SUSTAINABILITY REPORT 2019 - ASICS
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SUSTAINABILITY REPORT 2019
OVERVIEW • I MOVE ME™
TABLE OF CONTENTS
Overview
03 ABOUT THIS REPORT 10 STAKEHOLDER ENGAGEMENT 33 I MOVE ME™ STRONGER
TOKYO 2020 GAMES: SHINING A
04 MESSAGE FROM OUR TOP MANAGEMENT 12 2020 TARGETS AND PROGRESS
LIGHT ON SUPPLY CHAIN SUSTAINABILITY
05 ASICS AT A GLANCE 16 I MOVE ME™ SMARTER
34 OUR APPROACH TO OUR SUPPLY CHAIN
BREATHING NEW LIFE INTO USED
06 ASICS SUSTAINABILITY FRAMEWORK
SPORTSWEAR FOR TOKYO 2020 40 HEALTH AND WELL-BEING
07 GOVERNANCE
17 TAKING ACTION ON CLIMATE CHANGE 41 OUR PEOPLE
08 MATERIAL ISSUES
18 OUR PRODUCTS AND SERVICES 44 OUR COMMUNITIES
09 VALUE CHAIN ANALYSIS
24 OUR OPERATIONS 46
INDEPENDENT PRACTITIONER’S
ASSURANCE REPORT
ASICS SUSTAINABILITY VISION
We will inspire more people now and in the future,
to move body and mind, to create a stronger world.
SUSTAINABILITY REPORT 2019 02
OVERVIEW • I MOVE ME™
ABOUT THIS REPORT
Moving changes you for the better, which
External recognition Further information
changes everyone you play, work, live and
love with. Which changes the city you live
in, so it changes the whole planet too.
But it all starts with me. I MOVE ME™.
I MOVE ME™ is the global movement that Dow Jones Sustainability Asia/Pacific Index 2019 CDP
reimagines our vision for a new generation. ASICS Corporation has been selected for the fifth ASICS Corporation rated a B-level on climate change
time as a component company of the Dow Jones for the fourth year running.
I MOVE ME™ shows that there are no winners Sustainability Asia/Pacific Index.
or losers in the world of ASICS – just people who
move, and people we want to help start moving.
In this report, you’ll find out how we move smarter,
Find out more about ASICS and our approach
contributing to a healthier planet through product
to sustainability, including previous reports
and service innovation, as well as by actively
and our GRI index
switching to renewable energy in our operations. FTSE4Good Index Series CDP Supplier Engagement Leaderboard
https://corp.asics.com/en/csr (English)
ASICS Corporation was continuously included. ASICS Corporation is recognized for the first time.
You’ll also see how we’re engaging people to help https://corp.asics.com/jp/csr (Japanese)
them move stronger – in our workplaces, in our
supply chain and in our local communities.
FTSE BLOSSOM JAPAN INDEX MSCI Japan ESG Select Leaders Index
ASICS Corporation was continuously included. ASICS Corporation was continuously included.
SAM Sustainability Yearbook 2020 S&P/JPX Carbon Efficient Index
ASICS Corporation is included for the fourth time. ASICS Corporation is included in 2019 for the second time.
SUSTAINABILITY REPORT 2019 03
OVERVIEW • I MOVE ME™
MESSAGE FROM OUR
TOP MANAGEMENT
ASICS was founded in 1949 by Mr. Kihachiro based GHG emissions reduction targets in We are producing millions of products including
Onitsuka who hoped to contribute to the society 2019. Our new commitment is in line with global the official sportswear of the Tokyo 2020 Japan
by cultivating young people through sports. efforts to limit average temperature increases Olympic and Paralympic Team, uniforms for
The phrase that gave ASICS its name – Anima Sana to 1.5 degrees above pre industrial levels, Field Casts and City Casts and officials, and
in Corpore Sano (a sound mind in a sound body) aligned-with a net-zero future by 2050. Tokyo 2020 official licensed products.
reflects our philosophy that people around the
Achieving our targets will require action at We have robust sourcing policies and initiatives
world live physically and mentally healthy and
every level of our business, and we have created in place to ensure that all these items are
happy lives. To realize this through future
a detailed and ambitious roadmap to meet this manufactured sustainably, minimizing impacts
generations, we need a healthy earth.
challenge. From material selection and product on people and the environment. For example,
The COVID-19 pandemic that started at the end design, to renewable energy and adopting the ASICS REBORN WEAR PROJECT is creating
of 2019 has spread to all corners of the world, a circular approach to our business, we are the official sportwear for Tokyo 2020 Japan Team
threatening millions of lives. As an immediate implementing tangible initiatives that together by recycling used sportswear from across Japan.
response to slow the virus spread, our company will contribute to meeting our goals. You can read more about this initiative and other
closed retail stores and implemented the Stay approaches to responsible sourcing on pages
Also in 2019, we enhanced the integration of
at Home guidance that national, state and local 16 and 33. We believe that we can overcome
sustainability into our business by setting up a
governments issued to protect our employees, this tough situation and that Tokyo 2020 Games
new Sustainability Committee as an advisory
consumers and vendors. While facing this situation, will be held as a symbol of peace.
board to the Board of Directors chaired by the
ASICS is providing training programs through social
President & COO. Together with the support 2020 is the final year of our current five year
media to encourage people to stay active and
of the Task Force on Climate-related Financial strategic plan. We have achieved many of our
healthy at home. A group of ASICS runners started
Disclosures (TCFD), this structure will help us sustainability targets, but our work doesn‘t stop
posting images with the theme “#UntiedYetUnited”
respond proactively to climate change challenges there. We have already started drawing up our new
as a message of hope and solidarity with their
whilst ensuring our business can grow responsibly. plan toward 2030, based on the new materiality
fellow athletes. We know we will overcome this
analysis we completed at the end of 2019. In line
difficult situation and we will physically unite to Postponed to 2021 due to the pandemic of Yasuhito Hirota Motoi Oyama
with the UN‘s Sustainable Development Goals
celebrate moving outside or playing the sports COVID-19, Japan will host Olympic and Paralympic President and COO, Chairman and CEO,
(SDGs), we will continue to strive for a sustainable Representative Director Representative Director
we love in the very near future. Games Tokyo 2020, and ASICS is honored to be
future for our business and the planet.
the only Gold Partner of Tokyo 2020 Games in the
From a longer-term perspective, on the other
sporting goods category. Sustainability is one of
hand, we are facing a climate emergency, and
the key themes and The Tokyo 2020 Organising
addressing the challenge requires the private
Committee has introduced a Sustainable Sourcing
sector to take radical action to reduce greenhouse
Code, covering all products and services procured
gas (GHG) emissions. To scale up our ambition in
for the Games.
this area, we decided to accelerate our science
SUSTAINABILITY REPORT 2019 04
OVERVIEW • I MOVE ME™
ASICS AT A GLANCE
47.0
Others
ASICS is one of the world’s top sports
ASICS worldwide 170.1
performance and lifestyle brands.
We operate 60 businesses in
(as of December 31, 2019) 45.5 Performance
Running Footwear
9,039 60
33 countries. Our reach extends Onitsuka Tiger
further through our supply chain
business partners, sponsored
Employees Global businesses
events and connections to
33 989
other stakeholders worldwide.
Find out more
http://corp.asics.com/en/investor_relations Net
Netsales
sales bybycategory
category
Countries where we have Retail stores (Billion of
Yen)
(billions yen)
businesses established
22
Sourcing countries
39.2
Apparel and
Equipment
FY2019
378.0
Net sales (Billion Yen)
7.0
Net income (Billion Yen)
34.2
Sport Style
41.7
Core
Performance
Footwear Sports Footwear
10.6
Operating income (Billion Yen)
SUSTAINABILITY REPORT 2019 05
OVERVIEW • I MOVE ME™
ASICS SUSTAINABILITY
FRAMEWORK
Our sustainability framework is based
on our founding philosophy “a sound SMARTER STRONGER
mind in a sound body”. Today, that I respect the ground I play When I move, I feel stronger,
ER
philosophy is summed up by our sport on and enable future happier and sharper.
new brand expression, I MOVE ME™.
T
generations to move too.
The framework has two pillars:
I MOVE ME™ SMARTER for Planet and Products R Supply chain
We build transparent, fair and
e
A
pl
I MOVE ME™ STRONGER for People. We innovate and educate ethical partnerships, and empower
SM
Supporting the UN’s
to develop the best products
and services using less.
o the people in our value chain.
Read page 34
Pe
Sustainability Agenda Read page 16
ASICS supports the UN’s Sustainable Health and well-being
Development Goals (SDGs), and our Operations
We help people improve their
sustainability activities align with them.
t
We are committed to continuously physical fitness and mental health.
ne
R
a
Pl
In particular, our activities support improving the efficiency of our own Read page 40
GE
goals 3, 5, 6, 8, 12 and 13. buildings, resource use, materials
and distribution network.
Communities
O
N
Read pages 17 and 24
For an overview of the priority
R
We support our employees
ST
sustainability topics that our activities and communities so that they
cover, see our materiality program can fulfill their potential.
on pages 08 and 09 of this report. Read page 41
Planet People
I MOVE ME™ SMARTER I MOVE ME™ STRONGER
We’ll empower future generations We’ll create a world in which people
to move by contributing to the become physically and mentally
sustainability of the environment. stronger through movement.
SUSTAINABILITY REPORT 2019 06
OVERVIEW • I MOVE ME™
GOVERNANCE
Sustainability is at the core of our business, Sustainability governance structure CSR and sustainability policies Find out more about our corporate governance
and a shared responsibility at ASICS. The ASICS Global Code of Conduct sets out the https://corp.asics.com/en/investor_relations/
basic standards that we expect our colleagues management_policy/corporate_governance
It involves all company divisions and General Meeting
colleagues at every level. of Shareholders to meet in everything they do. These apply to
Find out more about our system of sustainability
Election / Dismissal
all ASICS Group companies. governance and policies
Our Board of Directors oversees ASICS Our Policy of Engagement lays down the https://corp.asics.com/en/csr/our-approach/
sustainability strategy, and is responsible for Board of Directors
requirements regarding human rights, labor governance-and-policies
integrating and prioritizing sustainability in our Election / Dismissal standards, occupational health and safety,
Proposal / Report
corporate objectives. In 2019, we established Supervision and environmental practices for any ASICS
a Sustainability Committee, chaired by the Executive Organization business partner.
President and COO, to report directly to the
Board of Directors on sustainability risks and President and COO Our Global Policy on Environment sets out our
opportunities. The Committee’s responsibilities approach to managing environmental impacts in
include reviewing our group-wide sustainability Executive Board Sustainability
our own operations as well as in our value chain.
strategy, roadmap and action plan, as well as Meeting Committee
In addition to these formal policies, we have a
reporting on progress against our sustainability
Executive Officers Risk Management range of guidelines and manuals that translate
targets on a divisional level. The Sustainability Committee our policies into operational practice. They help our
Committee works alongside ASICS’ existing
Divisions and Group colleagues and suppliers make the right decisions
Risk Management Committee. Companies in areas such as chemicals management and
ASICS Group has operated a CSR and Sustainability safety, fire and emergency procedures, materials
department since 2004. Composed of a global selection, and procurement and sourcing.
Earning trust, ensuring compliance
team and designated staff at a regional level,
To uphold the trust of all our stakeholders We encourage employees and business partners
the department is responsible for supporting our
we maintain a highly transparent system to report code or policy violations using our
sustainability strategy in each division, as well as
of corporate governance. confidential, anonymous whistleblowing service.
driving performance, managing progress against
This allows us to detect the first signs of wrongdoing
targets and engaging with internal and external We seek to continually improve the audit and carry out corrective measures promptly.
stakeholders. This team is in frequent contact functions and internal controls of our corporate
with the Sustainability Committee and supports management. Our aim is to create a management
with updates on progress and future planning. approach that goes beyond compliance and
reflects our company values and the perspectives
of our stakeholders.
SUSTAINABILITY REPORT 2019 07
OVERVIEW • I MOVE ME™
MATERIAL ISSUES
The ASICS Group operates a continuous Looking ahead: a new approach to materiality
Materiality matrix
materiality program that identifies and 2020 is the final year of our current five-year
evaluates the sustainability issues that strategic plan. To prepare us for the next phase of
are most relevant to our stakeholders our business strategy and sustainability strategy, Product
High
safety &
our global sustainability team substantially updated
and to our business. quality
our materiality matrix during the last quarter of
This program has two main elements: our 2019. The update involved qualitative interviews Energy
efficiency Ethical
materiality matrix, which helps us prioritize and quantitative surveys with both internal and CO2 workplace
standards
emission Corporate
sustainability issues, and our value chain analysis, stakeholders such as employees and management, Material
and product
governance
which shows us where material issues occur in as well as external stakeholders including investors, traceability
and
disclosure Workplace
Importance to stakeholders
our value chain. Together, these elements help NGOs, consumers, customers, suppliers and health &
safety
us focus on the issues and areas that matter industry associations.
Water Innovative
efficiency and efficient
most to our stakeholders and our business. The updated materiality will be more focused and and water
Fair
compensation product
pollution and design
Materiality matrix help us to create a new strategy as our business performance
Our materiality matrix maps out the sustainability expands and explores new areas.
Resource
issues identified by internal and external scarcity
Physical
stakeholders according to their level of priority. Diversity
inactivity
and
The matrix is based on analysis of our consultations inclusion
with stakeholders, international frameworks,
our business priorities and our sustainability
performance.
We update the matrix regularly to reflect changes
Low
in the priorities of our stakeholders and the
strategic priorities of our company.
Low Strategic importance to ASICS High
The materiality matrix shown here displays the
12 sustainability issues identified as most material Most material issues High priority issues Movement from last year’s position
to our business in 2019.
SUSTAINABILITY REPORT 2019 08
OVERVIEW • I MOVE ME™
VALUE CHAIN ANALYSIS
Value chain analysis is the second Raw materials Materials Product manufacturing ASICS Retailers Consumer End of life (disposal/
component of our materiality program. (Tier 3 and suppliers factories (Tier 1) reuse/recycle)
Material issues may occur at different beyond) (Tier 2)
stages of our product life cycles. Some Raw, unprocessed Companies supplying A supplying partner All entities within the Business customers People who buy and The final stage of our
may be directly influenced by ASICS’ materials or feedstock finished materials (such to the ASICS Group ASICS Group. These of ASICS that sell our use ASICS products products’ existence
that are used to produce as yarn, fabric or trims) involved in the include our sales offices, products to consumers, and services, including where they no longer
operations while others occur elsewhere finished products that are the main manufacturing of our sourcing/production such as specialist our footwear, sports meet the quality
in the value chain of our products. or materials. components of footwear, accessories management offices, sports shops, apparel, accessories, expectations or other
our products. or apparel products. distribution centers, department stores and training plans. needs of our customers.
Institute of Sport and online retailers.
The table opposite shows where material issues Science and affiliate
occur in our value chain. The light blue bars companies.
show the issues that are considered to be
of high priority to ASICS and our stakeholders,
in line with the materiality matrix on page 08.
Product safety and quality
Innovative and efficient product design
Energy efficiency and CO2 emissions
Resource scarcity
Water efficiency and water pollution
Material and product traceability
Fair compensation and performance
Workplace health and safety
Ethical workplace standards
Diversity and inclusion
Physical inactivity
Corporate governance and disclosure
SUSTAINABILITY REPORT 2019 09
OVERVIEW • I MOVE ME™
STAKEHOLDER ENGAGEMENT
The priorities and concerns of Stakeholders Engagement principles Activities and interaction
our stakeholders play a critical
role in our sustainability plans. Consumers We aim to provide products and services that add value We engage consumers in social and environmental programs such as charity donations and product
for our consumers and contribute to a healthy society. take-back programs.
We engage consumers to share and solve social and Sustainability-related questions from consumers are logged in order to ensure a timely and satisfactory
environmental issues together. response, and to track trends in subjects and interests.
Increasing interest received on water and waste.
Shareholders We believe in transparency in business operations throughout Shareholder meetings, Annual Report, ESG (environmental, social, governance) investment fund
and investors the ASICS Group. We will provide and disclose relevant surveys and inquiries.
information in a timely, appropriate, accurate and clear Increasing interest received on climate change and water.
manner to shareholders and investors.
Supporting the Financial Stability Board’s Task Force on Climate-related Financial Disclosures (TCFD).
Employees We believe in treating one another with respect and dignity. We executed the employee engagement survey in 2019 for the second time after 2017.
We strive toward a corporate culture of discipline, creativity Also, we have many other internal initiatives for employees, see page 41.
and ambition where personal development and corporate
growth go hand in hand.
Business We are partnering with our customers, suppliers and Periodic supplier business alignment meetings, supplier audit and training sessions.
partners other business partners in our value chain. Sustainability Exploring new areas of sustainability collaboration around manufacturing, recycling and innovation.
improvements depend on collaboration and commitment
from all. We engage our business partners to share and Increasing interest received on material and product sustainability and traceability from customers.
solve social and environmental issues together.
NGOs We maintain an open dialogue with international and local Collaboration in local disputes between factory workers and their management, collaboration
non-governmental organizations (NGOs) and non-profit with surveys and other review/research of NGOs regarding subjects of their interest.
organizations (NPOs), remain aware of CSR-related topics Increasing interest received on transparency.
and engage in collaborative efforts to solve sustainability
challenges within our industry.
Regulators All our corporate operations comply with relevant laws and Direct interaction or via industry collaborations regarding upcoming legislation.
regulations. We adopt processes, systems and structures
to support appropriate and efficient operations and
decision-making.
SUSTAINABILITY REPORT 2019 10OVERVIEW • I MOVE ME™
STAKEHOLDER ENGAGEMENT
CONTINUED
We engage in regular, ongoing consultation Stakeholders Engagement principles Activities and interaction
with all of our stakeholders in order to
understand their concerns, and how they Academic Our involvement with universities and other knowledge centers Collaboration around Life Cycle Analysis of our products, our supply chains and exploring other,
partners increases awareness and promotes the development of new areas of sustainability research and innovation.
change over time. We use these insights improved and more sustainable products and services.
as the basis of our materiality matrix, which
Industry We maintain memberships with several industry associations, Founding member of the Sustainable Apparel Coalition (SAC).
in turn guides our short- and long-term associations globally and locally. Collaboration and discussion with other Member of World Federation of Sporting Goods Industry (WFSGI) – active CR Committee member.
sustainability strategy. companies and stakeholders will result in better solutions
to common challenges in our industry and value chain. Partner with ILO Better Work.
Member of Apparel & Footwear International RSL Management Group (AFIRM).
Signatory to the Fashion Industry Charter for Climate Action. Joining the UNFCCC’s Fashion for
Global Climate Action initiative.
bluesign® system partner.
Member of American Apparel & Footwear Association (AAFA).
Communities While we encourage sports participation, promote health Employee volunteering, support of communities via financial donations or in kind, collaborations
and contribute to a healthy society, we aim to fulfill our social with existing and potential new partner organizations.
responsibility and help improve conditions for communities Continued the partnership with Right To Play for Project Lebanon and other projects in 2019.
around the world.
SUSTAINABILITY REPORT 2019 11OVERVIEW • I MOVE ME™
2020 TARGETS AND PROGRESS
The 2019 fiscal year was the fourth Category Target 2020 Progress 2019 Plan 2020
year of our 2016-2020 Strategic
ASICS Growth Plan. Planet
I MOVE ME™ SMARTER
The plan sets out a series of sustainability Products Continue to assess footwear and apparel products › Assessed products with indicators aligning with › Keep involved in the process of SAC Higg Product
targets, prioritizing six key areas: with sustainability indicators and criteria aligning science-based targets and other material targets. Module ahead of its expected launch in 2020
with the science-based targets and other product › Developed a recycled polyester roadmap for (see page 18).
1. Sustainability of products and services and material targets.1 each product category. › Switch to recycled polyester and more
sustainable cotton based on our roadmap.
2. Management of product chemical safety Progress: On track
and traceability
10% reduction of CO2 emissions per item related › CO2 emissions decreased by 27.9% for every › Continue to engage with Tier 1 strategic partner
3. Operational eco-efficiency and to footwear manufacturing (Scope 3, 2015 baseline). pair of shoes manufactured (compared to suppliers to take action on reducing CO2 emissions.
management systems Progress: Achieved 2015 baseline levels). › Continue to accelerate the use of recycled
polyester in the developing items to increase
4. Safe and ethical workplace standards recycled polyester in our products in total
55% reduction of CO2 emissions per product › Developed a recycled polyester roadmap for from 2020.
and sustainable practices at Tier 1 and manufactured from our supply chain2 by 2030 each product category and accelerated the use
Tier 2 suppliers (Scope 3, 2015 baseline). of recycled polyester in the newly developed
Progress: On track items which we expect the increase of recycled
5. Sound governance and disclosure, polyester in our products in total from 2020.
organizational efficiency and developing › Engaged with Tier 1 strategic partner suppliers
an engaged workforce and have asked them to set a CO2 emissions
reduction target. Explored how we can work
6. Contributing to healthier communities together on this topic.
› CO2 emissions decreased by 8% for every item
through movement and sport
manufactured (compared to 2015 baseline levels).
The following tables show our progress against
Source 80% of the leather by volume we use for › 83% sourced from LWG medal-rated suppliers. › Continue to source more from LWG medal-rated
our 2020 targets. They also include two new ASICS, ASICSTIGER and Onitsuka Tiger branded suppliers.
longer-term targets for 2030, set in 2018. footwear from Leather Working Group (LWG)
medal-rated suppliers.
Progress: Achieved
Source 100% more sustainable cotton for apparel › 30% sourced from more sustainable cotton. › Continue to enhance sourcing more sustainable
and accessories by 2025. cotton toward 2025.
Progress: On track
1 Aligned indicators with the SAC Higg Product Tools.
2 Target scope is ‘purchased goods and services’ and ‘end-of-life treatment of sold products’.
SUSTAINABILITY REPORT 2019 12OVERVIEW • I MOVE ME™
2020 TARGETS AND PROGRESS
CONTINUED
Category Target 2020 Progress 2019 Plan 2020
Planet
I MOVE ME™ SMARTER
Operations 5% absolute CO2 emissions reduction from direct operations › CO2 emissions decreased 15.7% (compared to 2015 baseline year). › Actively switch to renewable energy where possible.
(Scope 1 & 2, 2015 baseline). › 16.4% of electricity from renewable sources.
Progress: Achieved
38% absolute CO2 emissions reduction from direct operations by 20303
(Scope 1 & 2, 2015 baseline).
Progress: On track
98% waste recovered or recycled at our direct operations.4 › Diverted 93.1% of its waste from landfill. Reduced the total amount › Will continue to work with the key locations to reduce the waste
Progress: On track of waste and increased the proportion of waste recovered or recycled going to landfill and improve recycling rates further.
compared to 2018. › Will continue our efforts to expand the number of sites reporting
waste data.
Establish global ASICS Environmental Management System › Management system updated to work under new sustainability › Continue to apply the system to other offices and operations.
(including ISO 14001 at all key locations). governance structure.
Progress: On track › European system modified to align with Japanese system
(see page 24).
90% Tier 1 strategic partner factories improve their SAC Higg Facility › 58% of Tier 1 strategic partner factories from which we’ve received › Enhance communication with partner factories and 90% of
Environmental Module (Higg FEM) Score compared to baseline. Higg FEM modules improved their Higg FEM 2018 score compared them improve their Higg FEM 2019 score compared to baseline.
Progress: Partial progress to baseline. (baseline: Higg FEM 2017) (baseline: Higg FEM 2017)
90% of all nominated Tier 2 suppliers improve their SAC Higg FEM Score › 50% of Tier 2 suppliers from which we’ve received Higg FEM › Enhance communication with the suppliers and 90% of them improve
compared to baseline. modules improved their Higg FEM 2018 score compared to baseline. their Higg FEM score compared to baseline. (baseline: Higg FEM 2017)
Progress: Partial progress (baseline: Higg FEM 2017)
10% reduction of water and waste impact per item produced by Tier 1 › Rolled out the new environmental guidelines to support suppliers › Continue to engage with Tier 1 footwear factories to achieve targets
footwear factories. to further reduce environmental impacts. using Higg FEM analysis.
Progress: Partial progress › Water consumption decreased by 8.7% and waste emissions increased
by 55% for every pair of shoes manufactured. Having been reported
more waste emission data is the reason of the increase.
3 Updated the target in 2019.
4 Sites that are able to measure and report their waste.
SUSTAINABILITY REPORT 2019 13OVERVIEW • I MOVE ME™
2020 TARGETS AND PROGRESS
CONTINUED
Category Target 2020 Progress 2019 Plan 2020
People
I MOVE ME™ STRONGER
Supply chain All Tier 1 supplier factories to meet ASICS C-Level or above. › 95% of our Tier 1 supplier factories meet C-Level or above. › Strengthen communication with suppliers and subsidiaries to promote
Progress: On track prompt improvement.
All Tier 1 strategic partner factories to meet ASICS B-Level or above, › 90% of Tier 1 strategic partner factories meet B-Level or above. › Set the baseline analyzing the Higg Facility Social Labor Module
and self-report via Higg Facility Social Labor Module (Higg FSLM). (Higg FSLM) and identify positive and negative aspects based
Progress: Partial progress on the results.
All Tier 1 ASICS A- and B-level factories to be trained in self-governance › 100% of Tier 1 A- and B-level factories received training. › Establish criteria for promoting self-governance using external standard.
on CSR in combination with ASICS and/or third-party verification.
Progress: On track
All nominated Tier 2 suppliers to meet ASICS C-level or above. › 100% of nominated Tier 2 suppliers meet ASICS C-level or above. › 100% of nominated Tier 2 suppliers meet ASICS C-level or above.
Progress: On track
Communities Establish global ASICS HR systems and work environment. › Expanded the Talent Management Cycle globally. Our Human › Maximize HRIS functionality and increase the collection of data and
Progress: On track Resources Information system (HRIS) was enhanced to manage communication with business departments. Communication with
the cycle, including career development plan and future talent data. regional HRs to improve collaboration globally.
Female managers to be appointed in all business divisions of ASICS › Female representation at management level increased to 10.6%. › Continue to strengthen training and programs to empower female
Headquarters. Ratio of females in manager and senior positions >15%. employees including enhancement of their career development plans.
The target was revised to exclude Japanese regional office in order › Founded ASICS Women’s Studio where female workers make good
to put focus on talents of the headquarters. use of their knowledge and insight to develop products for women.
Progress: On track
Determine Global Community Engagement Guideline and execute › More integration of our community activities with our business › Involve more subsidiaries with our community activities, based on our
activities along it. to engage consumers. founding philosophy.
Progress: Achieved
SUSTAINABILITY REPORT 2019 14I MOVE ME™ SMARTER
SMARTER
At ASICS, we care for the resources that enable current and
future generations to MOVE – in the design of our products,
our materials and manufacturing processes, and in the way
we manage our offices, distribution centers and retail locations.
We make smarter decisions for the planet. And we engage
our supply chain and consumers to help them do the same.
Key targets for 2030
55%
we’ll reduce our CO2
38%
we’ll reduce CO2 emissions
100%
we’ll replace polyester
emissions by 55% per product from our direct operations materials in shoe uppers and
manufactured, in line with by 38% in line with science- sportswear products with
science-based targets based targets 100% recycled polyester
15I MOVE ME™ SMARTER
BREATHING NEW LIFE INTO USED
SPORTSWEAR FOR TOKYO 2020
ASICS, the only Olympic and Paralympic Through ARWPJ, ASICS is using the global stage
Games Tokyo 2020 Gold Partner in the of the Games to showcase how sporting goods
sporting goods category, is to produce official companies can contribute to tackling climate
sportswear made of recycled clothes donated change and building a sustainable society. The
project highlights how a circular production model
from people across the country to the Tokyo
and new manufacturing techniques can reduce
2020 Japan Olympic and Paralympic Team. environmental impacts. ASICS plans to sell shoes
Sustainability will be a major focus for Tokyo made of recycled textile as a legacy of this project.
2020 – and in 2019, ASICS launched a new
project to help make the Games the most
sustainable ever.
The ASICS REBORN WEAR PROJECT (ARWPJ) gives
people across the country an exciting new way to
support the Japan Olympic and Paralympic Team,
while shining a spotlight on sustainability. Through
the project, people could donate used sportswear
at around 250 locations throughout the country,
such as ASICS stores, sports retailers, Tokyo 2020
Games partner offices, universities, and athletic training
© JOC/JPC/ASICS ▲ Circular production process for the official sportswear.
centers. The donated clothing will then be reborn
as Podium Jacket, Podium Pants and footwear for ARWPJ is just one example of how ASICS is helping
Tokyo 2020 Japan Olympic and Paralympic Team, to bring sustainability to the Games. The official
This project has not only raised my awareness of the importance of physical using advanced recycling technology. Altogether, uniforms we produced for Field Cast and City Cast
resources, but has also given me an emotional connection with Tokyo 2020 Japan the project gathered over four metric tons of clothing are made with recycled polyester and bio-based
Team. I’m so proud that my old sportswear, and the precious memories that are between January and May 2019. Used sports gear material, while the shoes have been colored using
linked with them, are now part of the story of Tokyo 2020 Japan Team. Taking part is often linked to treasured memories and stories a special dyeing process with reduced water use.
in this project has given all of us at Tokyo Gas Co., Ltd. the chance to support – so the project gives donors a unique way to honor
For more about ARWPJ
our hard-working athletes and contribute to Tokyo 2020 Games.” those memories, and feel emotionally connected to
https://www.asics.com/jp/ja-jp/tokyo2020/
Tokyo 2020 Japan Team.
Yuka Kawasaki (Participant Comment) rebornwear (Japanese Only)
Tokyo Gas Co., Ltd., a Tokyo 2020 Official Partner (Gas & Gas Utility Services)
SUSTAINABILITY REPORT 2019 16I MOVE ME™ SMARTER » PRODUCTS
TAKING ACTION ON CLIMATE CHANGE Products
The escalating climate crisis is the planet’s
most urgent environmental challenge. Sustainability and our ambitious CO2 emissions reduction targets for 2030
Climate change is also a direct threat to targets to help mitigate the impact of
climate change are at the core of our Scopes 1 and 2: Scope 3:
our business, restricting our ability to move
38% 55%
and take part in sport, as well as impacting business strategy.”
production sites and logistical routes in our Yasuhito Hirota
supply chain. President and COO of ASICS Corporation
Reduction in absolute CO2 emissions Reduction in CO2 emissions from our
from our direct operations supply chain per product manufactured
We recognize that our industry contributes to the
global greenhouse gases (GHG) emissions that are (SBTi). In 2019, we accelerated our action on (2015 baseline) (2015 baseline)*
causing climate change – for example, through climate change by supporting the Financial
the GHG produced by our manufacturing and Stability Board’s Task Force on Climate-related
distribution processes, and by the energy we use Financial Disclosures (TCFD) and by committing
to power our stores and office buildings around the to set 1.5°C science-based emissions reduction
world. The materials we use to make our products targets aligned with a net-zero future by 2050. Action 1 Action 2 Action 3
60% 30% 100%
can also contribute to our overall emissions. Our new commitment is aligned with what the
For example, polyester and polyurethane require Intergovernmental Panel on Climate Change
energy for extraction, manufacturing and (IPCC) report indicates is necessary to limit the
transportation. These materials are derived worst impacts of climate change.
Or more renewable energy Reduction to the amount Recycled polyester to replace
from fossil fuels, and release GHG when they We have also joined the UNFCCC’s Fashion for used in our business facilities of energy our Tier 1 supplier standard polyester materials
are incinerated at the end of their life. Global Climate Action initiative as a signatory to factories use to manufacture in shoe uppers and
At ASICS, we’re determined to be part of global the Fashion Industry Charter for Climate Action. each of our products sportswear products
efforts to address climate change by driving down By signing the Charter, we demonstrate our
emissions both from our own operations and commitment to ensuring the fashion sector * Target scope is ‘purchased goods and services’ and ‘end-of-life treatment of sold products’.
from our supply chain. To support this, ASICS is on the path to a low-carbon future.
has committed to setting science-based GHG We will continue to actively engage our supply
emissions reduction targets, in line with the chain partners, consumers and other stakeholders Find out more about Science Based Targets initiative Find out more about Fashion Industry
goal of the Paris Agreement. on these issues and work toward achieving our https://www.sciencebasedtargets.org Charter for Climate Action
targets together. For more about our climate https://unfccc.int/climate-action/sectoral-
In 2018, ASICS was the first sporting goods Find out more about TCFD engagement/fashion-for-global-climate-action
company to have its science-based targets targets and what we’re doing to achieve them,
https://www.fsb-tcfd.org/
approved by the Science Based Targets initiative see pages 19, 24, and 30.
SUSTAINABILITY REPORT 2019 17I MOVE ME™ SMARTER » PRODUCTS
OUR PRODUCTS AND SERVICES Products
Life Cycle Assessments Developing and implementing
Value chain
We periodically conduct Life Cycle the Higg Index
Assessments (LCAs) to investigate the Developed by the Sustainable Apparel Coalition
Raw materials
environmental and social impacts of our We are committed to switching to more sustainable materials, such as recycled
(SAC), the Higg Index is a suite of tools that allows
products at each stage of their life cycle, or bio-based polyester and more sustainable cotton. brands, retailers and manufacturing facilities to
See pages 19, 21 and 22 measure the sustainability performance of their
from the sourcing of materials all the way
products and facilities accurately. As a founding
to recycling or disposal. We then use the Material processing (Tier 2) member of SAC, we have been actively involved
findings of these assessments to improve We are committed to meeting our quality and safety standards, and reducing
in developing the Higg Product Tools, and using
resource consumption and greenhouse gas emissions in the dyeing process.
our approach to design and development. See pages 19, 22 and 23 them to assess the sustainability of our materials
and products. As these tools are developed and
Product manufacturing (Tier 1)
We engage with our suppliers to reduce environmental impacts during
launched, we integrate them into our product
the manufacturing process and encourage them to actively seek renewable development process.
energy alternatives.
See pages 30 and 31 In 2019, we contributed to the development of
Distribution to market the Higg Product Module (Higg PM) by providing
We work with our logistics providers to transport our products to our various input related to the footwear manufacturing
markets in the most efficient way, including shifting to packaging with lower processes and related environmental data. We also
environmental impacts.
contributed to discussions at the Product Advisory
See page 28
Council. In 2020 we will continue to support the
Retail
Our own retail stores are designed to use energy efficiently and to maximize development of the Higg PM ahead of its expected
the reuse of store fittings. We are switching to more sustainable packaging launch this year, for example by taking part in pilots
for our products. and providing feedback.
See page 28
Product use phase
We help consumers reduce their environmental impact through care label
advice. We offer repair services for some products in Japan.
End of life and recycling
We investigate partnerships and engage consumers in programs to support
a circular economy.
See page 20
SUSTAINABILITY REPORT 2019 18I MOVE ME™ SMARTER » PRODUCTS
OUR PRODUCTS AND SERVICES Products
CONTINUED
A scientific approach to Recycled materials
sustainable product development We are aiming to switch 100% of the polyester used
For ASICS, scientific research is the starting in our products to recycled polyester by 2030.
point for sustainable product development. This is one of our key strategies to reduce
greenhouse gases emissions in our value chain
We continuously research new sustainable
and achieve our science-based target and help
materials and manufacturing processes us toward a more circular approach.
through the ASICS Institute of Sport
Science, and in collaboration with external In 2019, we developed a roadmap to 100%
partners. When we develop more durable recycled polyester by 2030 for each product
category. Based on this roadmap, more items are
or lightweight materials, we actively apply ▲ METARIDE™ with cellulose nanofiber.
manufactured using recycled polyester from 2020.
them in our footwear products to improve Selecting more sustainable ▲ Edo Era Tribute Pack, shoe collection from ASICS.
both their functionality and sustainability. materials and processes We also use recycled materials for natural materials
Solution dyeing
As almost half of our value chain carbon emissions such as recycled leather.
Solution dyeing is a sustainable dyeing process
METARIDE™ with cellulose nanofiber come from the materials we use, shifting to
ASICS launched the “Edo Era Tribute Pack,” that uses less water and reduces carbon emissions
In 2019, we launched METARIDE™, our new sustainable materials is at the heart of our
on April 24, 2020. This collection of shoes was compared with conventional methods. To help us
high-performance, long-distance running shoe. sustainability strategy to reduce environmental
designed and developed in 2019 inspired by and meet our science-based carbon reduction targets
Developed over two years by a team of scientists impacts. We’re working with a range of industry
making tribute to the Edo period of Japan. Tokyo (see page 17), we have expanded our use of
and designers at the ASICS Institute of Sport partners (see pages 21 to 22 for examples)
was called Edo until 1868, and was one of the first solution dyeing, applying the process to more than
Science, METARIDE™ features a range of to help us switch to more sustainable materials
cities in the world to recycle and follow sustainable half of all new shoes across all our brands from
groundbreaking technologies, including a and processes during manufacturing.
practices. The “Edo Era Tribute Pack,” featuring 2020. This will be the first time that solution dyeing
FLYTEFOAM™ midsole constructed using cellulose
Examples of sustainable materials currently used high-tech sustainable shoes, made from recycled has been adopted on such a large scale in the
nanofiber (CNF). CNF is a nano-sized ultra-fine
in ASICS products include recycled materials, PET bottles, is inspired by Tokyo’s heritage. sports shoe industry.1
fiber that is one-fifth the weight of steel but five
times stronger. It can be made from almost any sustainable cotton, solution dyed fabric and Recycled polyester is used in shoe upper material
The initiative is expected to reduce carbon
kind of plant biomass, making it an extremely bio-based materials. and approximately 300,000 PET bottles are
emissions from the dyeing process by around 45%,
abundant resource. recycled to manufacture the whole collection.
saving the amount of carbon absorbed by more
than 25,000 trees in one year. Water use will be
To date, ASICS has sold more than seven million
cut by around 33%, equivalent to the water needed
pairs of shoes using CNF. We will continue to
for one million people a day.
increase our use of CNF as part of our drive to
increase the sustainability and performance 1 The solution dyeing method is used for the surface fabric of sock
liners in the relevant footwear.
of our products.
SUSTAINABILITY REPORT 2019 19I MOVE ME™ SMARTER » PRODUCTS
OUR PRODUCTS AND SERVICES Products
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Towards a circular business model Unwearable items are recycled to create products I:CO collection
▲
bins are placed
According to the Ellen MacArthur Foundation like cleaning cloths, or fibers for insulation, carpet in selected ASICS
report, over 70% of materials used to make padding, furniture stuffing and even new clothing. retail stores and
ASICS sponsored
clothing around the world are landfilled or Also in 2019, ASICS Europe partnered with I:CO running events.
burned at the end of their life. As a major on a project to collect and recycle used sports
sportswear manufacturer we take this gear and footwear at its major sponsored running
issue very seriously. We support a circular events across EMEA. The project launched at
economic model where resources are reused the Barcelona Marathon on March 10, 2019.
and recycled rather than being sent to landfill, As a thank-you, anyone who donated clothes
received a discount voucher that could be used
thereby reducing greenhouse gas emissions.
for their next ASICS purchase.
▲ Road Tested program information.
During 2019, we worked in partnership with others ASICS Europe also ensured that any merchandising
on a number of projects to reclaim and reuse I:CO
and promotional apparel developed for the running
clothing and shoes of any brand at the end of I:CO, short for I:Collect, is a global solutions
events was made from sustainable materials.
their life. Examples include the ASICS REBORN provider specializing in finding smart ways to
WEAR PROJECT (see page 16). collect, reuse and recycle used clothing and shoes. For more about I:CO
Items collected from I:CO partner locations around www.ico-spirit.com
For more about Ellen MacArthur Foundation, A new the world are carefully sorted and either reused
textile economy: Redesigning fashion’s future (2017)
or recycled, giving valuable materials a new life. Give Back Box
https://www.ellenmacarthurfoundation.org/publications When it comes to building a circular economy
As part of our drive to adopt a more circular
approach to using resources, several regions within around textiles, our growth in ecommerce presents
Road Tested program us with challenges but also opportunities. For
When shoes are returned after purchase due to size the ASICS Group joined forces with I:CO in 2019
to collect and recycle post-consumer gear. example, thanks to ASICS America Corporation’s
issues, common industry practice is to discard and partnership with Give Back Box, consumers can
destroy them. ASICS America Corporation wanted ASICS America Corporation launched its use the box in which they received their ASICS
to find a circular solution to this problem – and so partnership with I:CO on Global Running Day purchase to recycle used items in good condition.
we launched the Road Tested program. Through (June 5, 2019). At participating ASICS stores, Consumers simply fill up the box with used shoes
the initiative, minimally worn returned shoes are people can drop gently worn shoes or clothes and clothes, and then send it to a participating
made available to consumers at retail outlets at (as long as they’re clean and dry) into an in-store local charity of their choice, using a free shipping
a discounted price. Every pair of Road Tested shoes I:CO collection bin. In return, they receive a reward label. The program gives new life to items that
sold supports GreenTrees, a project to reforest one coupon that can be used same-day or toward their otherwise would most likely end up in landfills.
million acres of land in the Mississippi Alluvial Valley, next in-store ASICS purchase. Any wearable items
where ASICS has a distribution center. For more about Give Back Box
find new homes as second-hand goods.
https://www.asics.com/us/en-us/give-back-box/
SUSTAINABILITY REPORT 2019 20I MOVE ME™ SMARTER » PRODUCTS
OUR PRODUCTS AND SERVICES Products
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Guidance on sustainable material choices Leather Working Group:
ASICS Materials Guideline Focus Subjects
Our ASICS Materials Guideline gives responsible leather sourcing
guidance covering materials such as Increasingly, consumers want to know more Materials of animal origin
animal-based materials, PVC and conflict about the origin of branded products and
materials, particularly natural materials. Although › No use of endangered or exotic species. › Wool shall originate from suppliers who do not apply
minerals, and enables ethical, compliant › Animal welfare to be respected and good animal mulesing practices.
ASICS products mainly use synthetic materials,
and more sustainable choices in product leather is the most significant natural material
husbandry shall be applied. › No use of Mohair (Angora goats) and Angora Wool
› No use of fur. (Angora rabbits).
development and sourcing. In 2019 we we use in our footwear in terms of volume. › All leather and skin shall be by-products of the meat industry.
continued to update and expand the › No down and feathers obtained through live plucking or
guideline, adding specific guidance to ban Since 2018, ASICS has been a member of the from farms practicing forced feeding.
Leather Working Group (LWG), a multi-stakeholder
the use of Mohair (Angora goat hair) and
group promoting sustainable leather manufacturing Conflict minerals
Angora Wool (Angora rabbit hair) in ASICS,
practices. Our membership helps ensure that our
ASICSTIGER and Onitsuka Tiger branded leather products are traceable, and supports our › No use of conflict minerals (tin, tantalum, tungsten and gold).
products developed after January 1, 2020. shift to sourcing more sustainable leather. ASICS Restricted substance
was the first Japanese brand to join the group.
› AFIRM Restricted Substances. › Restricted by laws and/or regulations in the country
We have set a target to source 80% of the total › Polyvinyl chloride (PVC). or region of distribution.
leather used for ASICS, ASICSTIGER and Onitsuka › Perfluorinated compounds (PFCs).
Tiger branded footwear from LWG medal-rated
suppliers by 2020. In 2019, we sourced 83% from
LWG medal-rated suppliers.
SUSTAINABILITY REPORT 2019 21I MOVE ME™ SMARTER » PRODUCTS
OUR PRODUCTS AND SERVICES Products
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100%
Better Cotton Initiative: We have created a Japanese version of “AFIRM RSL”
responsible cotton sourcing and “AFIRM Chemical Information Sheets” in
Cotton is one of the main natural fibers used cooperation with sports equipment manufacturer
for ASICS apparel products. It’s also a material MIZUNO Corporation. We posted it on the AFIRM
associated with environmental and social impacts. more sustainable cotton official website so that it can be used by more
Growing cotton requires a large amount of water by 2025 suppliers. Through this initiative, we will be
before harvesting, as well as a large amount of communicating the importance of chemical
chemical substances (pesticides and fertilizers). We consider cotton to be more sustainable substance management to the sports equipment
The cotton supply chain also has a high risk of if it meets the criteria defined in as one of industry in Japan, and work together with our
human rights issues such as forced and child labor. the following: suppliers in Japan to improve the management
› Better Cotton* of chemical substances.
In 2018, we made a group-wide commitment
to source more sustainable cotton. We publicly › Organic cotton, Global Organic Textile bluesign®
announced the commitment in early 2019, as well Standard (GOTS) certified bluesign® is a holistic system promoting a common
as formalizing our partnership with the Better › Fairtrade cotton, Fairtrade certified set of standards for sustainability and traceability
Cotton Initiative (BCI). BCI works with a diverse › Recycled cotton. Global Recycle Standard in textile manufacturing. Partner manufacturers and
▲ AFIRM Restricted Substances List Japanese version.
range of stakeholders across the cotton supply (GRS) certified brands are required to follow strict sustainability
chain to promote measurable and continuing AFIRM Group criteria across a range of areas. When materials and
improvements for the environment, farming › Cotton made in Africa (CmiA), traded under fabrics are bluesign®-approved, it’s an assurance
Since 2013, ASICS has been a member of
communities and the economies of cotton- CmiA license that they have been manufactured responsibly,
the Apparel and Footwear International RSL
producing areas. In 2019, 30% of all cotton sourced by ASICS for Management (AFIRM) Group – an organization with care taken to minimize impacts on people
apparel products was more sustainable, and most promoting industry-wide collaboration to reduce and the environment.
of this was Better Cotton. In coming seasons we the use and impact of harmful chemical substances
ASICS has been a bluesign® system partner since
plan to increase our sourcing of Better Cotton for in the apparel and footwear supply chain.
2017. In 2019 we set a global target to increase
apparel and accessories such as T-shirts and socks. the use of bluesign®-approved materials in our
We use the AFIRM Restricted Substances List
(AFIRM RSL) to provide safe products that are products year-on-year, initially focusing on our
friendly to humans and the environment, and global apparel collections. While we are already
are working to improve the risk management working with many manufacturers that are
and compliance of chemical substances in bluesign® system partners, in future we will aim
the supply chain. to buy our materials almost exclusively from
bluesign® system partner suppliers.
*Better Cotton is sourced via mass balance.
SUSTAINABILITY REPORT 2019 22I MOVE ME™ SMARTER » PRODUCTS
OUR PRODUCTS AND SERVICES Products
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Managing quality and safety Chemical safety Reducing Volatile Organic Compounds
Voluntary product recalls
At ASICS, we are committed to ensuring the We are committed to using chemicals safely (VOCs) in footwear manufacturing
quality and safety of our products. Throughout and appropriately and without harm to people The manufacture of shoes, especially high
our operations, we use a quality assurance and 2019 1 or the environment, in compliance with all performance sports shoes, involves the use
management system to ensure our products international and local laws and regulations. of adhesives to bond different parts together.
comply with all applicable global standards. Traditionally, adhesives based on solvents
2018 0 To ensure compliance, we conduct random
We continuously improve this system to ensure containing VOCs have been used in the
inspections at our suppliers’ facilities. We also carry
our products and services continue to meet the manufacture of athletic shoes. However, these
out a variety of randomized tests on our products
requirements of our customers. 2017 2 solvents can have harmful impacts on people
before they are shipped to customers. Tests are
and the environment.
Training is an integral part of our quality assurance conducted both within our own organization
and management system. Besides training our own 2016 2 and by accredited, independent, third-party Since 2011, we have applied a broad range of
employees in our quality principles and objectives, laboratories. alternatives to these adhesives. These include
we also train and certify staff employed by our 2015 6 switching to water-based adhesives and, more
The ASICS Guideline for the Control and Use of
suppliers, including suppliers of finished products recently, adopting new production technologies
Chemicals defines the responsibilities of ASICS
and suppliers of materials. We carry out product and design techniques that allow shoes to be
and its suppliers regarding the control and use
liability inspections that cover product safety, made with fewer parts and therefore less adhesive.
of chemicals in our product design and
the application of quality improvement measures, Together, these methods help us reduce our VOCs
manufacturing processes. The guideline ensures
and descriptions on product labels and emissions while also ensuring that we continue to
legal compliance and is aligned with industry best
promotional materials. use energy and water efficiently.
practice in chemical management. All suppliers
must comply with the requirements of the In 2019, our VOCs emissions were estimated to be
guideline when manufacturing ASICS’ products. 4,085 tons in our strategic factories. This is based
on the calculation of the total adhesive consumed,
including disposed volume at the factories. In the
future, we are planing to calculate the amount of
adhesives used per items after we receive such
information from our suppliers.
SUSTAINABILITY REPORT 2019 23You can also read
