RATING
Outlook
Positive
SECTOR
Communications Technology
Chief Sustainability Officer
T: N/A
E-mail: N/A
Stock Exchange and Ticker
Tokyo Stock Exchange: NTT
Website
Contact
T: +81 368385111
E.mail: N/A
Listing
Awards
- 2021 CDP Award – Supplier Engagement Leader
- Gold status in PRIDE Index 2021
- Listed on the A List of the CDP Climate
Revenue
Market Capitalisation
Employees
Content source
NTT Sustainability Report
Evaluation of NTT
The NTT Group Sustainability Report includes mainly information recorded between April 1, 2021 to March 31, 2022, but certain activities implemented after March 31, 2022 and the outlook for the future, were also included in the report. Furthermore, the NTT Group obtained third-party assurance from Sustainability Accounting Co., Ltd. with regard to indicators for the fiscal 2021 results of “Improving prosperity for all people and cultures” and “Maximising well-being for all,” and for the indicators of CO2 emission volumes (Scopes 1, 2, and 3), waste disposal volumes, and water intake (clean water) within the fiscal 2021 results of “Ensuring the positive coexisting of nature and humanity”.
The report is very comprehensive, includes goals, targets as well as measures and projects that will contribute to achieving the sustainability targets. Sustainable Development Goals (SDGs) are highlighted in the nine challenges that NTT Group identified as mandatory to address in order to achieve sustainable development of the Group, but also contribute to a sustainable society.
Important to note is the detailed data on the GHG emissions including the sources of emissions, but also the areas the group aims to address in order to achieve carbon neutrality by 2040. Examples of projects at the group level that address reductions of CO2e emissions include installations of energy-saving 5G base stations, construct and operate optical fibre networks (FTTH) to reduce electricity used, invest in data centre to achieve a Power Usage Effectiveness (PUE) of less than 1.5 etc.
When it comes to assessing the supplier’s sustainability efforts, specifically the supply chain activities that affect climate change, NTT Group has been selected by the CDP as the highest “Supplier Engagement Leader” in the “Supplier Engagement Survey”.
Information about governance of the sustainability efforts at NTT Group can be found throughout the report to provide a high level of transparency for the actions and metrics, as well as for the teams responsible with providing the data.
The report also includes very detailed information when it comes to social aspects, from diversity and inclusion, to employees’ training, supply chain management and community involvement. There are targets, but measured progress is lacking. However, there are plenty of examples to show how the NTT Group engages its employees and with the community.
When it comes to Certificates and Awards, very scarce data, which makes the evaluation of the Human Rights and Employment Quality to be based only on the data found on the report.
When it comes to standards, NTT Group follows the Global Reporting Initiative, the emission targets have been approved by the Science Based Target Initiative, and also the company has completed the CDP Questionnaire for Climate Change and the Task Force on Climate Related Financial Disclosures.
Overall, NTT Group has achieved a B sustainability score, but in order to get an A, it will be important for them to include more quantitative data against the targets and obtain more certificates and awards. The Outlook is also Positive.
Sustainability Scorecard
NTT Company Activity
Since 1952, NTT Group has developed a wide range of technologies and services, and has been delivering infrastructure for services like mobile phones, internet and cloud computing. The company operates in five business segments namely, Mobile Communications, Regional Communications, Long Distance and International Communications, Data Communications and one other segment that includes real estate rentals, financial business, system development and other services related to research and development. It serves various industries such as government agencies and municipalities, manufacturing, healthcare and life sciences, automobile, banking and financial institution, electronics and high-tech field, insurance, transportation and logistics, telecommunication, media and entertainment, wholesale, retail, education, service, energy and utility, fundamental technologies, natural resources, and consumer products. The company is headquartered in Tokyo, Japan.
NTT Sustainability Activity - As per company declarations
At NTT Group the sustainability approach is guided by the United Nation Sustainable Development Goals (SDGs). Through a materiality assessment, the Group identified the areas where people, operations and solutions can have the greatest impact across three interconnected themes of planet, economy and communities: (1) ensuring a positive coexistence of nature and humanity to solve environmental issues as well as to achieve economic growth; (2) improving prosperity for people and cultures by accepting diverse, inclusive while aiming to build a better society and create value; (3) maximise well-being for all by respecting human rights and encouraging diversity. Furthermore, three initiatives are to be pursued to ensure that the NTT Group delivers new experiences and value to customers: (1) create better customer experience, (2) decarbonize through technology, (3) maintain connectivity with infrastructure and critical IT systems even in the event of major disaster.
Certificate & Labels, Standards and Frameworks
- Comprehensive Assessment System for Built Environment Efficiency (CASBEE)
- Building-Housing Energy-efficiency Labelling System (BELS)
- ZEB Ready
- GRI Sustainability Reporting Standards
- Environmental Reporting Guidelines 2018, Japan Ministry of the Environment
- ISO 26000: Guidance on Social Responsibility
- Task Force on Climate-Related Financial Disclosures (TCFD)
NTT in the news: Press Reviews and Social Media
No articles relevant to assess the sustainability of NTT Group.
Highlights from NTT Sustainability Report
Achievements
- The following items have been added as key financial indicators, with compensation of members of the Board and audit & supervisory Board members linked accordingly:
- “Carbon neutrality” as an indicator for environmental issues
- “B2B2X earnings” as an indicator for resolving social issues
- “Ratio of women newly promoted to management positions” as an indicator for human rights, diversity and inclusion
- 97.8% Recycling rate
- 77.3% ratio of remote work
- 29.1% ratio of women newly promoted to management positions
- 100% ratio of direct dialogue with critical suppliers
- In 2021 the Science Based Targets Initiative (SBTi) approves NTT Group’s FY2030 GHG reduction target
- Although there was a slight decrease in the waste recycled, NTT Group is close to achieve the 99% rate of recycling waste set for 2030
Targets vs Progress Reported
| Target | Results reported |
|---|---|
| Carbon Neutrality by 2040 | - The entire NTT group experienced a 38% reduction in GHG emissions compared with FY 2013 - The Mobile (NTT DOCOMO) recorded 1.25 million t of CO2e emissions in 2021 , down from 1.41 million t in FY 2013 - The data Centers recorded 0.45 million t of CO2e emissions in 2021, down from 1.05 million t in FY2013 |
| 80% reduction in Greenhouse Gas Emissions by 2030 (2013 baseline) | - 38% reduction of GHG emissions in 2021 ( compared to FY2013) from switching to renewable energy sources (approx. 23% of power consumption, approx. 150% compared year-on-year) |
| Achieve 100% ratio of EV adoption in Japan by 2040 and 50% ratio by 2025 | - In 2021 the EV adoption in Japan was at 15%, up from 8% in 2020 |
| Improve by 10 times (compared to FY2013) the power efficiency per data transmission of telecommunications services | - In 2021 the power efficiency was improved by 7.1 times, up from 6.2 in 2020 |
| Recycling Rate of 99% or higher (2030) | - In 2021 at 97.8%, down from 98.4% in 2020 - Currently, all components other than optic fibres are completely recycled (99% of total volume) |
| Promote the appointment of females as managers and Board members and enhance various support and training programs: > Newly appointed managers: 30% every year > Managers: 15% in FY2025 > Board members: 25% to 30% in FY2025 |
> 29% > 8.7 > 17.7% |
| Aggressively hire foreign employees and outside personnel: Mid-career hires of outside personnel: 30% in FY2023 | > 32.5% |
| Expand job-based personnel system to all management positions | - Introduced in October 2021 |
| Promote self-guiding career formation for general employees (revision to specialisation-based personnel compensation system) | - New system to be introduced in April 2023 |
| From FY 2022 decentralised organisation from metropolitan areas to regional areas (core cities) | - Began trial in October 2022 |
UN SDGs Compliance Analysis
Progress made toward SDG targets
As reported by NTT
Reforming working styles while paying consideration for the health of employees as well as their families and partners:
- 70% Remote work ratio by FY2022
- Zero Number of accidents causing injury or death during construction work
- Improvement in employee satisfaction compared to previous year (engagement rate)
- Zero amount of paper used by 2025
- In addition to Group training and on-the-job training, NTT provides many other opportunities for employees including e-learning, distance learning, in-house certification of skill levels, and support for external qualifications:
- NTT University
- Group leader development program
- MAC Management Workshop
- Global Leadership Development Program (GLDP)
- Leadership Excellence and Accelerating Diversity (GLDP – Lead)
- “NTT DATA Academia” launched in fiscal 2020 for elementary school students in regional communities, creating inquisitive minds toward IT and society amongst children, and nurturing children’s capacity to act independently through experiences with IT
Create workplaces where a diverse range of employees can achieve their full potential:
> 30% Ratio of women newly promoted to management positions
> 15% Ratio of women in management roles by 2025
> 25–30% Ratio of female directors by 2025
> 30% Ratio of outside personnel by 2023
- Took part in TOKYO RAINBOW PRIDE
- Sponsor of Pride House Tokyo
- Yearly training by LGBTQ people, to deepen understanding and provide the correct knowledge of LGBTQ issues for staff newly promoted to management positions
- Work towards eradicating human rights violations, while developing a lively employee-friendly work environment to suit a diverse range of personnel:
- 100% Human rights training and attendance
- 0 Number of confirmed cases of human rights violations
- 100% Ratio of direct dialogue with important suppliers
- NTT DOCOMO provides Green 5G services from power sources free of GHG emissions,including solar-powered green base stations and renewable energy (corporate PPA) generated by solar panels installed specifically for DOCOMO
- NTT DATA provides C-Turtle, a GHG emissions visualisation platform
- NTT DATA is the only company in Japan licensed to use CDP’s corporate emissions data
- Established NTT Space Environment and Energy Laboratories for regenerating the global environment and achieving a sustainable and inclusive society
- Indoor direct-current power supply technology is being developed for outdoor use with the aim of achieving a high-resilience, autonomous, decentralised, and coordinated energy network
- Practical applications of technology that reduces CO2 in the atmosphere or water, are being developed, covering artificial photosynthesis achieved with semiconductor technology and catalyst technology, as well as technology that maximizes the capabilities of plants and algae
- Research into high-precision forecasting of areas prone to lightning strikes, employing lightning control technology so that drones trigger lightning strikes, and then lightning charging technology to store the energy from that lightning
Yearly training for senior managers of NTT Group in Japan and overseas to foster leadership among managers aiming to move to higher positions:
- More than half of the participants are female
- Emphasizes diversity and innovative culture as organizational capabilities of topmost importance
- n fiscal 2021, 42 employees from nine countries underwent this training
Make full use of technology to keep people safe and secure from epidemics, natural disasters, digital disasters like cyber-attacks, and achieve a more resilient society:
- Zero cases: major accidents
- 99.99%: stable service provision rate
- Zero cases: service suspensions due to cyber attacks
- Zero cases: major personal data leaks
Act and contribute to helping resolve social issues unique to each country to generate new value that will extend to future generations:
- Protect and respect for Intellectual Property
- Contribute to the revitalization of local communities and economies
Promote the 3Rs (reduce, reuse, and recycle) to reduce the amount of materials consumed by business activities and reuse or recycle the resources that are consumed:
- In fiscal 2021, collected about 3.23 million mobile phones in Japan
- Plastic parts of telecommunications equipment are used in a closed recycling system in which similar types of disposed covers are recycled into plastics to manufacture new products.
- Seeking to abolish the use of plastic packaging materials for devices used at customers’ homes when connecting optical lines such as optical network units (ONU) and home gateway (HGW) units
- Hazardous waste includes asbestos contained in waste generated from construction work, waste such as transformers and condensers containing PCBs, and lead batteries which are disposed in compliance with the Waste Management and Public Cleansing Law (Waste Disposal Law) as well as other laws and regulations,
- NTT Group does not have a record of disposing of such waste in foreign countries.
The NTT Group is reducing its consumption of tap water, and implementing thorough measures against leakages of chemical substances into wastewater
- Due to the nature of the NTT Group’s business, little water is consumed in operations
- NTT Group reduces its consumption of tap water by using recycled wastewater and rainwater
- Research centers with usage of chemical substances in research activities implement individual measures against leakages of chemical substances into wastewater
- Regularly monitors the quality of wastewater to confirm that it is within legal regulation values. The NTT Group has not been involved in any significant spills
Carbon Neutrality (2040) – committed to initiatives that reduce greenhouse gas emissions:
- Promoting energy conservation
- Reduction of power consumption by introducing IOWN technologies
- Developing and expanding the use of renewable energy
- Providing new services that contribute to carbon neutrality
- Creation of innovative environmental energy technology
- Resolution passed at the Executive Committee meeting in May 2022 to gradually implement an “Internal Carbon Pricing System”
Promote initiatives related to conserving ecosystems within nature:
- Thoroughly implementing environmental assessment
- Contributing to natural ecosystem conservation
Set high ethical standards for NTT Group and share them with business partners:
- 100%: participation rate of corporate ethics policy training (annual)
- Zero cases: illegal actions involving anti-competitive behaviour or bribery
- Teamed up with Euglena Co., Ltd. to begin a proof-of-concept for seaweed growth technology by using neutron beams to reduce GHGemissions or create energy resources
- Member of the Joint Alliance for CSR (JAC) that involves conducting CSR audits of ICT suppliers around the world
- Partnership with OryLab, to get access to OriHime, a robot that can be controlled remotely by people who have disabilities
Joined The Valuable 500, an international initiative to promote the participation of people with disabilities in business
Sustainability Certificates, Awards and Listings
