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Toyota European Sustainability Report 2010 I Social Performance 58 Managing our CSR performance The management of Corporate Social Responsibility (CSR) at Toyota Motor Europe is underpinned by a process which emphasises continuous improvement (kaizen) in our CSR performance. Internal CSR Performance Enhancement CSR Policy CSR Policy Contribution towards Sustainable Development Toyota Toyota CSR Activities in Europe Toyota commitments Customer Delight Vision 2020 To be Leading player in greater Europe To be a Key contributor to global Toyota success Environmental Leadership Economic, environmental and social performance CSR Assessment (internal) Good Corporate Citizen Self reliance with focus on core models CSR Assessment definition and process External Image Enhancement Social contributions Stakeholder Communication EKSS (external) The CSR Assessment is an internally developed tool which enables us to identify performance improvement opportunities. The tool is based on Toyota’s Global CSR Policy. The diagram on the right shows how the commitments made in our CSR Policy are linked to our key performance indicators. The assessment is undertaken among all National Marketing and Sales Companies and majority owned European Manufacturing Companies. Our CSR process is based on internal (CSR Assessment) and external performance measurements (European Key Stakeholder Survey). These measurements provide opportunities for improvements which contribute to mid and long-term growth. Good Corporate Citizen BRAND POWER Connect to consumers in a more efficient and effective way SELLING POWER Improve ability to convert considerers to sales Mid-term Growth Favourable Business Environment Regulatory bodies, local authorities, NGOs, Media Attractive partner Future business partners Future employees Customer Affinity enhancement AWARENESS KNOWLEDGE PRODUCT POWER Measuring CSR performance – Internal stakeholders LIKING CONSIDERATION PREFERENCE MARKET REPRESENTATION RETAIL & SERVICE CAPACITY TRADE-IN AVAILABILITY BUY (OR RE-BUY) Ownership Experience Stakeholders Commitments Customers Employees Business Partners Shareholders Environment Community • Innovation • Product Safety • Quality • Customer First • Respect and employee satisfaction • People development • Equality and no discrimination • Health & safety • Respect for our business partners • Mutual growth • Building long-term relationships • Fair procurement • Enhance corporate value • Shareholders benefits • Ensure stable growth • Disclosure • Harmony with the environment • Eco-friendly network • Environmental technology promotion • Environmental partnerships • Compliance • Philanthrophy & contribution to Society KPI
CSR Assessment results Specifically in relation to our priorities for FY09 (be number one in Complete Customer Satisfaction, maintain employee morale and motivation, enhance a culture of health and safety and strengthen Toyota’s European good corporate citizenship performance) the CSR Assessment FY09 shows : On a standardised scale of ten, results are shown below for 2007-2009 by company type. 10 9 8 7 6 5 4 3 2 1 0 10 9 8 7 6 5 4 3 2 1 0 6.8 6.5 National Marketing and Sales Companies (NMSCs) 7.7 7.9 6.7 (1) 7.5 9.0 8.4 CCI (1) Customer Respect & First Employee Satisfaction FY07 FY08 FY09 European Manufacturing Companies (EMCs) 7.1 7.2 7.8 CCI Respect & Employee FY07 FY08 FY09 Satisfaction (1) CCI = Corporate Citizenship Index. 8.9 6.7 8.5 8.6 5.8 8.2 Health & Safety 6.6 9.4 9.3 Health & Safety 9.3 1- Be number one in Complete Customer Satisfaction Our NMSCs have improved their position across Europe and score well on customer satisfaction in sales and after sales. In the recent recall campaigns, the NMSCs and the retailer network have shown exceptional dedication to serving our customers and maintaining customer trust and loyalty. 2- Maintain employee morale and motivation Scores for ‘respect and employee satisfaction’ are up both in EMCs and NMSCs. This shows that the measures we undertook to maintain stable employment and employee motivation (see pages 67-74) were well received by the employees. 3- Enhance a culture of health and safety This examines employees’ perception and operational health and safety indicators. Especially in our European Manufacturing Companies, health and safety is a fundamental element in the yearly planning cycles and in continuous improvement projects. The average score for health and safety has improved significantly due to focused activities in several plants and continued employee awareness of the health and safety systems in place. 4- Strengthening good corporate citizenship performance Overall corporate citizenship performance is measured by the Corporate Citizenship Index (CCI). As shown in the graphs, the score steadily increases over the years, due to the sharing of best practice in our companies and a growing awareness of CSR. Based on the CSR Assessment the following areas for improvement activities in FY10 were identified, both on a pan-European and on a local level : For the manufacturing plants (EMCs) : European projects will be introduced to strengthen risk management, to create awareness on CSR and Environment in the local supplier base and to follow up on any Code of Conduct cases. For the sales and marketing companies (NMSCs) : Due to the large spread of individual company scores, support will be given to the countries with the lower scores. In addition we will focus on helping increase retailers’ involvement in environmental and social contribution activities. Special attention will also be given on a European level to strengthen the risk management processes. Toyota European Sustainability Report 2010 I Social Performance 59
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Toyota European
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Didier Leroy President, Toyota Moto
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