SUSTAINABILITY REPORT 2020 - Canon Oceania - Canon New Zealand

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SUSTAINABILITY REPORT 2020 - Canon Oceania - Canon New Zealand
SUSTAINABILITY
REPORT 2020

Canon Oceania
SUSTAINABILITY REPORT 2020 - Canon Oceania - Canon New Zealand
No matter the challenges that find their        About the report
                                                This report is structured and informed by our
way into our path, we confidently               Canon Oceania material issues for 2019-2020.
                                                We have aligned the content of our report

progress towards the future, where
                                                where possible with Canon’s globally identified
                                                sustainability priorities. It is not independently
                                                assured although our carbon data is included
endless possibilities lie. Where our            in the Canon Global independent verification
                                                process, with details available in the Canon Inc.

innovation inspires others to be brave and
                                                Sustainability Report.

                                                This year we have changed the way we name

imagine the impossible, we make it a reality.   the report; from the year we are reporting on,
                                                to the year the report is published. This is to align
                                                with the Canon Group reporting convention.

                                                This summary report is supported by the
                                                following documents which contain more
                                                detailed information:
                                                  Economic and Governance Fact Book
                                                  Environmental Fact Book
                                                  Social Fact Book
                                                Canon welcomes feedback on the report at
                                                sustainability@canon.com.au

                                                Canon Oceania Headquarters
                                                Canon Australia Pty. Ltd., 5 Talavera Road,
                                                Macquarie Park, NSW 2113, Australia.
                                                Telephone: 13 13 83

                                                Objectives legend

                                                    Objective achieved
                                                    Project commenced but not finished
                                                    Objective was not achieved

                                                Photo credit (front cover): Di Lymbury,
                                                Member of our Canon Community.
                                                Taken on a Canon EOS R.
SUSTAINABILITY REPORT 2020 - Canon Oceania - Canon New Zealand
 hoto credit: Mark Goodwin,
P
Canon Group Employee.
Taken on a Canon EOS 5D Mark IV.
SUSTAINABILITY REPORT 2020 - Canon Oceania - Canon New Zealand
 hoto credit: Sally Anscombe,
P
Getty Contributor – ‘This is
Australia’ Collection.

Canon Oceania Sustainability Report 2020   2
SUSTAINABILITY REPORT 2020 - Canon Oceania - Canon New Zealand
CO N T E N TS

    04   MANAGING DIRECTOR’S MESSAGE

    06   SUSTAINABILITY HIGHLIGHTS

    08   OUR OPERATIONS

    10   PROFITABILITY WITH PURPOSE

    12   BUILDING A SUSTAINABLE BUSINESS

    14   OUR MATERIAL TOPICS
    14   1. Driving innovation
    20   2. Transforming business
    28   3. Acting responsibly
    34   4. Promoting an open and diverse culture
    40   5. Reducing our environmental impact

    50   OUR MANAGEMENT TEAM

    52   OUR SERVICES

3                                                   Canon Oceania Sustainability Report 2020
SUSTAINABILITY REPORT 2020 - Canon Oceania - Canon New Zealand
EXPAND IN G T H E H ORI ZO N S O F
       O U R CUSTOM E RS AN D BU S I N E S S
       A M E S SAGE F RO M O U R MANAGIN G DIR EC TOR

       Welcome to the Canon Oceania 2020
       Sustainability Report, which provides you, our
                                                                 locally-developed products and services,
                                                                 and achieved a first for a Canon Group
                                                                                                                            ‘Better, Created Together’                     Some noteworthy examples were the launch
                                                                                                                                                                            of the Kyōyū and PrintNow solutions in the
       stakeholders, with an overview of how we are              Sales Company – carbon neutral                             These results would not have been possible      consumer market which caters to growing
       addressing the issues that matter most to our             certification for Canon New Zealand1.                      without the sense of common purpose             community interest in the sharing and circular
       current and future performance and prospects.                                                                        reinforced by the launch of ‘Better, Created    economy, the enhancement of our own
                                                                 Towards 50-50                                              Together’ – a new Group culture that            Robotics Process Automation (RPA) offering
       After completing a rigorous materiality                                                                                                                              through our technology solutions
       assessment process in March 2019, our                     Consolidating our Group companies into                     I foreshadowed in last year’s report.
                                                                                                                            In defining the values, beliefs and cultural    powerhouse, Canon Business Services, and
       material (i.e. most important) topics remain              three main management entities – Canon                                                                     the inauguration of the Canon Innovation Lab
       unchanged. We did, however, revise the                    Australia, Canon New Zealand and Canon                     norms we identified as necessary to achieve
                                                                                                                            our Group goals, we focused particularly in     to strengthen our local innovation agenda.
       phrasing of some topics to reflect incremental            Business Services – will help achieve our
       changes in our business strategy. The chapters            goal of deriving 50 percent of our revenue                 2019 on building cross-functional teams able    This innovation focus is the cornerstone of
       in this report address in some detail our                 from services and 50 percent from                          to work collaboratively towards long-term       a core Group strategy aimed at expanding
       objectives and approach in relation to each:              products. It also acknowledges the                         sales, product and innovation objectives.       the horizons of our customers and
                                                                 maturing of our traditional markets. Global                                                                business. To this end, we were successful
       •   Driving Innovation
       •   Transforming Business
                                                                 changes in the camera and inkjet markets
                                                                 in particular, affected our sales in 2019. But I
                                                                                                                            Innovation – Beyond Oceania                     in 2019 in selling our business process
                                                                                                                                                                            expertise to Canon Europe. We’re also
       •   Acting Responsibly                                    am pleased to say that our operating profit
                                                                                                                            With respect to innovation, for example, we     looking to leverage our relationships with
       •   Promoting an Open and Diverse Culture                 has increased in 2019 across the Canon
                                                                                                                            launched some exciting new products in 2019     other Canon Group Sales companies to
       •   Reducing Environmental Impact                         Oceania Group.
                                                                                                                            and have an impressive range planned for        on-sell new products and services in
                                                                                                                            2020. But what really excited me this year      markets throughout the world.
       2019 represented another year of                          This result was achieved in part by
       successful business transformation for                    reducing costs through restructuring and                   was the burgeoning of local innovation across
                                                                                                                                                                            Our progress and success with respect to
       Canon Oceania. Working towards our goal of                by focusing on business profitability.                     every business unit in the Group, driven by
                                                                                                                                                                            local innovation was tinged with some
       expanding the horizons of our customers and               We also maintained very strong market                      our own in-house creativity and expertise.
                                                                                                                                                                            sadness after Canon Information Systems
       our business, we continued to simplify our                share in our consumer business,                                                                            Research Australia (CiSRA) – a company
       structure and systems, collaborated to build              significantly grew market share in business                                                                jointly owned by Canon Inc. and Canon
       a new culture that reflects the best attributes           products, and achieved strong growth in                                                                    Australia – closed its doors for good on
       of our diverse companies and regions,                     our IT services and outsourcing business.                                                                  31 August 2019.
       launched a raft of innovative Canon Inc. and

       1. Canon New Zealand’s carbon footprint was audited and certified in 2019 in accordance with the Toitū carbonzero program and ISO 14064-1.

Canon Oceania Sustainability Report 2020                                                                             4
SUSTAINABILITY REPORT 2020 - Canon Oceania - Canon New Zealand
Living kyosei                                      We also demonstrated Canon’s ongoing
                                                                                                                                                           commitment to using our technology to help
                                                                                                        Globally, Canon Inc. is pursuing the               realise a better society through our
                                                                                                        realisation of a sustainable society based on      partnership with the First People Project. This
                                                                                                        the philosophy of kyosei – living and working      initiative saw us joining with AthletesVoice
                                                                                                        together for the common good – while               and NRL star Angus Crichton to showcase the
                                                                                                        aligning its operations and impacts with the       richness of traditional Aboriginal and Torres
                                                                                                        United Nations Sustainable Development             Strait culture through visual storytelling.
                                                                                                        Goals. In Oceania, our strategies reflect          As I write this introduction, all of our plans and
                                                                                                        Canon’s global goals, and part of our ‘Better,     those of our customers have been severely
                                                                                                        Created Together’ culture includes engaging        challenged by the COVID-19 pandemic.
                                                                                                        with the community at many levels under our        Fortunately, recent efforts revising our
                                                                                                        strategic pillar, Making a Difference.             business continuity plan held us in good stead
                                                                                                        In 2019, both Canon New Zealand and Canon          when the crisis hit. Through the extraordinary
                                                                                                        Business Service Centre Philippines (CBSC)         efforts of our teams in all locations, we were
Established in 1990, CiSRA was responsible        As a result, our governance efforts in                received external recognition for their efforts.   able to maintain customer service beyond
for more than 240 US patents and 800 patents      2019 focused on information security and the          Canon New Zealand led the way, reducing its        expectations to critical customers.
across the rest of the world. The decision to     privacy of customer information. Recognising          emissions by 36 percent in 2019 year-on-year       Without doubt, these are unprecedented
close the research institute was largely driven   onerous and changing legislation across               and becoming a Toitū carbonzero certified          times. But in the face of challenges big and
by parent company Canon Inc.’s want to            various jurisdictions, we implemented a               organisation – the first Canon company in the      small, we remain determined to emerge
update the priorities of its global innovation    project to expand the scope of our existing           world to become certified carbon neutral.          stronger than ever. Our ambition remains to
agenda.                                           ISO 27001 Information Security certification
                                                                                                        CBSC was awarded a coveted Circle of               expand the horizons of our customers and
                                                  to cover all the operations of Canon Business
Pleasingly, though, some of the visionary work                                                          Excellence of the World Vision CSR Company         our business. And with a unified and purpose-
                                                  Services and Canon Business Information
that began at CiSRA continues at Canon                                                                  of the Year, based on our contribution to the      driven culture, a simplified Group structure,
                                                  Solutions by the end of 2020.
Australia – a number of promising projects                                                              Kanlungan sa Er-Ma Ministry (KSEM)                 robust profit growth, and an organisation
have been transferred across. Jonathan Gan,       We also made the decision to harmonise the            children’s shelter. I am particularly proud of     brimming with talent and innovation, we look
for example, formerly at CiSRA now Canon          systems for our Group companies; each                 the CBSC Project Inclusion program, which          to the future with anticipation.
Australia, was instrumental in bringing the       company is moving onto the same human                 provides meaningful work for people
Free Viewpoint Video System to life.              resources and communications systems so               with disabilities.
                                                  that by the end of 2021, we will have full
Governance                                        oversight of Group activities and performance         For Canon Australia, many of our employees,
                                                  with fewer risks.                                     customers and their families were affected by
Success in expanding our horizons has come                                                              the devastating bushfires. In response, we
                                                                                                                                                           Akira ‘Dave’ Yoshida
                                                  In addition, our Critical Incident Management         contributed $10,000 to the Salvation Army
with a need to understand the risks                                                                                                                        Managing Director
                                                  and Business Continuity Plans have been               disaster appeal and provided community
associated with a growing and diverse set of                                                                                                               Canon Oceania
                                                  integrated, and we made some progress on              service leave to employees volunteering
customers and other stakeholders, operating
                                                  researching potential human rights risks in our       to fight the fires.
in different markets with different needs.
                                                  extended supply chain – particularly those
                                                  related to Modern Slavery.

                                                                                                    5                                                              Canon Oceania Sustainability Report 2020
SUSTAINABILITY REPORT 2020 - Canon Oceania - Canon New Zealand
S USTAINABILITY
       H I G H L IGHTS

       0
       Canon New Zealand achieved
       Carbon Neutral Certification through
                                                2
                                                Australian innovations supporting the
                                                circular economy. Kyōyū & Print Now.
                                                                                              126
                                                                                              participants from Australia, New Zealand
                                                                                              and the Philippines in Canon’s first
       Toitū Envirocare and reduced their                                                     Innovation Lab.
       emissions in 2019 by 36%.

       CSR COMPANY                              ROBOTIC PROCESS                               NEW GROUP
       OF THE YEAR                              AUTOMATION                                    CULTURE
       Circle of Excellence. Awarded by World   RPA service launched to automate repetitive   introduced to capture talent across the
       Vision at Asia CEO awards to Canon       tasks, enhancing our BPO offering.            group: ‘Better, created together’.
       Business Service Centre (Philippines).

Canon Oceania Sustainability Report 2020                              6
SUSTAINABILITY REPORT 2020 - Canon Oceania - Canon New Zealand
 hoto credit: Julie Chandelier,
                                                                 P
                                                                 Canon Group Employee.
                                                                 Taken on a Canon EOS 7D Mark II.

“Gone are the days of sustainability not being central to an
 organisation’s strategy. Now sustainability has become
 central to people’s thinking. I love that Canon clearly
 communicates our sustainability strategy and shows how
 our sustainable practices evolve and actually deliver
 tangible results over time. Because when people see that,
 they want to be part of it. It’s a compelling reason to join
 a company, and a compelling reason to stay.”
Nina Spannari, General Manager – Marketing & Customer Experience,
Consumer Imaging & Services.

      7                                                 Canon Oceania Sustainability Report 2020
SUSTAINABILITY REPORT 2020 - Canon Oceania - Canon New Zealand
O U R OPERAT I ON S
        Company structure
        current as of 30 April 2020
             This group of companies is known
             as Canon Oceania Group.                                           Canon Inc.

             Canon Inc companies

                                                  Canon
                                                 Australia

 Canon Business                    Canon                      Canon        Canon            Canon Medical   Canon Production
 Service Centre               Business Services              Finance     New Zealand        Systems ANZ     Printing Australia
   Philippines                    Australia                  Australia
                              Includes Harbour IT and
                                  Converga Brands

Canon Oceania Sustainability Report 2020                                   8
Group companies
Canon Australia                                  Canon Business
* includes Canon Finance Australia
                                                 Services
Locations:                                       Locations:
  HQ Macquarie Park, NSW                           HQ Macquarie Park, NSW
  Horsley Park, NSW                                South Melbourne, VIC
  Sydney City, NSW                                 Tuggeranong, ACT
   Alexandria, NSW                                 Brisbane, QLD
   Clayton, VIC                                    Auckland, NZ
   Melbourne, VIC                                  Christchurch, NZ
   South Melbourne, VIC                            Wellington, NZ
   Adelaide, SA
   Perth, WA
   Brisbane, QLD
   Canberra, ACT

Canon                                            Canon Business
New Zealand                                      Service Centre
* includes Canon Finance
  New Zealand
                                                 Philippines (CBSC)
                                                 Locations:
Locations:
                                                   HQ Taguig City, Manila
  HQ Auckland
                                                   Pasig City, Manila
  Wellington
                                                   Angeles City, Pampanga
  Hamilton
  Christchurch
  Nelson
  Invercargill
  New Plymouth
  Queenstown
  Dunedin
                                     9   Canon Oceania Sustainability Report 2020
P R OFITAB I L I T Y
       W ITH PURP OSE

       Business as usual no longer applies.            Everything we do is imbued with the kyosei        A material topic is defined by the Global         In February 2020, the five topics prioritised
       In 2020 it become increasingly clear            philosophy. It acts as a moral guide for our      Reporting Initiative as one that has “a direct    in 2019 were reviewed in another
                                                       actions and relationships, even as we             or indirect impact on an organisation’s ability   workshop. The results from the earlier
       that we are well past the point where           evolve and respond to changes in                  to create, preserve or erode economic,            assessment were validated by participants
       companies could justify jeopardising            technology, industry dynamics and                 environmental and social value for itself, its    from across the Group. There were some
       the wellbeing of communities or                 consumer preferences.                             stakeholders and society at large.”               changes to the phrasing of some of the
       damaging the environment in the                                                                                                                     material topics identified, with participants
                                                       Of course, we can always do more. As Fink                                                           believing the revised language better
       pursuit of profits alone.                       explains, many companies are beginning to         Our Material Topics                               captured Canon Oceania’s current thinking
                                                       understand that purpose is a driver of                                                              and approach.
       Larry Fink, CEO of the world’s largest fund     business value. And as the purpose-led            To determine the topics that matter most
       manager BlackRock, phrased it neatly in his     approach to business becomes more                 to Canon Oceania, we completed a                  Accordingly then, the material topics our
       2020 letter to shareholders:                    widely embraced, we will have to elevate          materiality assessment in March 2019.             people believe are most relevant in 2020
                                                       our standards even further to retain the          It reviewed our strategy, company policies        for the future wellbeing of our business are:
       “A company cannot achieve long-term profits     competitive advantage kyosei has                  and sustainability initiatives. Inputs came
       without embracing purpose and considering       delivered us.                                     from all of our business units, as well as                                      ur
       the needs of a broad range of stakeholders …                                                                                                                                  g Otal                     1.
                                                                                                         Canon’s global operations. Current strategy                             ucin en                       Inn Driv
                                                                                                                                                                                    m                              ov in
       actions that damage society will catch up       Practically, this means challenging ourselves     and company policies were the source                                 edron act
                                                                                                                                                                                i p
                                                                                                                                                                                                                     at g
                                                                                                                                                                                                                       io

                                                                                                                                                                    En . R
                                                                                                                                                                                   m
       with a company and destroy shareholder          to better manage our environmental impacts,

                                                                                                                                                                       v
                                                                                                         materials that weighed most heavily in our

                                                                                                                                                                     5

                                                                                                                                                                     I

                                                                                                                                                                                                                      n
       value. By contrast, a strong sense of purpose   doing more to help address injustice and          initial research.
       and a commitment to stakeholders helps          inequality in our communities, and upholding
       a company connect more deeply to its            the values which have served us so well.          A shortlist of potential material topics was
       customers and adjust to the changing                                                              presented in a workshop featuring
       demands of society. Ultimately, purpose         This report is written with these objectives in   employees from our Australia, New Zealand
       is the engine of long-term profitability.”      mind. As you read on, you will see we have

                                                                                                                                                                                                                            2.
                                                                                                         and the Philippines operations. Participants

                                                                                                                                                           4. Propen anture
                                                                                                                                                           Div ers

                                                                                                                                                                                                                               T
                                                                                                                                                            a n O e C ul

                                                                                                                                                                                                                               Businormin
                                                                                                                                                                                                                                r
                                                       structured its content around the material

                                                                                                                                                                                                                                 a
                                                                                                         were invited to prioritise topics based on

                                                                                                                                                                                                                                  ns
       On this important matter, we are proud to say   topics we believe are critical to Canon

                                                                                                                                                                                                                                    f
                                                                                                                                                                 mo d
                                                                                                         their importance to our current and future

                                                                                                                                                                                                                                     ess g
       that Canon has prioritised purpose since

                                                                                                                                                                    ti n
                                                       Oceania’s ability to create value for itself      business prospects, and their ability to

                                                                                                                                                                         g
       inception, formalising this in 1988 with the    and its stakeholders.                             improve or erode value for Canon
       adoption of the kyosei philosophy –                                                               stakeholders over time. The final result was
       a Japanese word which translates as living                                                        shared agreement on Canon Oceania’s                                                   3. A c ti n g
       and working together for the common good.                                                        material topics for 2019 and beyond.                                                 Responsibly

Canon Oceania Sustainability Report 2020                                                            10
 hoto credit: Greg Sullavan,
                                                            P
                                                            Canon Group Employee.

                                                            Taken on a Canon EOS R.

“We place a strong
 emphasis on ensuring
 our actions, our business
 operations, and the
 partnerships we form
 with our customers, bring
 about a measurable and
 positive impact within
 our communities.”
Scott Frood, Senior Sales Manager
– Canon Business Information Solutions.

                                          11   Canon Oceania Sustainability Report 2020
BUI LD ING A SUSTAI N AB L E BUSIN E S S
     OUR BUSINESS
       Our purpose Why we exist
     Everyone who comes to work each day wants to know
     that all of their passion, dedication and effort makes a real                                       Distributo
                                                                                                    s              rs
     difference. A difference that makes us all better and helps
                                                                                               loyee
     us continually shape who we are and what we do. This helps                               p                                Co O
     our customers imagine new possibilities, creates an exciting                           Em

                                                                                                                                pe mu
     future and changes the way they experience the world.

                                                                                                                                 m
                                                                                                                                  ra nitie
                                                                                                                                    tin s
                                                                                                                                       g
                                                                                     ers
       Our values What guides us

                                                                                   um
     Togetherness. Bravery. Achievement. Imagination. Integrity.

                                                                               Cons
     Our values underpin our vision, shape our culture and help

                                                                                                                                            Government
     set the expectations of how we behave and work with each
     other. They guide us every day in making the right decisions
     and are essential to achieving our performance goals.

                                                                             C u sto
                                                                             B u si m ers
       Our vision Where we’re going

                                                                                   nes
     Our Canon Oceania Group vision, “we’re on your horizon”,
     relates to both our customers and our people. To sustain our

                                                                                       s

                                                                                                                                      .
                                                                                                                                     In c
     success and grow, we must work together to find new ways to
     expand the horizons for what is possible for our business, today

                                                                                                                                 n
                                                                                                                                no
                                                                                                                                Ca
     and tomorrow.
                                                                                            Pa
                                                                                            A g rt n e
                                                                                               en rs,                      s
       Our business model Who we are                                                                ts    S u p p li e r
     Canon in the Oceania region comprises of Canon
     Australia, Canon New Zealand, Canon Finance,
     SUNSTUDIOS, Canon Business Services and Canon
     Business Service Centre Philippines, employing
     more than 2,500 people across the region.

Canon Oceania Sustainability Report 2020                                12
AS AT 1 JUNE 2020
                                                                           1. Driv
                                                                                  ing Innovation
                                                                                                                                                              GROUP COMPANIES
                                                                                  Page 14
                                                                                                                                                              HIGHLIGHTS
                                       ct                                     Canon Oceania
                                  pa

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                                                                   ess )
                                                                sin ines                      (Ca                                                             589 employees                    207 employees
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                                                          n h                                      nB                                                         Provides consumer and business   Provides consumer and
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                                                                                                                                                              imaging products and services    business imaging products

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                                                                                                                                                              as well as some specialist       and services as well as some

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                                                                                                                                                                                               communications products.
5. Reducing Our Env

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                                                                                                                Se

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                                                                            living and working                                                                43%
               Page

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                                                                                                                                                              Explore Leadership               Canon company in

                                                                                                                                                    usiness
                                                                               common good.

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                                                                                                                                                              Program are women                the world to become
                                                                                                                                                                                               carbon neutral
                                                                                                                                                              100-Ways
                                                                                                                                                              diversity program                #1
                                                                                                                                                                                               most trusted digital camera
                                                                                                                                                                                               brand in NZ and 7th most
                                                                                                                                                                                               trusted brand in NZ overall

                                                                                                                                                               CANON BUSINESS                   CANON BUSINESS
                                                                                                                                                               SERVICES                         SERVICE CENTRE
                                                                                                                    nd
                                                   Ca

                                                                                                                                                                                                PHILIPPINES
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                                                                    li a                                 n
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            rom

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                                                                                                                                                              215 employees                    business process outsourcing
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                                                                                                                                                              in New Zealand                   solutions and cutting-edge
                 in

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                                              ge                                                                                                                                               cloud and IT services.
                                 n
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                                                                                                                                                              Offering business process
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                                                                                                                                                              outsourcing solutions and
                                        pe
                                          na
                                                                                                                  Paspo
                                                                                                                    ge
                                                                                                                                                              cutting-edge cloud and           3,900 volunteer hours
                                            nd                                                                  g Re                                          IT services.                     spent working with
                                                                                                                                                                                               children's centre, KSEM
                                                                                                               n
                                                Div                                                         cti                                               13%
                                                   erse
                                                        Cultur                                          3. A                                                  year-on-year revenue             1
                                                              e                                                                                               growth in 2019                   CSR Circle of
                                                                                                                                                                                               Excellence Award
                                                                                                                                                              2
                                                                                                                                                              businesses, Converga
                                                                                                                                                              and Harbour IT, coming
                                                                                                                                                              together as one

                                                                                                                            13                                                            Canon Oceania Sustainability Report 2020
01

 Canon Oceania Sustainability Report 2020   14
01 Driving Innovation
 Since its founding in 1937, Canon has been
 at the forefront of technological development –
 pioneering products and services that actively                                 Sustainable     9: Industry,
                                                                                Development     Innovation and
 inspire and enable people to achieve more than                                 Goals (SDGs)    Infrastructure
 they ever thought they could.

                                                                                                                           01

                                                                                                                         Driving Innovation
Canon Inc                           Canon Inc                              Canon Inc

3      RD

highest number of US patents
                                    EOS RP
                                    launched, delivering breathtaking
                                    speed, sharpness and image
                                                                           EOS
                                                                           200D MARK II
                                                                           launched, an easy-to-use DSLR
awarded in 2019                     quality in our smallest and lightest
                                    full-frame digital camera yet

Canon Australia                     Canon Australia                        Canon Business Services

KYŌYŪ                               FUTURE
                                    OF WORK
                                                                           ROBOTICS
                                                                           PROCESS
                                                                           AUTOMATION
the online sharing platform,        2019 report released                   product launched
was launched

                               15                                             Canon Oceania Sustainability Report 2020
Driving Innovation
 2020
 OBJECTIVES
                                                                                                     Innovation is in our DNA.               self-awareness. By focusing on our     The ultimate immersive
                                                                                                     Since its founding in 1937,             own culture and processes, we          experience, the Free Viewpoint
                                                                                                                                             avoid making excuses and work          Video System technology allows
                                                                                                     Canon has been at the
                                                                                                                                             together to get results.               viewers to move anywhere in a
                                                                                                     forefront of technological                                                     stadium through a virtual camera.
                            2019 performance

                                                                                                     development – pioneering

                                                                         2020 objectives
2019 objectives

                                                                                                                                                                                    It was used during the Rugby
                                                                                                     products and services that              New Beginnings                         World Cup™ 2019, where lucky fans
                                                                                                     actively inspire and enable                                                    could simulate the feeling of being
                                                                                                                                             While our commitment to research       among the players on the field.
                                                                                                     people to achieve more than             and development remains as
                                                                                                     they ever thought they could.           strong as ever – Canon ranked          We are proud of Jonathan and his
                                                                                                                                             third for the number of US patents     former CiSRA teammates for their
                                                                                                     In 2020, we stand on the precipice
                                                                                                                                             awarded in 2019, with 3,555 US         role in bringing cutting-edge
                                                                                                     of a new age. The digital revolution
                                                                                                                                             patents held in total – on 31 August   innovation to the world!
   Complete closure                            CiSRA is now closed         1.	Accelerate the        that began with the advent of the
                                                                                                                                             2019, Canon Information Systems
   of the majority of                          and remaining                   growth of Print       internet is accelerating, with
                                                                                                                                             Research Australia (CiSRA) closed
   CiSRA operations                            employees are part              Now and Kyōyū         breakthroughs in robotics, artificial
                                                                                                                                             its doors for good.                    World-Class
   and transfer ongoing                        of Canon Australia.             to continue to        intelligence, machine learning and
   research activities to                      Innovative projects             contribute to our     the internet of things allowing         Established in 1990, CiSRA was
                                                                                                                                                                                    Innovation, Locally
   Canon Australia.                            continue as part of
                                               Canon Australia.
                                                                               circular economy
                                                                               and maximise return
                                                                                                     us to do things better, faster and      responsible for more than              Made
                                                                                                     cheaper than ever before.               240 US patents and 800 patents
                                                                               on investment.
                                                                                                                                             across the rest of the world. The      With the CiSRA closure in mind,
                                                                                                     Our innovation agenda is planned
   Continue to publish                         The First Peoples           2.	Focus on internal                                             decision to disband the research       Canon Oceania’s employees were
                                                                              expertise and          with tomorrow in mind. That’s
   compelling content,                         and Unlikely Union                                                                            institute was largely driven by        ready to redouble efforts to
                                                                              innovation.            why we are combining Canon’s
   promoting the work of                       films were released                                                                           changing priorities in our global      promote and strengthen our local
   Canon customers and                         along with other                                      technologies with the latest
                                                                           3.	Launch a five-year                                            innovation agenda.                     innovation agenda. The excitement
   enabling learning and                       content to promote the                                research and development (R&D)
                                                                              local warranty                                                                                        was palpable when our Senior
   further development                         Canon community’s                                     internationally, with the aim of        Pleasingly, some of the visionary
                                                                              in Australia and                                                                                      Leadership team announced the
   of consumers’ skills.                       outstanding skills.                                   genuinely making a difference in        work that began at CiSRA
                                                                              New Zealand.                                                                                          launch of the inaugural Canon
                                                                                                     our world.                              continues at Canon Australia, with     Oceania Innovation Lab in
                                                                           4.	Build Azure Centre                                            several promising projects being
   Introduce new                               PrintNow and Kyōyū                                    This aspiration to be a change-                                                February 2019.
                                                                              of Excellence.                                                 transferred across. Jonathan Gan,
   technology sharing                          successfully launched.                                maker for good is underpinned by
                                                                                                                                             for example, formerly at CiSRA,        The brief was simple. Employees
   services for cameras                        Both programs are now                                 a company-wide willingness to
                                                                                                                                             was instrumental in bringing the       were asked to submit creative ideas
   and printers.                               in the growth phase.                                  take on R&D challenges, guided
                                                                                                                                             Free Viewpoint Video System to         that could drive profitability and
                                               Internal Innovation Lab                               by the principle of San-ji – self-
                                               program run.                                                                                  life for Canon.                        new revenue streams for the Group.
                                                                                                     motivation, self-management and

   Canon Oceania Sustainability Report 2020                                                                         16
CASE STUDY
                                                                                CANON AUSTRALIA

An impressive 126 ‘lightbulb
moments’ were submitted in
                                       Following the success of the Future
                                       of Education report in 2018,             BRINGING
                                                                                INNOVATION
response, with enthusiastic            Business Information Solutions
participation from across Australia,   (BIS) released its Future of Work
New Zealand and the Philippines.       report in March 2019. Drafted by

As Stephanie Wang, General
                                       acclaimed writer, broadcaster and
                                       academic Dr Sunil Badami, the
                                                                                TO THE                                                                                                            01
Manager Commercial and Channel,
                                                                                WORLD

                                                                                                                                                                                                Driving Innovation
                                       white paper explores the
Business Information Solutions,        implications of social and
explains: “No-one knows our            technological change on the
customers and our business better      workplace and reveals what the
than our own team so it makes
                                                                                The innovation capabilities of
                                       jobs of the future will be like.
sense to reach out to the Canon                                                 the Canon Oceania family
family for new ideas.”                 Full of fascinating analysis – did you   were again on display at the
                                       know, for example, that 75 percent       2019 Canon Invention Awards
The twelve best ideas were shared      of Australian companies see              in Japan, when Chris
with all Canon Oceania employees       technology as important but only
for comment and voting. In the                                                  Rosewarne, a Principal
                                       23 percent feel ready to navigate it?
second half of FY20, six were          – the report has been shared with
                                                                                Research Engineer who joined
short-listed and pitched to the        potential and existing customers to      Canon Australia from CiSRA in              Chris Rosewarne’s invention is now a key part of the Canon XF705.
Senior Leadership Team for funding.    help them make better decisions          early 2019, was recognised for
Andrew Mills and Vu Vo submitted       about what Badami calls “the             his outstanding contribution to
the winning idea, which was an         disruption revolution,” and to           imaging technology.
automatic discovery feature for        kickstart a conversation about how
a printer installation function.       Canon’s solutions can help.              Canon Inc. Chairman and CEO,
                                                                                Fujio Mitarai, awarded Chris for a
Future of Work                         Sharing Creativity                       patented invention relating to High
                                                                                                                      Canon Oceania

                                                                                                                      126
                                                                                Efficiency Video Coding (HEVC).
                                                                                Chris’ breakthrough is significant,
Our commitment to innovation           With creative solutions and future       as it improves video compression
means more than enhancing              trends again in mind, Canon              to deliver better image quality,
Canon’s own products and services.     Australia launched Kyōyū in              even while reducing file storage
We have always understood that         2019 – a new business line built on      requirements. A number of products    ‘lightbulb moments’ were
building a better, more creative and   sharing-economy principles. Kyōyū,       are now using his invention,
imaginative society is not only a      Japanese for ‘share’, allows renters                                           submitted to first Canon
                                                                                including Canon’s XF705
good thing to do, but necessary for    to hire photography gear while                                                 Oceania Innovation Lab
                                                                                Camcorder and a range of HEVC-
the Group’s long-term success.         helping owners get more value from                                             from across Australia, New
                                                                                supported 4K TVs, smartphones
                                       their Canon products.                    and laptops.                          Zealand and the Philippines
                                                                                            17                                                       Canon Oceania Sustainability Report 2020
The Kyōyū camera-sharing                Another example of our digital
                                           community works like other sharing      leadership comes in the form of
                                           platforms. A renter browses the         PrintNow – an on-the-go printing
                                           online platform for available           service that allows users to print
                                           cameras and lenses in their area,       whatever they need, whenever
                                           and arranges a collection with the      they need it, from over 100 locations
                                           equipment owner at a convenient         around Australia. The service makes
                                           time. A built-in ID verification        cloud printing a cinch – users simply
                                           process helps with personal safety,     upload their photos to the website,
                                           and Canon provides free insurance       find their nearest PrintNow station,            Launched in March 2019, the Canon EOS RP delivers breathtaking image
                                           for any damage done to rented           and print what they need. PrintNow              quality with outstanding value for money.
                                           gear. Kyōyū is exclusively open to      locations are available at
  “It was such a                          Canon products. For more, visit:
                                           https://kyoyu.canon.com.au
                                                                                   http://print.canon.com.au
                                                                                                                             So it was mission accomplished in         by the end of 2019. To celebrate
    confidence                                                                                                               March 2019 when the Group                 these announcements, Group

    booster to win                                                                 New Products for a                        announced the launch of the new           employees in Sydney were invited
                                           Digitalising Customer                   New Decade
                                                                                                                             EOS RP. But first, some background.       to an unveiling event, while key
    Canon’s very                           Service
                                                                                                                             The EOS R System launched six             customers and retailers supported
                                                                                                                             months prior (in September 2018),         the launch with live demonstrations
    first Innovation                                                               The physicist William Pollard once        was arguably our most important           across social media channels,
    Lab prize for our                      The enhanced digitalisation of          said that “learning and innovation        camera innovation since the               dedicated eDMs and reviews.
                                           Canon Business Information              go hand in hand. The arrogance of
    remote printer                         Solutions is also making life more      success is to think what you did
                                                                                                                             unveiling of the first EOS in 1987.
                                                                                                                                                                       Similarly, Canon New Zealand
                                                                                                                             The EOS R system represents a
    portal. To receive                     convenient for our customers. In        yesterday will be sufficient for          step-change in optical performance,       customers and dealers gathered
    recognition from                       2019, we launched the new-look          tomorrow.” For more than 80 years,        compactness and durability.               in Auckland to get their hands on
                                           MyCanon Business Portal which           Canon has created the world’s                                                       the EOS RP and to hear more
    our peers, and                         offers users an easy way to control     most loved imaging products.              The EOS RP fully utilises the new         about the new RF lenses. The
    to have the                            their Canon devices from any            It might sound odd to say, but this       technology, delivering breathtaking       evening included a photography
    possibility for                        computer or mobile.                     success has been built on a kind
                                                                                   of restlessness.
                                                                                                                             speed, sharpness and image quality
                                                                                                                             in our smallest and lightest full-
                                                                                                                                                                       walk around historic parts of
                                                                                                                                                                       Parnell, which charmed the
    our idea to                            By logging into the portal,                                                       frame digital camera yet. What’s          many photography enthusiasts
    realise its full                       customers can book and track
                                           service requests, pay invoices and
                                                                                   Every generation of Canon
                                                                                   products or services demands more
                                                                                                                             more, the camera is outstanding           in attendance.
                                                                                                                             value for money, and perfect for
    potential was                          order products and supplies online      than the last. It is no cliché. We hold   those learning the joys of full-frame     Finally, in April 2019, we announced
    fantastic.”                            – nothing is more than a few clicks     ourselves to a standard of constant       photography for the first time.           the launch of the anticipated Canon
                                           away. In addition to the updated        improvement, and so do our                                                          EOS 200D Mark II. An easy-to-use
    Andrew Mills, Pre-Sales                interface, the portal includes a news   customers. They expect product            The March 2019 launch also                DSLR in a small and lightweight
    Consultant – Enterprise                section featuring the latest reports,   innovation that reflects the cutting-     highlighted the production of a           body, the camera is perfect for
                                           our whitepapers and articles, and a     edge of imaging technology, and           remarkable 140 million EF and RF          families looking to step-up from
    & Government, Canon
                                           ChatBot to troubleshoot any issues      we are committed to delivering            lenses to date, and flagged the           their smartphone, or upgrade their
    Business Information                   that arise.                             for them.                                 release of ten new RF lens models         existing camera.
    Solutions.

Canon Oceania Sustainability Report 2020                                                             18
CASE STUDY
CANON AUSTRALIA

SAVING MONEY,
EXPANDING YOUNG MINDS
                                                                                                                                                                                                 01
David, the IT Manager at         After realising how much money

                                                                                                                                                                                               Driving Innovation
Highview College in Victoria,    was being spent on outsourcing,
                                 David and his teaching colleagues
Australia, had a vision.
                                 Jeanean and Carl decided to buy a
An expert in his field, he       Canon large format printer. The
understood the transformative    purchase immediately reduced their
effects of technology, and       printing budget – from $60 to $14 a
wanted to find a way to          metre. More importantly, as
implement technology-centric     Jeanean explains, it has helped
                                 unshackle the creativity of
solutions that would benefit
                                 Highview’s students. David adds:
students and staff alike. “The   “we’ve printed on textiles, plastics,
role of IT at Highview is to     metal, self-adhesive materials…
keep teachers teaching and       we’ve used it to produce everything
students learning in the most    from t-shirts to skateboards to
innovative and interesting       theatre sets.”
ways,” he says.

                                                                         This artwork ‘Correct second eyes speak’ was created by a student at Highview College with the help of their new
                                                                         Canon large format printer.

                                                                              19                                                                    Canon Oceania Sustainability Report 2020
02

 Canon Oceania Sustainability Report 2020   20
02 Transforming Business
                                 Businesses today must unlock new
                                 opportunities, drive new growth and deliver new
                                 efficiencies. At Canon Oceania, we are doing                          Sustainable     9: Industry,
                                                                                                       Development     Innovation and
                                 just that. By combining all our business lines                        Goals (SDGs)    Infrastructure

                                 under one Group with a unified strategy, we aim
                                 to fulfil our ‘Better, Created Together’ purpose.

                                                                                                                                                  02

                                                                                                                                                Transforming Business
                                 Canon Business Services            Canon Business Services   Canon Business Services

                                 13%
                                 revenue growth over 2019 with
                                                                    NEW
                                                                    MARKETS
                                                                    Business Process
                                                                                              NEW
                                                                                              TECHNOLOGY
                                                                                              invested in Azure Stack, the
                                 the consolidation of CBS and       Outsourcing (BPO) sold    most advanced hybrid cloud
                                 Canon Business Service Centre      to the European market    solution available
                                 Philippines (CBSC)                 through Canon Europe

                                                                                              100M
                                 Canon New Zealand                  Canon Australia           Canon Australia

                                 #   1
                                 Most trusted digital camera
                                                                    CANON
                                                                    BUSINESS
                                                                    READINESS                 combined units of the global

                                                                    INDEX (CBRI)
 hoto credit: Reejee Mallari,
P                                brand and 7th most trusted                                   EOS-series silver halide (film)
Canon Group Employee.            brand overall for the third                                  and digital interchangeable-
                                 consecutive year (Reader’s         Security Report           lens cameras produced for the
Taken on a Canon EOS M100.       Digest annual survey)                                        popular Canon EOS series
                                                               21                                    Canon Oceania Sustainability Report 2020
Transforming Business
 2020
 OBJECTIVES
                                                                                                       In a world of unprecedented        As part of the overall initiative,      servicing their clients leaving the
                                                                                                       technological disruption,          our operations in the Philippines       task of building and managing the
                                                                                                                                          were also consolidated into a           operational foundations of a
                                                                                                       businesses today must
                                                                                                                                          single entity and renamed Canon         modern, scalable business to us.
                                                                                                       unlock new opportunities,
                              2019 performance

                                                                                                                                          Business Service Centre

                                                                         2020 objectives
                                                                                                       drive new growth and deliver
2019 objectives

                                                                                                                                          Philippines (CBSC). It now operates     CBS responded to the
                                                                                                       new efficiencies. At Canon         as one business comprising almost       transformation detailed above by
                                                                                                       Oceania, we are doing just         1,000 employees.                        delivering 13 percent revenue
                                                                                                                                                                                  growth over 2019. This was an
                                                                                                       that. By combining all of our
                                                                                                                                          As part of this restructure, too, our   outstanding result in a challenging
                                                                                                       business lines under one           Makati site in the Philippines was      market, driven primarily by our IT
                                                                                                       Group with a unified               decommissioned, with four               capabilities. What’s more, the CBS
                                                                                                       strategy, we aim to fulfil our     regional offices reduced to three       value proposition – freeing
   Strengthen synergies                          Converga and              1.	Continue to             ‘Better, Created Together’         (employees from the fourth office       customers to focus on growth –
   with acquired                                 Harbour IT combined           enhance operation       purpose.                           were relocated to the three             has become increasingly clear, with
   businesses, maximising                        to create CBS.                productivity through                                       remaining offices). The newly           88 percent customer satisfaction
   returns on investments                        Amalgamated our               process efficiencies.                                      restructured CBS and CBSC, along        across the business for 2019.
   in new services – e.g.                        NZ companies into                                     Consolidating for the              with Canon New Zealand, and
                                                                           2.	Capitalise further                                                                                 Luke Clark, CEO of CBS, says the
   Print Now, Kyōyū,
   Customer Experience
                                                 Canon NZ. Print Now
                                                 and Kyōyū rolled out.
                                                                               on the Canon            Future                             Canon Australia, will exist under
                                                                                                                                          the Canon Oceania Group.                strong results and positive
                                                                               Experience Stores.                                                                                 feedback are a result of the hard
   Store, Robotics.
                                                                           3.	A new business
                                                                                                       The Canon Business Services        Crucially, the consolidation            work that began in 2018, and
   Implement new Digital                         Digital workplace            model to provide         Transformation                     reinforces our position as a market     continues to this day. These efforts
   Workplace, providing                          project including            certainty around         To secure the best possible        leader in optimising business           include the setting up of a single
   employees a gateway                           HRConnect is in              running costs for        end-to-end solutions for           process outsourcing (BPO) and           leadership structure across the
   to all digital tools and                      progress. Due to             Business Information     customers, we unified Converga     cutting-edge technology solutions       business, a unified strategy to
   content required for                          launch 2020.                 Solutions customers.     Australia, Converga New Zealand,   for our customers, which in turn,       oversee growth, a single sales and
   their roles.                                                                                        the Canon Business Service         helps them uncover hidden               marketing team, and aligning work
                                                                           4.	Cross sell BPO and
                                                                              accelerate RPA and       Centre and Harbour IT into a       inefficiencies, reduce friction,        processes and IT systems.
   Launch RPA (Robotic                           We launched CBS’             Azure practice.          single business unit in 2019.      and enhance their business
                                                                                                                                          productivity.                           Most importantly, CBS has sought
   Process Automation).                          RPA product (under                                    The new business unit –
                                                                                                                                                                                  to build a single united culture.
   RPA allows the user                           the Converga brand).                                  Canon Business Services (CBS)
                                                                                                                                          The business logic underpinning         “One of our biggest priorities was
   to automate manual                                                                                  – combines the technical and
   workflows with                                                                                                                         the creation of the new business        bringing together the CBS
                                                                                                       cloud capabilities of Harbour IT
   technology that mimics                                                                                                                 unit is strong – with all their BPO     leadership team to build a unified
                                                                                                       with Converga’s business process
   human data entry.                                                                                                                      and technology needs now in one         culture,” Clark explains.
                                                                                                       outsourcing solutions.
                                                                                                                                          place, customers can focus on

   Canon Oceania Sustainability Report 2020                                                                          22
“The leadership team understands
that they are accountable for the
                                           Equally, the bringing together of
                                           Converga and Harbour IT has
                                                                                  CBS is uniquely positioned to
                                                                                  oversee the implementation of
                                                                                                                           Canon in the
performance of the business as a           accelerated the development of         Azure Stack for customers who do         Community
whole. That’s why we have joint            our Robotics Process Automation        not have the budget, time or ability
KPIs for the success of CBS as a           (RPA) offer, which automates           to implement the offering                Connecting people with our
group, not for the success of a            low-value and repetitive tasks that    themselves, but who nonetheless          technology, while at the same time                                                   02
single business unit or geography.”        would otherwise fall to an             want the benefits that an advanced       contributing to the wellbeing of the

                                                                                                                                                                                                              Transforming Business
                                           employee to complete, enabling         hybrid cloud solution can offer.         communities in which we operate,
Reflecting on the year in review,          a company’s employees to then                                                   is fundamental to our purpose at
Clark is proud of the work the             focus on higher-value, profit-                                                  Canon. The combination was
team has already done on culture,          driving activities.                    Security Top of Mind                     evident in our sponsorship of the
and the enhanced value                                                                                                     2019 Rugby World Cup™, where we
proposition the merged entity              Our RPA offering complements our       With client security top of mind,        took a community-centric approach          “When our customers
now offers customers.                      IT service desk capability and helps   Canon Business Information
                                           our larger customers run more          Solutions promoted the Canon
                                                                                                                           to showcasing our ground-                    talk to us about our
                                                                                                                           breaking technology.
“The overall health of the business        efficiently. We are focused on         Business Readiness Index (CBRI)                                                       service its always
is better than ever,” he says. “It’s not
just financial – it’s also about
                                           building strong relationships with     security report in 2019. The report      During live matches, we provided             about the basics not
                                           finance teams within our customers’    aims to assist small-to-medium           video highlights to the International
impact, opportunity and community.         businesses, seeking to explain         businesses in the education, the legal   Games Broadcast Services (IGBS),             the complex stuff.
I believe we’re asking the right           the value and convenience that         and health sectors with their data       the host broadcaster, through our            That’s why we are
questions for long-term success:           RPA can deliver.                       hygiene, and to make them more           revolutionary Free Viewpoint Video
What’s the impact of our work?                                                    aware of the many ways in which data     System. It allowed angles of the
                                                                                                                                                                        focused on getting
What opportunities can we capture?         Customer need has also been a          breaches can occur. For example, the     matches to be captured that are not          the basics right –
And what more can we do to                 principal driver behind our efforts    report found that while 84 percent of    possible using conventional                  making sure our
support our local communities?”            to create a consistent cloud-based     businesses are aware of printing-        cameras, with footage curated into
                                           experience. In response to             related security threats, only four in   highlight reels and shared to                employees love their
Enhanced Technology                        customer requests, we invested in      ten have their printers secured.         broadcast, streaming, news and               job and flawlessly
Solutions                                  Azure Stack, the most advanced
                                           hybrid cloud solution available.       Small businesses (less than
                                                                                                                           sports commentary programs. We               delivering what we
The end-to-end nature of CBS’                                                                                              also provided behind-the-scenes
service offering has led to new            Azure Stack helps businesses take      20 employees) also had low rates of      support to members of the Rugby              have promised.”
growth opportunities. Enhanced             full advantage of the public cloud’s   employee awareness around printer        World Cup press team, including
capabilities in Business Process           scalability, flexibility and power,    security issues (31 percent unaware      camera and lens maintenance                 Rajan Khetia General
Outsourcing (BPO), for example,            while maintaining sensitive            of the risks) compared to large          services and product loans.                 Manager – Managed
means we can now sell technical            company data in a private cloud.       businesses (over 200 employees),                                                     Services, Canon Business
                                                                                  where only 5 percent were unaware
solutions to the European market                                                                                                                                       Services.
through Canon Europe.                                                             of the risks.

                                                                                                   23                                                              Canon Oceania Sustainability Report 2020
Lastly, we continued our
community-generated photo
                                           A pivotal factor in maintaining a
                                           strong reputation is to keep
                                                                                 Real Moments
collection This is Australia, in           stakeholders informed. To this end,   Deserve Real Cameras
partnership with Getty Images.             the Business Insights team
Joining forces with Starting with          launched the Business Insights        Confidence in our brand and
Julius, a not-for-profit that works to     podcast, providing an easily          products is linked to our belief that
challenge the way we view                  digestible content option for those   consumers still have a strong desire
disability, we have urged everyday         who enjoy discussions around          to capture moments on a physical
Australian Canon users to send in          business thought leadership.          camera which is why the Canon
photos that accurately portray the         Based on the Future of Work report,   EOS series has been the world’s
lives and experiences of people            weekly episodes host special          most popular interchangeable-lens
living with a disability.                  guests – leaders in their fields –    digital camera for the last 17 years.
                                           to speak on topics such as AI and     Indeed our loyal supporters helped            The stylish and lightweight Inspic camera combines great image capture
                                           innovation in business.               Canon Australia reach the                     with the instant gratification of a mini printer.
Building on our                                                                  production milestone of 100 million
Reputation                                 After reviewing the Consumer
                                           Warranty Expectations Survey in
                                                                                 units of the global EOS-series
                                                                                 interchangeable-lens cameras            Leading-edge innovation and a               new models combine image-
                                           November 2019, conducted on our       in 2019.                                strong brand means Canon is well            capturing capabilities with the
Reputation affects every aspect of
                                           behalf by YouGov Galaxy Research,                                             positioned to take advantage of this        instant gratification of compact mini
a business, from employee intake to
                                           we discovered that Australian         Nina Spannari, General Manager –        growing realisation. “Capturing             printers. Appealing to our younger
overall revenue. So when Canon
                                           consumers link the length of          Marketing & Customer Experience,        imagery is a global language,”              demographic, the cameras were
NZ was named among the most
                                           manufacturer warranties to brand      believes that in an increasingly        Spannari says. “People understand           carefully designed to be stylish and
trusted brands in New Zealand, we
                                           trust, good value and product         digitalised world, Canon Oceania’s      the benefits of photography and             lightweight – a must-have for
viewed the accolade as a testament
                                           quality. Accordingly, we increased    success will not be built on moving     videography better than ever –              parties and gatherings to celebrate
to the quality of our cameras and
                                           the warranty period on our            away from products and hardware,        even a two-year-old knows how to            the joy of instant sharing and living
other products, and the people who
                                           Mirrorless, DSLR, Digital Video       but rather from “finding where          take a photo or video. To capitalise        in the present.
represent our brand. We were
                                           Camera and Lens product ranges        those products should live”.            on this trend, we are focused on
named the seventh most trusted
                                           to five years.                                                                explaining the difference between a
brand overall surveyed in the                                                    Spannari says that industries like
20th Reader’s Digest annual survey                                                                                       real camera and a communications
                                                                                 social media and streaming will         device that takes photos.”
for the third consecutive year, and                                              require “the kind of content which
the Most Trusted Brand in the                                                    can only be produced on quality         Finally, we launched a new logo and
Digital Camera category. This was                                                hardware”. She notes that expert        rebrand for our mini photo printer
an outstanding achievement for the                                               content creators, like Instagram        series, together with our first instant
Canon New Zealand team.                                                          influencers, are transitioning          camera. The rebranded Inspic line,
                                                                                 away from smart phones and              whose name is a contraction of the
                                                                                 back to cameras to gain a               words ‘inspiring pictures,’ and the
                                                                                 competitive advantage.

Canon Oceania Sustainability Report 2020                                                          24
02

                                                Transforming Business
25   Canon Oceania Sustainability Report 2020
Leveraging our
                                                                                             Combined Capabilities

                                                                                                                                              E
                                                                                                                                            AG
                                                                                           Cloud leadership – agile and secure

                                                                                                                                          ER
                                                                                                                                       LEV
                                                                                           • 1st to innovate with private cloud
                                                                                           • 1st to offer dual replication with no
                                                                                             inconsistency via ‘Cloud Metro’
                                                                                           • 1st to offer Azure Stack as a service

 The only constant is change. Canon
 consistently evolves and learns to offer you
                                                                                             Business Process
 a business partner who is an expert in their                                                Offshoring that Works
 craft, so you can focus on yours.
                                                                                           • 1,000-strong offshore team with high
                                                                                             performance culture
                                                                                           •
Uniting our Region
                                                                                                   Under One Banner

                                                                                   CO
                                                                                     NS
                                     Consolidating                                               • We unified Converga Australia, Converga New

                                                                                       OL
                                                                                                   Zealand, the Canon Business Service Centre

                                                                                         ID
                                     for the Future

                                                                                           AT
                                                                                                   and Harbour IT into this single business unit
                                                                     13 percent revenue

                                                                                             E
     88 percent                                                         growth in CBS            • Our operations in the Philippines were also
customer satisfaction                                                     over 2019                consolidated into a single entity and renamed
                                                                                                   Canon Business Service Centre Philippines

             88%
                                 , Created Tog                         13%
                                                                                                   (CBSC)
                                r             e
                              te
                                                        th
                          t
                        Be

                                                          er

                                                                     Connecting
  Building on our                                                    People with
    Reputation                                                       Technology
                                                                                                   Letting our Customers
                                                                                                   Focus on What Matters
                                                                                                 • Optimising business operations through our
                                                                                                   holistic and seamless approach
                                                                                                 • Providing Direct Specialist Access across
                                                                                                   operations, support and service delivery
                        Commercialised Robotic Process Automation,
                            Machine Learning and numerous                                        • Delivering flexible solutions with scaling
                            Artificial Intelligence technologies                                   options with our Built-to-Scale Philosophy

                                                         E
                                                ENHANC

                                                                                           27                        Canon Oceania Sustainability Report 2020
03

 Canon Oceania Sustainability Report 2020   28
03 Acting Responsibly
                              We believe that acting responsibly across
                              the business is more than just the right
                              thing to do – it’s the smart thing to do.                                  Sustainable      11: Sustainable
                                                                                                         Development      Cities and
                              Applying our kyosei philosophy to our                                      Goals (SDGs)     Communities

                              work – living and working together for the
                              common good – preserves and enhances
                              our social licence to operate.

                                                                                                                                                    03

                                                                                                                                                  Acting Responsibly
                              Canon Oceania                        Canon Oceania                Canon Oceania

                              ISO27001                             5,000                        COVID-19
                                                                                                PREPAREDNESS
                              Information Security Certification   votes submitted for the      during 2019 we revised and
                              extended to cover all business       Grants Program finalists     integrated our critical incident
                              services in Canon Australia and      across Oceania               plans and business continuity
                              Canon Business Services                                           plans, meaning we were able
                                                                                                to continue operations across
                                                                                                our three geographies

 hoto credit: Colin Baker,
P
Canon Group Employee.         Canon Australia                      CBSC Philippines             Canon Inc.

                              $ 10,000                                                          CSR
Taken on a Canon 1Dx.                                              CIRCLE OF
                                                                   EXCELLENCE FOR
                              donated to the Salvation Army
                              bushfire disaster appeal
                                                                   CSR COMPANY OF
                                                                   THE YEAR
                                                                                                GUIDELINES
                                                                   awarded by World Vision at   for suppliers published
                                                                   the Asia CEO Awards 2019

                                                             29                                        Canon Oceania Sustainability Report 2020
Acting Responsibly
 2020
 OBJECTIVES
                                                                                                          At Canon Oceania,                      and mapping potential                    part-time Canon Oceania Group
                                                                                                          we believe that acting                 environmental, social and                employees for several years. With
                                                                                                                                                 governance (ESG) risks in our            so many lives and properties
                                                                                                          responsibly across the
                                                                                                                                                 supply chains, with a current            impacted, every volunteer’s
                                                                                                          business is more than just
                               2019 performance

                                                                                                                                                 focus on addressing possible             contribution was critical. It was

                                                                          2020 objectives
                                                                                                          the right thing to do – it’s the
2019 objectives

                                                                                                                                                 gaps in 2020.                            equally as critical for us to support
                                                                                                          smart thing to do. Applying                                                     and enable their efforts.
                                                                                                          our kyosei philosophy to our
                                                                                                                                                 Translating a Global                     Our support for Australian
                                                                                                          work – living and working
                                                                                                          together for the common                Promise into Local                       firefighters has been a key part of
                                                                                                                                                                                          our local outreach activities for
                                                                                                          good – preserves and                   Action                                   many years. In 2018, Canon
                                                                                                          enhances our social licence                                                     Australia was recognised by the
   Implement framework                            Group collaborating         1. 	Centralise the         to operate.                            Our kyosei philosophy doesn’t just       NSW Rural Fire Service as one of
   for managing corporate                         with industry                   governance and                                                 involve Canon’s initiatives. It’s also   a handful of companies that had
   social responsibility                          to identify best                management of the       In practice, it includes maintaining   about empowering and enabling            been especially supportive of
   risks in regional supply                       practise and key                Group’s corporate       the high operational standards and     our people to contribute in ways         bushfire efforts.
   chain including modern                         risk areas, building            social responsibility   transparency that have always          that matter to them. For example,
   slavery and other                              our CSR framework.              activities.             been associated with the Canon         the 2019/20 bushfires were a             Indeed, Canon employee and
   human rights issues.                           Policies are being                                      brand, to serve the interests of our   catastrophic event felt deeply           Hawkesbury RFS volunteer Glen
                                                                              2. C
                                                                                  ontinue our work in    employees, business partners                                                    Webster nominated us for a
                                                  streamlined.                                                                                   across many communities. Fighting
                                                                                 our regional supply                                                                                      Supportive Employer Special
                                                                                                          and local communities.                 the fires across large parts of New
                                                                                 chain, including                                                                                         Commendation. “I would like to
   Ensure our Group-                              Harmonising                                                                                    South Wales, Victoria, Queensland
                                                                                 modern slavery and       As we continue to grow across                                                   recognise the efforts of family,
   wide health and safety                         processes between              other human rights                                              and the Australian Capital Territory
                                                                                                          geographies, the reach of our          was unrelenting and dangerous            friends and co-workers who step
   management system                              business units to              issues.
   meets ISO 45001. Group                         manage risk. Canon                                      kyosei philosophy grows too. In        work, made all the more                  up and allow volunteers to go to
   certified to ISO 45001 by                      Australia prepared          3. Continue our work       2019, the CBSC team in the             remarkable by virtue of the              the fireground,” Glen said. “Without
   2021. Standardise health                       for ISO 45001. CBS             in harmonising           Philippines was awarded a coveted      firefighters’ volunteer status.          their support, volunteering would
   and safety reporting                           and CNZ to follow              risk management          Circle of Excellence of the World                                               be that much harder, so a big thank
   across the Group.                              in 2021.                       systems.                 Vision CSR Company of the Year,        In response, we donated                  you goes out to my friends and
                                                                                                          based on our contribution to the       $10,000 to the Salvation Army            colleagues at Canon who have
                                                                                                          Kanlungan sa Er-Ma Ministry            Disaster Appeal. Employees who           always offered their support.”
   Develop a Group social                         ‘Global commitment,
                                                                                                          (KSEM) children’s shelter.             were volunteering to fight the fires
   contribution strategy.                         local plans’. Focus                                                                                                                     Glen was again on the front line
                                                                                                                                                 also took advantage of our
                                                  areas agreed. Over                                      At the same time, there is always                                               fighting the Mt Gosper mega-blaze
                                                  3,900 volunteer hours                                                                          Community Service Leave that has
                                                                                                          room for improvement. We are           been available to all full-time and      near Colo Heights, north-west of
                                                  and more than 400
                                                                                                          working on better understanding                                                 Sydney, in December 2019. Our
                                                  people support local
                                                  plans in the Philippines.
                                                                                                                                                                                          community service leave policy

   Canon Oceania Sustainability Report 2020                                                                              30
allowed him to work flexibly from
home during periods of heightened
                                         These plans stood us in good stead
                                         when the COVID-19 arrived,
                                                                                  At the global level Canon has robust
                                                                                  processes in place to manage
                                                                                                                          Work Health and
concern so he could be there for his     providing us with a strong               human rights risks, and these are       Safety
community when needed.                   foundation to continue operations        outlined in the Corporate Social
                                         across our three geographies. Each       Responsibility and Supply Chain         We are committed to providing a
We are proud of Glen and the rest        part of the business was able to         Management sections of the Canon        safe, fair and equitable working
of our employee volunteers and           take early and effective action,         Inc. Sustainability Report.             environment for all our employees,
take this opportunity to thank them      which will assist us in weathering                                               partners and customers. In 2019,                                                     03
again for their bravery and              the challenging economic outlook         In Australia, we are working with       we focused on standardising the
dedication in the face of some                                                    others in our industry, through the

                                                                                                                                                                                                             Acting Responsibly
                                         that has arisen as a result of                                                   reporting of health and safety
of the most devastating bushfires        the virus.                               NSW Government Sustainability           hazards and incidents across all
ever seen.                                                                        Advantage Program and through           Group companies, and sought to
                                         Indeed, the disruption caused by         adherence to Standard ISO 20400         implement the international                “We work
                                         COVID-19 is a salutary reminder          Sustainable Procurement –
Addressing Supply                        of the value of addressing supply        Guidance to match our suppliers
                                                                                                                          standard ISO 45001 uniformly
                                                                                                                          across the business.
                                                                                                                                                                      collaboratively
Chain Risk                               chain risk, and the benefits that flow   against a matrix of industry                                                        with our strategic
                                         from focusing on the reduction or        categories and CSR issues such as       Our existing certification to AS NZS
As well as supporting our                elimination of negative                  human rights, labour practices, fair    4801 will be upgraded in 2020 and           suppliers through
communities in hard times, Canon         environmental and social impacts
                                         that may arise from our operations.
                                                                                  operating practices, health and
                                                                                  safety and the environment.
                                                                                                                          certification will be extended to
                                                                                                                          cover all sites and activities across
                                                                                                                                                                      the development
Oceania recognises that the future
is unpredictable, as the COVID-19                                                                                         the group in 2021 and 2022. Further         of strong working
                                         We still have more to do to future-      Based on whether risks are ranked       information about our health and
epidemic has demonstrated. While
                                         proof our supply chain, but we are       high, medium or low in the matrix,      safety performance across the
                                                                                                                                                                      relationships and
we don’t know what will happen
next, we need to be nimble,
                                         on the right track.                      we implement a range of strategies      group is included in the Social             together we work
                                                                                  ranging from simple contract            Fact Book.
strategic and prepared for whatever
may eventuate. With preparedness
                                         In addition, during the year in          requirements to direct engagement                                                   to understand the
                                         review we continued to work on
in mind, during 2019 we revised and      evaluating the human rights risks
                                                                                  and audits where higher risks are
                                                                                  identified. For the categories health
                                                                                                                                                                      potential risks
integrated our critical incident plans
and business continuity plans
                                         in our supply chain. This included       and safety, environment, and                                                        and the best way
                                         preparing for the release of a
to reflect the changing nature of        modern slavery statement in
                                                                                  quality, we are well advanced in
                                                                                  managing our supply chain risks.
                                                                                                                                                                      to mitigate them.”
our business.                            accordance with the Australian           We are still in the process of
                                         Modern Slavery Act 2018, in                                                                                                  Ama Aidoo-Sam, Strategic
                                                                                  identifying problem areas and
                                         mid-2021.                                appropriate mitigation strategies                                                   Procurement Manager
                                                                                  in other categories.                                                                – Canon Oceania.

                                                                                                   31                                                             Canon Oceania Sustainability Report 2020
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