Materiality
DNP identifies materiality to realize the “better future” it envisions.
DNP's vision for a "better future" and its materiality
Based on the Corporate Philosophy, the DNP Group aims to realize “a sustainable, better society and well-being lives" as a sustainable management concept and is taking the initiative in conducting business activities to create a “better future.”
To realize the four interrelated societies that it aims for as a “better future,” in March 2024 DNP identified materiality as important for it to continuously grow together with society by specifying what DNP should do and what value it will create with an eye toward 2030-35.
The DNP Group continuously takes a long-term view and will conduct business activities to create a “better future” based on the Corporate Philosophy. DNP has clarified the four societies that only DNP can realize and the key issues (materiality) for priority resolution and will continuously take on the challenge of value creation that connects people and society.
Process for Identifying Materiality
We comprehensively grasp social issues and mega-trends related to the environment, society, and economy, and identify and evaluate medium- to long-term risks (variables) in DNP's business activities, as well as identify and prioritize social issues that are highly important for DNP and society stakeholders.
A society where people can live safe, secure, healthy, and fulfilling lives
Materiality
The DNP Group boosts environmental, social, and economic sustainability by engendering change of our own volition, as well as accommodating change that comes our way with a flexible stance.
Priority areas for value creation
Developing social environments that enable well-being lives
Building social and information infrastructure that supports safety and security
A society that enables effortless communication
Materiality
The DNP Group improves the quality of experiential value and expands on opportunities for everyone by fusing the real and the digital.
Priority areas for value creation
Providing information tailored to each individual
Enhancing experiences through next-generation technologies
A society where people respect each other
Materiality
The DNP Group strives to create a place where all the people can play an active role by deepening mutual understanding and mutual recognition.
Priority areas for value creation
Creating opportunities for everyone to participate
Ensuring globally accessible information
A society that balances economic growth with environmental sustainability
Materiality
The DNP Group works to achieve nature-positive value chains by engaging in environmental conservation and reducing negative environmental impacts.
Priority areas for value creation
Building systems that balance convenience and environmental consideration
Supporting sustainable economic growth through efficient use of resources
A system of value creation starting from materiality
Based on its materiality, DNP promotes business strategies, financial strategies, non-financial strategies, and risk management, while monitoring the results through KPIs, aiming to achieve sustainable growth and enhance corporate value.
| Business strategy (value creation) | Expanding focus businesses and promoting structural reforms |
|---|---|
| Financial strategy (value creation) | Strengthening the cash allocation strategy |
| Non-financial strategies (strengthening business base) |
Strengthening human capital |
| Strengthening intellectual capital | |
| Environmental Initiatives | |
| Risk Management (Minimizing potential negative impacts) |
Supply chain management, information security Respect for human rights, thorough compliance. |
Key Initiatives and KPIs for Achieving Materiality
DNP develops materiality-based strategies into concrete priority measures, promoting business area of focus and strengthening management foundations in an integrated manner. By continuously monitoring the progress of each priority initiative through KPIs, we aim to create value for the four societies we aim for as a "better future," while also contributing to sustainable growth and enhancement of corporate value.
Value creation through business
Smart Communication
| Policies | Main Initiatives | Materiality |
|---|---|---|
| Information security |
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| Photo imaging |
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| Key KPIs (2026-2028 Medium-Term Management Plan) | ||
| Operating profit +10 billion yen; Operating profit CAGR 8% | ||
Life & Healthcare
| Policies | Main Initiatives | Materiality |
|---|---|---|
| Mobility & Living related |
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| Industrial high-performance materials |
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| Key KPIs (2026-2028 Medium-Term Management Plan) | ||
| Operating profit +8.8 billion yen; Operating profit CAGR 7% | ||
Electronics
| Policies | Main Initiatives | Materiality |
|---|---|---|
| Digital interfaces |
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| Semiconductors |
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| Key KPIs (2026-2028 Medium-Term Management Plan) | ||
| Operating profit +14.3 billion yen; Operating profit CAGR 9% | ||
Strengthening the foundation that supports value creation
| Policies | Main Initiatives | Materiality |
|---|---|---|
| Human Capital |
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| Key KPIs (2026-2028 Medium-Term Management Plan) | ||
| Human capital investment of approximately 35 billion yen; Engagement survey score (challenge score) +10% or more. ratio of female managers 15% (FY2030) |
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| Policies | Main Initiatives | Materiality |
|---|---|---|
| Intellectual capital |
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| Key KPIs (2026-2028 Medium-Term Management Plan) | ||
| R&D investment of approximately 120 billion yen; completion of standard implementation of generative AI; advanced user retention rate of 50%. | ||
| Policies | Main Initiatives | Materiality |
|---|---|---|
| Environment |
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| Key KPIs (2026-2028 Medium-Term Management Plan) | ||
| By FY2030, reduce GHG emissions by 40% compared to FY2019 Achieve resource circulation rate of 70% Reduce water usage by 30% | ||
| Policies | Main Initiatives | Materiality |
|---|---|---|
| Risk management |
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| Key KPIs (2026-2028 Medium-Term Management Plan) | ||
| Zero serious accidents | ||
*Environmentally friendly products and services are those certified based on DNP's "Development Guidelines for Environmentally Friendly Products and Services." Super Eco-Products refer to those that have received particularly high ratings.
Results and progress for each indicator and target in fiscal year 2025 are described on each theme's page, along with the latest initiatives.
Strengthening human capital
Strengthening intellectual capital
Environmental Initiatives
Risk management
The Integrated Report (PDF version) introduces DNP's efforts to realize a "better future," including the main strategies of each business segment.