Being a healthy and robust company
This year, Japan experienced the “Heavy Rain in July 2018” and the “2018 Hokkaido Eastern Iburi Earthquake,” which have been classified by the national government as “Disaster of Extreme Severity.” In other countries and regions around the world, devastating natural disasters have occurred one after another. We would like to take this opportunity to express our sincere condolences to the victims of these disasters and pray for the recovery of the living environment of the disaster-affected people.
As a response to the inappropriate accounting practices by our overseas sales affiliates which became apparent in fiscal 2017, we have been taking actions to address compliance and other relevant issues to become a healthier and more robust company. In the last fiscal year, Fuji Xerox implemented improvement measures to address issues that were identified by the Independent Investigation Committee set by FUJIFILM Holdings. To improve our governance, we placed greater emphasis on the management and supervision of both our domestic and overseas affiliates, including sales companies. To strengthen our accounting function, we integrated it into FUJIFILM Holdings and improved our accounting and operational processes. To strengthen our audit function, we enhanced auditor’s audits at affiliates both inside and outside of Japan, integrated our internal audit function into FUJIFILM Holdings, and started implementing group-wide audits. Efforts to ensure compliance included a group-wide employee survey and educational programs with the aim of ensuring open, fair and clear business operations; the establishment of a whistle blowing system for the entire FUJIFILM Holdings; and upgrading the risk management system.
In order for us to grow as a company that can create a constant flow of value beneficial to society, we will keep improving ourselves with compliance as the primary priority, and maximize the value creation for customer with our solid business management system.
Playing a role in achieving the Fujifilm Group’s SVP2030 and contributing to the UN SDGs
In August 2017, FUJIFILM Holdings announced its new CSR plan “Sustainable Value Plan (SVP) 2030Note 1.” The plan outlines the long-term goal that the entire group aims to achieve in order to solve social issues through its business activities by 2030, which is the goal year of various international efforts to address global issues such as the sustainable development goals (SDGs)Note 2 and the Paris Agreement.
SVP2030 consists of 15 priority issues in six areas, which are divided into four core themes: the environment, health, daily life and work style; and two fundamental themes: supply chain and governance. Efforts under the plan are already underway. Of the abovementioned six areas, Fuji Xerox places particular emphasis on “work style.” While promoting work style innovation of our employees, we provide customers with various proposals for innovating their work styles. Through these efforts, we hope to contribute to achieving SDG Goal 8: Decent work and economic growth.
Making the first step: Clarifying our approach to contribute to work style innovation of the society
As the first step, in March 2018, we presented the “Smart Work InnovationNote 3,” a new value proposition strategy to achieve SDG Goal 8 through our business activities.
We will contribute to creating a work environment that enables employees to exert their intellectual creativity while simultaneously improving their productivity. Smart work innovation is a series of comprehensive solutions and services to liberate people from restraints that would generate repetitive tasks, open professional expertise owned by a few specialists to everybody. This is achieved by utilization of Fuji Xerox’s own Document AINote 4 technologies, next-generation security technology, the Internet of Things (IoT) and Internet of Humans (IoH) technologies.
One specific example is the Form Data Capture Service, which was launched in April 2018. This service, which utilizes our proprietary AI technology that uses the mechanism of which a human processes visual information, helps to reduce manual error checking after capturing handwritten information on paper forms. In a verification test that was done at a financial institution, productivity in inputting data from handwritten forms saw a double improvement, thus allowing the generation of spare time.
Our customers’ business activities range widely, and each customer has their own management issues. We will strive to propose solutions on various kinds of issues to a wide range of diverse customers, that elicit both surprise and joy from them. In cooperation with FUJIFILM and external partners, with our boundless, bold ideas and wide variety of strengths including flexibility to cope with various requirements, we are ready more than ever to contribute to solving customers’ issues globally.
Contributing to the world in the process of value creation
Global warming, resource depletion and many other global issues have become too serious for a single nation and a single company to address. To ensure a better world for future generations, we must cooperate with each other beyond the boundaries of nations, governments, companies, communities and various other organizations to find solutions. Fuji Xerox not only offer products and services that meet social needs but also, in cooperation with stakeholders, will serve as a model throughout the value chain.
In the area of environmental issues, we take a proactive approach to the circular economy, which has been increasingly recognized as a global agenda, along with the fight against global warming. Since the 1990s, we have been promoting the resource recycling system throughout the entire product lifecycle based on the principal “Used products are valuable resources, not waste.” We are currently placing emphasis on the Next Generation Managed Print Services (MPS), an expanded form of the abovementioned resource recycling system. Next Generation MPS utilizes the reconditioned devices, which have been serviced to the level of brand-new products. This contributes not only to improving the resource efficiency of our company but also to significantly reducing environmental burden for customers. For our environmental efforts, in fiscal 2017, we were awarded with the Minister Prize of Economic, Trade and Industry, under the Energy Conservation Grand Prize 2017 in the category of business model. We will further enhance these efforts to help customers and society improve resource efficiency.
Labor-related issues and human rights violations, including supply chains, are of global concern. Approximately 90% of our production sites are located in emerging nations in Asia. With this high ratio in mind, we annually identify emerging social issues related to labor, human rights, the environment and corporate ethics and improve the working environment at our company’s production sites. Under our system of ensuring ethical procurement, since 2007, we have continued in our efforts to identify issues facing our suppliers and request their improvement, as well as provide them with advice, which has helped increase our production site productivity. Partnering with our suppliers, we will continue to take actions to strengthen the competitiveness of the entire supply chain.
To ensure a better world for future generations – Our Promise to Stakeholders
We believe that human resource development is essential to meet the diverse demands of customers and the society with giving due consideration to social issues such as the environment and human rights. We have started measures designed to link individual competence to organizational performance, including programs to encourage self-learning by employees and workshops to share the knowledge and experience of professionals to younger employees. We, together with our employees with diverse abilities, will continue our efforts to ensure open, fair and clear business operations and strengthen our governance, with the aim of achieving a society that everyone can exert their capabilities and creativity to the fullest extent and have greater satisfaction in their job. Being a company socially recognized and sought after for its value, Fuji Xerox is committed to contributing to achieving the SDGs and creating a better society for the future.
- Note 1 For the Sustainable Value Plan 2030 of FUJIFILM Holdings Corporation, please refer to the link below:
Sustainable Value Plan 2030
- Note 2 Sustainable Development Goals (SDGs): SDGs comprise 17 goals and 169 targets to be achieved by 2030 to address global issues faced by the international community, which was adopted by the United Nations General Assembly in September 2015. The 17 goals include no poverty, equality and justice, good health, quality education, decent work, climate action and the environment.
- Note 3 For details of the concept of Smart Work Innovation, please refer to the link below:
Smart Work Innovation (Liberate from Restraints, Open Professional Expertise, Transform to Creative Workstyle)
- Note 4 Document AI: Fuji Xerox's proprietary AI technology that extracts valuable intelligence from documents that piled up in offices and leverages them in business operations. Compared to conventional AI processing that is based on processing big data from the Internet, Document AI demonstrates sophisticated processing even with comparatively small data volume because it uses quality data.