Occupational Safety and Health
Basic Approach
Safety is at the foundation of corporate sustainability and supersedes everything—this slogan underpins our belief that establishing a corporate culture that prioritizes safety and health for all workers, including temporary workers, contractors, and suppliers, in each workplace is indispensable for sound business activities. The Daifuku Group has obtained the occupational safety and health management system certification (ISO 45001) at all its major sites. We are committed to continuing our safety culture and striving for total safety at our workplaces by identifying all potential risks.
Group Code of Conduct (extract)
2. Safety and health
- We will place safety as a top priority in all of our business activities.
- We will develop and provide safe, high-quality products and services.
- We will strive to maintain and increase the health and well-being of our employees as well as provide comfortable and clean workplaces.
Safety Policy
- Safety slogan
Safety is at the foundation of corporate sustainability and supersedes everything. - Safety target
Implementing safety first and aiming to occupational accidents and traffic accidents "zero" - Safety policy
- Establish a safety and health management system and promote participation in safety and health activities for all workers, including temporary workers, contractors, and suppliers.
- Comply with the Industrial Safety and Health Act and other related laws and regulations.
- Operate the PDCA cycle of the Occupational Safety and Health Management System (ISO 45001) to manage risks and continuously improve safety.
- Establish an education system for safety and health management and expand it globally.
- Utilize new DX and IoT technologies to develop safety activities.
- Support the autonomous safety and health management activities of our contractors and suppliers.
Supply chain management grounded in law
When embarking on product or system installation, we ensure compliance with the provision in the Construction Business Act that states “The parties to a contract for construction work shall conclude the contract fairly based on agreements made on terms of equality and shall fulfill the contract honestly and in good faith.” And we strive to ensure that both the safety and health of workers are not harmed as stipulated in the Industrial Safety and Health Act.
Further, we engage in transactions with suppliers applicable under the Subcontractor Act in the spirit of the law, while also making known and requesting cooperation with the Group’s Code of Conduct and CSR Procurement Standards to build appropriate relations with our suppliers.
Promotion System
The Group places the greatest priority on the safety of all employees, contractors, and suppliers, who work at its global workplaces. In order to eradicate industrial accidents, the Group has established the Central Safety and Health Committee under the direct control of the CEO. Subsidiaries outside of Japan also participate in the Central Safety and Health Committee, and provide status reports and exchange information on a quarterly basis. Regional Safety and Health Committees and various expert committees (installation/manufacturing/procurement) have been set up under this Committee to ensure safety at all Group companies and establish health management systems throughout the Group.
Also, having experienced serious accidents in the past, we are now cooperating and sharing information with our suppliers through Safety Cooperation Associations and the Safety and Health Seminar for Suppliers. Through this cooperation and information sharing with suppliers, we are aiming to achieve safety based on mutual awareness and education.
Implementing audits of the safety management system
We carry out annual internal audits based on ISO 45001 standards at our main locations, and we verify the efficacy of our management system and the state of safety activities at our workplaces with inspections by the top management, including the CEO. Further, we also undergo a yearly audit by an external certifying body, as we maintain and expand the scope of our certification.
Occupational safety and health management system certification
We promote certification at all production sites and primary locations in Japan, and all main production sites overseas of the ISO 45001 occupational safety and health international standards. In Japan, manufacturing is carried out at the ISO-certified mother plant in Shiga, and at eight certified locations overseas. The ISO-certification rate for our production sites is 33%.
| Certification standards | Production sites (consolidated) |
Number of certified locations among total | Proportion of certified locations |
|---|---|---|---|
| ISO 45001 etc. | 27 | 9 | 33% |
Major Initiatives
Safety indicatorsKPI
The Group uses accident frequency rate and severity rate as safety management indicators. We share this and other information, as well as provide appropriate guidance and safety awareness to departments that need to improve their safety measures. We are working toward zero fatal accidents.
The following indicators are calculated, and targets managed, with construction contractors included. Fiscal 2021 saw both the frequency and severity rates fall below last year's figures, and the number of serious accidents was zero.
Frequency rate: The number of casualties per one million employee-hours worked at bases and companies. This rate indicates the frequency of accidents.
Severity rate: The number of lost work days experienced per 1,000 work hours. This rate indicates the severity of accidents.
| Indicator*1 | Scope | FY2019 | FY2020 | FY2021 |
|---|---|---|---|---|
| Frequency rate | Japan | 0.83 | 0.37 | 0.21 |
| Non-Japan | 1.50 | 0.98 | 0.65 | |
| All industries in Japan*2 | 1.80 | 1.95 | 2.09 | |
| Severity rate | Japan | 0.004 | 0.02 | 0.002 |
| Non-Japan | 0.02 | 0.03 | 0.009 | |
| Number of serious accidents*3 | Japan | 0 | 0 | 0 |
| Non-Japan | 0 | 0 | 0 |
- *1Data for the period from January to December. These indicators are calculated including construction contractors.
- *2Provided by the Ministry of Health, Labour and Welfare.
- *3Accidental deaths occurring during work at Daifuku (labor accidents)
Risk assessment of workplace health and safety
The Group conducts risk assessments in accordance with our own standards based on ISO 45001. We identify and manage risks that have a significant impact on health and safety, and consider and implement risk mitigation measures according to the level of risk. The scope of application covers regular and irregular activities in our business operations, as well as the activities of all persons entering and leaving our premises. Risks are identified and assessed at the beginning of each fiscal year, during the construction planning stage of new projects, as well as any time circumstances change, such as when new process are introduced or new materials are used.
Disaster preparedness drills
We conduct disaster preparedness drills at our major sites in Japan at least once a year to simulate a large-scale disaster. Based on the initial response manual, we conduct drills for evacuation assistance, reporting, initial firefighting, first aid, and shutting down equipment in the event of an emergency, thereby confirming procedures for a rapid response in the event of a disaster. Overseas Group sites also conduct similar disaster drills in accordance with the laws and regulations of their respective countries and regions.
Response to work accidents
We have built a BCP promotion system, and when a work accident occurs, the disaster/accident reporting route common to all of our companies is followed to report the situation to the CEO from the workplace involved. Additionally, the department involved and the Safety Promotion Department conduct a joint investigation and analysis of the accident, and report the results to the Safety and Health Committee of all companies.
Safety and health training
In addition to training at the time of employment, the Group periodically conducts the following training programs to maintain and improve the safety and health knowledge and skills of its employees.
Safety training program
Skill, awareness, and knowledge are necessary to work safely. External organizations are brought in to provide technical workshops, and special training is offered externally each year to build awareness and knowledge. We focus on in-house training that can be immediately put into practice in the workplace, and provide special training that includes crane operation, low-voltage work, full harness work, and particulate matter control.
Safety training facility
The Safety Simulation Center at Shiga Works offers a yearly program to simulate hazards at the plant and project construction to cultivate a high level of safety awareness and the ability to take appropriate action among not only our employees, but also among temporary employees and contractors. We have renovated the course facilities in consideration of the pandemic, and now have equipment that allows employees to maintain appropriate social distance.
Simulation-based hazard training
Simulation-based hazard training aims to raise the safety awareness of each employee, and make up for any lack of workplace experience, by simulating dangerous situations so that employees can viscerally experience them as a direct and real threat to their workplace safety. We have started using virtual reality (VR) to also visually recreate the dangerous processes leading to industrial accidents that were difficult to simulate using existing equipment. We are using auxiliary devices that enable employees to experience the simulated shock and sensations felt during an accident.
Safety training worldwide
We implement yearly training on safety management, methods, risk assessment, work safety standards, and so forth, for supervisors in installation departments at Group companies in the same manner as the training implemented in Japan.
Spreading understanding of our daily safety and health standards
Based on the idea that understanding and practicing proper conduct everyday will help prevent work and traffic accidents, we implement yearly e-learning programs to enhance employee familiarity with our daily safety and health standards. In fiscal 2021, this program was held three times for all employees in Japan, with an average participation rate of 94%. For those who are unable to attend a course, training materials are provided individually. To further the understanding of employees, supplementary explanations are provided for questions with low percentages of correct answers on the course understanding confirmation tests. We will continue these efforts to make sure that all employees have acquired the necessary knowledge about safety and health to prevent work and traffic accidents.
Health training (courses for emergency first aid and AEDs)
In order to properly administer first aid in the event of an emergency, it is essential to learn and acquire first aid knowledge and skills regularly. We believe it is imperative to train as many potential bystanders as possible, and we have achieved this goal by providing on-demand training to 20% of the personnel in each building and area at our main Japan sites.
Safety activities
Working with contractors and suppliers
The safety initiatives of our Group are not limited to our own employees, but are also developed in cooperation with our contractors and suppliers. We apply our ISO 45001-based safety standards to all workers who enter and leave our premises, and we provide assistance in advancing contractors safety activities.
Safety audits
We monitor the health and safety conditions at the workplaces of our contractors and suppliers through visits and surveys. Depending on the results, we visit them again to reassess the situation and provide advice on how to resolve any issues.
Information sharing
We regularly conduct safety and health training for manufacturing and installation personnel, including those from contractors and suppliers. As part of this training, we share information on any changes in laws and regulations related to health and safety, and on occupational accidents that have occurred in the workplaces of our Group and other contractors and suppliers.
Safety and health seminar for top management
To prevent workplace accidents, a high level of safety awareness in top management is important, and seminars are held every year to establish a safety-oriented culture within our management and that of suppliers. At these seminars, we also raise awareness of safety through awards offered from expert committees (installation/manufacturing/procurement) to suppliers who actively carry out safety and health initiatives.
The Management and Production Trends Presentation and the Safety and Health Seminar for Suppliers, which welcomed the top executives of business partners ranging from manufacturers and trading companies to companies in processing, construction, the service industry, design, and software development, were held jointly beginning in fiscal 2021 and were renamed to the Management/Safety Policy and Production Trends Presentation. To prevent the spread of COVID-19, the event is held via Internet streaming, with 288 business partners invited for the fiscal 2022 session.
Global Safety Meeting
In line with the globalization of our business we hold a Global Safety Meeting every year to exchange safety related information throughout the Group. At this meeting, we introduce safety-focused initiatives conducted at Group companies worldwide in order to deepen the understanding of differences in working environments and to raise the standard of safety across the Group.
Preventing traffic accidents
We are taking physical measures to eliminate traffic accidents in company cars. Specifically, the mandatory installation of autonomous emergency brakes (AEB), back monitors, rear corner sensors, and telematics drive recorders in our entire fleet of around 900 company cars. Moreover, when employees are approved to drive company cars, they are tested to a certain standard to determine their driving skills, thereby boosting their driving manners and safety awareness.
Safety and health patrols and exemplary workplace awards
In order to improve the level of safety and health in the workplace, we conduct safety and health patrols to confirm the 5Ss* at each workplace. In addition, we have been expanding good practices to other workplaces through the Safety and Health Committee, and in fiscal 2021, we recognized four workplaces as exemplary. These activities will foster a culture of safety and create safe and pleasant workplaces throughout the company.
- *Sort, set in order, shine, standardize, sustain