growth <strong>in</strong> various ways. We<br />

believe that this will lead to more energetic employees, and help us<br />

realize our corporate vision.<br />

The 'Tobiuo' ('Fly<strong>in</strong>g Fish') Concept<br />

<br />

<strong>Mazda</strong> will provide the right jobs and the appropriate environments where each of our employee can<br />

demonstrate their abilities to the <strong>full</strong>est,and support "<strong>in</strong>dividual growth"and"outstand<strong>in</strong>g performance".<br />

Individual employee<br />

success<br />

Corporate (<strong>Mazda</strong>)<br />

success<br />

Specific examples<br />

An opportunity to select a work<strong>in</strong>g<br />

environment where employees can<br />

utilize their personal strengths<br />

If both work and play are enjoyable,<br />

employees will feel fulfilled on a dayto-day<br />

basis.<br />

Choice and Self-Accomplishment<br />

Promote Balance Between Work&Life<br />

Best match of people,work and rewards<br />

An employee’s level of commitment is<br />

reflected directly <strong>in</strong> the way they are<br />

rewarded.<br />

The right person <strong>in</strong> the right job gets<br />

work done well, and produces results.<br />

The vitality of our employees is reflected <strong>in</strong><br />

their work and products, and communicated<br />

to our customers as the <strong>Mazda</strong> Brand<br />

Better rewards can be offered to<br />

people who are do<strong>in</strong>g the work now<br />

Improved career development<br />

support system<br />

See pages 55 – 58 for details<br />

Improvements <strong>in</strong> shorter work<strong>in</strong>g<br />

hours packages for people look<strong>in</strong>g<br />

after children or relatives<br />

See page 59 for details<br />

Pay systems that <strong>in</strong>clude equal pay<br />

for equal work, evaluations, and<br />

rewards that are not dependent on<br />

length of service or age.<br />

Glossary: 1 Glossary: 2<br />

Reason for the name 'Tobiuo'<br />

The fly<strong>in</strong>g fish image expresses the concept of fearlessly head<strong>in</strong>g<br />

towards one's own future and objectives. The logo mark design<br />

expresses a sense of speed and cont<strong>in</strong>uity, and also our <strong>in</strong>tention<br />

to boost these th<strong>in</strong>gs <strong>in</strong> the future.<br />

Work-life balance<br />

The concept of feel<strong>in</strong>g that one's work is worthwhile, and that it<br />

gives the opportunity to also enjoy one's personal life. The idea that<br />

a company needs to ensure and support a balance between work<br />

and personal life is now ga<strong>in</strong><strong>in</strong>g popularity even <strong>in</strong> Japan.<br />

Social & Environmental Report 2005


Career Meet<strong>in</strong>gs<br />

<strong>Mazda</strong> starts from the position of want<strong>in</strong>g to help employees who want to<br />

grow and want to work. All employees have regular meet<strong>in</strong>gs with their<br />

supervisor four times a year, which are known as 'Career Meet<strong>in</strong>gs'.<br />

The Tobiuo human resources system is based on the idea that people will<br />

work hard and test their abilities to the limit if they agree with the role and<br />

responsibilities they have been given. These meet<strong>in</strong>gs, therefore, are not<br />

simply an opportunity for people to exchange op<strong>in</strong>ions; they are a forum<br />

for employees to discuss their career development and their activities<br />

(sett<strong>in</strong>g and atta<strong>in</strong><strong>in</strong>g objectives) with their supervisors.<br />

The ma<strong>in</strong> themes of Career Meet<strong>in</strong>gs<br />

Career development discussions – facilitat<strong>in</strong>g growth<br />

Assessment of future objectives and the level to which abilities are be<strong>in</strong>g improved through work<br />

Review of responsibilities and any requests regard<strong>in</strong>g transfer or change of work detail<br />

Goal sett<strong>in</strong>g discussions – facilitat<strong>in</strong>g activity<br />

Sett<strong>in</strong>g work objectives and review<strong>in</strong>g level to which these have been achieved, as<br />

well as shar<strong>in</strong>g challenges for work ahead<br />

The above discussions are carried out four times per year.<br />

The <strong>Mazda</strong> systems that support career development<br />

Discussion regard<strong>in</strong>g mental and physical health<br />

Health advisor / work counselor / company doctor<br />

Advice regard<strong>in</strong>g activities and development<br />

Career counselor<br />

Specialist organizations<br />

Human Resources Department<br />

Supervisors<br />

Career Meet<strong>in</strong>gs<br />

Mentor (advisor)<br />

Company-approved mentors<br />

Tobiuo career <strong>in</strong><strong>format</strong>ion<br />

Email / website<br />

Challeng<strong>in</strong>g Career System<br />

Job post<strong>in</strong>gs (recruitment)<br />

Job entry (FA)<br />

Employees<br />

Career tra<strong>in</strong><strong>in</strong>g<br />

Group tra<strong>in</strong><strong>in</strong>g / e-learn<strong>in</strong>g<br />

Day-to-day communication<br />

Advice regard<strong>in</strong>g corporate life<br />

Tobiuo community activities<br />

Human Resources Development Committee<br />

Glossary: 1<br />

<br />

Social & Environmental Report 2005<br />

Career tra<strong>in</strong><strong>in</strong>g (group tra<strong>in</strong><strong>in</strong>g / e-learn<strong>in</strong>g)<br />

A tra<strong>in</strong><strong>in</strong>g system that focuses on the needs of adm<strong>in</strong>istrative and<br />

technical staff for atta<strong>in</strong>ment of, and improvements <strong>in</strong>, their bus<strong>in</strong>ess<br />

skills. Employees can opt to take such courses dur<strong>in</strong>g work<strong>in</strong>g hours.<br />

Dur<strong>in</strong>g FY 2004, the subjects on offer <strong>in</strong>cluded tra<strong>in</strong><strong>in</strong>g <strong>in</strong> "problemsolv<strong>in</strong>g<br />

and overview-build<strong>in</strong>g skills", such as logical communications and<br />

<strong>in</strong>novative th<strong>in</strong>k<strong>in</strong>g, alongside negotiation skills tra<strong>in</strong><strong>in</strong>g and presentation<br />

skills "for improved <strong>in</strong>terpersonal relations", "work skills improvement<br />

tra<strong>in</strong><strong>in</strong>g" <strong>in</strong> areas such as English and f<strong>in</strong>ance, and "tra<strong>in</strong><strong>in</strong>g <strong>in</strong> broader<br />

outlooks and th<strong>in</strong>k<strong>in</strong>g", such as understand<strong>in</strong>g other cultures. In total, 28<br />

topics were offered with<strong>in</strong> these four categories (of which 18 were group<br />

tra<strong>in</strong><strong>in</strong>g and the other 10 were e-learn<strong>in</strong>g courses). A total of 2,211 people<br />

took part <strong>in</strong> our courses (1,066 <strong>in</strong> group tra<strong>in</strong><strong>in</strong>g, and 1,145 <strong>in</strong> e-learn<strong>in</strong>g).


Activities as a corporate citizen<br />

Respect<strong>in</strong>g and energiz<strong>in</strong>g people<br />

<strong>Mazda</strong><br />

Human Resources Data<br />

As of March 31, 2005<br />

Total number of employees<br />

Average age<br />

Average length of service<br />

No. of employees over the age of 60 (Senior Family)<br />

Results from 2004<br />

New graduates hired<br />

Mid-career hired<br />

Total no. of people hired<br />

19,724 (17,943 men, 1,304 women)<br />

41.4<br />

20.2 years<br />

302<br />

432 (346 men, 86 women)<br />

594 (538 men, 56 women)<br />

1026 (884 men, 142 women)<br />

Respect for Human Rights<br />

Alongside respect<strong>in</strong>g the human rights of every one of our employees, we are also <strong>in</strong>creas<strong>in</strong>gly required to ensure an<br />

environment <strong>in</strong> which each of us respects one another. <strong>Mazda</strong> aims to become a lead<strong>in</strong>g company <strong>in</strong> the area of<br />

respect for human rights, and to this end we have established a Human Rights Committee and a set of regulations to<br />

end the <strong>in</strong>fr<strong>in</strong>gement of human rights.<br />

The Human Rights Committee and the Elim<strong>in</strong>at<strong>in</strong>g Human Rights Violations Rules<br />

Structure of the Human Rights Committee<br />

<strong>Mazda</strong> established its rules and regulations relat<strong>in</strong>g to the prevention of<br />

human rights <strong>in</strong>fr<strong>in</strong>gements on October 25, 2000 with the enactment of<br />

Elim<strong>in</strong>at<strong>in</strong>g Human Rights Violations Rules, and conduces monitor<strong>in</strong>g of the<br />

status of adherence to these rules, along with promot<strong>in</strong>g human rights <strong>in</strong> a<br />

wide variety of policies, which are decided by the Human Rights Committee.<br />

Through these measures, we aim to achieve and strengthen a spirit of<br />

respect for human rights throughout the company. Where cases of human<br />

rights <strong>in</strong>fr<strong>in</strong>gement are acknowledged, we have a Human Rights Counsel<strong>in</strong>g<br />

Desk and a Female Employee Counsel<strong>in</strong>g Desk, which act as a w<strong>in</strong>dow for<br />

<strong>in</strong>itial claims and compla<strong>in</strong>ts, and we have a system <strong>in</strong> place that aims to take<br />

appropriate measures without <strong>in</strong>fr<strong>in</strong>g<strong>in</strong>g human rights. We also implement a<br />

wide range of tra<strong>in</strong><strong>in</strong>g and educational programs relat<strong>in</strong>g to human rights.<br />

Human Rights Committee<br />

Office: Human Resources<br />

Department<br />

Chairperson: President and CEO<br />

Deputy Chairperson: Executive Officer <strong>in</strong> charge of<br />

Personnel & Human Development<br />

Senior Manag<strong>in</strong>g Executive Officer<br />

Executive Officer <strong>in</strong> charge of<br />

Legal Afrairs<br />

Executive Officer <strong>in</strong> charge of<br />

ma<strong>in</strong> areas<br />

General Manager of Personnel &<br />

Human Development Division<br />

Observers<br />

Auditors<br />

Outl<strong>in</strong>e of Elim<strong>in</strong>at<strong>in</strong>g Human Rights Violations Rules<br />

All employees are forbidden from all violations of human rights <strong>in</strong> corporate activity,<br />

whether at the workplace or elsewhere, <strong>in</strong>clud<strong>in</strong>g rights related to race, nationality,<br />

creed, gender, social stand<strong>in</strong>g, orig<strong>in</strong>, age, physical disability or sexual preference;<br />

from sexual harassment; and from other <strong>in</strong>appropriate actions.<br />

All violations of these regulations, violations of human rights, or retaliatory actions<br />

shall be reported to <strong>Mazda</strong>.<br />

All retaliatory action <strong>in</strong> response to reports of human rights violations, or to<br />

cooperation with <strong>in</strong>vestigations, is forbidden.<br />

Social & Environmental Report 2005


Specific Policies for Human Resources Tra<strong>in</strong><strong>in</strong>g<br />

<strong>Mazda</strong> strongly believes that a company is only as good as its people. We are committed to develop<strong>in</strong>g and<br />

improv<strong>in</strong>g the skills and careers of each of our employees, and are constantly roll<strong>in</strong>g out new human resources<br />

tra<strong>in</strong><strong>in</strong>g programs at all levels and <strong>in</strong> all areas.<br />

Company-wide skills development program dur<strong>in</strong>g FY2004<br />

Adm<strong>in</strong>istrative / technical staff<br />

Adm<strong>in</strong>istrative,<br />

technical and production staff<br />

Production staff<br />

Role tra<strong>in</strong><strong>in</strong>g<br />

Tra<strong>in</strong><strong>in</strong>g for selected <strong>in</strong>dividuals<br />

Lead<strong>in</strong>g <strong>Mazda</strong> 21<br />

Optional tra<strong>in</strong><strong>in</strong>g<br />

Group tra<strong>in</strong><strong>in</strong>g e-learn<strong>in</strong>g<br />

MBLD<br />

First<br />

Cascade<br />

Required tra<strong>in</strong><strong>in</strong>g<br />

Elective tra<strong>in</strong><strong>in</strong>g and tra<strong>in</strong><strong>in</strong>g<br />

for selected <strong>in</strong>dividuals<br />

Optional tra<strong>in</strong><strong>in</strong>g<br />

Tra<strong>in</strong><strong>in</strong>g for<br />

newly-appo<strong>in</strong>ted<br />

senior managers<br />

Tra<strong>in</strong><strong>in</strong>g for<br />

future<br />

bus<strong>in</strong>ess leaders<br />

MBLD<br />

Middle<br />

Cascade<br />

Tra<strong>in</strong><strong>in</strong>g for staff<br />

newly appo<strong>in</strong>ted to<br />

assistant manager<br />

Mid-level employees<br />

cross-<strong>in</strong>dustry tra<strong>in</strong><strong>in</strong>g<br />

Group tra<strong>in</strong><strong>in</strong>g: 19 courses<br />

e-learn<strong>in</strong>g: 9 courses<br />

MBLD<br />

Second<br />

Cascade<br />

<br />

MBLD<br />

Third<br />

Cascade<br />

Pre-overseas assignment tra<strong>in</strong><strong>in</strong>g<br />

Management tra<strong>in</strong><strong>in</strong>g<br />

(formerly plant managers’ tra<strong>in</strong><strong>in</strong>g)<br />

Basic tra<strong>in</strong><strong>in</strong>g for first four years after enter<strong>in</strong>g <strong>Mazda</strong><br />

Employees are required to take two subjects from the<br />

available optional tra<strong>in</strong><strong>in</strong>g courses each year (<strong>in</strong>clud<strong>in</strong>g<br />

e-learn<strong>in</strong>g) for the first four years after they are hired.<br />

They may also choose to take the two courses below.<br />

Sales work experience<br />

Tra<strong>in</strong><strong>in</strong>g for<br />

new employees<br />

Plant work experience<br />

Follow-up tra<strong>in</strong><strong>in</strong>g for<br />

new employees<br />

Tra<strong>in</strong><strong>in</strong>g for<br />

newly-appo<strong>in</strong>ted<br />

section managers<br />

Tra<strong>in</strong><strong>in</strong>g for<br />

newly-appo<strong>in</strong>ted assistant<br />

section managers<br />

Tra<strong>in</strong><strong>in</strong>g for<br />

newly-appo<strong>in</strong>ted<br />

team leaders<br />

Super-leaders<br />

tra<strong>in</strong><strong>in</strong>g<br />

Senior leaders<br />

tra<strong>in</strong><strong>in</strong>g<br />

Junior leaders<br />

tra<strong>in</strong><strong>in</strong>g<br />

Tra<strong>in</strong><strong>in</strong>g for newly-appo<strong>in</strong>ted employees<br />

and employees hired mid-career<br />

Advaced technical skills tra<strong>in</strong><strong>in</strong>g course<br />

<strong>Mazda</strong> Junior College<br />

Weld<strong>in</strong>g Skill Tra<strong>in</strong><strong>in</strong>g Program<br />

Technical Olympics Tra<strong>in</strong>ig Program<br />

"Work tra<strong>in</strong><strong>in</strong>g advisor"<br />

"National technical<br />

accreditation"<br />

"Automobile mechanic"<br />

"In-company technical<br />

accreditation"<br />

"Tra<strong>in</strong><strong>in</strong>g implemented by<br />

various"<br />

divisions with<strong>in</strong> company<br />

Support system for self-improvement System that supports atta<strong>in</strong>ment of qualifications<br />

Correspondence Course Assistance Program Language courses Provision of <strong>in</strong><strong>format</strong>ion regard<strong>in</strong>g further study<br />

Glossary: 1 Glossary: 2<br />

Adm<strong>in</strong>istrative / technical staff<br />

Employees engaged <strong>in</strong> plann<strong>in</strong>g, f<strong>in</strong>ance, market<strong>in</strong>g, sales,<br />

adm<strong>in</strong>istration and human resources are known as<br />

'adm<strong>in</strong>istrative', while those engaged <strong>in</strong> research, development,<br />

design, production and plant management are known as<br />

Production staff<br />

Employees engaged <strong>in</strong> production-related tasks such<br />

as forg<strong>in</strong>g, press<strong>in</strong>g, pa<strong>in</strong>t<strong>in</strong>g, mach<strong>in</strong>e assembly,<br />

body assembly, ma<strong>in</strong>tenance, <strong>in</strong>spections, etc.<br />

<br />

Social & Environmental Report 2005


Activities as a corporate citizen<br />

Respect<strong>in</strong>g and energiz<strong>in</strong>g people<br />

<br />

Our company-wide tra<strong>in</strong><strong>in</strong>g and education program, MBLD, began <strong>in</strong><br />

July 2000, based on an understand<strong>in</strong>g that if our employees are able<br />

to excel at what they are good at, <strong>Mazda</strong> will be able to overcome any<br />

difficulties it might face. 'Change or Die was the first theme of MBLD',<br />

and MBLD has the follow<strong>in</strong>g three objectives:<br />

MBLD Objectives<br />

<br />

<br />

To develop bus<strong>in</strong>ess leaders at each level of seniority<br />

To reform corporate culture and traditions<br />

Implementation schedule and themes for MBLD<br />

Implementation schedule<br />

Theme<br />

MBLD #1 (2000) Change or die. Drive for results<br />

MBLD #5 First Cascade<br />

<br />

To ensure that top management policies permeate through to all employees<br />

MBLD#22001<br />

MBLD#32002<br />

Rek<strong>in</strong>dle the Spark. Master<strong>in</strong>g Execution<br />

New Products Success and Bus<strong>in</strong>ess Growth<br />

MBLD #5 began <strong>in</strong> December 2004, tak<strong>in</strong>g 'One <strong>Mazda</strong>' as its keyword, with the purpose of<br />

ensur<strong>in</strong>g that our long term strategies and the <strong>Mazda</strong> Momentum bus<strong>in</strong>ess strategy (the two-year<br />

mid-term plan – see page 77 for details) permeate the whole company, and that our employees<br />

are motivated to see the atta<strong>in</strong>ment of these objectives. MBLD is dist<strong>in</strong>guished by its philosophy<br />

that excellent leaders are also excellent teachers, and we therefore ask people recognized as good<br />

leaders to communicate to their subord<strong>in</strong>ates <strong>in</strong> their own words. This process allows the next<br />

generation of teachers to come up through the ranks, and develops leaders at every level who<br />

have a bigger picture of the whole company.<br />

This system allows participants to also beg<strong>in</strong> to<br />

see themselves as leaders <strong>in</strong> the situations with<strong>in</strong><br />

which they f<strong>in</strong>d themselves, and facilitates<br />

employees beg<strong>in</strong>n<strong>in</strong>g to understand their own<br />

situations <strong>in</strong> the light of the company as a whole,<br />

and therefore beg<strong>in</strong>n<strong>in</strong>g to develop solutions.<br />

Progress<strong>in</strong>g <strong>in</strong> reform<strong>in</strong>g our corporate culture:<br />

numbers of people answer<strong>in</strong>g 'yes' to our survey questions<br />

<br />

80<br />

60<br />

40<br />

20<br />

MBLD #5 Middle Cascade<br />

Do you understand how the company is do<strong>in</strong>g at the moment, and the direction <strong>in</strong> which it is try<strong>in</strong>g to go<br />

Do you th<strong>in</strong>k <strong>Mazda</strong> is work<strong>in</strong>g towards change<br />

Do you feel you can to work towards chang<strong>in</strong>g yourself<br />

Do you th<strong>in</strong>k the people around you are work<strong>in</strong>g towards change<br />

Do you th<strong>in</strong>k that <strong>Mazda</strong> employees have high levels of morale and motivation<br />

Do you th<strong>in</strong>k that walls between departments are be<strong>in</strong>g lowered<br />

0<br />

Before start<strong>in</strong>g program 1<br />

2 3 4<br />

MBLD has helped many <strong>Mazda</strong> employees to understand how the company is do<strong>in</strong>g, and to help<br />

work towards its objectives. <strong>Mazda</strong> is mak<strong>in</strong>g sure progress towards achiev<strong>in</strong>g a more<br />

consistent, stronger corporate culture. At the same time, because a high proportion of employees<br />

seem to feel that the walls between departments are ris<strong>in</strong>g <strong>in</strong>stead of fall<strong>in</strong>g, we have <strong>in</strong>troduced<br />

the challenge of 'One <strong>Mazda</strong>', to reduce these walls, with the implementation of MBLD #5.<br />

MBLD#42003<br />

MBLD#52004<br />

MBLD #5 roll-out (December 2004 – June 2005)<br />

1st Cascade<br />

Middle Cascade<br />

2nd / 3rd Cascade<br />

Understand<strong>in</strong>g. Enhancement & Flawless Execution of 2003 Bus<strong>in</strong>ess Plan<br />

Proceed to Second Phase of Revival and to One <strong>Mazda</strong><br />

Managers and staff managers<br />

(900 participants)<br />

General employees<br />

(16,800 participants)<br />

The views of an MBLD Leader / Teacher<br />

A good opportunity to review identity of<br />

one's own division with<strong>in</strong> the company<br />

Production Control & Logistics Division<br />

Tatsuyuki Masuda<br />

Staff ranked as division general<br />

managers and above, plus<br />

representatives of ma<strong>in</strong><br />

subsidiaries (290 participants)<br />

At MBLD #5, I participated <strong>in</strong> the Middle Cascade, and was able to learn about the long-term<br />

strategies of <strong>Mazda</strong> and about <strong>Mazda</strong> Momentum (see page 77), as well as hear<strong>in</strong>g directly<br />

from the company president. I was then given the opportunity to become a leader / teacher<br />

for the Second and Third Cascades, and communicate that <strong>in</strong><strong>format</strong>ion to my own division<br />

members. When communicat<strong>in</strong>g with them, I was aware that it is not enough to merely<br />

repeat what you have been told as though it's some sort of message-relay<strong>in</strong>g game, but to<br />

consider care<strong>full</strong>y how those long term strategies and the <strong>Mazda</strong> Momentum relates to each<br />

of the jobs done by members of this department, and to communicate it <strong>in</strong> such a way that<br />

they understand. In order to do this, I had to understand the company-wide policies much<br />

more deeply, and consider how they relate to the issues our division is fac<strong>in</strong>g. Time is limited,<br />

so it was difficult to do this properly, but it gave me the opportunity to review the identity of<br />

the Production Control & Logistics Division, and I th<strong>in</strong>k it helped me to grow personally.<br />

Glossary: 3 Glossary: 4<br />

Glossary: 5<br />

Lead<strong>in</strong>g <strong>Mazda</strong> 21<br />

In the human resources development program designed for senior<br />

management, we aim to develop next-generation leaders who are able to<br />

take a global view of the future and make strategic decisions. Dur<strong>in</strong>g 2004,<br />

we implemented a program of three such courses <strong>in</strong> which 60 people<br />

Self-improvement support<br />

We have several systems <strong>in</strong> place, <strong>in</strong>clud<strong>in</strong>g the <strong>Mazda</strong> Flex<br />

Benefit system and some scholarships, to support<br />

employees who wish to further their own tra<strong>in</strong><strong>in</strong>g through<br />

tak<strong>in</strong>g qualifications and becom<strong>in</strong>g accredited for their<br />

Creation of <strong>in</strong><strong>format</strong>ion site 'Manaboard'<br />

We have put up an <strong>in</strong>tranet site known as Manaboard, which provides comprehensive <strong>in</strong><strong>format</strong>ion<br />

regard<strong>in</strong>g the education and tra<strong>in</strong><strong>in</strong>g programs available with<strong>in</strong> the company, and allows employees<br />

to apply for such programs. It is also the portal for our e-learn<strong>in</strong>g programs, and we are work<strong>in</strong>g to<br />

ensure <strong>in</strong>-company awareness is raised so that employees f<strong>in</strong>d it an easy environment to utilize.<br />

Social & Environmental Report 2005


Build<strong>in</strong>g Creative People<br />

At <strong>Mazda</strong>, we th<strong>in</strong>k hard about how to protect our spirit of creativity, of which we are rightly proud, as well as the<br />

technical knowledge we have ga<strong>in</strong>ed, and how to communicate these to future generations. We are do<strong>in</strong>g this<br />

through a wide range of technical tra<strong>in</strong><strong>in</strong>g programs offered with<strong>in</strong> our production divisions.<br />

Advanced Technical Skills Tra<strong>in</strong><strong>in</strong>g Course<br />

Whatever the developments <strong>in</strong> production eng<strong>in</strong>eer<strong>in</strong>g, there will<br />

never be a mechanical replacement for ref<strong>in</strong>ed technical ability and<br />

good basic skills. <strong>Mazda</strong> takes seriously the importance of these basic<br />

pr<strong>in</strong>ciples <strong>in</strong> the creative process, and began a course that aims to<br />

develop excellent production eng<strong>in</strong>eer<strong>in</strong>g skills <strong>in</strong> July 1996, <strong>in</strong> order<br />

to counter the <strong>in</strong>creas<strong>in</strong>g age of our skilled production staff and the<br />

shortage of skills among younger workers. This course last for two<br />

years, and <strong>in</strong>volves one experienced member of staff tra<strong>in</strong><strong>in</strong>g two<br />

younger employees on a man-to-man basis, <strong>in</strong> order to develop both<br />

their skills and their <strong>in</strong>st<strong>in</strong>cts. This system is dedicated to<br />

communication, and those teach<strong>in</strong>g the course are, on completion,<br />

given the title of 'production eng<strong>in</strong>eer<strong>in</strong>g meister', as well as receiv<strong>in</strong>g<br />

the benefits accorded a highest-level technician. The system is <strong>in</strong><br />

operation company-wide, and at present, there are 24 subject courses<br />

<strong>in</strong> operation, giv<strong>in</strong>g employees vital knowledge about build<strong>in</strong>g<br />

automobiles. The courses have been completed by 83 employees, and<br />

39 production eng<strong>in</strong>eer<strong>in</strong>g meisters have been named. The eng<strong>in</strong>eers<br />

tra<strong>in</strong>ed <strong>in</strong> this way have played important roles <strong>in</strong> the manufacture of<br />

the rotary eng<strong>in</strong>e as well as other revolutionary technologies and<br />

products.<br />

Tra<strong>in</strong><strong>in</strong>g excellent production eng<strong>in</strong>eers, and their results<br />

24 different courses relat<strong>in</strong>g to knowledge vital for build<strong>in</strong>g automobiles,<br />

<strong>in</strong>clud<strong>in</strong>g cast metal and cast iron, die cast<strong>in</strong>g, foundry, powder alloys, heat<br />

process<strong>in</strong>g, mechanical process<strong>in</strong>g, eng<strong>in</strong>e assembly, axle assembly, gear box<br />

assembly, press<strong>in</strong>g,vehicle body, pa<strong>in</strong>t<strong>in</strong>g and body assembly.<br />

Between July 1996 and March 2005, the courses were completed by 83<br />

people, with 39 production eng<strong>in</strong>eer<strong>in</strong>g meisters be<strong>in</strong>g named. A further eight<br />

people qualified as High-proficiency skilled workers and three as<br />

contemporary master craftsman, with one w<strong>in</strong>n<strong>in</strong>g the Medal with Yellow<br />

Ribbon.<br />

Meister Badge<br />

After complet<strong>in</strong>g the tra<strong>in</strong><strong>in</strong>g courses,<br />

employees who have served as masters<br />

receive a 'Production Eng<strong>in</strong>eer<strong>in</strong>g<br />

Meister' title, and are given a pure silver<br />

Production Eng<strong>in</strong>eer<strong>in</strong>g Meister badge.<br />

<br />

Build<strong>in</strong>g creative people: 1<br />

Advanced Technical Skills Tra<strong>in</strong><strong>in</strong>g Course<br />

Rotary Eng<strong>in</strong>e Assembly Ma<strong>in</strong>tenance course<br />

Master<br />

Hiroshima Plant Skill Tra<strong>in</strong><strong>in</strong>g Team<br />

Nobuhiro K<strong>in</strong>oshita<br />

Apprentice<br />

Hiroshima Plant Skill Tra<strong>in</strong><strong>in</strong>g Team / Hiroshima Plant Skill Tra<strong>in</strong><strong>in</strong>g Team<br />

Tsuyoshi Tsukatani / Tomoyuki Kakito<br />

This tra<strong>in</strong><strong>in</strong>g course was established <strong>in</strong> 2004. The diagnostic eng<strong>in</strong>eer<strong>in</strong>g of the rotary<br />

eng<strong>in</strong>e, which relies on sound and vibration, is a detailed and complex subject, and<br />

requires a high level of knowledge and experience, as well as superior <strong>in</strong>st<strong>in</strong>cts.<br />

Teach<strong>in</strong>g this requires a remarkable level of attention to detail, but when a student<br />

understands what is go<strong>in</strong>g on, the feel<strong>in</strong>g of satisfaction is also immense. The course<br />

is <strong>in</strong> its f<strong>in</strong>al year now, and the students are practic<strong>in</strong>g discover<strong>in</strong>g and diagnos<strong>in</strong>g<br />

problems that we are creat<strong>in</strong>g ourselves. Once they f<strong>in</strong>ish this course they will become<br />

leaders on the assembly l<strong>in</strong>e for rotary eng<strong>in</strong>es, so the responsibility is immense.<br />

Glossary: 1 Glossary: 2<br />

High-proficiency skilled workers<br />

The Japan Vocational Ability Development Association has been commissioned by<br />

the M<strong>in</strong>istry of Health, Labor and Welfare to work with vocational development<br />

associations <strong>in</strong> each prefecture of Japan to offer accreditation to employees with<br />

valuable skills. Such employees are designated High-proficiency skilled workers.<br />

<br />

Social & Environmental Report 2005<br />

Contemporary Master craftsman<br />

From traditional arts to cutt<strong>in</strong>g edge technology, this title is awarded to people who<br />

achieve the highest standards <strong>in</strong> technique with<strong>in</strong> their field of expertise<br />

nationwide. Awards are made by the M<strong>in</strong>ister for Health, Labor and Welfare, who<br />

receives nom<strong>in</strong>ations from corporations nationwide, and selects the most highly<br />

qualified.


Activities as a corporate citizen<br />

Respect<strong>in</strong>g and energiz<strong>in</strong>g people<br />

Build<strong>in</strong>g creative people: 2<br />

Advanced Technical Skills Tra<strong>in</strong><strong>in</strong>g Course<br />

Mach<strong>in</strong>e process<strong>in</strong>g (lathes and mill<strong>in</strong>g mach<strong>in</strong>es) course<br />

Master<br />

Hiroshima Plant Skill Tra<strong>in</strong><strong>in</strong>g Team<br />

Junichi Ueno<br />

Apprentice<br />

Hiroshima Plant Skill Tra<strong>in</strong><strong>in</strong>g Team / Hiroshima Plant Skill Tra<strong>in</strong><strong>in</strong>g Team<br />

Tosh<strong>in</strong>obu Kaji / Sh<strong>in</strong>sei Kuniyasu<br />

Lath<strong>in</strong>g and other high-level mach<strong>in</strong>e process<strong>in</strong>g skills are the foundations of<br />

manufactur<strong>in</strong>g. Take the RENESIS eng<strong>in</strong>e rotors prototypes, for example – they could<br />

not have been made without the ref<strong>in</strong>ed skills of a human be<strong>in</strong>g. In order to be able to<br />

process to with<strong>in</strong> a micrometer's accuracy, you need to be us<strong>in</strong>g all five senses at<br />

once. You need to take <strong>in</strong> the color, shape, sound and smell of the shav<strong>in</strong>gs, and to be<br />

able to make very f<strong>in</strong>e adjustments where necessary. I spent a lot of time th<strong>in</strong>k<strong>in</strong>g<br />

about how to communicate the feel<strong>in</strong>g of chang<strong>in</strong>g the amount of pressure you apply<br />

when turn<strong>in</strong>g the handle and mov<strong>in</strong>g the blade. As a teacher, you need to be improv<strong>in</strong>g<br />

your own communication skills at all times, too.<br />

National and World Skills Competition Tra<strong>in</strong><strong>in</strong>g Program<br />

We also tra<strong>in</strong> employees for the Worldskills Competition, which is held at<br />

prefectural, national and <strong>in</strong>ternational levels, and <strong>in</strong>volves a two-year specialist<br />

tra<strong>in</strong><strong>in</strong>g program for employees under 21. As well as tra<strong>in</strong><strong>in</strong>g our staff <strong>in</strong> <strong>in</strong>dividual<br />

skills required for work as production eng<strong>in</strong>eers, we are also rais<strong>in</strong>g the standards<br />

we apply with<strong>in</strong> the company for eng<strong>in</strong>eer<strong>in</strong>g. We have sent 322 entrants to the<br />

national and <strong>in</strong>ternational competitions s<strong>in</strong>ce 1962, and 23 of our eng<strong>in</strong>eers have<br />

won the national competition (a total of 80 have been awarded some type of prize).<br />

We have also had 4 w<strong>in</strong>ners of the <strong>in</strong>ternational competition (and 10 overall prize<br />

w<strong>in</strong>ners).<br />

Weld<strong>in</strong>g Skill Tra<strong>in</strong><strong>in</strong>g Program<br />

Improvements to our tra<strong>in</strong><strong>in</strong>g facilities<br />

In order to implement tra<strong>in</strong><strong>in</strong>g programs that are appropriate to our<br />

staff both <strong>in</strong> Japan and overseas, we have located tra<strong>in</strong><strong>in</strong>g facilities <strong>in</strong><br />

various different areas, and are committed to efficient provision<br />

wherever possible. Each of our educational facilities has all the<br />

equipment and resources required for the program it is implement<strong>in</strong>g,<br />

and promotes career improvement for all employees, <strong>in</strong>clud<strong>in</strong>g those<br />

of our affiliates.<br />

(See page 80 for further details)<br />

Weld<strong>in</strong>g is one of the pr<strong>in</strong>ciple techniques for automobile body manufactur<strong>in</strong>g,<br />

as well as for improv<strong>in</strong>g our facilities. We run a tra<strong>in</strong><strong>in</strong>g course <strong>in</strong> weld<strong>in</strong>g that<br />

lasts around 4 months. We also tra<strong>in</strong> employees to enter the prefectural and<br />

national weld<strong>in</strong>g contests. S<strong>in</strong>ce 1984, we have sent a total of 29 entrants to the<br />

national contest. 7 have won it outright, and 15 others have received prizes.<br />

<strong>Mazda</strong> Technical College<br />

The College, which is approved as a two-year tra<strong>in</strong><strong>in</strong>g program by the M<strong>in</strong>istry of<br />

Health, Labor and Welfare, takes new high-school graduates and others selected<br />

from with<strong>in</strong> the company on tra<strong>in</strong><strong>in</strong>g programs. The students learn the necessary<br />

basic skills for work<strong>in</strong>g on a manufactur<strong>in</strong>g l<strong>in</strong>e, as well as basic eng<strong>in</strong>eer<strong>in</strong>g. The<br />

College is committed to thorough basic skill tra<strong>in</strong><strong>in</strong>g, the development of their<br />

application, and to tra<strong>in</strong><strong>in</strong>g students who are able to take responsibility for their<br />

own behavior with<strong>in</strong> the rules apply<strong>in</strong>g to them as members of the company.<br />

The <strong>Mazda</strong> Technical College<br />

Glossary: 3 Glossary: 4<br />

RENESIS eng<strong>in</strong>e<br />

The new rotary eng<strong>in</strong>e, used <strong>in</strong> the RX-8. The Renesis<br />

eng<strong>in</strong>e uses side <strong>in</strong>take / side outlet to improve the<br />

efficiency of its <strong>in</strong>ternal combustion, achiev<strong>in</strong>g high<br />

output and excellent fuel efficiency.<br />

National and World Skills Competition<br />

A skills contest organized by the Japan Vocational Ability<br />

Development Association, <strong>in</strong> which young technicians<br />

compete aga<strong>in</strong>st one another for a national title. The<br />

competition comprises 42 different skills. The national<br />

competition also acts as a selection process for entry to the<br />

World Skills Competition, organized by the International<br />

Vocational Tra<strong>in</strong><strong>in</strong>g Organization .<br />

Social & Environmental Report 2005


Promot<strong>in</strong>g a Work–Life Balance<br />

At <strong>Mazda</strong>, we seek to provide choices for our employees that allow them to balance their work with their personal<br />

lives. We believe that this is the best way to ensure that our employees are committed to achiev<strong>in</strong>g results for the<br />

company, and we are constantly updat<strong>in</strong>g our system that promotes a work – life balance.<br />

Various systems that help promote a work – life balance<br />

<br />

Super-Flextime<br />

<br />

No-overtime day and lights-out policy<br />

Almost all our workplaces have adopted a flextime work<strong>in</strong>g system for<br />

adm<strong>in</strong>istrative and technical staff, which features no def<strong>in</strong>ed core<br />

time, so as to allow each employee to plan and manage their own<br />

work time under their own <strong>in</strong>itiative.<br />

<br />

Employees are allowed to take paid half-days of leave, <strong>in</strong> order to<br />

balance their work with childrear<strong>in</strong>g, car<strong>in</strong>g for relatives, or the need<br />

to carry out personal bus<strong>in</strong>ess at government offices.<br />

<br />

Staff with responsibilities for childrear<strong>in</strong>g or car<strong>in</strong>g for other members<br />

of their families are able to work shorter hours or at hours to suit<br />

themselves subject to special work arrangements be<strong>in</strong>g put <strong>in</strong> place.<br />

Once <strong>in</strong> place, such arrangements last until the youngest child is <strong>in</strong><br />

second year at primary school (for childcare arrangements) or for as<br />

long as required (when car<strong>in</strong>g for relatives). We also work <strong>in</strong><br />

partnership with afterschool care program for lower-grade primary<br />

school children <strong>in</strong> the areas where our bus<strong>in</strong>ess is located.<br />

<br />

Half-day paid leave system<br />

Special work<strong>in</strong>g arrangements for employees with childcare or car<strong>in</strong>g for relatives<br />

On-site Daycare Center '<strong>Mazda</strong> Waku Waku-Kids-En'<br />

We provide facilities for pre-school children with<strong>in</strong> the company, with<br />

dedicated childcare staff. The children are fed food cooked on the<br />

premises and basic medical care is also available, allow<strong>in</strong>g staff to<br />

rest assured that their children are <strong>in</strong> good hands. The nursery also<br />

provides afrer-school and emergency childcare where required.<br />

In order to ensure that staff ma<strong>in</strong>ta<strong>in</strong> a healthy home life as well as<br />

enjoy<strong>in</strong>g their work and improv<strong>in</strong>g efficiency, we have a no-overtime<br />

day once a week, and have a regular lights-out time (10p.m.)<br />

throughout all offices and technical divisions.<br />

<br />

Where an employee chooses to follow his or her spouse to a transfer<br />

post<strong>in</strong>g, we allow them to take leave for a fixed period, and to resume<br />

their career at the po<strong>in</strong>t where they left on return to <strong>Mazda</strong>.<br />

<br />

If a family member is <strong>in</strong>jured or ill, we have a system that allows<br />

employees to take leave without us<strong>in</strong>g their annual paid leave. This<br />

system does not apply only when the <strong>in</strong>jured or sick party is a preschool<br />

child of an employee, but for any member of the family who is<br />

liv<strong>in</strong>g <strong>in</strong> the employee’s home. Up to 10 days per year of leave may be<br />

taken <strong>in</strong> this way, at the rate of 70% of the paid leave wage.<br />

<br />

<br />

Leave for employees follow<strong>in</strong>g a family member due to a transfer post<strong>in</strong>g<br />

Nurs<strong>in</strong>g leave<br />

Career development leave<br />

Employees are granted leave to attend college or other tra<strong>in</strong><strong>in</strong>g<br />

courses that contribute to improvements <strong>in</strong> their career.<br />

Promotion of planned use of paid leave<br />

We promote the planned use of paid leave by both lower-level and<br />

management staff, and dur<strong>in</strong>g FY 2004, the members of our union<br />

took an average of 17.5 days of leave (90% of their entitlement).<br />

Hear<strong>in</strong>g from someone who use 'Waku Waku-Kids-En'<br />

It's a great childcare environment that lets<br />

you go to work with peace of m<strong>in</strong>d<br />

Vehicle Eng<strong>in</strong>eer<strong>in</strong>g Division<br />

Yoriaki Kondo<br />

While I feel a bit bad for my children when it happens, I occasionally end up work<strong>in</strong>g till 8<br />

or 9 o'clock at night because I'm concentrat<strong>in</strong>g so hard on a project. But at the nursery,<br />

they offer childcare <strong>in</strong> l<strong>in</strong>e with your work<strong>in</strong>g hours, so I can achieve a balance between<br />

childcare and my work, which would be extremely<br />

difficult, if I was us<strong>in</strong>g a childcare facility of town.<br />

I'm very grateful for that. There’s always a nurse<br />

available, too, so if my children suddenly develop a<br />

fever or someth<strong>in</strong>g, they deal with it. The<br />

environment they provide for the children is<br />

excellent, and I feel very happy go<strong>in</strong>g to work<br />

know<strong>in</strong>g my kids are there.<br />

Glossary: 1<br />

Core time and Flextime<br />

Most flextime systems <strong>in</strong>volve a core time <strong>in</strong> which all<br />

employees must be at work (for example, between 10am and<br />

3pm). <strong>Mazda</strong> has no core time, thereby enabl<strong>in</strong>g our<br />

employees to be as flexible as possible about their work<strong>in</strong>g<br />

hours.<br />

<br />

Social & Environmental Report 2005<br />

Glossary: 2<br />

After-school care program<br />

Childcare ma<strong>in</strong>ly for children <strong>in</strong> the lower stages of elementary education,<br />

provided after school hours. The fact that such care is usually provided only<br />

until 5 or 6pm, and situated close to local elementary schools, makes it difficult<br />

for employees to pick up their children and ma<strong>in</strong>ta<strong>in</strong> normal work<strong>in</strong>g hours.


Activities as a corporate citizen<br />

Safety and Health for Workers<br />

Respect<strong>in</strong>g and energiz<strong>in</strong>g people<br />

Creat<strong>in</strong>g a safe, healthy work<strong>in</strong>g environment is a fundamental part of ensur<strong>in</strong>g our staff are able to work effectively.<br />

It is also vital <strong>in</strong> ensur<strong>in</strong>g that the regions <strong>in</strong> which we are located are happy with our presence. <strong>Mazda</strong> is work<strong>in</strong>g<br />

with all its group companies to ensure safety and health at work, and to improve and strengthen our strategies<br />

relat<strong>in</strong>g to this.<br />

Our work and results dur<strong>in</strong>g FY2004<br />

S a f e t y<br />

F i r e p r e v e n t i o n<br />

Tragically, one of our employees died dur<strong>in</strong>g FY 2004, when he was<br />

trapped <strong>in</strong> some work<strong>in</strong>g mach<strong>in</strong>ery <strong>in</strong> Hiroshima head office plant. We are<br />

attempt<strong>in</strong>g to ensure that noth<strong>in</strong>g like this ever happens aga<strong>in</strong> by a<br />

thorough review and re-implementation of our tra<strong>in</strong><strong>in</strong>g and workplace<br />

organization that ensures our safety rules (ensure that equipment is<br />

stopped before <strong>in</strong>spect<strong>in</strong>g or repair, and only implement checks <strong>in</strong> a<br />

stationary position, and after short pose) is adhered to at all times. In our<br />

group companies, the number of accidents and <strong>in</strong>cidents lead<strong>in</strong>g to<br />

stoppage time was reduced.<br />

Trends <strong>in</strong> suspended operation ratio <br />

0.25<br />

0.20<br />

0.15<br />

0.10<br />

0.05<br />

0<br />

0.17<br />

0.14<br />

0.23<br />

0.19 0.18 0.18 0.18<br />

0.08<br />

We have cont<strong>in</strong>ued to <strong>in</strong>troduce improved operations through the application of<br />

ergonomics, as well as improv<strong>in</strong>g the work<strong>in</strong>g environment through reduc<strong>in</strong>g<br />

harmful substances such as dust. In these areas, we have exceeded all our<br />

targets by significant amounts. We also reviewed our company-wide policies on<br />

smok<strong>in</strong>g , and completed the measures to ensure that all office environments are<br />

divided <strong>in</strong>to smok<strong>in</strong>g and non-smok<strong>in</strong>g areas. We plan to remove all tobacco<br />

vend<strong>in</strong>g mach<strong>in</strong>es from all our premises by the end of September 2005.<br />

0.05<br />

H y g i e n e<br />

H e a l t h<br />

<strong>Mazda</strong> ratio<br />

Industry average<br />

2000 2001<br />

2002 2003 2004 (calendar year)<br />

Number of employee absence cases per one milliln labor hours.<br />

0.23<br />

Dur<strong>in</strong>g the period under review, one large-scale fire <strong>in</strong>cident occurred<br />

that required the assistance of public fire services. (Please see pages<br />

9 - 10 for details and <strong>in</strong><strong>format</strong>ion regard<strong>in</strong>g subsequent preventative<br />

measures taken).<br />

T r a f f i c s a f e t y<br />

We are work<strong>in</strong>g to improve the level of traffic safety awareness among<br />

our staff, and reduced the number of commut<strong>in</strong>g and <strong>in</strong>-company<br />

accidents dur<strong>in</strong>g FY 2004. Follow<strong>in</strong>g a similar excellent record <strong>in</strong><br />

2003, no serious accidents were recorded <strong>in</strong> FY 2004 <strong>in</strong>volv<strong>in</strong>g any of<br />

our employees.<br />

<strong>Mazda</strong> Heartful Plan<br />

"Positive<br />

Organization of<br />

advice system<br />

attitude"Courage" "Vitality"<br />

Improvement <strong>in</strong><br />

self-care<br />

Protection of<br />

privacy<br />

Promotion of the use of<br />

respectful language<br />

Respect<br />

for people<br />

<strong>Mazda</strong> is proactively promot<strong>in</strong>g<br />

the physical and mental health<br />

of its employees.<br />

The 'Health Tree'<br />

"Peace of m<strong>in</strong>d"<br />

Creation of healthy<br />

work environment<br />

Ingenuity <strong>in</strong> time<br />

management<br />

Improvement of response<br />

<strong>in</strong> cases of sickness<br />

Dur<strong>in</strong>g 2004, we put considerable energy <strong>in</strong>to improv<strong>in</strong>g lifestyles and<br />

promot<strong>in</strong>g mental health activities. For lifestyle improvement, we promoted<br />

objectives like lower<strong>in</strong>g the rate of smok<strong>in</strong>g and walk<strong>in</strong>g more than 10,000<br />

steps per day. We offered <strong>in</strong>dividual support through the use of nicot<strong>in</strong>e<br />

patches, and planned walk<strong>in</strong>g events to raise the effectiveness of our<br />

campaign. In regard to mental health issues, we strengthened the ‘<strong>Mazda</strong><br />

Heartful Plan’ through the use of specific programs for shop floor units, and<br />

self-care programs. New employees are also educated <strong>in</strong> contagious diseases<br />

dur<strong>in</strong>g new employee tra<strong>in</strong><strong>in</strong>g.<br />

Mental health measures (implemented between April and December 2004)<br />

Tra<strong>in</strong><strong>in</strong>g program<br />

Participants<br />

Workplace stress diagnosis<br />

Mental tra<strong>in</strong><strong>in</strong>g for newly appo<strong>in</strong>ted assistant managers<br />

Self-care sem<strong>in</strong>ar (self-tra<strong>in</strong><strong>in</strong>g methods)<br />

Mental health delivery consultations<br />

Mental health delivery tra<strong>in</strong><strong>in</strong>g on demand<br />

730<br />

63<br />

197<br />

936<br />

315<br />

Health-promotion lecture: Prevent<strong>in</strong>g Smok<strong>in</strong>g at Work<br />

Walk<strong>in</strong>g event<br />

Glossary: 3<br />

Ergonomics<br />

A comb<strong>in</strong>ation of the Greek words for 'work' and<br />

'rules', ergonomics is the study of apply<strong>in</strong>g scientific<br />

rules with the objective of facilitat<strong>in</strong>g work <strong>in</strong> comfort<br />

and without becom<strong>in</strong>g too tired.<br />

Social & Environmental Report 2005


New challenges for safety and health <strong>in</strong> the workplace<br />

<strong>Mazda</strong> has developed a three-year plan for Health and Safety<br />

Activities, <strong>in</strong> comb<strong>in</strong>ation with its group companies, and is press<strong>in</strong>g<br />

ahead with implementation. FY 2005 saw the start of the third phase<br />

of these plans.<br />

Mov<strong>in</strong>g from prevention of re-occurrence to outright<br />

prevention through health and safety measures.<br />

At the start of FY 2005, <strong>Mazda</strong> began the implementation of the new<br />

'All-<strong>Mazda</strong> Zero Accident 3-Year Plan', and is cont<strong>in</strong>u<strong>in</strong>g to work<br />

towards a safe, healthy, and comfortable work<strong>in</strong>g environment that is<br />

also friendly to people.<br />

The new three-year plan <strong>in</strong>volves the <strong>in</strong>troduction of the '<strong>Mazda</strong><br />

Safety and Health Management System', which aims to change health<br />

and safety operations from a viewpo<strong>in</strong>t of prevent<strong>in</strong>g re-occurrence of<br />

accidents to a truly 'Zero Accident Zero Danger' operation <strong>in</strong> which<br />

<strong>in</strong>cidences of all types are prevented before they happen.<br />

Poster show<strong>in</strong>g Health and Safety Basic Pr<strong>in</strong>ciples<br />

The objectives of <strong>Mazda</strong>'s Safety and Health Management System<br />

At <strong>Mazda</strong>, we are <strong>in</strong>troduc<strong>in</strong>g a management system that allows cont<strong>in</strong>uous, susta<strong>in</strong>able safety and health management to be<br />

implemented on a voluntary basis, through specify<strong>in</strong>g a <strong>full</strong> range of PDCA processes. This system allows us to both reduce<br />

the latent dangers <strong>in</strong> the workplace, and at the same time further raise the standards of health and safety we impose.<br />

<br />

PDCA cycles and <strong>in</strong>ternal audits<br />

Ensure that workplace health and safety activities are self-governed and self-conta<strong>in</strong>ed<br />

Ensure that weaknesses <strong>in</strong> health and safety activities are identified and management levels improved<br />

Reform activities that concentrate on results <strong>in</strong>to activities that focus on process<br />

<br />

Risk assessment activities<br />

Raise awareness of danger, and share risk <strong>in</strong><strong>format</strong>ion<br />

Clarify residual risks, and ensure tra<strong>in</strong><strong>in</strong>g can focus efficiently on these risks<br />

Clarify priorities for countermeasures, and ensure that budgets and other aspects are<br />

<strong>in</strong> place for these to be implemented smoothly<br />

Change over from activities that prevent re-occurrence to activities that prevent occurrence <strong>in</strong> the first place<br />

<br />

Promot<strong>in</strong>g documentation<br />

Clarify what needs to be done, and how it is to be done<br />

Ensure that the same level of activities are ma<strong>in</strong>ta<strong>in</strong>ed even if staff changes<br />

Improve levels of health and safety through stor<strong>in</strong>g up knowledge<br />

Glossary: 1<br />

P.D.C.A.<br />

The Plan-Do-Check-Act management cycle was<br />

proposed by Dr. W. Edward Demm<strong>in</strong>g, recognized<br />

as the father of quality control, <strong>in</strong> the 1950s. By<br />

connect<strong>in</strong>g the last improvement to a new plan,<br />

this management method provides a<br />

cont<strong>in</strong>u<strong>in</strong>g program for quality<br />

ma<strong>in</strong>tenance and improvement, and the<br />

enhancement of work procedures.<br />

<br />

Social & Environmental Report 2005


Activities as a corporate citizen<br />

Excellence <strong>in</strong> Staff Relations<br />

Respect<strong>in</strong>g and energiz<strong>in</strong>g people<br />

<strong>Mazda</strong> takes mutual trust and mutual understand<strong>in</strong>g as the basis for its worker / management relations, and believes<br />

that these are vital elements <strong>in</strong> build<strong>in</strong>g its corporate vision.<br />

Keys to Labor-Management relations<br />

<strong>Mazda</strong> has a labor agreement with the <strong>Mazda</strong> Worker's Union, which<br />

guarantees employment stability and ma<strong>in</strong>tenance / improvement of<br />

work<strong>in</strong>g conditions, as well as health and safety. We provide<br />

opportunities for further discussion such as group negotiation and<br />

worker and management conferences, so as to ensure that<br />

communication is always ma<strong>in</strong>ta<strong>in</strong>ed, whatever the bus<strong>in</strong>ess<br />

environment may become, and to assist <strong>in</strong> build<strong>in</strong>g mutual trust and<br />

understand<strong>in</strong>g.<br />

The <strong>Mazda</strong> 21st Century Labor- Management Jo<strong>in</strong>t Declaration<br />

At the meet<strong>in</strong>g of the <strong>Mazda</strong> Worker's Union on September 30, 2001,<br />

which was the first such meet<strong>in</strong>g of the 21st century, the Union<br />

adopted the <strong>Mazda</strong> 21st Century Labor- Management Jo<strong>in</strong>t Declaration,<br />

which stated that with<strong>in</strong> a climate of <strong>in</strong>creas<strong>in</strong>g global competition, and<br />

society's need for ever higher safety and environmental standards,<br />

<strong>Mazda</strong> is committed to achiev<strong>in</strong>g its corporate vision, and to fulfill<strong>in</strong>g its<br />

role as a member of society, through respect<strong>in</strong>g people and<br />

understand<strong>in</strong>g that each and every one of them is key to the changes<br />

required to become a 'strong and vibrant group organization'. This<br />

understand<strong>in</strong>g was adopted by workers and management alike.<br />

The Worker's Union conference<br />

President and CEO Imaki shakes hands<br />

with Mr. Oda, Chairperson of <strong>Mazda</strong> Worker's Union.<br />

The <strong>Mazda</strong> 21st Century Labor-Management Jo<strong>in</strong>t Declaration<br />

21st Century Labor-Management Vision<br />

As partners, the Company and the Union need to achieve "To excite and delight our customers through the best automotive<br />

products and services," act<strong>in</strong>g cooperatively and <strong>in</strong> harmony for <strong>Mazda</strong> to become the company with a dist<strong>in</strong>ctive presence,<br />

competitiveness, and social value.<br />

Labor-Management Mutual Commitment<br />

(1)Emphasiz<strong>in</strong>g labor-management relations to work toward prosperiy<br />

The Company and the Union will recognize that labor-management<br />

relations is the most important basis for <strong>Mazda</strong>'s existence, with the<br />

keynote of mutual understand<strong>in</strong>g and trust, and will cont<strong>in</strong>ue to make<br />

strong efforts for further prosperity.<br />

(2)Execut<strong>in</strong>g roles of labor-management for change<br />

The Company and the Union will aim to change arduously,<br />

understand<strong>in</strong>g and respect<strong>in</strong>g each other. As a good partner, the<br />

Union will provide constructive proposals for the Company. The<br />

Company will listen to the Union's proposals with s<strong>in</strong>cerity, as well as<br />

promote <strong>in</strong>itiatives for achiev<strong>in</strong>g targets <strong>in</strong> cooperation with the Union.<br />

(3)Mak<strong>in</strong>g efforts to establish attractive and advanced labor conditions<br />

The Company and the Unions will make efforts to establish attractive<br />

and advanced labor conditions equivalent to a company that adopts<br />

the 21st Century Labor-Management Vision as a slogan.<br />

(4)Maximum support for achiev<strong>in</strong>g employee success<br />

The Company and the Union will provide <strong>full</strong> support for employees so that<br />

each employee can achieve their own success, as well as <strong>full</strong>y display their<br />

ability <strong>in</strong> the global bus<strong>in</strong>ess environment.<br />

(5)Deepen<strong>in</strong>g and enhanc<strong>in</strong>g communications with society<br />

The Company and the Union will take positiveaction to have society<br />

understand <strong>Mazda</strong>'s heart and attitude.<br />

Social & Environmental Report 2005


Activities as a Corporate Citizen<br />

Social & Environmental Report 2005<br />

Partner<strong>in</strong>g with Society, Contribut<strong>in</strong>g to Society<br />

<strong>Mazda</strong>'s Role as a Corporate Citizen<br />

The <strong>Mazda</strong> Foundation and its Activities<br />

Communicat<strong>in</strong>g with Society<br />

<br />

Social & Environmental Report 2005


Activities as a Corporate Citizen<br />

<strong>Mazda</strong>'s Role as a Corporate Citizen<br />

Partner<strong>in</strong>g with Society, Contribut<strong>in</strong>g to Society<br />

In aim<strong>in</strong>g to be an enterprise trusted and loved by the community <strong>in</strong> its role as a good corporate citizen, <strong>Mazda</strong> is<br />

engaged <strong>in</strong> a wide array of activities that contribute to the community. We are particularly committed to activities that<br />

meet specified needs of the communities <strong>in</strong> which we are operat<strong>in</strong>g, and promote the contribution of human<br />

resources through encourag<strong>in</strong>g our staff to volunteer <strong>in</strong> their local areas.<br />

Rooted <strong>in</strong> our communities, aim<strong>in</strong>g for partnership and mutual growth<br />

The <strong>Mazda</strong> Group's policies regard<strong>in</strong>g activities contribut<strong>in</strong>g to the community<br />

Basic Philosophy for Activities<br />

As a good corporate citizen, <strong>Mazda</strong> seeks to br<strong>in</strong>g vitality to<br />

the local economy and <strong>in</strong>dustry through corporate activities,<br />

and to work for cooperation and mutual growth with the region<br />

and to contribute to the creation of local prosperity.<br />

Activity Policies<br />

Activities attuned to local needs<br />

Emphasis on, and support for, volunteer activities by employees<br />

Alliances with other companies <strong>in</strong> the <strong>Mazda</strong> Group<br />

Expansion of opportunities for <strong>in</strong>teraction with the local community<br />

Emphasis on cont<strong>in</strong>uity<br />

Based on the policies listed above, <strong>Mazda</strong> is roll<strong>in</strong>g out a series of regional contribution activities programs not only <strong>in</strong> the area of its head office<br />

and <strong>in</strong> Hofu, but also <strong>in</strong> Tokyo, Yokohama and Osaka, as well as other places where it has bus<strong>in</strong>ess bases.<br />

The <strong>Mazda</strong> Community Contributions Tree<br />

Science and Education<br />

Scientific and technological research support (<strong>Mazda</strong> Foundation)<br />

Youth For Understand<strong>in</strong>g (YFU) Program(<strong>Mazda</strong> Foundation)<br />

University Lectures (<strong>Mazda</strong> Foundation)<br />

Loan<strong>in</strong>g of lecturers to Junior and Senior High Schools, etc.<br />

Environmental Protection and Disaster measures<br />

Community clean-ups / clean<strong>in</strong>g area around company facilities<br />

Participation <strong>in</strong> government-organized clean-up campaigns<br />

Environmental protection campaigns<br />

Dispatch<strong>in</strong>g <strong>in</strong>-house fire eng<strong>in</strong>es / ambulances to the community<br />

for assistance where necessary<br />

Regional Development<br />

Investment / personnel placement <strong>in</strong> community economics foundations<br />

Cooperation and contributions to technology exhibitions<br />

Publication of patents and technical support<br />

The 'Love Hofu Movement' (<strong>in</strong> Hofu)<br />

Support for youth and civic activities (<strong>Mazda</strong> Foundation), etc.<br />

Culture and the Arts<br />

Lecture meet<strong>in</strong>gs (<strong>Mazda</strong> Foundation)<br />

Support for Hiroshima Symphony Orchestra<br />

Support for International Animation Festival<br />

International Exchange<br />

The <strong>Mazda</strong> / YFU Scholarship Program<br />

Investment / personnel placement <strong>in</strong> <strong>in</strong>ternational exchange organizations<br />

Scholarship support for overseas students<br />

Host<strong>in</strong>g homestay candidates through volunteer programs<br />

Social Welfare / Medical Care<br />

Donation of special needs vehicles (<strong>Mazda</strong> Worker's Union)<br />

Wheelchair donation campaign<br />

Open<strong>in</strong>g up the <strong>Mazda</strong> Hospital to the local community<br />

Regional Exchange<br />

Organization and participation <strong>in</strong> the Hiroshima Flower Festival<br />

Operation of <strong>Mazda</strong> Museum, open to the public<br />

Publication of 'Letter from <strong>Mazda</strong>'<br />

Sports<br />

Sponsorship of Hiroshima Toyo Carp Baseball Team<br />

Sponsorship and personnel placement for Sanfrecce Hiroshima Soccer Team<br />

Host<strong>in</strong>g of community Ekiden (long distance relay race)<br />

Cooperation with Hiroshima International Peace Marathon,<br />

and prefectural Ekiden Race<br />

Host<strong>in</strong>g of <strong>Mazda</strong> Invitational Youth Soccer Competition (<strong>in</strong> Hofu), etc.<br />

<strong>Mazda</strong> Group<br />

<strong>Mazda</strong> Volunteer Center<br />

<strong>Mazda</strong> Specialist Bank<br />

Local community<br />

Social & Environmental Report 2005


<strong>Mazda</strong>'s Community Services Committee and its activities<br />

In 1993 <strong>Mazda</strong> formed the <strong>Mazda</strong> Community Services Committee, composed<br />

of representatives the whole <strong>Mazda</strong> Group, with the aim of promot<strong>in</strong>g<br />

community contribution activities. The Committee implements the follow<strong>in</strong>g<br />

Volunteer visits<br />

Volunteers visit local social welfare homes and homes for the elderly<br />

every year <strong>in</strong> June, and enjoy spend<strong>in</strong>g time with residents. This has<br />

been go<strong>in</strong>g on for around 20 years. In 2004, volunteers visited six<br />

facilities, <strong>in</strong>clud<strong>in</strong>g the Nishi Shiwa Farm (<strong>in</strong> Higashi Hiroshima City)<br />

and Senogawa Gakuen (<strong>in</strong> Hiroshima City).<br />

Community Clean-Up Volunteers<br />

In addition to clean<strong>in</strong>g up areas<br />

surround<strong>in</strong>g our plants and<br />

offices nationwide, company<br />

volunteers also work on local<br />

community cleanup campaigns,<br />

<strong>in</strong> order to promote local<br />

conservation as members of the<br />

community.<br />

<strong>Mazda</strong> Specialist Bank<br />

Collect<strong>in</strong>g postcards and telephone cards towards wheelchair donation<br />

<strong>Mazda</strong> Group company employees<br />

collect damaged unmailed<br />

postcards and unused or used<br />

telephone cards and exchange them<br />

for cash, as well as hold<strong>in</strong>g local<br />

events and charity b<strong>in</strong>go<br />

competitions, to raise money to buy<br />

wheelchairs. Dur<strong>in</strong>g FY 2004, the<br />

group bought and donated 21<br />

wheelchairs for Social Welfare Committees <strong>in</strong> 10 different regions of<br />

Hiroshima and Hofu. This work has been tak<strong>in</strong>g place s<strong>in</strong>ce 1996, and<br />

the cumulative total number of wheelchairs donated dur<strong>in</strong>g that time is<br />

165.<br />

Employees of <strong>Mazda</strong> or our group companies with particular<br />

knowledge, skills or abilities as well as talents or <strong>in</strong>terests that they<br />

have developed over the years, are registered at the <strong>Mazda</strong> Specialist<br />

Bank, and are dispatched <strong>in</strong> response to requests for help from<br />

community members. S<strong>in</strong>ce its<br />

<strong>in</strong>stigation <strong>in</strong> 1994, people<br />

registered with the bank have<br />

given lectures, tra<strong>in</strong>ed sports and<br />

recreations, and contributed to<br />

the lives of local people <strong>in</strong> a wide<br />

variety of ways. Dur<strong>in</strong>g FY 2004,<br />

167 specialists contributed to<br />

various projects.<br />

<strong>Mazda</strong> Specialist Bank activities<br />

F<strong>in</strong>ancial year<br />

1999<br />

2000<br />

2001<br />

2002<br />

2003<br />

2004<br />

No. of members of staff given placements<br />

329<br />

238<br />

196<br />

263<br />

225<br />

167<br />

Type of placements made by Specialist Bank<br />

Social / bus<strong>in</strong>ess<br />

Artistic performance<br />

Environment / technical<br />

Health / medical<br />

Sports<br />

International relations / overseas project lectures<br />

Other / lectures / guidance<br />

Cumulative total for placements made between September 1994 and March 2005: 1,879<br />

Structural diagram for <strong>Mazda</strong> Community Services Committee<br />

Chairperson<br />

(Operational management head office general manager)<br />

Deputy Chairperson<br />

(Adm<strong>in</strong>istrative division general manager /<br />

<strong>Mazda</strong> Worker's Union executive committee)<br />

Committee members<br />

GM of Labor, Labor div., HR head office<br />

Head of Hiroshima branch of <strong>Mazda</strong> Worker's Union<br />

Hiroshima head office plant<br />

R & D Technical Adm<strong>in</strong>istration Div.<br />

R & D Adm<strong>in</strong>istration Innovation Dept.<br />

Affiliated companies<br />

Toyukai Affariated Corporation<br />

Office<br />

GM of Community, Adm<strong>in</strong>istration Div.<br />

Community Services Promotion Committee<br />

All divisions<br />

Affiliates<br />

<strong>Mazda</strong> Worker's Union<br />

Personnel & Human Development Div.<br />

Employee Relations Dept.<br />

Toyukai Members<br />

All branches<br />

Tokyo Head Office<br />

Osaka Branch<br />

Hofu Plant<br />

Miyoshi Prov<strong>in</strong>g Ground<br />

<strong>Mazda</strong> R&D Center Yokohama<br />

OB associations(<strong>in</strong> 40 areas)<br />

<br />

Social & Environmental Report 2005


Activities as a Corporate Citizen<br />

Partner<strong>in</strong>g with Society, Contribut<strong>in</strong>g to Society<br />

<br />

Example of activities of <strong>Mazda</strong> Specialist Bank<br />

11 members of senior technical staff give lectures at Hiroshima University<br />

In September 2004, <strong>Mazda</strong> responded to a request from the Social Studies Department of the<br />

graduate school at Hiroshima University to send lecturers from the Specialist Bank. A total of 11<br />

specialists, <strong>in</strong>clud<strong>in</strong>g senior development staff, were dispatched to the university. The lectures<br />

were aimed not only at graduate students but also at members of the public, and were part of the<br />

tra<strong>in</strong><strong>in</strong>g offered <strong>in</strong> the currently popular MOT (Management of Technology) curriculum. The<br />

theme the group was given was Special Management Lecture 'Innovations <strong>in</strong> Product<br />

Development at <strong>Mazda</strong>'. The lectures addressed the subjects of MDI (<strong>Mazda</strong> Digital Innovation),<br />

as well as the whole product development process, from the plann<strong>in</strong>g stage through to the<br />

design, prototype research and production preparation stages of product development, and<br />

discussed the <strong>in</strong>novations <strong>in</strong> <strong>Mazda</strong>'s processes. On 25th September, the students visited<br />

<strong>Mazda</strong>'s Design Division and Prototype Division, so as to experience first hand the world of<br />

Placement of volunteers registered with the <strong>Mazda</strong> Volunteer Center<br />

The <strong>Mazda</strong> Volunteer Center was established <strong>in</strong> 1996. <strong>Mazda</strong> and<br />

<strong>Mazda</strong> Group employees who wish to become <strong>in</strong>volved <strong>in</strong> volunteer<br />

activities register with the Center, and are able then to respond to<br />

requests from local groups for volunteer assistance. Volunteers are<br />

<strong>in</strong>volved <strong>in</strong> activities such as environmental cleanup campaigns, social<br />

welfare events, care assistance, and homestays each year, allow<strong>in</strong>g<br />

them to be <strong>in</strong>volved <strong>in</strong> both <strong>in</strong>ternational exchange and regional event<br />

and festival assistance, and giv<strong>in</strong>g various opportunities for<br />

<br />

Refurbishment and reopen<br />

of <strong>Mazda</strong> Museum<br />

Renewal of the space filled with the Zoom-Zoom spirit<br />

<strong>Mazda</strong> has carried out a complete renovation of the <strong>Mazda</strong> Museum, which reopened to the public<br />

on 5th February 2005. The <strong>Mazda</strong> Museum was open until May 1994, and received around<br />

60,000 visitors per year, but the renovation was decided on as part of the celebrations for the<br />

85th anniversary of the foundation of <strong>Mazda</strong>, with the aim of creat<strong>in</strong>g a space filled with the Zoom-<br />

Zoom spirit. The <strong>Mazda</strong> Museum is the only automobile museum <strong>in</strong> the Chugoku and Shikoku<br />

regions of Japan, and is active <strong>in</strong> both education through school visits etc., and <strong>in</strong> local and<br />

regional communication. Its role <strong>in</strong> community service is expected to <strong>in</strong>crease even further <strong>in</strong> the<br />

future.<br />

All six areas made barrier-free<br />

The renovation of the museum, not only the exhibition space and special exhibition room, <strong>in</strong><br />

which the most cutt<strong>in</strong>g-edge cars and technology are displayed, have been made barrier free,<br />

the 1st floor entrance hall and the second-floor historic display, which features 18 classic cars<br />

built s<strong>in</strong>ce the open<strong>in</strong>g of <strong>Mazda</strong> <strong>in</strong> 1920, along with the RE exhibition, which expla<strong>in</strong>s the rotary<br />

eng<strong>in</strong>e <strong>in</strong> detail, the Technical Display, which expla<strong>in</strong>s the process of build<strong>in</strong>g cars, the U1<br />

Assembly L<strong>in</strong>e display, <strong>in</strong> which the process of assembl<strong>in</strong>g a car can be viewed <strong>in</strong> detail, and the<br />

Future Display, which proposes ideas for the next generation of automobiles <strong>in</strong> society. In<br />

addition to barrier-free build<strong>in</strong>gs and facilities, we have also <strong>in</strong>cluded a museum shop, at the<br />

request of many of our visitors, and have started sell<strong>in</strong>g <strong>Mazda</strong> exclusive goods there.<br />

Many people attend the Renewal Commemorative 'Matsuda Tsuneji' Exhibition<br />

The Matsuda Tsuneji Exhibition, which was held between 5th February and 13th March 2005, <strong>in</strong><br />

commemoration of the renovation and reopen<strong>in</strong>g of the museum, was visited by 18,673 people,<br />

a far greater number than expected, from both with<strong>in</strong> and outside Hiroshima Prefecture. The<br />

Matsuda Tsuneji Exhibition looked back at the em<strong>in</strong>ent career of the second president of <strong>Mazda</strong>,<br />

who is <strong>in</strong>cluded <strong>in</strong> the Japan Automobile Hall of Fame for his work on the development of the<br />

Rotary Eng<strong>in</strong>e. It also provided visitors a unique opportunity to experience the challenges<br />

<strong>in</strong>volved with the development of the Rotary Eng<strong>in</strong>e. Visitors' comments <strong>in</strong>cluded the follow<strong>in</strong>g:<br />

'I was moved to be able to sense the energy that went <strong>in</strong>to fulfill<strong>in</strong>g this dream', 'I understand<br />

now how much energy was expended <strong>in</strong> serv<strong>in</strong>g the local community'.<br />

Please refer to the follow<strong>in</strong>g website for details of the <strong>Mazda</strong> Museum:<br />

<br />

Social & Environmental Report 2005


Examples of <strong>Mazda</strong>'s service <strong>in</strong> the community<br />

<strong>Mazda</strong> Community Ekiden<br />

Hiroshima Flower Festival<br />

Special Facility Support Program<br />

Show<strong>in</strong>g visitors around plants (Hiroshima head office, Hofu Plant, Miyoshi office)<br />

As a way of communicat<strong>in</strong>g with the local community, as well as offer<strong>in</strong>g<br />

opportunities for schools to learn about our work, the Hiroshima head<br />

office, as well as Hofu Plant, offers opportunities for people to visit their<br />

plants, while visits to the Miyoshi Prov<strong>in</strong>g Ground and Miyoshi Eng<strong>in</strong>e Plant<br />

are also possible.<br />

Support for sports / cultural activities(Hiroshima head office, Hofu Plant)<br />

As well as organiz<strong>in</strong>g the <strong>Mazda</strong> Community Ekiden (long-distance relay<br />

race), we also sponsor the Hiroshima Toyo Carp baseball team and the<br />

Sanfrecce Hiroshima soccer team, as well as offer<strong>in</strong>g support to people<br />

<strong>in</strong>volved <strong>in</strong> both local sports activities and professional sports. <strong>Mazda</strong> also<br />

organizes the <strong>Mazda</strong> Invitation Youth Soccer Tournament <strong>in</strong> the Hofu Plant<br />

area.<br />

Support<strong>in</strong>g high school students' <strong>in</strong>ternational exchange activities<br />

In 1984, <strong>Mazda</strong> established the <strong>Mazda</strong> / YFU Scholarship Program, <strong>in</strong><br />

conjunction with Youth For Understand<strong>in</strong>g (an <strong>in</strong>ternational exchange<br />

foundation that allows exchange between high school students, with its<br />

head office <strong>in</strong> America), as part of its program of activities support<strong>in</strong>g<br />

<strong>in</strong>ternational exchange. On 30th July 2004, a <strong>Mazda</strong> / YFU Scholarship<br />

Summer Activity program was held at <strong>Mazda</strong>'s head office, and dur<strong>in</strong>g<br />

FY 2004, a total of 10 scholarship students and 13 homestay families<br />

took part <strong>in</strong> these<br />

activities. Participants<br />

visited the <strong>Mazda</strong><br />

Museum, as well as tak<strong>in</strong>g<br />

part <strong>in</strong> a 'dream car'<br />

draw<strong>in</strong>g competition, and<br />

YFU High School Students' International Exchange<br />

meet<strong>in</strong>g the president of<br />

Participation <strong>in</strong> regional events (Hiroshima Head Office, Hofu Plant, Miyoshi Office)<br />

We participate each year <strong>in</strong> the Hiroshima Flower Festival (near head office), the<br />

Hofu Tenmangu ‘Tensh<strong>in</strong>sai’ Festival (near the Hofu Plant) and the Miyoshi K<strong>in</strong>sai<br />

Matsuri festival (near the Miyoshi Office), among other festivals. This<br />

<strong>in</strong>volvement helps us to deepen our commitment to <strong>in</strong>terface with the local<br />

communities.<br />

Participation <strong>in</strong> the Love Hofu Campaign (Hofu Plant)<br />

The 35 companies who have plants <strong>in</strong> Hofu began the Love Hofu Campaign<br />

<strong>in</strong> April 1993, with the <strong>in</strong>tention of reviv<strong>in</strong>g the city, and offer<strong>in</strong>g service as<br />

good corporate citizens. The Love Hofu Campaign now has its office with<strong>in</strong><br />

the Adm<strong>in</strong>istrative Division of the Hofu Plant.<br />

Cooperation with regional disaster prevention and response measures (Hiroshima head office)<br />

<strong>Mazda</strong> has a disaster prevention and response agreement with the community <strong>in</strong><br />

which it is situated, so that <strong>in</strong> the event of a disaster, the company becomes <strong>in</strong>volved<br />

<strong>in</strong> fire ext<strong>in</strong>guish<strong>in</strong>g activities, with <strong>Mazda</strong>'s Safety group fire and emergency brigades<br />

be<strong>in</strong>g dispatched. We also take part <strong>in</strong> regional disaster response tra<strong>in</strong><strong>in</strong>g activities.<br />

Examples of Community Service activities overseas<br />

Community service activities <strong>in</strong> the USA<br />

Community Service Program<br />

At MNAO, which is <strong>Mazda</strong>'s North American sales and research base,<br />

we are implement<strong>in</strong>g a community service program that supports<br />

various organizations <strong>in</strong> the Irv<strong>in</strong>e area of California, where our head<br />

office is located. This program is funded by donations, and supports<br />

various aspects of citizens' lives, <strong>in</strong>clud<strong>in</strong>g the arts, culture, nature<br />

conservation, the environment, welfare and education, as well as<br />

supply<strong>in</strong>g volunteers where needed. <strong>Mazda</strong> encourages its employees<br />

to become <strong>in</strong>volved <strong>in</strong> volunteer activities through its MOVE (<strong>Mazda</strong>'s<br />

Outreach Volunteer Effort) program, and staff members are allocated up<br />

to 16 hours each of paid leave for tak<strong>in</strong>g part <strong>in</strong> volunteer activities.<br />

Glossary: 1<br />

Love Hofu Campaign<br />

The campaign orig<strong>in</strong>ated from a group of companies and buss<strong>in</strong>ess<br />

establishments <strong>in</strong> the city who wanted to cooperate to revitalize the<br />

city. One aspect of this <strong>in</strong>volves the organization of a flea market<br />

which has now become the largest such event <strong>in</strong> Western Japan.<br />

<br />

Social & Environmental Report 2005


Activities as a Corporate Citizen<br />

Partner<strong>in</strong>g with Society, Contribut<strong>in</strong>g to Society<br />

Support for children with diabetes<br />

More than 13,000 children are diagnosed each year with the most<br />

severe form of diabetes, <strong>in</strong>sul<strong>in</strong> dependency. Research <strong>in</strong>to these<br />

children's illnesses, along with various other forms of support, is<br />

funded by the JDRF (Juvenile Diabetes Research Foundation). <strong>Mazda</strong><br />

supports this foundation through cooperation with employees, family<br />

and friends, and encourages volunteer activities and donations<br />

through events such as the Walk to Cure Diabetes, a charity walk <strong>in</strong><br />

which we have been tak<strong>in</strong>g part s<strong>in</strong>ce 2000. <strong>Mazda</strong> cooperates by not<br />

only collect<strong>in</strong>g funds through creative means for the months lead<strong>in</strong>g<br />

up to the Walk, but also supports the donation activities implemented<br />

each year for charity walks <strong>in</strong> Irv<strong>in</strong>e, California, Somerset, New Jersey<br />

and Sugarland, Texas.<br />

Contribut<strong>in</strong>g to Society <strong>in</strong> Thailand<br />

Donation of writ<strong>in</strong>g materials to Thai children<br />

In May 2005 our Thai manufactur<strong>in</strong>g subsidiary (AAT), <strong>in</strong> cooperation<br />

with the <strong>Mazda</strong> Worker's Union, donated writ<strong>in</strong>g implements and other<br />

supplies to two elementary schools <strong>in</strong> northeastern Thailand. Many AAT<br />

employees attended these<br />

schools, and the donation<br />

was made thanks to<br />

monetary donations at the<br />

end of the year by<br />

employees. The "One<br />

<strong>Mazda</strong>" is active at the<br />

global level <strong>in</strong> social<br />

contribution, too.<br />

Contribut<strong>in</strong>g to Society <strong>in</strong> Italy<br />

Support for scientific research <strong>in</strong>to multiple sclerosis<br />

Charity Walk 'Walk to Cure Diabetes'<br />

<strong>Mazda</strong> Motor Italia, our sales company headquartered <strong>in</strong> Rome,<br />

became an official partner of AISM (Multiple Sclerosis Italian<br />

Association) <strong>in</strong> 2002. AISM, a non-profit organization, has supported<br />

research <strong>in</strong>to multiple sclerosis (MS) for over 30 years, and provided<br />

aid and support for victims of the disease. At AISM events every year,<br />

<strong>Mazda</strong> offers test drives to visitors, contribut<strong>in</strong>g 8 Euros to AISM for<br />

every test drive. In the first year after becom<strong>in</strong>g an official partner,<br />

<strong>Mazda</strong> donated over 200,000 Euros to AISM, the foundation and to<br />

support research. In 2004, AISM booths were erected at every stage<br />

of the "Giro d'Italia" bicycle race, and also held a charity auction of<br />

uniforms signed by players of the AS Roma professional soccer team,<br />

<strong>in</strong>clud<strong>in</strong>g Totti, Montella and Cassano.<br />

Community service activities <strong>in</strong> Australia<br />

<strong>Mazda</strong> Australia Pty., Ltd. is also <strong>in</strong>volved <strong>in</strong> a wide range of<br />

community service activities <strong>in</strong> medical, educational and cultural<br />

fields.<br />

Medical Support<br />

We hold a casual day every 2nd Friday, when employees can come to<br />

work <strong>in</strong> casual clothes, <strong>in</strong> return for a donation to charity. The money<br />

collected <strong>in</strong> this way is donated to the Royal Children's Hospital <strong>in</strong><br />

Melbourne for cancer research, and to other charities. Employees are<br />

also <strong>in</strong>volved <strong>in</strong> support<strong>in</strong>g research <strong>in</strong>to cancer prevention <strong>in</strong> various<br />

ways.<br />

Education / cultural activities<br />

<strong>Mazda</strong> offers opportunities to junior and senior high school students<br />

who would like short-term work experience (one or two weeks) as<br />

well as to university students who take <strong>in</strong>ternships for a year, and<br />

gives tra<strong>in</strong><strong>in</strong>g relevant to the subjects that these students are tak<strong>in</strong>g.<br />

We also sponsor the arts, perform<strong>in</strong>g arts and sports.<br />

Contribut<strong>in</strong>g to Society <strong>in</strong> the U.K.<br />

Support for the "Neutral Ground" child contact center<br />

<strong>Mazda</strong> Motors UK Ltd and its employees contribute to help support<br />

Neutral Ground, a child support center based <strong>in</strong> Abbey Wood, Near<br />

London. Child contact centers provide a safe, neutral place for<br />

children from broken homes to meet their parents.<br />

The money raised by <strong>Mazda</strong> Motor UK and its employees has enabled<br />

the center to buy specialist toys for disabled children and also<br />

contribute significantly to the runn<strong>in</strong>g costs. The last contribution<br />

came at a time when the future of the center was uncerta<strong>in</strong> due to lack<br />

of funds and allowed the centre to rema<strong>in</strong> open and cont<strong>in</strong>ue to be a<br />

huge service to the local community.<br />

Glossary: 2 Glossary: 3<br />

Glossary: 4 Glossary: 5<br />

Insul<strong>in</strong> dependency<br />

AISM<br />

The state <strong>in</strong> which diabetes advances to the po<strong>in</strong>t that an<br />

excessive load is placed on the pancreas and it becomes<br />

unable to break down <strong>in</strong>sul<strong>in</strong> properly, and the patient<br />

becomes reliant on tak<strong>in</strong>g <strong>in</strong>sul<strong>in</strong> from external sources.<br />

<strong>Mazda</strong> Australia Pty, Ltd.<br />

<strong>Mazda</strong>'s distributor <strong>in</strong> Southbank, Victoria.<br />

Established <strong>in</strong> April 1967.<br />

MS = Multiple Sclerosis<br />

A destructive <strong>in</strong>flammation of bra<strong>in</strong> and sp<strong>in</strong>al cord white matter. The<br />

cause is yet unknown, but it occurs <strong>in</strong> multiple sites <strong>in</strong> the central<br />

nervous system. With each attack the damage to the nervous system<br />

grows progressively worse, <strong>in</strong>terfer<strong>in</strong>g seriously with motor function.<br />

Associazione Italiana<br />

Sclerosi Multipla<br />

Social & Environmental Report 2005


The <strong>Mazda</strong> Foundation and its Activities<br />

<strong>Mazda</strong> has established foundations <strong>in</strong> Japan, America and Australia, which support the progress of science and technology,<br />

as well as health tra<strong>in</strong><strong>in</strong>g among young people, education, nature and environmental conservation, and other activities.<br />

The activities of the <strong>Mazda</strong> Foundation<br />

The <strong>Mazda</strong> Foundation was formed <strong>in</strong> 1984 to offer support for<br />

progress <strong>in</strong> science and technology as well as health tra<strong>in</strong><strong>in</strong>g for<br />

young people, with the objective of enabl<strong>in</strong>g people throughout the<br />

world to share benefits and ga<strong>in</strong> a richer understand<strong>in</strong>g and way of<br />

liv<strong>in</strong>g as they create society together. To March 31, 2005, the<br />

foundation had made 1,099 research grants, total<strong>in</strong>g 1.02 billion yen.<br />

Dur<strong>in</strong>g FY 2004, we were engaged <strong>in</strong> the follow<strong>in</strong>g projects.<br />

Progress <strong>in</strong> science and technology<br />

Research support<br />

The <strong>Mazda</strong> Foundation supports basic and applied research <strong>in</strong> science and<br />

technology where it is be<strong>in</strong>g used to f<strong>in</strong>d solutions that are considered<br />

necessary for both contemporary and future life. Dur<strong>in</strong>g FY 2004, 30<br />

research projects were sponsored, at a cost of 30 million yen.<br />

Sponsorship given, by research area<br />

Area<br />

FY 2004<br />

Materials<br />

Electronics / <strong>in</strong><strong>format</strong>ion<br />

Precision / mechanics<br />

Total<br />

179 projects<br />

60 projects<br />

62 projects<br />

301 projects<br />

17 projects<br />

6 projects<br />

7 projects<br />

30 projects<br />

(Left column shows the no. of applications. Right column shows no. of projects sponsored. Categorization done dur<strong>in</strong>g decision-mak<strong>in</strong>g process.)<br />

Support for research meet<strong>in</strong>gs and workshops<br />

The Foundation assists research meet<strong>in</strong>gs such as 'Experience Science'<br />

events held by academic and research organizations <strong>in</strong> elementary, junior<br />

high and senior high schools <strong>in</strong> the Chugoku region, and other projects that<br />

are considered mean<strong>in</strong>gful for promot<strong>in</strong>g science and technology. The<br />

Foundation sponsors either some or all of the costs <strong>in</strong>volved <strong>in</strong> such<br />

projects. Dur<strong>in</strong>g 2004, 9 projects were sponsored for a total of 900,000<br />

Health tra<strong>in</strong><strong>in</strong>g for young people<br />

Research assistance<br />

The Foundation supports research that is dedicated to provid<strong>in</strong>g health tra<strong>in</strong><strong>in</strong>g for the<br />

young people who will go to make up the next generation <strong>in</strong> universities and research<br />

<strong>in</strong>stitutes around the country. We are build<strong>in</strong>g partnerships with local civilian action<br />

groups, as well as research<strong>in</strong>g opportunities to contribute <strong>in</strong> a practical way to civilian<br />

activities, and dur<strong>in</strong>g FY 2004, we contributed 4 million yen for five research projects.<br />

Support for civilian activities<br />

The Foundation offers support <strong>in</strong> the form of money, human<br />

resources and know-how to activities tak<strong>in</strong>g place rooted <strong>in</strong> the<br />

communities of Hiroshima and Yamaguchi prefectures, with the aim<br />

of creat<strong>in</strong>g a better future for the youth who will make up the next<br />

generation. Dur<strong>in</strong>g FY 2004, we supported 25 projects, for a total of<br />

Lectures given <strong>in</strong> universities<br />

The Foundation took part <strong>in</strong> a lecture series given <strong>in</strong> five universities <strong>in</strong><br />

and around Hiroshima, entitled 'New Perspectives on Technology', 'The<br />

Theory of New Value Systems', and 'Volunteer Activities'. The series was<br />

given by Chubu Electric Power Co., Ltd., Japan IBM, Recruit, Chugoku<br />

Hakuhodo Foundation, the Hiroshima City People / Town Network<br />

Foundation, the Career Design Office, <strong>Mazda</strong>, and other organizations.<br />

Public lectures<br />

The Foundation gives public lectures <strong>in</strong> order to raise people's<br />

awareness of our work, and to assist people <strong>in</strong> understand<strong>in</strong>g and<br />

shar<strong>in</strong>g our vision. Dur<strong>in</strong>g FY 2004, we celebrated the 20th year<br />

s<strong>in</strong>ce our <strong>in</strong>ception, and to commemorate this, we <strong>in</strong>vited the s<strong>in</strong>ger,<br />

essayist and educationalist Agnes Chen to speak.<br />

Foundation activities overseas<br />

<strong>Mazda</strong> Foundation USA<br />

The Foundation was established <strong>in</strong> 1990 as one way of contribut<strong>in</strong>g to<br />

American society as a good corporate citizen. The Foundation offers<br />

support for educational activities (support with tuition costs, literacy<br />

programs and outdoor activities), and s<strong>in</strong>ce 1998 has also been<br />

support<strong>in</strong>g volunteer programs for environmental conservation.<br />

<strong>Mazda</strong> Foundation Australia<br />

The Foundation was established <strong>in</strong> Australia <strong>in</strong> 1990, with the objectives of<br />

contribut<strong>in</strong>g to a richer life for the peoples of Australia, through support<strong>in</strong>g<br />

youth education, progress <strong>in</strong> science and technology, and the conservation<br />

of nature and the environment. <strong>Mazda</strong> Australia and <strong>Mazda</strong> dealerships<br />

support various projects throughout the country based on donations.<br />

<br />

Br<strong>in</strong>g<strong>in</strong>g the passion and the fun of science to children<br />

The start of the Science is Fun project<br />

The <strong>Mazda</strong> Foundation has begun to implement the Science is Fun project <strong>in</strong> partnership with<br />

Hiroshima University, <strong>in</strong> which elementary, junior high and senior high school students are<br />

encouraged to develop a passion for<br />

science through hav<strong>in</strong>g the<br />

opportunity to enjoy science, a<br />

subject which young people are<br />

tend<strong>in</strong>g to move away from at the<br />

moment. Dur<strong>in</strong>g the last fiscal year<br />

we worked on prepar<strong>in</strong>g the project,<br />

and on trials, and dur<strong>in</strong>g FY 2004,<br />

we implemented the follow<strong>in</strong>g types<br />

of programs.<br />

Science Lectures<br />

Lectures for junior high school students, designed to make science fun, <strong>in</strong>cluded topics<br />

such as Absolute Zero and superconductivity.<br />

Science Classes, Junior Science Classes<br />

Science specialists <strong>in</strong> different fields give four-part tra<strong>in</strong><strong>in</strong>g courses <strong>in</strong> science to senior<br />

high school and junior high school students.<br />

Science education <strong>in</strong><strong>format</strong>ion network for elementary schools<br />

We have built an <strong>in</strong><strong>format</strong>ion network that supplies science tra<strong>in</strong><strong>in</strong>g and know-how<br />

regard<strong>in</strong>g experiments etc. to teachers at elementary schools<br />

Support for science experience projects<br />

We support private groups implement<strong>in</strong>g scientific experience projects through jo<strong>in</strong>t<br />

research and other methods.<br />

<br />

Social & Environmental Report 2005


Activities as a Corporate Citizen<br />

Communicat<strong>in</strong>g with Society<br />

Partner<strong>in</strong>g with Society, Contribut<strong>in</strong>g to Society<br />

As well as be<strong>in</strong>g committed to notify<strong>in</strong>g people of our corporate activities and our community and environmental<br />

service activities across as wide a spectrum as possible, we at <strong>Mazda</strong> also take seriously the concepts of<br />

communication with our customers and other stakeholders.<br />

Mak<strong>in</strong>g progress <strong>in</strong> disclosure of a wide range of <strong>in</strong><strong>format</strong>ion<br />

<strong>Mazda</strong> aims for susta<strong>in</strong>able development alongside society, and works<br />

to be a company that benefits society. In implement<strong>in</strong>g corporate<br />

activities, we are committed to spread<strong>in</strong>g knowledge of <strong>Mazda</strong> among<br />

our stakeholders, <strong>in</strong> order to become a company that is trusted by<br />

society, and to this end, we publish a wide range of <strong>in</strong><strong>format</strong>ion.<br />

Our Corporate Communications Division and IR Divisions (see page<br />

78) act as contact po<strong>in</strong>ts for media and analysts, and <strong>in</strong>troduce<br />

bus<strong>in</strong>ess, new products and technologies from an <strong>in</strong>dependent<br />

standpo<strong>in</strong>t. Our newsletter 'Letter from <strong>Mazda</strong>' is published <strong>in</strong> order<br />

to communicate with local residents, and our <strong>in</strong>-house magaz<strong>in</strong>e<br />

facilitates communication between employees, while at the same time<br />

allow<strong>in</strong>g <strong>in</strong>creased understand<strong>in</strong>g of bus<strong>in</strong>ess <strong>in</strong><strong>format</strong>ion and<br />

corporate <strong>in</strong><strong>format</strong>ion, and promot<strong>in</strong>g environmental awareness and<br />

employee health issues through proactively <strong>in</strong>clud<strong>in</strong>g them <strong>in</strong> articles.<br />

In addition to this, our participation <strong>in</strong> <strong>in</strong>ternational motor shows<br />

allows us to communicate <strong>Mazda</strong>'s new technologies and<br />

environmental and safety measures to customers, and our products,<br />

environmental activities and safety <strong>in</strong><strong>format</strong>ion are all disclosed, along<br />

with corporate and f<strong>in</strong>ancial <strong>in</strong><strong>format</strong>ion, on our website, which is<br />

widely used by many people.<br />

<strong>Mazda</strong>'s pr<strong>in</strong>cipal <strong>in</strong><strong>format</strong>ion disclosure activities<br />

Letter from <strong>Mazda</strong><br />

Magaz<strong>in</strong>e for Communicat<strong>in</strong>g with the local community.<br />

Founded <strong>in</strong> 1995. Circulation 120,000 / year<br />

Website <strong>in</strong><strong>format</strong>ion<br />

Company <strong>in</strong><strong>format</strong>ion, annual reports, account<strong>in</strong>g summaries, news releases, corporate /<br />

environmental <strong>in</strong><strong>format</strong>ion, Letter from <strong>Mazda</strong>, environmental <strong>in</strong><strong>format</strong>ion relat<strong>in</strong>g to<br />

various models (page 80) etc.<br />

Publication of environmental and other reports<br />

2001<br />

2002<br />

<br />

2003<br />

2004<br />

Environmental Report<br />

Environmental Report<br />

Environmental Report<br />

Social and<br />

Environmental Report<br />

Included environmental accounts<br />

Included research and development, product development<br />

issues such as fuel efficiency, emissions gases, and recycl<strong>in</strong>g<br />

Included product safety and health and safety issues<br />

Includes Corporate Ethics, Corporate Governance, and social<br />

<strong>in</strong><strong>format</strong>ion such as ease of movement for employees<br />

Technical exhibitions<br />

At the <strong>Mazda</strong> R&D Center<br />

Yokohama we offer exhibitions<br />

and <strong>in</strong><strong>format</strong>ion related to<br />

technologies and designs for<br />

newly-launched products,<br />

provid<strong>in</strong>g an <strong>in</strong>terface for<br />

communication between<br />

automobile developers and<br />

<strong>Mazda</strong> Festa<br />

Held each year s<strong>in</strong>ce 1989 at Tsukuba Circuit. Events <strong>in</strong>clude a fourhour<br />

duration race aga<strong>in</strong>st the media, as well as family fun-runs and<br />

attractions to be enjoyed by all<br />

<strong>Mazda</strong> users.<br />

In-house magaz<strong>in</strong>e 'My <strong>Mazda</strong>'<br />

Communication for employees.<br />

Founded <strong>in</strong> 1936. Circulation 40,000 copies / bi-monthly<br />

Ma<strong>in</strong> awards received by <strong>Mazda</strong> dur<strong>in</strong>g FY2004<br />

Three-Layer Wet Pa<strong>in</strong>t System<br />

Environment M<strong>in</strong>isters Prize for Contribution to Prevention of Global Warm<strong>in</strong>g<br />

METI M<strong>in</strong>ister's Prize <strong>in</strong> the Superior Energy-Sav<strong>in</strong>g Application Example category from the Energy Conservation Center<br />

<strong>Mazda</strong> Hofu Plant<br />

Director-General of the Agency of Natural Resources and Energy Award for excellence <strong>in</strong> factory energy management, <strong>in</strong> the thermal energy category, from the Energy Conservation Center<br />

Head Office Plant, No. 2 Eng<strong>in</strong>e Manufactur<strong>in</strong>g Dept. TPM Word Class Prize<br />

Head Office Plant, No. 1 Powertra<strong>in</strong> Manufactur<strong>in</strong>g Dept. TPM Special Prize<br />

<strong>Mazda</strong>5 Release Commemorative Monterrey International Advertis<strong>in</strong>g Award, Gold Prize, Media Division<br />

One of the longest advertisements <strong>in</strong> the world<br />

Displayed at the Marunouchi "Art Road" from Feb. 15 to 28, 2005.<br />

Ma<strong>in</strong> organizations of which<br />

<strong>Mazda</strong> is a member<br />

Japan Automobile Manufacturers Association<br />

Japan M<strong>in</strong>i Vehicles Association<br />

Society of Automotive Eng<strong>in</strong>eers of Japan<br />

Automobile Bus<strong>in</strong>ess Association of Japan<br />

Japan Auto Recycl<strong>in</strong>g Partnership<br />

Hiroshima Eco-Forum<br />

Environmental ISO Yamaguchi Club<br />

Social & Environmental Report 2005


Management Systems that Ensure<br />

Trustworthy Corporate Governance<br />

Social & Environmental Report 2005<br />

Corporate Governance<br />

Corporate Ethics and Compliance<br />

Risk Management<br />

Economic Susta<strong>in</strong>ability Report<br />

<br />

Social & Environmental Report 2005


Corporate Governance<br />

Management systems that<br />

ensure trustworthy corporate governance<br />

At <strong>Mazda</strong>, we are aim<strong>in</strong>g for improved transparency <strong>in</strong> management and swift decision-mak<strong>in</strong>g, and as such we are<br />

implement<strong>in</strong>g a wide range of measures that promote excellence <strong>in</strong> corporate governance.<br />

High level of transparency for efficient management structures<br />

<strong>Mazda</strong> is governed by its shareholders' meet<strong>in</strong>g, its board of directors, its<br />

auditors and other legal agencies, and implements the necessary<br />

management conferences to establish important company-wide policies<br />

and strategies, and issue reports necessary for management. In addition,<br />

we utilize a variety of advisors to feed <strong>in</strong>to the president's decisionmak<strong>in</strong>g.<br />

We have a system of executive directorship, and have separated<br />

the management and executive level decision-mak<strong>in</strong>g processes, which<br />

allows the improved efficiency of our board of directors <strong>in</strong> their role as an<br />

audit<strong>in</strong>g body, while speed<strong>in</strong>g up the decision-mak<strong>in</strong>g process, by<br />

improv<strong>in</strong>g judgment calls among the board, and giv<strong>in</strong>g authority to the<br />

executive level members. This gives an <strong>in</strong>creased level of excellence to our<br />

Management<br />

management efficiency.<br />

Advisory Committee<br />

<strong>Mazda</strong> holds meet<strong>in</strong>gs of its Management Advisory Committee, compris<strong>in</strong>g<br />

external persons of <strong>in</strong>fluence and the members of the board of directors,<br />

four times per year. The high standard of specialist knowledge and<br />

awareness of each of the Committee members ensures a global viewpo<strong>in</strong>t<br />

that allows op<strong>in</strong>ions to be gathered from across a wide range, which are<br />

reflected <strong>in</strong> <strong>Mazda</strong>'s management and contribute to <strong>in</strong>creased<br />

transparency.<br />

The executive / audit<strong>in</strong>g structure<br />

Audit<strong>in</strong>g system<br />

<strong>Mazda</strong>'s board of auditors is comprised of five auditors, <strong>in</strong>clud<strong>in</strong>g<br />

three external auditors, and each auditor is given an <strong>in</strong>dividual role of<br />

monitor<strong>in</strong>g a particular section of the annual plans, and the decisions<br />

made by each of the directors dur<strong>in</strong>g that period. The <strong>in</strong>ternal audit<strong>in</strong>g<br />

is carried out by the Audit<strong>in</strong>g Division, which aims to contribute to<br />

healthy management and efficiency through monitor<strong>in</strong>g the<br />

compatibility of the company, and our affiliates, with our bus<strong>in</strong>ess<br />

objectives, policies and plans, as well as compliance with various<br />

regulations and laws. Accounts audit<strong>in</strong>g is carried out with a<br />

contracted auditor company. Our auditors, as well as the Audit<strong>in</strong>g<br />

Board, the Audit<strong>in</strong>g Division and the audit<strong>in</strong>g company, meet regularly<br />

to ensure consistency.<br />

General Meet<strong>in</strong>g of Shareholders<br />

Select<br />

Select<br />

Board of Corporate Auditors<br />

Audit<br />

Board of Directors<br />

Direction<br />

Consultation<br />

Management Advisory Committee<br />

Audit<br />

Representative Director<br />

Consultation<br />

Executive Commitee Meet<strong>in</strong>g<br />

Other advisory bodies<br />

Executive Officers<br />

Division General Managers etc.<br />

Glossary: 1<br />

In<strong>format</strong>ion about directors<br />

Of the n<strong>in</strong>e <strong>Mazda</strong> directors, five were promoted from<br />

<strong>in</strong>side the company, and four were employed from other<br />

firms. Eight of the n<strong>in</strong>e are also executive officers, and<br />

one is the chairman and representative director.<br />

Social & Environmental Report 2005


Corporate Ethics and Compliance<br />

<strong>Mazda</strong> believes that a company cannot achieve<br />

susta<strong>in</strong>able growth without the trust of all its<br />

stakeholders, whether these are customers,<br />

shareholders, <strong>in</strong>vestors, suppliers, employees or the<br />

local communities where we work, both <strong>in</strong> Japan and<br />

overseas. We are committed to strict adherence to all<br />

relevant laws, and to bus<strong>in</strong>ess practices that follow<br />

appropriate ethical codes, as a basic means of ensur<strong>in</strong>g<br />

that the company meets its social responsibilities and is<br />

trusted by its stakeholders. At <strong>Mazda</strong>, we are aware of<br />

the importance of compliance by our directors and<br />

employees, and we promote true and fair bus<strong>in</strong>ess<br />

practices throughout the <strong>Mazda</strong> Group.<br />

Compliance Cards<br />

Outl<strong>in</strong>e of "<strong>Mazda</strong> Corporate Ethics Code of Condauct"<br />

Five key items def<strong>in</strong><strong>in</strong>g corporate ethics as s<strong>in</strong>cerity:<br />

Action guidel<strong>in</strong>es<br />

<br />

Comply with laws and regulations, corporate rules,<br />

common sense and sound practice <strong>in</strong> the <strong>in</strong>ternational society.<br />

<br />

Comply with laws and regulations and the company's rules. With respect to<br />

matters not clearly provided for, make a judgment consider<strong>in</strong>g their spirit.<br />

<br />

<br />

Be fair and even-handed.<br />

Fulfill the company's social responsibilities.<br />

<br />

<br />

Treat employees,customers and clients fairly and justly.<br />

Not obta<strong>in</strong> from or give to anybody an unjust benefit and/or favor tak<strong>in</strong>g<br />

advantage of the bus<strong>in</strong>ess position.<br />

Make dist<strong>in</strong>ctions between public and private affairs,<br />

and should never pocket or abuse the company's assets.<br />

<br />

Fulfill your own duties faith<strong>full</strong>y.<br />

<br />

Keep confidential <strong>in</strong><strong>format</strong>ion, never <strong>in</strong>fr<strong>in</strong>ge on any <strong>in</strong>tellectual<br />

property right , whether it belongs to <strong>Mazda</strong> or another party.<br />

<br />

Be honest.<br />

<br />

Seek to develop, manufacture and sell products tak<strong>in</strong>g <strong>in</strong>to<br />

consideration human safety and environment.<br />

Reports of violations of law or regulation:<br />

Direct report to the Ethics Consult<strong>in</strong>g Office as soon as any violation is known.<br />

All retaliatory action or <strong>in</strong>appropriate treatment with respect to any person<br />

report<strong>in</strong>g or cooperat<strong>in</strong>g with <strong>in</strong>vestigation of violations is forbidden.<br />

<br />

<br />

<br />

Always act with a view to seek<strong>in</strong>g sound profits.<br />

Respect civil rights and human dignity.<br />

Always state the truth honestly and timely <strong>in</strong> report<strong>in</strong>g <strong>in</strong>ternally<br />

and /or to the public.<br />

<strong>Mazda</strong>'s compliance stance<br />

President<br />

Ethics Consult<strong>in</strong>g Office(Internal Audit<strong>in</strong>g Div.)<br />

cooperation<br />

Ethics Committee (Secretariat: Office of Legal Affairs, Corporate Affairs Div.)<br />

Consultation and reports<br />

Consultation and reports<br />

Tra<strong>in</strong><strong>in</strong>g / Company-wide education<br />

Advice / and recommendation<br />

Tra<strong>in</strong><strong>in</strong>g / Company-wide education<br />

Advice / and recommendation<br />

<strong>Mazda</strong> divisions and departments<br />

(Executive Directors / Head Office General Manager / Division General Managers = responsible for compliance)<br />

Affiliated companies<br />

<br />

Social & Environmental Report 2005


Management systems that<br />

ensure trustworthy corporate governance<br />

Outl<strong>in</strong>e of the Ethics Committee's activities<br />

The Ethics Committee is responsible for creat<strong>in</strong>g the guidel<strong>in</strong>es for corporate ethics code of conduct<br />

and is also <strong>in</strong>volved <strong>in</strong> implement<strong>in</strong>g a range of education and tra<strong>in</strong><strong>in</strong>g programs ensur<strong>in</strong>g compliance.<br />

1997 Ethics Committee established under direct jurisdiction of President<br />

1998 Produced <strong>Mazda</strong>'s Corporate Ethics Code of Conduct,<br />

as well as the 'Guidel<strong>in</strong>e on Reception and Gifts',<br />

which acts as a specific <strong>in</strong>dex for behavior.<br />

2002 Invited an external lecturer to address directors and senior<br />

management on compliance (implemented once per year s<strong>in</strong>ce then)<br />

2005 Distributed 'carry cards' to all employees, conta<strong>in</strong><strong>in</strong>g the Five<br />

Pr<strong>in</strong>ciples of Honest Behavior and the Action Guidel<strong>in</strong>es.<br />

Began a Compliance Course via e-learn<strong>in</strong>g, which is compulsory<br />

for all <strong>in</strong>directly related employees.<br />

Implemented an 'Ethics Survey' for all directors and employees,<br />

<strong>in</strong> order to understand how aware they are of compliance issues<br />

2004 Produced a Compliance Manual, conta<strong>in</strong><strong>in</strong>g specific examples,<br />

<strong>in</strong> order to promote awareness of compliance issues throughout the company,<br />

and distributed it to all employees.<br />

Communicat<strong>in</strong>g strict compliance with labor-related laws to our suppliers<br />

It is extremely important that a company abides by the rules of all<br />

countries and fulfils its social responsibility as it engages <strong>in</strong> its bus<strong>in</strong>ess<br />

activities. <strong>Mazda</strong> is committed to ensur<strong>in</strong>g that not only our own actions,<br />

but also those of our suppliers, are <strong>in</strong> strict adherence with labor-related<br />

laws, and are effective <strong>in</strong> prevent<strong>in</strong>g forced labor, child labor, abusive<br />

authority and tra<strong>in</strong><strong>in</strong>g, and other abusive practices, and has distributed a<br />

document entitled 'Request for total compliance with labor related laws'<br />

to all domestic and overseas suppliers <strong>in</strong> order to promote adherence.<br />

Management of personal data<br />

<strong>Mazda</strong> has always taken seriously the need to handle personal<br />

<strong>in</strong><strong>format</strong>ion related to customers, suppliers and employees gathered<br />

through the course of our bus<strong>in</strong>ess activities with the utmost care. In<br />

l<strong>in</strong>e with the enactment of the 'Protection of Personal In<strong>format</strong>ion<br />

Act', on April 1, 2005, however, we brought <strong>in</strong>to effect our own<br />

'Guidel<strong>in</strong>es for Protection of Personal Data' on March 9, 2005, and<br />

published it on our website. In addition to this, we handle enquiries<br />

about our treatment of personal <strong>in</strong><strong>format</strong>ion and requests for<br />

disclosure of personal <strong>in</strong><strong>format</strong>ion held through the <strong>Mazda</strong> Call<br />

Guidel<strong>in</strong>es for Protection of Personal Data<br />

Our Company endeavors to adequately protect the Personal Data of our clients, trad<strong>in</strong>g partners,<br />

employees, etc. <strong>in</strong> accordance with the Act for Protection of Personal Data and the basic guidel<strong>in</strong>es<br />

described below:<br />

<br />

Our Company shall establish Regulations on the Protection of Personal<br />

Data, and enforce all of our people that are related to any Personal Data to<br />

comply with them.<br />

<br />

Our Company shall take all necessary measures required by laws such as<br />

consents from the relevant parties <strong>in</strong> provid<strong>in</strong>g such Personal Data to a<br />

third party.<br />

<br />

Our Company shall place a presid<strong>in</strong>g supervisor regard<strong>in</strong>g the management<br />

of Personal Data, and provide educational and illum<strong>in</strong>at<strong>in</strong>g activities for our<br />

employees (directors, employees, part-timers, dispatched workers, etc.)<br />

and other related persons.<br />

<br />

If our Company needs to assign a third party <strong>in</strong> any bus<strong>in</strong>ess relat<strong>in</strong>g to<br />

Personal Data, we shall select an appropriate assignee for it, and take all<br />

necessary measures required by laws such as necessary and adequate<br />

supervisions.<br />

<br />

Our Company acquires Personal Data through adequate means. On the<br />

occasion of collect<strong>in</strong>g Personal Data, the Company will either <strong>in</strong>form the<br />

relevant persons of the purposes of use and our contact<strong>in</strong>g address, or<br />

announce such <strong>in</strong><strong>format</strong>ion by well recognized methods such as websites.<br />

<br />

If we receive any claims for disclosures, corrections, suspensions, or<br />

elim<strong>in</strong>ations of all or any part of the Personal Data reta<strong>in</strong>ed by us, we<br />

shall react appropriately <strong>in</strong> accordance with laws after we exam<strong>in</strong>e<br />

whether such claim was issued by the relevant party.<br />

<br />

In our Company, Personal Data can be utilized only by those who have been<br />

authorized to manage such Data with<strong>in</strong> the range of use which was<br />

disclosed to the parties concerned or publicly announced, and with<strong>in</strong> the<br />

range which is necessary to manage it.<br />

<br />

At our Company, we shall take reasonable security measures, and<br />

improve cont<strong>in</strong>uously such measures to prevent illegal access to, and<br />

losses, destructions, manipulations, and leakages of Personal Data.<br />

Social & Environmental Report 2005


Risk Management<br />

At <strong>Mazda</strong>, we are committed to the promotion of risk management as part of our responsibilities <strong>in</strong> corporate<br />

management policy. Risk management not only strengthens our levels of compliance, it also enables us to respond<br />

effectively to a wide variety of <strong>in</strong>ternal and external risks.<br />

Risk management activities implemented throughout all divisions<br />

<strong>Mazda</strong> established a Risk Management Office <strong>in</strong> January 2002 <strong>in</strong> its<br />

Company-wide Adm<strong>in</strong>istrative Organization, and set the target of ‘all<br />

directors and employees be<strong>in</strong>g actively <strong>in</strong>volved <strong>in</strong> risk management’.<br />

Based on this, we created a Risk Management Committee, and have<br />

worked s<strong>in</strong>ce then on the <strong>in</strong>frastructure for risk management<br />

regulations. In January 2003 we issued our Basic <strong>Mazda</strong> Risk<br />

Management Policy, and <strong>in</strong> February 2004 we established our Risk<br />

Management Regulations. Risk management activities began on a<br />

company-wide basis <strong>in</strong> FY 2004, with activities promot<strong>in</strong>g risk<br />

assessments and countermeasures be<strong>in</strong>g rolled out <strong>in</strong> each division.<br />

As a result, some 232 items were cited throughout the company as<br />

requir<strong>in</strong>g some form of risk management measure, and already 208 of<br />

these have been resolved. The rema<strong>in</strong><strong>in</strong>g 24 items are be<strong>in</strong>g<br />

addressed.<br />

Structure for ma<strong>in</strong>tenance of Risk Management System<br />

Education and tra<strong>in</strong><strong>in</strong>g<br />

Simulation<br />

Risk communication<br />

Risk management documentation creation and ma<strong>in</strong>tenance<br />

Monitor<strong>in</strong>g identified risks<br />

Ma<strong>in</strong>ta<strong>in</strong><strong>in</strong>g and manag<strong>in</strong>g records<br />

Risk management system observation<br />

<strong>Mazda</strong> Risk Management Promotion Structure<br />

RM Structure standard procedure<br />

Under emergency procedures<br />

President<br />

President<br />

Directors responsible for RM<br />

Exist<strong>in</strong>g committees<br />

Directors responsible for RM<br />

RM Committee<br />

Secretariat: Risk Management Office<br />

E-risk Management<br />

sub-committee<br />

Ethics Committee<br />

Human Rights Committee<br />

General Health and Safety Committee<br />

Security-related Export Control Committee<br />

Company-wide Quality Committee<br />

Fire Prevention Control Committee, etc.<br />

Emergency Response Office<br />

Division managers<br />

Subsidiaries and affiliates<br />

Divisions<br />

Divisional RM Promotion Manager<br />

All employees<br />

In cases where an <strong>in</strong>ter-departmental response is required, and the exist<strong>in</strong>g<br />

crisis management organization cannot deal with the level of risk, the<br />

directors responsible for RM will work <strong>in</strong> cooperation with the President to<br />

establish an Emergency Response Office, and to appo<strong>in</strong>t a General Manager<br />

to such an office.<br />

Glossary: 1<br />

Risk Management<br />

The process of divid<strong>in</strong>g risks <strong>in</strong>to controllable and<br />

uncontrollable categories (an example of uncontrollable<br />

risk be<strong>in</strong>g natural disasters), and maximiz<strong>in</strong>g the<br />

controllable risks area.<br />

<br />

Social & Environmental Report 2005


Management systems that<br />

ensure trustworthy corporate governance<br />

Basic <strong>Mazda</strong> risk management policy (outl<strong>in</strong>e)<br />

Risk management philosophy<br />

The environment surround<strong>in</strong>g our corporate activities <strong>in</strong>cludes swiftly<br />

develop<strong>in</strong>g progress <strong>in</strong> IT, <strong>in</strong>creas<strong>in</strong>g globalization, worsen<strong>in</strong>g environmental<br />

problems and <strong>in</strong>creas<strong>in</strong>g levels of awareness of legal compliance issues. It is<br />

chang<strong>in</strong>g rapidly, and is expected to cont<strong>in</strong>ue to change and diversify. In order<br />

to work towards achiev<strong>in</strong>g our corporate vision, we need to respond<br />

appropriately to these environmental changes, while at the same time ensur<strong>in</strong>g<br />

the susta<strong>in</strong>ability and soundness of our corporate activities so as to m<strong>in</strong>imize<br />

latent risks. When irregularities and emergencies do occur, we need to have a<br />

system <strong>in</strong> place to ensure that recovery is as swift as possible, <strong>in</strong> order to<br />

ma<strong>in</strong>ta<strong>in</strong> the trust of our customers, shareholders and society <strong>in</strong> general. The<br />

entire <strong>Mazda</strong> Group is <strong>in</strong>volved <strong>in</strong> risk management, work<strong>in</strong>g to become and<br />

rema<strong>in</strong> a truly trusted corporation.<br />

Risk management objectives<br />

In the follow<strong>in</strong>g ways, <strong>Mazda</strong> shall strive for Enhancement of Corporate Value and<br />

Harmony with the Community thereby realiz<strong>in</strong>g the company's "Corporate Vision".<br />

(1) Ensure the health and safety of all those who make up the <strong>Mazda</strong> Group as<br />

well as local citizens<br />

(2) Ma<strong>in</strong>ta<strong>in</strong> and <strong>in</strong>crease the trust from the community<br />

(3) Make appropriate use of the tangible and <strong>in</strong>tangible corporate assets of the<br />

<strong>Mazda</strong> Group<br />

(4) Secure <strong>in</strong>terests of the stakeholders,earn their trust and meet their<br />

expectations<br />

(5) Support the functions of the organization and seek a rapid restoration of<br />

bus<strong>in</strong>ess activities at the time of abnormal circumstances or emergencies<br />

Action guidel<strong>in</strong>es<br />

All officers and employees shall be aware of potential risk <strong>in</strong> every phase of<br />

corporate activity, and shall implement appropriate risk management <strong>in</strong> every<br />

phase of implementation.<br />

Methods of implement<strong>in</strong>g risk management<br />

(1) Employees should be engaged <strong>in</strong> constant prevention and reduction of risk<br />

<strong>in</strong> their day-to-day work, and <strong>in</strong> promotion of risk prevention measures <br />

(risk control). In addition,<br />

(2) They should also be engaged <strong>in</strong> m<strong>in</strong>imization of damage and speedy recov<br />

ery when any danger occurs (danger control).<br />

The necessary structures and rules must be <strong>in</strong> place to implement the two<br />

activities mentioned above.<br />

Scope of application<br />

(1) Shall apply to all bus<strong>in</strong>ess risks<br />

(2) Shall apply to the entire <strong>Mazda</strong> Group, <strong>in</strong>clud<strong>in</strong>g subsidiaries and affiliates<br />

The challenge of e-Risk<br />

<strong>Mazda</strong> def<strong>in</strong>es 'e-Risk' as any risk aris<strong>in</strong>g from the use of IT tools, or<br />

any risk of direct damage to bus<strong>in</strong>ess aris<strong>in</strong>g from issues related to<br />

IT, or IT-related risks that present an <strong>in</strong>direct obstacle to bus<strong>in</strong>ess,<br />

and the company is work<strong>in</strong>g towards the m<strong>in</strong>imization of such risks,<br />

as well as damage limitation <strong>in</strong> the event of such risks occurr<strong>in</strong>g. We<br />

have def<strong>in</strong>ed 11 areas (damage to corporate image, damage to brand<br />

image, confidentiality breach, alterations to / destruction of<br />

<strong>in</strong><strong>format</strong>ion, reduced visibility of <strong>in</strong><strong>format</strong>ion, prevention of use of<br />

<strong>in</strong><strong>format</strong>ion, <strong>in</strong>fr<strong>in</strong>gement of human rights, <strong>in</strong>fr<strong>in</strong>gement of <strong>in</strong>tellectual<br />

property rights, protection / utilization of <strong>in</strong>tellectual assets, noncompliance<br />

with legal regulations, reduced work efficiency, lowered<br />

morale), and have def<strong>in</strong>ed a basic policy for the use of IT, <strong>in</strong>clud<strong>in</strong>g<br />

rules and etiquette, known as 'IT Tool Utilization Guide'. This is<br />

posted on our company <strong>in</strong>tranet, as well as <strong>in</strong> our e-newsletter 'Ekawaraban'<br />

at regular <strong>in</strong>tervals, <strong>in</strong> order to improve the level of<br />

awareness of our employees.<br />

Respond<strong>in</strong>g to emergency situations<br />

In February 2004, <strong>Mazda</strong> def<strong>in</strong>ed its emergency response measures,<br />

<strong>in</strong>clud<strong>in</strong>g <strong>in</strong>itial response, <strong>in</strong><strong>format</strong>ion communication, and<br />

implementation of simulated emergency situations, and established a<br />

set of Regulations for Crisis Control, which <strong>in</strong>cluded regulations<br />

regard<strong>in</strong>g pre-<strong>in</strong>cident measures. These are designed to assist us <strong>in</strong><br />

implement<strong>in</strong>g swift and appropriate response measures dur<strong>in</strong>g an<br />

emergency.<br />

On December 15, 2004, a fire broke out <strong>in</strong> our Uj<strong>in</strong>a No. 1 Plant, and we<br />

are now work<strong>in</strong>g not only to ensure that this never happens aga<strong>in</strong>, but<br />

also to strengthen our crisis management even further with the<br />

experience ga<strong>in</strong>ed at that time.<br />

Fire Response Tra<strong>in</strong><strong>in</strong>g<br />

Social & Environmental Report 2005


Economic Susta<strong>in</strong>ability Report<br />

Healthy f<strong>in</strong>ances are vital <strong>in</strong> order to cont<strong>in</strong>ue to facilitate the development of society, and to play our role as a<br />

responsible company. FY 2004 marked the f<strong>in</strong>al year <strong>in</strong> our Millennium Plan, which was implemented to <strong>in</strong>troduce<br />

growth through product launches, and we have achieved consistent bus<strong>in</strong>ess growth dur<strong>in</strong>g each of the four years,<br />

and achieved our highest level of operat<strong>in</strong>g profits ever dur<strong>in</strong>g FY 2004.<br />

Bus<strong>in</strong>ess conditions dur<strong>in</strong>g FY 2004<br />

Revenues (consolidated)<br />

S<strong>in</strong>ce the <strong>in</strong>troduction of the <strong>Mazda</strong>6/Atenza dur<strong>in</strong>g May 2002, we<br />

have cont<strong>in</strong>ued to launch new-generation products to market, based<br />

on our brand message of 'Zoom-Zoom'and follow<strong>in</strong>g the guidel<strong>in</strong>es of<br />

our Millennium Plan, which aimed for growth through product<br />

launches. The results of our efforts have been positive, with a gradual<br />

trend upwards until FY 2004, the f<strong>in</strong>al year of the plan, <strong>in</strong> which our<br />

consolidated wholesales reached 1.104 million (up 3% on the<br />

previous year), and our net sales reached 2.6956 trillion yen (an<br />

<strong>in</strong>crease of 5% on the previous year).<br />

At the end of March 2005, we also achieved our targeted 25%<br />

reduction <strong>in</strong> costs, so that <strong>in</strong> FY 2004 we were able to produce<br />

operat<strong>in</strong>g <strong>in</strong>come of 82.9 billion yen (up 18% on last year) as well as<br />

<strong>in</strong>come before tax of 73.8 billion yen (up 37%) and net <strong>in</strong>come for the<br />

period of 45.8 billion yen (up 35%).<br />

(Unit: 100 million yen)<br />

20,158<br />

20,949<br />

23,645<br />

25,747 26,956<br />

Converted to show<br />

12-month figures<br />

Outl<strong>in</strong>e of long-term vision and <strong>Mazda</strong> Momentum<br />

In our FY 2004 mid-term account<strong>in</strong>g report, issued on November 9,<br />

2004, we specified our long-range vision, which <strong>in</strong>cludes an outl<strong>in</strong>e of<br />

how we expect the company to look <strong>in</strong> 10 years' time, as well as a<br />

roadmap for ma<strong>in</strong>ta<strong>in</strong><strong>in</strong>g our current growth, while creat<strong>in</strong>g a basis<br />

for strong future growth. This mid-term plan is known as '<strong>Mazda</strong><br />

Momentum'.<br />

Profits<br />

00 01 02 03 04<br />

April-March<br />

LONG-TERM VISION<br />

An automotive company that is respected and trusted by customers<br />

and other stakeholders which:<br />

Delights customers by provid<strong>in</strong>g lead<strong>in</strong>g-edge products and<br />

services with unique <strong>Mazda</strong> creativity reflect<strong>in</strong>g Japanese heritage<br />

Has a scale enabl<strong>in</strong>g global competitiveness<br />

unit: 100 million yen<br />

Operat<strong>in</strong>g <strong>in</strong>come<br />

Net <strong>in</strong>come<br />

407<br />

580<br />

339<br />

731<br />

458<br />

241<br />

192<br />

Commitments undertaken with<strong>in</strong> the<br />

Mid-term Plan '<strong>Mazda</strong> Momentum'<br />

88<br />

FY 2006<br />

Consolidated Wholesales 1.25 million units<br />

Operat<strong>in</strong>g Profit over 100 billion yen<br />

Net Debt / Eguity Ratio below 100%<br />

00 01 02 03 04<br />

298<br />

1,552<br />

April-March<br />

<strong>Mazda</strong> Momentum<br />

Key Initiatives<br />

Re<strong>in</strong>force Research & Development<br />

Strengthen Key Markets<br />

Enhance Global Efficiercies and Synergies<br />

Leverage Human Resources<br />

<br />

Social & Environmental Report 2005


Management systems that<br />

ensure trustworthy corporate governance<br />

Revenue breakdown by region (FY 2004)<br />

Unit: 100 million yen<br />

Europe<br />

6,342<br />

23.5<br />

Other<br />

4,540<br />

16.8<br />

North America<br />

7,617<br />

28.3<br />

Japan<br />

8,453<br />

31.4<br />

Situation regard<strong>in</strong>g shares and IR<br />

Report regard<strong>in</strong>g shares<br />

As of March 2005, <strong>Mazda</strong>’s shareholder structure was as shown<br />

below, and dividends were paid based on the state of the bus<strong>in</strong>ess<br />

environment and bus<strong>in</strong>ess results dur<strong>in</strong>g each period. <strong>Mazda</strong> aims for<br />

stability <strong>in</strong> the payment of its dividends. After FY 2004, with the<br />

achievement of our highest ever level of operat<strong>in</strong>g <strong>in</strong>come, we<br />

decided to <strong>in</strong>crease our dividend <strong>in</strong> order to share the rewards with<br />

those shareholders who have always supported our work, with the<br />

proposal for this be<strong>in</strong>g accepted at our General Meet<strong>in</strong>g of<br />

Shareholders <strong>in</strong> the end of June 2005.<br />

Net <strong>in</strong>come per-share and dividends<br />

Distribution of shareholders<br />

Securities companies 0.5<br />

Other foundations and companies 6.1<br />

Government / local authorities<br />

0.01<br />

Unit: yen<br />

Net <strong>in</strong>come per-share<br />

Dividends per-share<br />

37.6<br />

Individuals 16.6<br />

Overseas foundations<br />

and companies<br />

39.8<br />

27.8<br />

19.8<br />

F<strong>in</strong>ancial <strong>in</strong>stitutions<br />

37.0<br />

0<br />

7.2<br />

2 2 2<br />

00 01 02 03 04<br />

126.9<br />

Capital <strong>in</strong>vestment (consolidated) (FY 2004)<br />

R&D cost (consolidated) (FY 2004)<br />

3<br />

FY<br />

Unit: 100 million yen<br />

679<br />

908<br />

Total outstand<strong>in</strong>g shares (For the year ended March 31,2004)<br />

Report regard<strong>in</strong>g IR<br />

1,223,911,682 shares<br />

We took the follow<strong>in</strong>g measures to communicate with our<br />

shareholders.<br />

<br />

We make every attempt to make sure that our shareholders<br />

(<strong>in</strong>vestors) understand our policies, by sett<strong>in</strong>g our meet<strong>in</strong>gs on days<br />

when the maximum number of shareholders can attend, and avoid<strong>in</strong>g<br />

extremely busy days and aim<strong>in</strong>g for maximum access to <strong>in</strong><strong>format</strong>ion.<br />

In addition to this, we do not restrict our answers to questions to the<br />

scope regulated by law, but attempt to answer all questions, as best<br />

we can without compromis<strong>in</strong>g corporate secrecy.<br />

Total assets (consolidated) (FY 2004)<br />

Shareholder's equity (Consolidated) (FY 2004)<br />

17,678<br />

2,678<br />

<br />

<br />

We publish an annual report <strong>in</strong> English, Japanese and Ch<strong>in</strong>ese, as well<br />

as constantly improv<strong>in</strong>g our IR website, <strong>in</strong> order to offer timely<br />

disclosure of <strong>in</strong><strong>format</strong>ion. From FY 2004 onwards, we have begun an<br />

IR News email service to <strong>in</strong>dividual <strong>in</strong>vestors.<br />

Social & Environmental Report 2005


Company Outl<strong>in</strong>e<br />

Company Outl<strong>in</strong>e<br />

Company name: <strong>Mazda</strong> Motor Corporation<br />

Established: January 30,1920<br />

Representative: President and CEO Hisakazu Imaki<br />

Capital: 120,320,049,646 yen (as of May 31,2005)<br />

Number of employees: 19,247 (as of March 31,2005)<br />

Ma<strong>in</strong> bus<strong>in</strong>ess l<strong>in</strong>es: Manufacture and sale of passenger cars and commercial vehicles<br />

Head office: 3-1 Sh<strong>in</strong>chi, Fuchu-cho, Aki-gun, Hiroshima, 730-8670 JAPAN<br />

Ma<strong>in</strong> bus<strong>in</strong>ess premises:<br />

(Japan) Head Office, Tokyo Head Office, Osaka Branch, Hofu Plant, Miyoshi Office, <strong>Mazda</strong><br />

R&D Center Yokohama, <strong>Mazda</strong> Technical Service Center Sendai, <strong>Mazda</strong> Technical<br />

Service Center Tokyo, <strong>Mazda</strong> Technical Service Center Nagoya, <strong>Mazda</strong> Technical<br />

Service Center Osaka, <strong>Mazda</strong> Technical Service Center Hiroshima, <strong>Mazda</strong> Technical<br />

Service Center Kyushu, <strong>Mazda</strong> Rotary Sh<strong>in</strong>-Umeda.<br />

(Overseas) <strong>Mazda</strong> Representative office (Beij<strong>in</strong>g, Middle East)<br />

Production bases <strong>in</strong> Japan: Hiroshima Plant, Miyoshi Plant, Hofu Plant<br />

Research and development bases<br />

Japan: Head Office Research & Development, <strong>Mazda</strong> R & D Center Yokohama, Hokkaido<br />

Kenbuchi Prov<strong>in</strong>g Ground, Hokkaido Nakasatsunai Prov<strong>in</strong>g Ground, Miyoshi<br />

Prov<strong>in</strong>g Ground<br />

Overseas: <strong>Mazda</strong> Motor of America (USA), <strong>Mazda</strong> Motor Europe (Germany)<br />

Production volume: 812,772 units (unconsolidated, FY 2004)<br />

sales: 2.6956 trillion yen (consolidated, FY 2004)<br />

Wholesales: 1.104 million units (consolidated, FY 2004)<br />

Operat<strong>in</strong>g Income: 82.9 billion yen (consolidated, FY 2004)<br />

Ord<strong>in</strong>ary <strong>in</strong>come: 73.1 billion yen (consolidated, FY 2004)<br />

Net <strong>in</strong>come: 45.8 billion yen (consolidated, FY 2004)<br />

Ma<strong>in</strong> subsidiaries / affiliates<br />

Domestic subsidiaries <strong>Mazda</strong> Autozam, Inc./ Kurashiki Kako Co., Ltd./ Toyo Advanced Technologies Co., Ltd.<br />

Microtechno Corp./ <strong>Mazda</strong> Ace Co.,Ltd./ <strong>Mazda</strong> Eng<strong>in</strong>eer<strong>in</strong>g & Technology Co., Ltd./<br />

<strong>Mazda</strong> Chuhan Co., Ltd./ Malox Co., Ltd.<br />

Domestic affiliates Japan Climate Systems Corporation./ Yoshiwa Kogyo Co., Ltd.<br />

Overseas subsidiaries<br />

Overseas affiliates<br />

<strong>Mazda</strong> Motor of America Inc. / <strong>Mazda</strong> Canada Inc. / <strong>Mazda</strong> Motor de Mexico<br />

<strong>Mazda</strong> Motor Europe GmbH / <strong>Mazda</strong> Motors (Deutschland) GmbH<br />

<strong>Mazda</strong> Motor Logistics Europe N.V. / <strong>Mazda</strong> Motors UK Ltd.<br />

<strong>Mazda</strong> Automobiles France S.A.S. / <strong>Mazda</strong> Suisse S.A.<br />

<strong>Mazda</strong> Automobiles España S.A.U / <strong>Mazda</strong> Motor de Portugal Lda.<br />

<strong>Mazda</strong> Motor Italia S.p.A. / <strong>Mazda</strong> Austria GmbH<br />

<strong>Mazda</strong> Sales (Thailand) Co., Ltd. / Compañia Colombiana Automotriz S.A.<br />

<strong>Mazda</strong> Australia Pty. Ltd. / <strong>Mazda</strong> Motors of New Zealand Ltd.<br />

<strong>Mazda</strong> Motor (Shanghai) Bus<strong>in</strong>ess Management & Consult<strong>in</strong>g Co., Ltd.<br />

AutoAlliance International, Inc.<br />

AutoAlliance (Thailand) Company Limited.<br />

FAW <strong>Mazda</strong> Motor Sales Co., Ltd.<br />

<br />

Social & Environmental Report 2005


Environmental Data<br />

Environmental Data for FY 2004 New Models (Passenger Cars)<br />

Data selected for typical version of each model <br />

Name Verisa Premacy<br />

Vehicle type<br />

DBA-DC5W<br />

DBA-CREW<br />

Model<br />

ZY<br />

LF<br />

Type<br />

<strong>in</strong>-l<strong>in</strong>e 4 DOHC 16V<br />

<strong>in</strong>-l<strong>in</strong>e 4 DOHC 16V<br />

Eng<strong>in</strong>e<br />

Displacement (cc)<br />

1498<br />

1998<br />

Specifications<br />

Fuel<br />

Fuel supply system<br />

Unleaded regular<br />

EGI<br />

Unleaded regular<br />

EGI<br />

Drive<br />

FWD<br />

FWD<br />

Transmission<br />

4AT<br />

4AT<br />

Vehicle weight (kg)<br />

1100<br />

1450<br />

Passenger quota<br />

5<br />

7<br />

Fuel efficiency at 10.15 mode (km/L)<br />

16.8<br />

14.0<br />

Fuel economy<br />

Compliance with Japanese 2010<br />

fuel efficiency standards<br />

Key measures for fuel<br />

efficiency improvement<br />

+5%<br />

Variable valve tim<strong>in</strong>g,<br />

torque converter with<br />

lockup function<br />

+5%<br />

Torque converter with<br />

lockup function<br />

Regulations complied with<br />

2005<br />

2005<br />

Low Emission Vehicle<br />

SU-LEV<br />

SU-LEV<br />

Exhaust<br />

emissions<br />

CO (g/km) [10.15+11mode]<br />

HC (g/km) [10.15+11mode]<br />

1.15<br />

0.013<br />

1.15<br />

0.013<br />

NOx (g/km) [10.15+11mode]<br />

0.013<br />

0.013<br />

Low pollution vehicle<br />

(local governments)<br />

Yes<br />

Yes<br />

External noise<br />

Regulation complied with<br />

Regulation value complied with (dB-(A))<br />

1998<br />

76<br />

1999<br />

76<br />

Greenhouse<br />

gases<br />

Air conditioner refrigerant<br />

Amount of refrigerant used (g)<br />

HFC-134a<br />

470<br />

HFC-134a<br />

500<br />

CO2 emissions (g/km)<br />

138.2<br />

165.8<br />

Recycl<strong>in</strong>g<br />

Parts us<strong>in</strong>g easily<br />

recycled materials<br />

Parts us<strong>in</strong>g recycled PP from bumpers<br />

Bumper and <strong>in</strong>terior<br />

materials use easily recycled<br />

thermosett<strong>in</strong>g plastic<br />

Splash shield<br />

Bumper and <strong>in</strong>terior<br />

materials use easily recycled<br />

thermosett<strong>in</strong>g plastic<br />

Mudguard<br />

Material marked on plastic parts<br />

Yes<br />

Yes<br />

Substances of concern Lead usage Compared to 1996<br />

8 metropolitan prefectures and cities, 6 prefectures and cities<br />

1/3 or less<br />

1/3 or less<br />

Outl<strong>in</strong>e of tra<strong>in</strong><strong>in</strong>g facilities <strong>in</strong> Japan<br />

A variety of educational and tra<strong>in</strong><strong>in</strong>g facilities are provided for employees.<br />

Facility equipment and capabilities vary with role, promot<strong>in</strong>g personnel development for employees groupwide.<br />

As of March 1, 2005<br />

Name<br />

Participants<br />

Location<br />

Established<br />

Description<br />

<strong>Mazda</strong> Education Center<br />

<strong>Mazda</strong> Technical College<br />

Employees<br />

Recent high school<br />

graduates and selected<br />

employees<br />

Hiroshima<br />

Hiroshima<br />

1979<br />

1988<br />

Tra<strong>in</strong><strong>in</strong>g for management, adm<strong>in</strong>istrative, eng<strong>in</strong>eer<strong>in</strong>g, and production staff is<br />

provided. Also provides <strong>in</strong>ternationalization tra<strong>in</strong><strong>in</strong>g, department- specific tra<strong>in</strong><strong>in</strong>g<br />

among others. Approx. 5,000 users/month<br />

The aim of the college is to tra<strong>in</strong> mid-career employees who will forge the future of the production department.<br />

Basic knowledge and skills are taught <strong>in</strong> the first year curriculum, and the second year <strong>in</strong>cludes subjects and practical<br />

skills that ma<strong>in</strong>ly focus on skills application, and company staff education. Capacity: 65 students / each grade<br />

Etre College of Bus<strong>in</strong>ess Arts<br />

Sales managers and staff<br />

for dealerships <strong>in</strong> Japan<br />

Osaka and Hiroshima<br />

1991<br />

Practical and Speciality tra<strong>in</strong><strong>in</strong>g for those from management to new hires.<br />

Students:300 (Hiroshima), 150 (Osaka)<br />

Technical Service Tra<strong>in</strong><strong>in</strong>g Center<br />

<strong>Mazda</strong> Tra<strong>in</strong><strong>in</strong>g Center Taibi<br />

Service technicians <strong>in</strong><br />

Japan and overseas<br />

Hiroshima<br />

1972<br />

Technical tra<strong>in</strong><strong>in</strong>g for sales/service staff <strong>in</strong> Japan and overseas, and bus<strong>in</strong>ess tra<strong>in</strong><strong>in</strong>g<br />

for domestic (Japan) dealerships.<br />

Participants: approx. 1,600/year<br />

Technical Service Tra<strong>in</strong><strong>in</strong>g Center<br />

<strong>Mazda</strong> Tra<strong>in</strong><strong>in</strong>g Center Yokohama<br />

Service technicians <strong>in</strong><br />

Japan<br />

Kanagawa<br />

2002<br />

Technical tra<strong>in</strong><strong>in</strong>g for service staff at domestic (Japan) dealerships.<br />

Participants: about 400/year<br />

Skill Tra<strong>in</strong><strong>in</strong>g Center, Hiroshima Plant<br />

Employees<br />

28 facilities at Hiroshima<br />

Plant<br />

1997<br />

Skill-improvement courses for various levels and areas.<br />

Participants: 4,700/year<br />

Nish<strong>in</strong>oura Education Center, Hofu Plant<br />

Employees<br />

Yamaguchi<br />

Prefecture<br />

1982<br />

Tra<strong>in</strong><strong>in</strong>g for management, adm<strong>in</strong>istrative eng<strong>in</strong>eer<strong>in</strong>g and production staff.<br />

Approx. 500/month<br />

Skills Tra<strong>in</strong><strong>in</strong>g Center, Hofu Plant<br />

Employees<br />

Yamaguchi<br />

Prefecture<br />

1982<br />

Cont<strong>in</strong>u<strong>in</strong>g skill tra<strong>in</strong><strong>in</strong>g, by level and work area.<br />

Participants: about 1,000/year<br />

Social & Environmental Report 2005


Site report: Hiroshima Region<br />

[Hiroshima plant]<br />

Address:<br />

3-1 Sh<strong>in</strong>chi, Fuchu-cho, Aki-gun, Hiroshima, Japan<br />

Operation started: March 1931<br />

Major products: Passenger cars, commercial vehicles, trucks,<br />

eng<strong>in</strong>es, manual transmissions for passenger cars<br />

Employees: 14,629 (as of end of March 2005)<br />

ISO14001 certificationJune 2000<br />

Site area and floorspace2,247,000 square meters; 1,796,000 square meters<br />

[Miyoshi Office]<br />

Address: 551-1 Higashi-sakaya-cho, Miyoshi City,<br />

Hiroshima, Japan<br />

Operation started: May 1974<br />

Major product: Eng<strong>in</strong>es<br />

Employees: 152 (as of end of March 2005)<br />

ISO14001 certificationJune 2000<br />

Site area and floorspace1,667,000 square meters; 64,000 square meters<br />

Hiroshima Plant<br />

Miyoshi Office<br />

Environmental data for fiscal 2004<br />

[Hiroshima plant]<br />

Atmospheric pollutants Units Regulation<br />

Actual<br />

(max.)<br />

Water pollutants Units Regulation<br />

Wastewater dra<strong>in</strong>age to Enko River and Kaita Bay<br />

Actual<br />

Max. M<strong>in</strong>. Avg.<br />

300<br />

170<br />

pH (freshwater)<br />

<br />

5.88.6<br />

7.5<br />

6.7<br />

7.3<br />

Boilers<br />

ppm<br />

230<br />

180<br />

190<br />

74<br />

pH (seawater)<br />

BOD<br />

<br />

mg/R<br />

5.59.0<br />

120<br />

7.4<br />

8.1<br />

6.4<br />

0.8<br />

7<br />

2.1<br />

150<br />

130<br />

COD<br />

mg/R<br />

15<br />

10.8<br />

1.8<br />

4.7<br />

Dry<strong>in</strong>g ovens<br />

ppm<br />

250<br />

100<br />

SS<br />

mg/R<br />

150<br />

14<br />

0.7<br />

3.5<br />

NOx<br />

Melt<strong>in</strong>g furnaces<br />

ppm<br />

180<br />

99<br />

Oil<br />

mg/R<br />

5<br />

1.9<br />

ND<br />

0.6<br />

Diesel eng<strong>in</strong>es<br />

ppm<br />

950<br />

600<br />

Copper<br />

mg/R<br />

3<br />

0.02<br />

ND<br />

0.01<br />

200<br />

37<br />

Fluor<strong>in</strong>e (freshwater)<br />

mg/R<br />

8<br />

0.4<br />

ND<br />

0.2<br />

Heat<strong>in</strong>g furnaces<br />

ppm<br />

180<br />

39<br />

Fluor<strong>in</strong>e (seawater)<br />

mg/R<br />

15<br />

3.4<br />

0.2<br />

1.6<br />

150<br />

68<br />

Z<strong>in</strong>c<br />

mg/R<br />

5<br />

2<br />

ND<br />

0.46<br />

Inc<strong>in</strong>erators<br />

ppm<br />

450<br />

72<br />

Soluble iron<br />

mg/R<br />

10<br />

0.3<br />

ND<br />

0.1<br />

0.30<br />

0.029<br />

Soluble manganese<br />

mg/R<br />

10<br />

0.9<br />

ND<br />

0.21<br />

Boilers<br />

g/m 3 N<br />

0.25<br />

0.20<br />

0.16<br />

0.0170<br />

Total nitrogen<br />

Total phosphorus<br />

mg/R<br />

mg/R<br />

60<br />

8<br />

11<br />

4.3<br />

4<br />

ND<br />

0.3<br />

0.66<br />

0.10<br />

0.0019<br />

Coliform groups<br />

colonies/cm 3<br />

3000<br />

536<br />

0<br />

71<br />

0.35<br />

0.0063<br />

Phenol<br />

mg/R<br />

5<br />

1.9<br />

ND<br />

0.1<br />

Dry<strong>in</strong>g ovens<br />

g/m 3 N<br />

0.3<br />

0.0076<br />

Chromium<br />

mg/R<br />

2<br />

0.09<br />

ND<br />

0.03<br />

Ash<br />

0.15<br />

0.0027<br />

Hexavalent chromium<br />

mg/R<br />

0.5<br />

0.04<br />

ND<br />

0.02<br />

Melt<strong>in</strong>g furnaces<br />

g/m 3 N<br />

0.20<br />

0.10<br />

0.093<br />

0.017<br />

Boric acid (freshwater)<br />

Boric acid (seawater)<br />

mg/R<br />

mg/R<br />

10<br />

230<br />

0.45<br />

0.9<br />

0.01<br />

0.21<br />

0.23<br />

0.56<br />

SOx<br />

Hydrogen<br />

chloride<br />

Diesel eng<strong>in</strong>es<br />

Heat<strong>in</strong>g furnaces<br />

Inc<strong>in</strong>erators<br />

K regulation<br />

Waste <strong>in</strong>c<strong>in</strong>erators<br />

g/m 3 N<br />

g/m 3 N<br />

g/m 3 N<br />

<br />

mg/m 3 N<br />

0.10<br />

0.25<br />

0.20<br />

0.25<br />

7<br />

700<br />

0.03<br />

0.0094<br />

0.015<br />

0.12<br />

1<br />

12<br />

Ammonia, ammonium,<br />

nitrous acid and nitrous<br />

acid compounds<br />

mg/R<br />

100<br />

The follow<strong>in</strong>g regulated substances were not detected: cadmium, cyanogen, organic phosphorus, lead, arsenic,<br />

mercury, alkyl mercury, PCB, trichloroethylene, tetrachloroethylene, dichloromethane, carbon tetrachloride, 1.2-<br />

dichloroethane, 1.1-dichloroethylene, cis 1.2-dichloroethylene, 1.1.1-trichloroethane, 1.1.2-trichloroethane, 1.3-<br />

dichloropropene, thiuram, simaz<strong>in</strong>e, thiobencarb, benzene, and selenium.<br />

3.7<br />

0.4<br />

2<br />

Diox<strong>in</strong><br />

Waste <strong>in</strong>c<strong>in</strong>erators<br />

ng-TEQ/m 3 N<br />

10<br />

4.7<br />

<br />

Social & Environmental Report 2005


Environmental data<br />

PRTR (Pollution Release and Transfer Register) for fiscal 2004<br />

[Hiroshima plant]<br />

Substance<br />

No.<br />

Substance group<br />

Amount<br />

Volume emitted<br />

handled Air Water Soil<br />

(<strong>in</strong>dicates Class 1 Designated Chemical Substance of which 500 kg/year or more are handled)<br />

(Other <strong>in</strong>dications are of Class 1 Designated Chemical Substances of which 1000 kg/year or more are handled)<br />

Total<br />

(Units: kg/year, except for diox<strong>in</strong> which is mg - TEQ/year)<br />

Amount Amount Amount transferred<br />

consumed<br />

Recycled<br />

disposed Waste product<br />

1<br />

Water-soluble z<strong>in</strong>c compounds<br />

11,597<br />

0<br />

124<br />

0<br />

124<br />

8,946<br />

0<br />

2,527<br />

0<br />

29<br />

4,4'-isopropylidenediphenol<br />

4,984<br />

0<br />

0<br />

0<br />

0<br />

0<br />

4,984<br />

0<br />

0<br />

30<br />

Polymer of 4,4'-isopropylidenediphenol and 1-chloro-2,3-epoxypropane<br />

2,884<br />

0<br />

0<br />

0<br />

0<br />

2,884<br />

0<br />

0<br />

0<br />

40<br />

Ethyl benzene<br />

182,926<br />

100,236<br />

0<br />

0<br />

100,236<br />

33,107<br />

49,583<br />

0<br />

0<br />

43<br />

Ethylene glycol<br />

865,805<br />

5<br />

0<br />

0<br />

5<br />

865,800<br />

0<br />

0<br />

0<br />

63<br />

Xylene<br />

931,136<br />

412,697<br />

0<br />

0<br />

412,697<br />

150,432<br />

242,122<br />

0<br />

125,885<br />

68<br />

Chromium and trivalent chromium compounds<br />

87,919<br />

0<br />

0<br />

0<br />

0<br />

83,920<br />

0<br />

3,978<br />

21<br />

69<br />

Hexavalent chromium compounds<br />

9,724<br />

0<br />

0<br />

0<br />

0<br />

5,746<br />

3,978<br />

0<br />

0<br />

179<br />

Diox<strong>in</strong>s<br />

430.76<br />

425.27<br />

0.43<br />

0<br />

425.70<br />

0<br />

0<br />

5.06<br />

0<br />

198<br />

1,3,5,7-tetraazetoricyclo [3.3.1.1 3.7 ] decane<br />

142,045<br />

0<br />

0<br />

0<br />

0<br />

0<br />

142,045<br />

0<br />

0<br />

224<br />

1,3,5-trimethylbenzene<br />

36,436<br />

12,769<br />

0<br />

0<br />

12,769<br />

6,259<br />

17,408<br />

0<br />

0<br />

227<br />

Toluene<br />

935,903<br />

220,410<br />

0<br />

0<br />

220,410<br />

270,780<br />

424,706<br />

0<br />

20,007<br />

231<br />

Nickel<br />

26,379<br />

0<br />

0<br />

0<br />

0<br />

26,369<br />

0<br />

0<br />

10<br />

232<br />

Nickel compounds<br />

2,612<br />

0<br />

316<br />

0<br />

316<br />

898<br />

0<br />

1,398<br />

0<br />

253<br />

Hydraz<strong>in</strong>e<br />

1,298<br />

0<br />

0<br />

0<br />

0<br />

0<br />

1,298<br />

0<br />

0<br />

266<br />

Phenol<br />

771,223<br />

19<br />

22<br />

0<br />

41<br />

0<br />

771,182<br />

0<br />

0<br />

272<br />

Bis(2-ethylhexyl) phthalate<br />

4,403<br />

0<br />

0<br />

0<br />

0<br />

4,271<br />

132<br />

0<br />

0<br />

283<br />

Hydrogen fluoride and its water - soluble salts<br />

2,540<br />

0<br />

406<br />

0<br />

406<br />

0<br />

0<br />

2,134<br />

0<br />

299<br />

Benzene<br />

27,924<br />

100<br />

0<br />

0<br />

100<br />

13,607<br />

14,217<br />

0<br />

0<br />

310<br />

Formaldehyde<br />

290,155<br />

2,021<br />

0<br />

0<br />

2,021<br />

0<br />

288,134<br />

0<br />

0<br />

311<br />

Manganese and its compounds<br />

404,350<br />

0<br />

229<br />

0<br />

229<br />

402,742<br />

0<br />

1,301<br />

78<br />

346<br />

Molybdenum and its compounds<br />

5,321<br />

0<br />

0<br />

0<br />

0<br />

3,237<br />

0<br />

114<br />

1,970<br />

Total<br />

4,747,564<br />

748,256<br />

1,097<br />

0<br />

749,354<br />

1,878,998<br />

1,959,789<br />

11,452<br />

147,971<br />

Environmental data for fiscal 2004<br />

[Miyoshi Office]<br />

NOx<br />

Ash<br />

SOx<br />

40<br />

63<br />

224<br />

227<br />

299<br />

Atmospheric pollutants Units Regulation<br />

ppm<br />

ppm<br />

g/m 3 N<br />

g/m 3 N<br />

<br />

250<br />

950<br />

0.30<br />

0.10<br />

17.5<br />

170<br />

620<br />

0.087<br />

0.059<br />

6.7<br />

PRTR (Pollution Release and Transfer Register) for fiscal 2004<br />

[Miyoshi Office]<br />

Substance<br />

No.<br />

Boilers<br />

Diesel eng<strong>in</strong>es<br />

Boilers<br />

Diesel eng<strong>in</strong>es<br />

K regulation<br />

Ethyl benzene<br />

Xylene<br />

1,3,5-trimethylbenzene<br />

Toluene<br />

Benzene<br />

Total<br />

Substance group<br />

Actual<br />

(max.)<br />

Water pollutants Units Regulation<br />

pH<br />

<br />

BOD<br />

mg/R<br />

SS<br />

mg/R<br />

Oil<br />

mg/R<br />

Fluor<strong>in</strong>e<br />

mg/R<br />

Z<strong>in</strong>c<br />

mg/R<br />

Soluble iron mg/R<br />

Soluble manganese mg/R<br />

Total nitrogen mg/R<br />

Total phosphorus mg/R<br />

Coliform groups colonies/cm 3<br />

Boric acid<br />

mg/R<br />

Ammonia, ammonium,<br />

nitrous acid and nitrous mg/R<br />

acid compounds<br />

Amount<br />

Volume emitted<br />

handled Air Water Soil<br />

9,154<br />

43,644<br />

3,650<br />

92,066<br />

3,298<br />

151,812<br />

32<br />

151<br />

11<br />

247<br />

12<br />

453<br />

0<br />

0<br />

0<br />

0<br />

0<br />

0<br />

0<br />

0<br />

0<br />

0<br />

0<br />

0<br />

32<br />

151<br />

11<br />

247<br />

12<br />

453<br />

5.88.6<br />

70<br />

70<br />

5<br />

8<br />

5<br />

10<br />

10<br />

60<br />

8<br />

3000<br />

10<br />

100<br />

0<br />

0<br />

0<br />

0<br />

0<br />

0<br />

7.7<br />

3.4<br />

4.4<br />

0.7<br />

0.2<br />

0.07<br />

0.1<br />

0.2<br />

1.4<br />

0.06<br />

152<br />

0.04<br />

0.9<br />

9,122<br />

43,493<br />

3,639<br />

91,819<br />

3,286<br />

151,359<br />

7.2<br />

0.6<br />

1.3<br />

ND<br />

0.2<br />

0.07<br />

0.1<br />

ND<br />

1.4<br />

0.06<br />

0<br />

0.04<br />

0.9<br />

0<br />

0<br />

0<br />

0<br />

0<br />

0<br />

7.5<br />

1.8<br />

2.9<br />

0.5<br />

0.2<br />

0.07<br />

0.1<br />

0.2<br />

1.4<br />

0.06<br />

43<br />

0.04<br />

The follow<strong>in</strong>g regulated substances were not detected: cadmium, cyanogen, organic phosphorus, lead, hexavalent<br />

chromium, arsenic, mercury, alkyl mercury, PCB, trichloroethylene, tetrachloroethylene, dichloromethane, carbon<br />

tetrachloride, 1.2-dichloroethane, 1.1-dichloroethylene, cis 1.2-dichloroethylene, 1.1.1-trichloroethane, 1.1.2-<br />

trichloroethane, 1.3-dichloropropene, thiuram, simaz<strong>in</strong>e, thiobencarb, benzene, selenium, copper, phenol and<br />

chromium.<br />

(<strong>in</strong>dicates Class 1 Designated Chemical Substance of which 500 kg/year or more are handled)<br />

(Other <strong>in</strong>dications are of Class 1 Designated Chemical Substances of which 1000 kg/year or more are handled)<br />

Total<br />

Amount<br />

consumed<br />

Wastewater dra<strong>in</strong>age to Basen River<br />

Actual<br />

Max. M<strong>in</strong>. Avg.<br />

Amount<br />

disposed<br />

Amount transferred<br />

Waste product<br />

0.9<br />

(Units: kg/year)<br />

Recycled<br />

0<br />

0<br />

0<br />

0<br />

0<br />

0<br />

Social & Environmental Report 2005


Site report: Hofu Plant<br />

[Nish<strong>in</strong>oura District]<br />

Address: 888-1 Nish<strong>in</strong>oura, Hofu City, Yamaguchi, Japan<br />

Operation started: September 1982<br />

Major products: Passenger cars<br />

Employees: 3,170(as of end of March 2005/<strong>in</strong>clud<strong>in</strong>g Nakanoseki)<br />

ISO14001 certificationSeptember 1998<br />

Site area and floorspace792,000 square meters; 297,000 square meters<br />

[Nakanoseki District]<br />

Address: 415-8 Hamakata,<br />

Hofu City, Yamaguchi, Japan<br />

Operation started: December 1981<br />

Major products: Transmissions<br />

ISO14001 certificationSeptember 1999<br />

Site area and floorspace537,000 square meters;<br />

100,000 square meters<br />

Hofu Plant, Nish<strong>in</strong>oura District<br />

Hofu Plant, Nakanoseki District<br />

Environmental data for fiscal 2004<br />

[Nish<strong>in</strong>oura District]<br />

Wastewater dra<strong>in</strong>age to Oumi Bay<br />

Atmospheric pollutants Units Regulation<br />

Actual<br />

(max.)<br />

Water pollutants Units Regulation<br />

Actual<br />

Max. M<strong>in</strong>. Avg.<br />

250<br />

23<br />

pH<br />

<br />

5.09.0<br />

7.0<br />

6<br />

6.7<br />

NOx<br />

Boilers<br />

ppm<br />

150<br />

130<br />

140<br />

62<br />

BOD<br />

SS<br />

mg/R<br />

mg/R<br />

40<br />

30<br />

13.9<br />

6.7<br />

4.3<br />

0.6<br />

9.3<br />

2.2<br />

Dry<strong>in</strong>g ovens<br />

ppm<br />

230<br />

80<br />

Oil<br />

mg/R<br />

2<br />

0.7<br />

ND<br />

0.5<br />

0.25<br />

0.1<br />

Copper<br />

mg/ R<br />

3<br />

0.02<br />

ND<br />

0.01<br />

Boilers<br />

g/m 3 N<br />

0.20<br />

0.0018<br />

Z<strong>in</strong>c<br />

mg/R<br />

5<br />

0.19<br />

0.14<br />

0.16<br />

Ash<br />

0.10<br />

0.35<br />

0.002<br />

0.033<br />

Total nitrogen<br />

Total phosphorous<br />

mg/R<br />

mg/R<br />

60<br />

8<br />

14.7<br />

2.3<br />

0.1<br />

ND<br />

3.1<br />

0.7<br />

Dry<strong>in</strong>g ovens<br />

g/m 3 N<br />

0.30<br />

0.018<br />

Coliform groups<br />

colonies/cm 3<br />

3000<br />

160<br />

16<br />

88<br />

0.20<br />

0.005<br />

Phenol<br />

mg/R<br />

5<br />

0.06<br />

0.04<br />

0.05<br />

SOx<br />

K regulation<br />

Total regulation<br />

<br />

m 3 N/h<br />

4.5<br />

52.66<br />

1.31<br />

5.39<br />

Boric acid<br />

Fluor<strong>in</strong>e<br />

mg/R<br />

mg/R<br />

230<br />

15<br />

0.2<br />

0.84<br />

0.2<br />

0.11<br />

0.2<br />

0.48<br />

Ammonia, ammonium,<br />

nitrous acid and nitrous<br />

acid compounds<br />

mg/R<br />

100<br />

2.2<br />

1.1<br />

1.65<br />

The follow<strong>in</strong>g regulated substances were not detected: cadmium, cyanogen, organic phosphorus, lead,<br />

hexavalent chromium, arsenic, mercury, alkyl mercury, PCB, trichloroethylene, tetrachloroethylene,<br />

dichloromethane, carbon tetrachloride, 1.2-dichloroethane, 1.1-dichloroethylene, cis 1.2-dichloroethylene, 1.1.1-<br />

trichloroethane, 1.1.2-trichloroethane, 1.3-dichloropropene, thiuram, simaz<strong>in</strong>e, thiobencarb, benzene, selenium,<br />

chromium,soluble manganese and soluble iron.<br />

<br />

Social & Environmental Report 2005


Environmental data<br />

Environmental data for fiscal 2004<br />

[Nakanoseki District]<br />

Atmospheric pollutants Units Regulation<br />

Actual<br />

(max.)<br />

Water pollutants<br />

Units<br />

Regulation<br />

Wastewater dra<strong>in</strong>age to Oumi Bay<br />

Actual<br />

Max. M<strong>in</strong>. Avg.<br />

NOx<br />

Boilers<br />

ppm<br />

180<br />

64<br />

pH<br />

<br />

5.09.0<br />

8<br />

7.6<br />

7.8<br />

Boilers<br />

g/m 3 N<br />

0.30<br />

0.017<br />

COD<br />

mg/R<br />

40<br />

19<br />

3.6<br />

7.6<br />

0.25<br />

0.005<br />

SS<br />

mg/R<br />

30<br />

13<br />

ND<br />

0.5<br />

Ash<br />

Heat<strong>in</strong>g furnace<br />

g/m 3 N<br />

0.20<br />

0.036<br />

Oil<br />

mg/R<br />

2<br />

0.9<br />

ND<br />

0.5<br />

Melt<strong>in</strong>g furnaces<br />

g/m 3 N<br />

0.20<br />

0.048<br />

Copper<br />

mg/R<br />

3<br />

0.01<br />

ND<br />

0.01<br />

SOx<br />

K regulation<br />

Total regulation<br />

<br />

m 3 N/h<br />

4.5<br />

27.90<br />

0.50<br />

1.10<br />

Z<strong>in</strong>c<br />

Total nitrogen<br />

mg/R<br />

mg/R<br />

5<br />

60<br />

0.12<br />

9.4<br />

0.09<br />

2.7<br />

0.11<br />

5.8<br />

Total phosphorous<br />

mg/R<br />

8<br />

0.41<br />

0.36<br />

0.39<br />

Coliform groups<br />

colonies/cm 3<br />

3000<br />

200<br />

36<br />

118<br />

Boric acid<br />

mg/R<br />

230<br />

0.5<br />

0.3<br />

0.4<br />

Fluor<strong>in</strong>e<br />

mg/R<br />

15<br />

0.74<br />

0.15<br />

0.45<br />

Ammonia, ammonium,<br />

nitrous acid and nitrous<br />

acid compounds<br />

PRTR (Pollution Release and Transfer Register) for fiscal 2004<br />

mg/R<br />

100<br />

The follow<strong>in</strong>g regulated substances were not detected: cadmium, cyanogen, lead, hexavalent chromium, arsenic,<br />

mercury, alkyl mercury, trichloroethylene, tetrachloroethylene, dichloromethane, carbon tetrachloride, 1.2-<br />

dichloroethane, 1.1-dichloroethylene, cis 1.2-dichloroethylene, 1.1.1-trichloroethane, 1.1.2-trichloroethane, 1.3-<br />

dichloropropene, thiuram, simaz<strong>in</strong>e, thiobencarb, benzene, selenium, soluble iron, soluble manganese, chromium and<br />

phenol.<br />

( <strong>in</strong>dicates Class 1 Designated Chemical Substance of which 500 kg/year or more are handled)<br />

(Other <strong>in</strong>dications are of Class 1 Designated Chemical Substances of which 1000 kg/year or more are handled)<br />

6.8<br />

3.3<br />

5.1<br />

[Nish<strong>in</strong>oura District]<br />

Substance<br />

No.<br />

Substance group<br />

Amount<br />

handled<br />

Volume emitted<br />

Air Water Soil<br />

Total<br />

Amount<br />

consumed<br />

Amount<br />

disposed<br />

(Units: kg/year)<br />

Amount transferred<br />

Waste product Recycled<br />

1<br />

Water-soluble z<strong>in</strong>c compounds<br />

15,470<br />

0<br />

243<br />

0<br />

243<br />

13,559<br />

0<br />

1,668<br />

0<br />

30<br />

Polymer of 4,4'-isopropylidenediphenol and 1-chloro-2,3-epoxypropane<br />

3,095<br />

0<br />

0<br />

0<br />

0<br />

3,095<br />

0<br />

0<br />

0<br />

40<br />

Ethyl benzene<br />

169,356<br />

81,926<br />

0<br />

0<br />

81,926<br />

70,047<br />

11,781<br />

0<br />

5,602<br />

43<br />

Ethylene glycol<br />

1,563,144<br />

9<br />

0<br />

0<br />

9<br />

1,563,135<br />

0<br />

0<br />

0<br />

63<br />

Xylene<br />

685,979<br />

269,079<br />

0<br />

0<br />

269,079<br />

328,810<br />

39,749<br />

0<br />

48,341<br />

224<br />

1,3,5-trimethylbenzene<br />

71,283<br />

25,278<br />

0<br />

0<br />

25,278<br />

23,779<br />

3,407<br />

0<br />

18,819<br />

227<br />

Toluene<br />

990,924<br />

257,442<br />

0<br />

0<br />

257,442<br />

666,479<br />

40,737<br />

0<br />

26,266<br />

232<br />

Nickel compounds<br />

2,975<br />

0<br />

360<br />

0<br />

360<br />

1,024<br />

0<br />

1,591<br />

0<br />

272<br />

Bis(2-ethylhexyl) phthalate<br />

18,283<br />

0<br />

0<br />

0<br />

0<br />

17,735<br />

548<br />

0<br />

0<br />

299<br />

Benzene<br />

26,586<br />

95<br />

0<br />

0<br />

95<br />

26,244<br />

247<br />

0<br />

0<br />

311<br />

Manganese and its compounds<br />

6,275<br />

0<br />

274<br />

0<br />

274<br />

4,201<br />

0<br />

1,560<br />

240<br />

Total<br />

3,553,370<br />

634,072<br />

634<br />

0<br />

634,706<br />

2,718,108<br />

96,469<br />

4,819<br />

99,268<br />

[Nakanoseki District]<br />

Substance<br />

No.<br />

Substance group<br />

Amount<br />

handled Air Water Soil<br />

Total<br />

Amount<br />

consumed<br />

Amount<br />

disposed<br />

Amount transferred<br />

Waste product Recycled<br />

16<br />

2-am<strong>in</strong>oethanol<br />

1,123<br />

0<br />

0<br />

0<br />

0<br />

0<br />

1,123<br />

0<br />

0<br />

283<br />

Hydrogen fluoride and its water-soluble salts<br />

1,640<br />

33<br />

0<br />

0<br />

33<br />

0<br />

0<br />

0<br />

1,607<br />

Total<br />

2,763<br />

33<br />

0<br />

0<br />

33<br />

0<br />

1,123<br />

0<br />

1,607<br />

Social & Environmental Report 2005


Third-Party Op<strong>in</strong>ions<br />

Masataka Adachi<br />

Director,<br />

Employment and Human Resources<br />

Development Organization of Japan<br />

Yasuo Yamane<br />

Dean,<br />

Graduate School of<br />

Eng<strong>in</strong>eer<strong>in</strong>g Hiroshima University<br />

I must start by prais<strong>in</strong>g the manner <strong>in</strong> which <strong>Mazda</strong> presented<br />

the events and responses for the fire at the Uj<strong>in</strong>a No. 1 Plant<br />

last year, at the very front of the report. When one considers<br />

the effect that <strong>Mazda</strong> has on the local community and<br />

economy, it is deeply significant that they were able to<br />

m<strong>in</strong>imize the damage so effectively and restore <strong>full</strong> operations<br />

so quickly.<br />

In addition to that material, the scope of this report has been<br />

significantly expanded over last years edition, show<strong>in</strong>g clearly<br />

the progress that <strong>Mazda</strong> has made <strong>in</strong> <strong>in</strong><strong>format</strong>ion disclosure. I<br />

hope that they will cont<strong>in</strong>ue this progress, releas<strong>in</strong>g an<br />

<strong>in</strong>creas<strong>in</strong>g amount of <strong>in</strong><strong>format</strong>ion to the general public.<br />

I was especially <strong>in</strong>terested <strong>in</strong> the <strong>in</strong><strong>format</strong>ion concern<strong>in</strong>g<br />

courses to tra<strong>in</strong> successors to carry on superior skills and<br />

techniques. In addition to merely ensur<strong>in</strong>g that <strong>Mazda</strong> skills<br />

are <strong>in</strong>herited by a younger generation, this also seems an<br />

effective approach to prevent<strong>in</strong>g the abrupt loss of experience<br />

and skills from the workplace as the baby-boomers enter<br />

retirement; what I call the "2007 problem." The report also<br />

shows effectively <strong>Mazda</strong>'s attitude toward people and its<br />

efforts <strong>in</strong> th<strong>in</strong>gs like personnel development, respect for<br />

human rights, and promotion of a reasonable balance between<br />

work and other activities. It is unfortunate that there was no<br />

discussion of the ways <strong>in</strong> which short-term labor is employed<br />

by <strong>Mazda</strong> suppliers. I hope that next year's report will<br />

exam<strong>in</strong>e, on the macro level, the corporate responsibility of<br />

the corporation with respect to employment.<br />

Automobiles provide society with convenience, but also<br />

demand consideration of safety and environmental issues. In<br />

this sense, I look forward to strengthened activity with<strong>in</strong> the<br />

supply cha<strong>in</strong> <strong>in</strong> resolv<strong>in</strong>g these problems, with an<br />

accompany<strong>in</strong>g improvement <strong>in</strong> the depth and breadth of the<br />

report.<br />

In the teach<strong>in</strong>g profession, the question of how to best<br />

transmit <strong>in</strong><strong>format</strong>ion is an eternal problem, and there are<br />

many <strong>in</strong>stances where the <strong>in</strong>tent of the speaker cannot be<br />

adequately understood by the listener. It is always crucial to<br />

prepare material from the viewpo<strong>in</strong>t of the student who is<br />

watch<strong>in</strong>g, listen<strong>in</strong>g or read<strong>in</strong>g for them to ga<strong>in</strong> <strong>in</strong><strong>format</strong>ion.<br />

When I read through this <strong>Mazda</strong> Social & Environmental<br />

Report, I was struck by how clearly it spelled out the<br />

company’s present and future policies and attitudes toward<br />

manufactur<strong>in</strong>g and personnel development. For the first time, I<br />

f<strong>in</strong>ally discovered the mean<strong>in</strong>g of the "Zoom-Zoom" phrase<br />

used <strong>in</strong> their television commercials.<br />

I th<strong>in</strong>k it is important that many people who will never have<br />

the chance to read this report should learn more about the<br />

<strong>Mazda</strong> philosophy and approach.<br />

One of the sections of the report that <strong>in</strong>terested me the most<br />

was <strong>Mazda</strong>'s advanced technology, well represented by the<br />

rotary eng<strong>in</strong>e. For the company to cont<strong>in</strong>ue to develop its<br />

automobile technology <strong>in</strong> the future, it will be essential to<br />

ensure that superlative skills are passed on to successors <strong>in</strong><br />

not only the manufactur<strong>in</strong>g sector but also <strong>in</strong> other technical<br />

sectors such as design.<br />

I hope that the company will develop a "<strong>Mazda</strong> Model" to<br />

def<strong>in</strong>e this process of transferr<strong>in</strong>g skills and techniques for<br />

others to utilize.<br />

Social & Environmental Report 2005


Topics Referenced <strong>in</strong> GRI Guidel<strong>in</strong>es<br />

This report was prepared with reference to the the Global Report<strong>in</strong>g Initiative Guidel<strong>in</strong>es 2002. Below is a list of<br />

topics from the GRI Guidel<strong>in</strong>es, along with the correspond<strong>in</strong>g page number <strong>in</strong> this document.<br />

Item<br />

Def<strong>in</strong>ition<br />

Correspond<strong>in</strong>g report page<br />

1. Vision and Strategy<br />

1.1 Statement of the organization's vision and strategy regard<strong>in</strong>g its contribution to susta<strong>in</strong>able development.<br />

page 7-8<br />

1.2<br />

2. Profile<br />

Statement from the CEO (or equivalent senior manager) describ<strong>in</strong>g key elements of the report.<br />

page 3<br />

Organizational Profile<br />

2.1 Name of report<strong>in</strong>g organization.<br />

page 89<br />

2.2<br />

2.3<br />

2.4<br />

2.5<br />

2.6<br />

2.7<br />

2.8<br />

Major products and/or services, <strong>in</strong>clud<strong>in</strong>g brands if appropriate.<br />

Operational structure of the organization.<br />

Description of major divisions, operat<strong>in</strong>g companies, subsidiaries, and jo<strong>in</strong>t ventures.<br />

Countries <strong>in</strong> which the organizations operations are located.<br />

Nature of ownership; legal form.<br />

Nature of markets served.<br />

Scale of the report<strong>in</strong>g organization.<br />

pages 14-30<br />

page 79<br />

page 79<br />

page 79<br />

page 79<br />

page 79<br />

page 79<br />

2.9 List of stakeholders, key attributes of each, and relationship to the report<strong>in</strong>g organization.<br />

Report scope<br />

2.10 Contact person(s) for the report, <strong>in</strong>clud<strong>in</strong>g e-mail and web addresses.<br />

page 8<br />

page 89<br />

2.11<br />

2.12<br />

2.13<br />

Report<strong>in</strong>g period (e.g., fiscal/calendar year) for <strong>in</strong><strong>format</strong>ion provided.<br />

Date of most recent previous report (if any).<br />

Boundaries of report (countries/regions, products/services, divisions/facilities/jo<strong>in</strong>t ventures/subsidiaries) and any specific limitations on the scope.<br />

<strong>in</strong>side cover<br />

November 2004<br />

<strong>in</strong>side cover<br />

Report Profile<br />

2.18 Criteria/def<strong>in</strong>itions used <strong>in</strong> any account<strong>in</strong>g for economic, environmental, and social costs and benefits.<br />

pages 41-42pages 77-78<br />

2.19<br />

2.20<br />

2.22<br />

Significant changes from previous years <strong>in</strong> the measurement methods applied to key economic, environmental, and social <strong>in</strong><strong>format</strong>ion.<br />

Policies and <strong>in</strong>ternal practices to enhance and provide assurance about the accuracy, completeness, and reliability that can be placed on the susta<strong>in</strong>ability report.<br />

Means by which report users can obta<strong>in</strong> additional <strong>in</strong><strong>format</strong>ion and reports about economic, environmental, and social aspects of the<br />

organization's activities, <strong>in</strong>clud<strong>in</strong>g facility-specific <strong>in</strong><strong>format</strong>ion (if available).<br />

page 41<br />

<strong>in</strong>side cover<br />

<strong>in</strong>side cover<br />

3. Governance Structure and Management Systems<br />

Structure and Governance<br />

3.1 Governance structure of the organization, <strong>in</strong>clud<strong>in</strong>g major committees under the board of directors that are responsible for sett<strong>in</strong>g strategy and for oversight of the organization.<br />

page 72<br />

3.2<br />

3.4<br />

3.6<br />

3.7<br />

3.8<br />

Percentage of the board of directors that are <strong>in</strong>dependent, non-executive directors.<br />

Board-level processes for oversee<strong>in</strong>g the organization's identification and management of economic, environmental, and social risks and opportunities.<br />

Organizational structure and key <strong>in</strong>dividuals responsible for oversight, implementation, and audit of economic, environmental, social, and related policies.<br />

Mission and values statements, <strong>in</strong>ternally developed codes of conduct or pr<strong>in</strong>ciples, and polices relevant to economic, environmental,<br />

and social performance and the status of implementation.<br />

Mechanisms for shareholders to provide recommendations or direction to the board of directors.<br />

page 72<br />

pages 75-76<br />

page 8pages 35-36pages 72-73<br />

pages 5-7page 34page 54page 64page 74page 76<br />

page 72page 78<br />

Stakeholder Engagement<br />

3.9 Basis for identification and selection of major stakeholders.<br />

page 8<br />

3.10<br />

3.11<br />

3.12<br />

Approaches to stakeholder consultation reported <strong>in</strong> terms of frequency of consultations by type and by stakeholder group.<br />

Type of <strong>in</strong><strong>format</strong>ion generated by stakeholder consultations.<br />

Use of <strong>in</strong><strong>format</strong>ion result<strong>in</strong>g from stakeholder engagements.<br />

pages 28-31page 78<br />

pages 28-31pages 52-53page 59page 62<br />

pages 28-31page 78<br />

Overarch<strong>in</strong>g Policies and Management Systems<br />

3.13 Explanation of whether and how the precautionary approach or pr<strong>in</strong>ciple is addressed by the organization.<br />

pages 73-76<br />

3.14<br />

3.15<br />

3.16<br />

3.17<br />

3.19<br />

3.20<br />

Externally developed, voluntary economic, environmental, and social charters, sets of pr<strong>in</strong>ciples, or other <strong>in</strong>itiatives to<br />

which the organization subscribes or which it endorses.<br />

Pr<strong>in</strong>cipal memberships <strong>in</strong> <strong>in</strong>dustry and bus<strong>in</strong>ess associations, and/or national/<strong>in</strong>ternational advocacy organizations.<br />

Policies and/or systems for manag<strong>in</strong>g upstream and downstream impacts.<br />

Report<strong>in</strong>g organization's approach to manag<strong>in</strong>g <strong>in</strong>direct economic, environmental, and social impacts result<strong>in</strong>g from its activities.<br />

Programmes and procedures perta<strong>in</strong><strong>in</strong>g to economic, environmental, and social performance.<br />

Status of certification perta<strong>in</strong><strong>in</strong>g to economic, environmental, and social management systems.<br />

page 22page 38page 64page 68<br />

page 70<br />

page 31pages 35-36page 41pages 49-50<br />

pages 35-36page 41<br />

page 8page 39pages 72-76<br />

<strong>Mazda</strong> has acquired certification under<br />

page 36<br />

ISO19002 (1994.12) and ISO9001(1996.6).<br />

Social & Environmental Report 2005


Item<br />

4. GRI Content Index<br />

Def<strong>in</strong>ition<br />

Correspond<strong>in</strong>g report page<br />

4.1 A table identify<strong>in</strong>g location of each element of the GRI Report Content, by section and <strong>in</strong>dicator.<br />

pages 87-89<br />

5. Performance Indicators<br />

Economic Performance<br />

Customers<br />

EC.1 Net sales.<br />

pages 77-78<br />

EC.2<br />

Geographic breakdown of markets.<br />

pages 77-78<br />

Providers of Capital<br />

EC.7 Increase/decrease <strong>in</strong> reta<strong>in</strong>ed earn<strong>in</strong>gs at end of period.<br />

<strong>in</strong>side cover<br />

Environmental Performance<br />

Materials<br />

EN.1<br />

Energy<br />

EN.3<br />

EN.17<br />

Water<br />

EN.5<br />

EN.21<br />

EN.22<br />

Total materials use other than water, by type.<br />

Direct energy use segmented by primary source.<br />

Initiatives to use renewable energy sources and to <strong>in</strong>crease energy efficiency.<br />

Total water use.<br />

Annual withdrawals of ground and surface water as a percent of annual renewable quantity of water available from the sources.<br />

Total recycl<strong>in</strong>g and reuse of water.<br />

Emissions, Effluents, and Waste<br />

EN.8 Greenhouse gas emissions.<br />

page 40<br />

page 45<br />

pages 43-46page 50<br />

page 40<br />

page 48<br />

page 40<br />

page 40page 42page 45<br />

EN.11<br />

Total amount of waste by type and dest<strong>in</strong>ation.<br />

page 40page 42page 46page 47<br />

Products and Services<br />

EN.14 Significant environmental impacts of pr<strong>in</strong>cipal products and services.<br />

EN.15 Percentage of the weight of products sold that is reclaimable at the end of the products' useful life and percentage that is actually reclaimed.<br />

Transport<br />

EN.34 Significant environmental impacts of transportation used for logistical purposes.<br />

pages 23-26<br />

pages 25-26<br />

pages 45-46<br />

Overall<br />

EN.35<br />

Total environmental expenditures by type.<br />

page 32page 41<br />

Social Performance<br />

Labor Practices and Decent Work<br />

Employment<br />

LA.1 Breakdown of workforce.<br />

LA.12 Employee benefits beyond those legally mandated.<br />

Labor/Management Relations<br />

LA.3-4 Labor/management relations<br />

Health and Safety<br />

LA.6<br />

LA.7<br />

LA.8<br />

Description of formal jo<strong>in</strong>t health and safety committees compris<strong>in</strong>g management and worker representatives and proportion of workforce covered by any such committees.<br />

Standard <strong>in</strong>jury, lost day, and absentee rates and number of work-related fatalities (<strong>in</strong>clud<strong>in</strong>g subcontracted workers).<br />

Description of policies or programs (for the workplace and beyond) on HIV/AIDS.<br />

Tra<strong>in</strong><strong>in</strong>g and Education<br />

LA.9 Average hours of tra<strong>in</strong><strong>in</strong>g per year per employee by category of employee.<br />

<br />

page 54<br />

pages 59-60<br />

page 62<br />

pages 60-61<br />

page 60<br />

page 60<br />

page 55<br />

LA.16<br />

LA.17<br />

Description of programs to support the cont<strong>in</strong>ued employability of employees and to manage career end<strong>in</strong>gs.<br />

Specific policies and programs for skills management or for lifelong learn<strong>in</strong>g.<br />

pages 55-58<br />

pages 55-59<br />

Diversity and Opportunity<br />

LA.10<br />

Description of equal opportunity policies or programs.<br />

pages 52-53<br />

Social & Environmental Report 2005


Topics Referenced <strong>in</strong> GRI Guidel<strong>in</strong>es<br />

Item<br />

Def<strong>in</strong>ition<br />

Correspond<strong>in</strong>g report page<br />

Human Rights<br />

Strategy and Management<br />

HR.1<br />

<br />

HR.2<br />

<br />

Description of policies, guidel<strong>in</strong>es, corporate structure, and procedures to deal with all aspects of human rights relevant<br />

to operations, <strong>in</strong>clud<strong>in</strong>g monitor<strong>in</strong>g mechanisms and results.<br />

Evidence of consideration of human rights impacts as part of <strong>in</strong>vestment and procurement decisions, <strong>in</strong>clud<strong>in</strong>g selection<br />

of suppliers/contractors.<br />

page 54page 74<br />

page 74<br />

HR.8<br />

Employee tra<strong>in</strong><strong>in</strong>g on policies and practices concern<strong>in</strong>g all aspects of human rights relevant to operations.<br />

page 54<br />

Non-discrim<strong>in</strong>ation<br />

HR.4 Description of global policy and procedures/programs prevent<strong>in</strong>g all forms of discrim<strong>in</strong>ation <strong>in</strong> operations.<br />

Freedom of Association and Collective Barga<strong>in</strong><strong>in</strong>g<br />

HR.5 Description of freedom of association policy.<br />

Child Labor<br />

HR.6 Description of policy exclud<strong>in</strong>g child labor.<br />

Forced and Compulsory Labor<br />

HR.7 Description of policy to prevent forced and compulsory labor.<br />

page 54<br />

page 62<br />

pages 73-74<br />

pages 73-74<br />

Discipl<strong>in</strong>ary Practices<br />

HR.9-10<br />

Description of appeal practices, non-retaliation policy and effective, confidential employee grievance system<br />

pages 73-74<br />

Security Practices<br />

HR.11 Human rights tra<strong>in</strong><strong>in</strong>g for security personnel.<br />

Society<br />

Community<br />

SO.1 Description of policies to manage impacts on communities <strong>in</strong> areas affected by activities.<br />

page 54<br />

pages 64-65<br />

SO.4<br />

Awards received relevant to social, ethical, and environmental performance.<br />

page 70<br />

Bribery and Corruption<br />

SO.2<br />

Competition and Pric<strong>in</strong>g<br />

SO.7<br />

Product Responsibility<br />

Customer Health and Safety<br />

PR.1 Description of policy for preserv<strong>in</strong>g customer health and safety dur<strong>in</strong>g use of products and services, and extent to which this<br />

policy is visibly stated and applied, as well as description of procedures/programs to address this issue, <strong>in</strong>clud<strong>in</strong>g monitor<strong>in</strong>g systems and results of monitor<strong>in</strong>g.<br />

PR.4<br />

PR.5<br />

PR.6<br />

PR.2<br />

PR.8<br />

PR.3<br />

Description of the policy, procedures/management systems, and compliance mechanisms for organizations and employees address<strong>in</strong>g bribery and corruption.<br />

Description of policy, procedures/management systems, and compliance mechanisms for prevent<strong>in</strong>g anti-competitive behavior.<br />

Number and type of <strong>in</strong>stances of non-compliance with regulations concern<strong>in</strong>g customer health and safety, <strong>in</strong>clud<strong>in</strong>g the penalties and f<strong>in</strong>es assessed for these breaches.<br />

Number of compla<strong>in</strong>ts upheld by regulatory or similar official bodies to oversee or regulate the health and safety of products and services.<br />

Voluntary code compliance, product labels or awards with respect to social and/or environmental responsibility that the<br />

reporter is qualified to use or has received.<br />

Products and Services<br />

Description of policy, procedures/management systems, and compliance mechanisms related to product <strong>in</strong><strong>format</strong>ion and label<strong>in</strong>g.<br />

Description of policy, procedures/management systems, and compliance mechanisms related to customer satisfaction.<br />

Respect for Privacy<br />

Description of policy, procedures/management systems, and compliance mechanisms for consumer privacy.<br />

pages 73-74<br />

pages 73-74<br />

pages 19-20pages 21-22page 27<br />

page 37<br />

pages 23-24page 80<br />

pages 23-24page 30page 39page 70<br />

page 28<br />

page 74<br />

Social & Environmental Report 2005


Issued by: Global Communications Plann<strong>in</strong>g Department,<br />

<strong>Mazda</strong> Motor Corporation<br />

Tel: +81 (82) 287-4676<br />

Fax: +81 (82) 287-5225<br />

Date: September 2005<br />

Next edition scheduled for summer 2006<br />

This document can also be viewed or downloaded from <strong>Mazda</strong>’s<br />

website <strong>in</strong> <strong>PDF</strong> <strong>format</strong>.


<strong>Mazda</strong> Motor Corporation<br />

3-1 Sh<strong>in</strong>chi, Fuchu-cho, Aki-gun, Hiroshima 730-8670<br />

September 2005<br />

Pr<strong>in</strong>ted on non-wood fiber Kenaf paper.

Hooray! Your file is uploaded and ready to be published.

Saved successfully!

Ooh no, something went wrong!