The JAL Group strives to solve social issues through its business and contribute to the realization of a sustainable society.
In accordance with the JAL Group Corporate Policy to “Pursue the material and intellectual growth of all our employees; Deliver unparalleled service to our customers; and Increase corporate value and contribute to the betterment of society,” we are working to maximize economic value (business profit) and social value (contribute to solving social issues). We will flexibly adapt to changes in the environment, increase economic value through sustainable corporate growth, and contribute to creating a sustainable society where everyone can live a safe, secure and comfortable life.
The world is faced with various challenges such as climate change, resource shortage, demographic transition and rapid urbanization. The JAL Group recognizes that global response to climate change is a critically important issue. Extreme weather events, increasing natural disasters and rising average temperatures will not only have a major impact on our business but also lead to aggravation of social issues such as hunger and poverty. With this recognition, it is the duty of companies to steadily implement measures to combat climate change such as reducing CO2 emissions.
Strengthening measures on global infectious disease threats is another important issue to address. We will do our utmost to prevent the spread of infectious diseases and strengthen business continuity management (BCM) in order to maintain operations as social infrastructure and ensure the safety of our customers and employees.
Advancements in technology are expected to accelerate the diffusion of digital technology such as teleworking and online education and healthcare.
The JAL Group will flexibly respond to the rapidly changing business environment, build flexible and risk resilient management systems and strive to solve social issues through its business operations.
Actions Taken So Far
The JAL Group established a basic policy on sustainability and a promotion system in order to fulfill its corporate social responsibility (Phase 1). Aggravating events that are a threat to a sustainable society such as demographic changes and global climate change have led us to accelerate our efforts. We therefore took steps to raise employee awareness, defined sustainable development priorities and reflected them in our business strategies in order to solve social issues through our business operations (Phase 2.3).
- Established the JAL Group’s Basic CSR Policy and set up the CSR Committee (2013)
- Established the Supplier Code of Conduct (2016)
- Established material issues (materiality); Coexistence with the Earth, Contribution to Regions and Nurturing the Next Generation, and promoted initiatives (2017)
- Penetrated the SDGs in the JAL Group through staff education, newsletters and briefings by the officer overseeing the SDGs (total 28 sessions/1,331 participants)
- Announced the direction of ESG management to achieve the SDGs in the Medium Term Management Plan and initiated measures to solve social issues through our business operations
- Established the JAL Group Code of Conduct (Commitment to Society)
- Started progress management of non-financial targets
- All officers drafted SDGs initiatives for their responsible business and put them into action
- Established long-term strategies to realize sustainability through Group-wide efforts
Priority Areas/ Materiality
To solve social issues and achieve the SDGs through our business, in FY2019 we established a medium- to long-term policy on achieving sustainability through the following process.
(1) Increase knowledge
Based on our stance that Group-wide action should be taken to achieve the SDGs rather than action by specific departments, we initiated internal studies to achieve all 17 SDGs, while referring to ATAG* Guidelines that introduce SDGs initiatives in the aviation industry.
SDGs initiatives have begun in all divisions, from operations-related frontlines to Head Office back offices.
* ATAG (Air Transport Action Group): a non-profit organization in the aviation industry.
To promote Group-wide action, all officers sorted current measures and created new plans with the aim to contribute to the 17 goals/169 targets of the SDGs in their responsible businesses.
To facilitate planning with an understanding of the current situation of the JAL Group, a workshop was held, where the officers held discussions, deepened mutual understanding and affirmed the course that the JAL Group should take.
Photo taken in August 2019
(2) Define priorities
To achieve the SDGs, approximately 420 initiatives submitted by JAL divisions were divided into categories based on discussions and recommendations of the Board of Directors. Four key areas of action were established, that is, the Environment, People, Regions and Governance, and 22 issues were identified in each area.
In June 2020, taking into account the spread of the new coronavirus, "prevention of infectious diseases” was added as an urgent and important issue for airlines.
(3) Decision and Incorporation
Initiatives for each of the four priorities and 22 issues were decided and incorporated in measures by each division. Specifically, initiatives were decided based on initiatives proposed by each division, with reference to applicable domestic and international laws, industrial targets, questions set by DJSI and FTSE, and other materials. Then quantitative targets for 2023 and 2030 were created for each initiative.
We reflected requests from society regarding the issues to be solved, the level of action and goals by reflecting dialogue with outside experts.
Numerical targets and KPIs for initiatives of each of the 22 issues were established in accordance with the medium- to long-term policy on sustainability. The PDCA cycle is implemented under the following promotion system.
Progress Management Method
- Managing departments were appointed for each initiative to manage numerical values.
- The ESG Promotion Department compiles results every six months, shares progress with officers and holds discussions with the Group Management Council*1.
- The Sustainability Promotion Committee*2 (Secretariat: ESG Promotion Department) checks progress and holds discussions with relevant officers at meetings.
*1: Directly reports to the President, shares progress and discusses Groups strategies defined in the Medium Term Management Plan.
* 2: A steering committee which implements PDCA to promote SDGs initiatives, composed of officers of General Affairs, Corporate Planning, Procurement, Product and Service Planning, and Human Resources. Other officers are called to the meeting depending on the agenda.
JAL Group Code of Conduct "Commitment to Society"
In July 2019, the JAL Group Code of Conduct "Commitment to Society" was established as concrete behavioral guidelines to be observed by all officers and employees to achieve the SDGs. The JAL Group will take steps to deepen staff understanding and compliance at training for new employees, training for new managers and e-learning for all employees.
Establishing the Code of Conduct
- The Ten Principles of the UN Global Compact and the Keidanren Charter of Corporate Behavior were used as a reference in establishing the Code of Conduct.
- The Code of Conduct is composed of principles on business activities such as safety, pursuit of customer satisfaction, trust with stakeholders, fair business practices, respect for human rights, D & I, the environment and responsibility and mission as a member of society.
- To promote compliance, a policy, regulations and action plan were established for human rights, anti-corruption, the environment and customer satisfaction, and results and issues are disclosed through PDCA.
- We aim to meet social needs and deal with issues by strengthening the check function through communication with external stakeholders