Environmental and Social Report

Introduction *Mitsubishi Fuso Truck and Bus Corporation is referred to in this report as “MFTBC.”

Editorial Policy Mitsubishi Fuso Truck and Bus Corporation (hereafter referred to as “MFTBC”)

Corporate Outline Logo

makes and sells trucks and buses - which by their nature in truck with the public. MFTBC has published the “Environmental and Social Report ” to disclose to its stakeholders its efforts to protect the environmental and contribute to society.

Period This report basically covers the one-year period from January 1st to December

Company name

31, 2011. However, activities based on legal and industry requirements are

Mitsubishi Fuso Truck and Bus Corporation

reported according to actual performance in the one-year period from April 1,

Established

2011, to March 31, 2012.

January 6, 2003

Scope

Head office 1-1-2, Kashimada, Saiwai-ku,

This report mainly describes MFTBC’s environmental and social activities in Japan. Environmental activities include reductions in environmental impact

Kawasaki-shi, Kanagawa,

and other environmental protection activities in each business segment - from

Japan 212-0058

developing and designing of our trucks and buses, to procurement, production, logistics, sales, disposal and recycling.

Capital 35 billion yen

Reference Guidelines

Principal business Development, design, manufacturing, sales, export/import, and

We are trying to increase the content and make our Environmental and Social

other trade activities related to trucks, buses, and industrial

Report easier to understand based on the “Environmental Report Guidelines

engines.

(2007)” issued by the Japanese Ministry of the Environment.

Employees Approximately 12,000 Sales 549.0 billion yen (January - December 2011) Number of vehicles sold 26,959 domestic / 120,694 overseas 147,653 in total (January to December 2011) Website http://www.mitsubishi-fuso.com/ MFTBC thinks something can and should be done for our customers, the entire society and the global environment through our corporate activities, namely, providing “products, human activities and services”. Our corporate activities are described with the phrase “All for You” which shows our willingness to do our best for society, the environment, and all our customers.

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Environmental and Social Report 2012

Contents

Introduction

P.1

MFTBC’s Role in Daimler Trucks

P.3

Top Management Commitment

P.4

TOPICS MFTBC’s New Vision “FUSO 2015”

P.5

The New Canter Eco Hybrid

P.7

The ISO/TS 16949 for complete vehicle manufacturing process

P.10

Environmental Management Environmental Guidelines / Environmental Council

P.11

New Mid-term Plans for Environmental Activities

P.12

ISO 14001 Certification / Emergency Measures and Environmental Incidents

P.13

Environmental Accounting / Environmental Communications

P.14

Environmental Performance Vehicle Lifecycle and Environmental Impact / Research and Development

P.15

Procurement

P.18

Production

P.19

Activities of Overseas Affiliates

P.21

Logistics

P.22

Sales Activities

P.23

Recycling

P.24

Social Responsibility Compliance

P.25

Relations with Customers

P.27

Welfare and Social Activities / Relationships with Local Communities

P.30

Employee-related Activities

P.31

Plant Report (Performance in FY2011)

P.33

Helping to recover from the devastation of Great East Japan Earthquake

P.34

Environmental and Social Report 2012

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MFTBC’s Role in Daimler Trucks

MFTBC and Daimler Trucks MFTBC is an integral part of Daimler Trucks, the world’s largest commercial vehicle manufacturer, and stands alongside MercedesBenz, Freightliner, and BharatBenz, as one of the four main Daimler Trucks brands.

Mercedes-Benz is a world-renowned brand encompassing a comprehensive line of high-performance commercial vehicles. With a strong presence in Europe, Latin America, and the Middle East, Mercedes-Benz continues to define the leading edge of truck technology with advanced safety and environmental systems.

MFTBC’s history dates back to 1932 when the FUSO B46 Bus was produced. Today, the brand is a leader in Asia and the Middle East, with representation around the world. Based by philosophy “All for You,” MFTBC strives to deliver high quality, efficient vehicles to customers. Freightliner Trucks is the leading heavy-duty truck brand in North America, and one of the top medium-duty truck makers. Along with the brands under Daimler Trucks North America’s wing such as Western Star Trucks, Thomas Built Buses, Freightliner Custom Chassis, and Detroit Diesel, Freightliner Trucks provides high-quality products and services under the Daimler Trucks North America commercial vehicles organization. BharatBenz is a new brand established in 2011 for the Indian truck market. Combining Daimler’s DNA with Indian market know-how, BharatBenz trucks are developed and produced to cope with India’s unique road and transport conditions. MFTBC provides across-the-board assistance with vehicle development and production.

MFTBC’s Role in Daimler Trucks

Daimler Trucks Development of hybrid technologies HEV (hybrid electric vehicle) technology competence center MFTBC's proprietary state-of-the-art technology simultaneously achieves fuel economy, environmental performance, and easy driving. An innovative hybrid system combines a diesel engine and electric motors to attain even lower CO 2 emission levels.

Light-duty trucks Light-duty truck development & production Instead of just relying on its reputation for being solid and reliable, MFTBC pays thorough attention to the fundamental requirements for our products, ensuring the sort of quality products needed.

Asia Market Strength Asia pillar MFTBC plays a key role as the Daimler Trucks member responsible for Asia in general.

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Environmental and Social Report 2012

Top Management Commitment

FUSO Environmental and Social Report Foreword by Top Management In 2011, we faced the unprecedented disaster the Great East Japan Earthquake. Our thoughts are with all those affected by the disaster, and we deeply hope for the continuing recovery at the devastated area. As we together with the automotive industry in Japan revive from the scars and sadness, we will always remember our responsibility we are obliged with today in our society together as the Daimler group in Japan,

The importance of activities for environmental preservation and social contribution has increased at Mitsubishi Fuso Truck and Bus Corporation in recent years, and at the same time, the word “continuous development = sustainability” has become a globally known keyword. These activities are aggregated in the annual ”Sustainability Report” at Daimler AG and in this “Environmental & Social Report” at MFTBC. In our growth strategy “FUSO 2015,” we aim to enhance environmental preservation activity and social contribution, and are advancing various measures in our aspiration to leading the industry. Moreover, aiming at further environmental preservation, we create “Environmental midterm action plan”, and we are tackling environmental improvement activity focusing on each field of “Development”, “Production”, “Sales” and “Service.” In the area of product, we have provided excellent lineup incorporating environmental performance to comply with the stringent Fuel Efficiency Standard and the emission regulation. Our innovative hybrid light-duty truck “Canter Eco Hybrid” was launched in May 2012. This new model has achieved an astounding environmental performance incorporating world’s first innovation, incorporating a dual-clutch transmission “DUONIC®” and a hybrid motor. MFTBC is also moving ahead with its research and development activities on various fuel-saving technologies that can be incorporated into heavy-duty hybrid trucks. Moving ahead, MFTBC is committed to advance our environmentally friendly technologies and serve the society under our corporate philosophy of “All for you.”

We ask for your continued support and would appreciate your candid opinion and feedback of this report.

Chairman of the board

President (Representative Director)

Takao Suzuki

and Chief Executive Officer Albert Kirchmann

Environmental and Social Report 2012

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TOPICS

1

Working as one to implement internal improvements

MFTBC’s New Vision “FUSO 2015” In 2011, MFTBC unveiled its strategic vision for the future, called “FUSO 2015.” This five-pillar strategy lays out five mid-term targets for us to achieve in order to continue to generate valuable innovation for the customer and exercise leadership in the truck and bus industry. Thoroughly exploring and implementing actions from a customer perspective, we arrived at our five goals, which we are now passionately

Goal (1)

Leader in Green Innovation

- Green Product - Green Factory & Infrastructure - Green Supply Chain

Goal (2)

Customer Number 1 in Japan

- Product satisfaction - Trust-based sales - Dependable service

Goal (3)

Profitable Global Player

- Expansion of new vehicle sales opportunities - Expansion of after parts sales and service business - Optimization of overseas operations set up

Goal (4)

Efficiency Leader

- IT system integration and optimization - Development of seamless cross-departmental processes - Improvement of material and production efficiency

Goal (5)

committed to achieving by 2015.

Employer Number 1 in Our Industry and Our Markets

- Improvement of employee satisfaction - Enhancement of employee capabilities and organizational strengths - Improvement of corporate appeal and CSR

“My Share, Our Future” Motto was chosen by everyone

pursue their own tasks and keep constant track of progress. Action to put this vision into practice began in 2011 and entered full swing in fiscal year 2012.

Delivering customer satisfaction requires constantly creating and

The slogan chosen by everyone for putting FUSO 2015 into practice is

offering new value. MFTBC has what it takes to achieve this-in other

“My Share, Our Future.” Each and every employee is working steadily

words, we continuously focus on innovation, not letting conventional

toward the attainment of these goals, aware that they, as individuals,

wisdom in the industry, get into the way of our courage to take on new

can change the company and blaze a trail for the industry. Periodic

challenges, even those that have never been tackled before. While

employee surveys, suggestions systems, panel discussions, leadership

innovation has always been in the center of our actions, we have not

meetings, and other communication channels were set up to ensure this

been able to always fully leverage these strengths.

bottom-up driven change is sustainable.

So how did we refocus on innovation? Meetings across departments and hierarchies were held repeatedly to define what needed to be done, and out of these discussions emerged a new strategic vision for the

Five goals targeted by FUSO 2015

future, which we called “FUSO 2015.”

5

This identified five stakeholder-driven goals, under each of which were

(1) Leader in Green Innovation

then set a total of 21 sub-goals. The persons responsible for their

MFTBC is committed to be the green leader in the Japanese commercial

attainment, deadlines, and other specifics were laid out for each goal,

vehicle industry and is committed to social and environmental

and these are all managed using a project database so everyone can

responsibility. The target is 7.5 % reduction in CO2 emissions by 2015.

Environmental and Social Report 2012

TOPICS 1

Leader in Green Innovation Green Products

Green Factory & Infrastructure

Green Supply Chain

Green Sales & Service

Green Employee Commitment

(2) Customer Number 1 in Japan

vehicles in cooperation developed jointly with other Daimler brands.

We plan to dramatically improve our customer satisfaction in Japan to

Furthermore, we manage and reduce energy consumption in our

regain our customers’ trust in the Mitsubishi Fuso brand. To achieve

production plants, supply chain, sales & service outlets to minimize our

this, we will enhance our products’ appeal for greater customer

company’s CO2 footprint.

satisfaction, enhance trust in our sales force, and make after-sales service more dependable.

Becoming the employer of choice in our industry

(3) Profitable Grobal Player By developing our own global sales network and participating more trusted global brand with more focus on the needs of our customers

To increase employee satisfaction and company appeal as an attractive employer

around the globe. With more global resources in R&D, production,

With the FUSO 2015 program, we aim at becoming Employer Number 1

procurement and logistics, we will meet the needs of our international

in our industry and markets by creating a working environment that

customers in a better and more immediate way.

fosters employees’ responsibility and passion towards their profession.

(4) Efficiency Leader

In other words, to increase employee satisfaction, we introduced a

In order to get closer to global cost benchmarks by 2015, we will focus

flexible working system and enhanced company fringe benefits. We also

on establishing a culture of aggressive improvement and standardizing

started a global education program and mentoring systems to further

processes. Our target is to cut costs by 2%.

develop staff across all levels as well as our organizational capability.

(5) Employer Number 1 in our Industry and our Markets

Furthermore, in order to spread employees’ voices across the

MFTBC plans to become the employer of choice in the commercial

company, we foster an environment with open communication. As an

vehicle industry in Japan and in our markets by offering a challenging

example, we organized sessions where new graduates can directly

and rewarding work environment for passionate professionals.

make presentations to the CEO after two months of experience in the

intensively across the value chain, we plan to establish FUSO as a

company.

Leader in Green Innovation

Finally, we are also increasing company CSR activities to reinforce company recognition in the society. Employees

Becoming the green leader in our industry

are given opportunities

The goal is to fulfill our social and environmental responsibilities by

voluntarily, but organized

CO2 footprint reduction through the entire supply chain of our product.

and managed by MFTBC.

to give back to society

We keep contributing to environmental protection-with our highly fuelefficient products and environment friendly technologies such as hybrid The project leader’s viewpoint

We will also engage in CSR activities, such as neighborhood cleaning drives.

“We will grow to become a state-of-the-art enterprise with a passionate workforce committed to change.”

Konstantin K. Kriegelsteiner FUSO 2015 Project Office Director (Program Director)

FUSO 2015 was set in motion in late 2011, and in 2012 we entered the “power up” phase with focus on gaining traction through implementation. We’ll be entering the home straight in the “top gear” phase in fiscal 2014 and plan to achieve our five goals in 2015. The hope is that these five goals will generate synergies that take Mitsubishi Fuso as a whole to the next level. What I want to see us do is not just to surmount the crisis, but also to grow to become a company that constantly exercises leadership and excellence in the industry in all kinds of ways, whether in terms of corporate structure, technological capabilities, or the appeal of our products. I want us to become a modern company where everyone can think outside the box and see potential when others don’t. At the same time, I’m convinced that this process of reform will generate a more open, flexible organizational culture throughout the entire company.

Environmental and Social Report 2012

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TOPICS

2

A light-duty truck offering world-class fuel economy and environmental performance

The New Canter Eco Hybrid The second-generation Canter Eco Hybrid was unveiled by MFTBC at the 42nd Tokyo Motor Show in December 2011. It was developed based on the Canter, a truck that already met Japan’s 2010 Post New Long-term Exhaust Emission (P-NLT) Regulations, considered the world’s toughest, and was certified as “super low emission” under the Nine Local Government LEV Certification Program.*1 To this we added a hybrid system to further improve fuel efficiency and environmental performance and slash CO2 emissions.

Development background There is growing demand in the logistics industry around the world as

Three concepts

well as in Japan for greater fuel-efficient commercial vehicles in order

The eighth-generation Canter was developed based on three concepts:

to combat soaring fuel prices and cut CO2 emissions. During the past

Environment, Economy, and Safety+α. The new Canter Eco Hybrid

few years especially, MFTBC has recognized the essential need to make

embodies these concepts even more by incorporating a balanced

improvements to the fuel economy of light-duty trucks, which are the

combination of advanced technologies, such as hybrid system,

workhorse of the growing small-volume distribution sector. “Leader

ABS+EBD*2 and all-wheel disc brakes.

in Green Innovation” is placed as a pillar of our FUSO 2015 corporate

For the new truck, we developed the world’s first dual-clutch

vision, in which we target to achleve 7.5% reduction in the CO2

transmission with built-in motor, which combines a hybrid system

emissions by 2015 compared with 2005, and development of the new

with the DUONIC®*3 transmission system to be used in a commercial

Canter Eco Hybrid was directly motivated by this goal.

vehicle.

Ever since it first went on sale in 1963, the Canter light-duty truck has

The transmission’s new built-in high-power, high-speed motor serves

evolved to stay ahead of the curve and meet customer needs. In 2010,

up a powerful 40 kW of power despite its small size and weight. On

the Canter underwent its eighth full model change to make it compliant

top of the DUONIC®’s trademark smooth and seamless gear changes,

with Japan’s P-NLT Regulations (considered the world’s toughest)

free from gear shift shock and drive loss, this motor makes possible

and at the same met the 2015 fuel efficiency standards for heavy-duty

motor creep and startup and dramatically increased use of energy from

vehicles. It is also certified as “super low emission” under the Nine

braking. The result is improved real-world fuel economy by motor

Local Government LEV Certification Program.

assistance.

Taking this eighth-generation Canter as our starting point, Canter Eco Hybrid was developed. The truck provides top-of-its-class fuel efficiency thanks to a hybrid system incorporated in it. Whether you

The decade concept

take environmental compliance, fuel efficiency, economy, safety, or

The underlying design of the New Canter Eco Hybrid is the “decade

comfort, this next-generation hybrid light-duty truck ticks all the right

concept.” This represents the idea of building a truck that is

boxes for performance in the

conceptually, technologically, and in terms of quality designed with the

truck transportation sector, and

future in mind. The result is a state-of-the-art light-duty truck that will

producing trucks that are both

deliver outstanding environmental, fuel, comfort, and safety performance

people and environmentally

for years to come. The “decade concept” is an expression of our

friendly will continue to guide

commitment, both to the customer and to society, to provide a truck that

our development of light-duty

the customer can feel confident of being able to use for 10 years.

trucks in the future.

*1 For vehicles that produce at least 30% less NOx and PM than prescribed under the 2009 Exhaust Gas Regulations, meet the 2015 fuel economy standards, and have been designated further to selection and examination by the Expert Committee on Air Quality Conservation. *2 ABS+EBD: Anti-Brake system+Electronic Brakeforce Distribution. *3 DUONIC® is a registered trademark of Daimler AG.

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Environmental and Social Report 2012

TOPICS 2 catalytic reduction (SCR). By thus being able to focus on raising the

Powertrain

combustion efficiency of the engine itself, we have succeeded in raising fuel economy, which in turn helps bring down CO2 emissions.

Hybrid system (parallel type) Like our previous hybrid trucks, the new Canter Eco Hybrid features

Urea SCR

Regenerationcontrolled DPF

a parallel type with a motor positioned between the clutch and transmission. Everything from engine to tires is mechanically linked, thus reducing power transmission loss. High-efficiency coordinated control of the motor and engine ensures that the vehicle is always operating with the optimum gear, resulting in greater fuel efficiency and

AdBlue® injection system

considerably lowering CO2 emissions. The battery consists of a newly developed high-performance lithium-ion battery. The motor is an ultrathin hybrid unit. P-NLT-compliant 4P10 engine

The New Canter Eco Hybrid’s strengths

DUONIC® dual-clutch automatic transmission

Best-of-its-class fuel savings

Radiator to cool inverter (bottom)

The new Canter Eco Hybrid is powered by a hybrid system consisting of an engine that delivers improved fuel economy thanks to high-efficiency combustion, and a high-efficiency motor that is built into the DUONIC® system. Optimized control of drive from the two sources, combined with an idling stop and start (ISS) system, results in best-of-its-class fuel economy of 12.8 km/L,*2 which is at least 20% lower than required by the 2015 fuel efficiency standards for heavy-duty vehicles and 2.2 km/L Motor/generator

Lithium-ion battery (top)

better than that achieved by conventional diesel-powered equivalents.*3

Inverter (bottom)

This not only contributes significantly to lower running costs, but also

DUONIC with built-in motor ®

helps saves limited fossil fuel resources.

The new Canter has a DUONIC dual-clutch automatic transmission, ®

which maximizes power transmission efficiency by switching

2.0-ton reduction in annual CO2 emissions

instantaneously between two clutches.

Like its predecessors, the new Canter Eco Hybrid combines a high-

The new high-power, high-speed motor built into the transmission is

efficiency engine, regeneration-controlled diesel particulate filter (DPF),

capable of producing high-power of 40 kW despite its reduced size and

and a BlueTec® exhaust after-treatment system (urea SCR) with a hybrid

weight.

system that delivers super clean performance. Annual CO2 emissions are lowered by 2.0 tons per truck,*4 which is equivalent to the amount absorbed by about 142 Japanese cedars. In fact, its exhaust is so clean that it does not just clear the strict limits set under Japan’s P-NLT Regulations, but smashes the requirements for PM and NOx by more than 30%. PM (particulate matter) (g/kWh) 2010 P-NLT Regulations Certified LEV (10% lower NOx & PM emissions) Canter Eco Hybrid

BlueTec®*1 technology exhaust gas reduction system BlueTec® technology is the collective term for Daimler Trucks’ stateof-the-art exhaust reduction technology, which combines improved combustion technology in the engine itself with the latest BlueTec

®

exhaust reduction system. This mechanism works by capturing and burning away particulate matter in a regeneration-controlled diesel particulate filter (DPF), and breaking NOx down into harmless nitrogen and water by means of urea selective

NOx nitrogen oxides (g/kWh) •Meets the 2010 P-NLT Regulations •Certified LEV (10% lower NOx & PM emissions) •Clears the 2015 heavy-duty vehicle fuel efficiency standards by 10% •Complies with the NOx/PM Vehicle Emissions Act •Certified under the Nine Local Government LEV Certification Program

The new Canter Eco Hybrid clears the 2010 P-NLT Regulations and is also a certified LEV (10% lower NOx and PM emissions). It produces 30% less NOx and PM than required under the P-NLT Regulations, and has been certified as “super low emission” under the Nine Local Government LEV Certification Program.

*1 BlueTec® is a registered trademark of Daimler AG. This is Daimler Trucks’ name for the environmentally-friendly urea SCR technology that it is deploying in a widening range of vehicles to enable clean and efficient use of diesel. *2 Fuel economy under the fuel efficiency standards in the 2 tons or less class (maximum load capacity of more than 1.5 tons). *3 Equipped with the same type of engine (96 kW) but without ISS. *4 Compared with a diesel vehicle.

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Lithium-ion battery The new Canter Eco Hybrid comes with a compact, lightweight

interruption switch for isolating high voltages manually to make rescue

laminated lithium-ion battery offering high energy efficiency. As well as

work easier.

offering longer driving under motor power and allowing more energy

Battery side cover

to be recouped from regenerative braking, this highly durable battery’s

Lithium-ion battery (behind side cover)

former-than-normal profile makes body-building easier. As testimony to its reliability, the battery module comes with a 10-year guarantee. The battery is encased in a strong steel box to protect it from external shocks. Additionally, battery status is monitored for abnormalities (such as overvoltage, overdischarge, and excess temperature increases) by a battery management system. The battery also has a high-voltage

Laminated lithium-ion battery cells

High-voltage interruption switch

Development of hybrid vehicles Global Hybrid Center (GHC) for hybrid truck development MFTBC’s Kawasaki Plant was established as the hub of Daimler Trucks’ development of hybrid technologies in August 2008. This provides a globally-oriented development structure that brings together in a single location policies, human resources, and information on hybrid technologies that used to be dispersed across Daimler Trucks’ operations around the world, enabling data to be centralized and shared. As part of its “Shaping Future Transportation” initiative, the Daimler is committed, with its affiliates, to leading the industry in improving the fuel economy and dramatically reducing the exhaust emissions of commercial vehicles, and the development of hybrid vehicles is a direct reflection of this commitment. Clean and efficient hybrid technology has a particularly important role to play in our strategy for future development of commercial vehicles as an alternative to conventional engine technologies, and we are stepping up our R&D in this area accordingly.

power, following which engine and motor power are mixed to suit the travel conditions. When decelerating, energy is efficiently recovered by the regenerative brakes.

Aero Star Eco Hybrid This large route bus is basically a significantly modified Aero NonStep HEV to which we have added a series hybrid system, and it was unveiled in 2007. Its 4M50 engine drives a generator, and the electric power accumulated by the lithium-ion battery is used to drive two 79 kW drive motors to power the vehicle.

GHC logo

Past hybrid models Development of hybrid technologies began in earnest in the 1990s. 1992 saw the development of the MBECS diesel/accumulator hybrid system and its adoption in large route buses. This was followed in 1995 by the MBECS-II, which was produced by modifying MBECS to meet the Long-term Exhaust Emission Regulations. Fuel efficiency was further improved to produce the MBECS-III, which went on sale in 1996. In 2004, Japan’s first large route bus to be powered by a series diesel/hybrid system went on sale. This was the Aero Non-Step HEV. In 2006, the first-generation Canter Eco Hybrid then hit the market. R&D on heavy-duty hybrid trucks is also being conducted with a view to market launch in the not so distant future. Canter Eco Hybrid The Canter Eco Hybrid features a parallel hybrid system teamed with a lithium-ion battery with excellent charging and discharging characteristics. This allows the vehicle to start to move under just motor

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Environmental and Social Report 2012

Super Great Eco Hybrid Heavy-duty hybrid truck (reference) This is Japan’s first heavy-duty hybrid truck designed for high-way runner travel. It employs the acclaimed parallel hybrid system used in the Canter Eco Hybrid, and achieves at least 10% better fuel economy than a conventional diesel truck during expressway use. A show model was exhibited at the Tokyo Motor Show in December 2011.

TOPICS

3

First Japanese automotive manufacture acquired the certification which is the international automotive sector standard

The ISO/TS 16949 for complete vehicle manufacturing process

In April 2011, MFTBC became the first Japanese automotive manufacturer acquired the certification of ISO/TS 16949 which was international automotive sector standard. The certification was acquired for the Headquarter, Kawasaki Plants / Kawasaki R&D Center, Nakatsu Plants, Kitsuregawa Proving Ground, Atsugi Parts Center, and Higashi-Ohgijima Logistics Center, (excluding regional dealers). Certification ceremony

Continuous improvement on the quality control and assurance system In order to achieve our goal of becoming the most reliable company in our partners improvements of quality control and assurance system are seen as a top priority. We have therefore been taking active steps to review our quality managements process and system, and significantly increase the number of personnel working on the sections for quality managements, leading to our certification to the ISO 9001:2000 international standard of quality managements system in March 2006.

Quality tools refined through certification activities

Further enhancements to our quality managements system yielded by continuous improvements made in our quest to provide products and

Activities for certification produced several benefits, as if utilization of

services that generate even greater customer satisfaction then led to our

the automotive industry process approach and reduction of the risk of

certification to ISO/TS 16949 on April 1, 2011.

defects occurring. One particularly important outcome has been the

What is ISO/TS 16949? The standard which added the standard peculiar to a certain industry based on the ISO 9001 standard of quality managements for all industry is called the sector standard. ISO/TS 16949 is the international standard which is unified the automotive peculiar standard of three nations (France, Germany, and Italy) based on QS9000 which is a sector standard for the U.S. automotive industry.

enablement of consistent communication, which means that decisions made by the design section are now communicated all the way to the factory floor. In addition, the motivation of the organization has raised by following TS requirement with higher request level than ISO 9001.And at the same time, tools from the former such as FMEA and statistical process control methods have been refined and enhanced.

Contents of certification

It is important that suppliers also develop their quality managements

Acquired: April 1, 2011 Scope: Assembly of trucks, commercial vehicles, and manufacture of engines, transmissions and axles for trucks and buses at the Headquarter, Kawasaki Plants / Kawasaki R&D Center, Nakatsu Plants, Kitsuregawa Proving Ground, Atsugi Parts Center, and Higashi-Ohgijima Logistics Center, (excluding regional dealers) Certifying body: TÜV Rheinland Japan

system. Quality agreements are entered into suppliers and their compliance with these agreements is strictly managed. Now, they are also requested to obtain TS certification, and support is provided to help them do so where necessary. We aim to enhance and strengthen existing structures and improve and strengthen quality control and assurance system to embrace the entire supply chain as well as just

Objectives of quality management systems

group affiliates. Objectives

ISO/ TS 16949 Standard for automotive manufacturers

Implementation

ISO 9001 Standard for all industries Quality Management System

Achivement of intrinsic management system objectives

- Improvement of quality - Customer satisfaction - Enhancement of cost competitiveness - Enhancement of management capabilities - Strengthening of compliance

ISO/TS 16949 is required with higher level contents than ISO 9001 for the automotive industry.

Aims of obtaining ISO/TS 16949 certification 1 Correspondence to global parts procurement needs TS is a global standard. Managing overseas suppliers requires knowledge and quality requirements with TS-level. 2 Strengthening of supply chains and supply chain management Managing suppliers shared with Daimler requires knowledge of TS-level. As a comlete vehicle manufacturer, we have to develop our own TS-compliant quality managements system as well as ensure suppliers' compliance with TS requirements if we are to improve the standard for complete products.

Environmental and Social Report 2012

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Environmental Management

Environmental Guidelines

MFTBC Environmental Guidelines Basic policy

Every aspect of our business-from our corporate ethics and pursuit of quality

MFTBC recognizes that protection of the global environment is a priority for humankind and as such makes the following pledge: (1) From a global viewpoint, we are committed to exerting all our strength for the continual reduction of negative environmental effects of our corporate activities. These include development, procurement, production, sales and after-sale servicing activities related to vehicles. (2) As a good corporate citizen, we are committed to action to protect the environment at the level of local communities and society as a whole.

to our corporate activities in general-revolves around our valued customers, a commitment reflected in our “All for you” corporate philosophy. In connection with that, basic policies on the environment are integrated into “Environment Guidelines.” In these guidelines, MFTBC recognizes environmental protection as a key priority and commits itself to ongoing action to protect the environment in cooperation with its affiliates and suppliers.

Behavioral Standards

Environmental Council

(1) We will endeavor to protect the environment by forecasting and assessing the environmental impact of our products at all stages in their life cycles. Priority is given to the following areas: • Prevention of global warming by reducing emissions of greenhouse gases. • Prevention of pollution by restricting emissions of substances harmful to the environment. • Reduction of waste and maximizing efficient use of resources by promoting conservation of resources and recycling. (2) We will endeavor to improve our environmental management practices as part of ongoing efforts to improve the environment. (3) We will comply with environmental regulations and agreements, and will work to protect the environment by establishing voluntary management targets. (4) We will encourage our affiliates and suppliers, both in Japan and overseas, to cooperate in working to protect the environment. (5) We will actively disclose environment-related information and will seek the understanding of local communities and of society at large.

MFTBC has constituted an “Environmental Council” chaired by the chairman of the Board to promote environmental protection activities throughout the company. Under the council is a steering committee, which in turn subsumes four committees: the Products Committee, Production and Logistics Committee, Sales and After-sales Service Committee, and Management Committee. The Steering Committee consists of each committee’s chair and secretariat members, and its purpose is to enable more frequent discussion and study of diverse environmental matters, together with greater communication and information sharing, to practice more flexible and timely environmental action. This setup will continue to be enhanced to constantly facilitate action to protect the environment across the company and keep pace with social needs and developments.

Organization of the Environmental Council

Environmental Council

Secretariat of Environmental Council

Chair: Chairman of the Board President (CEO) Heads of each department Other relevant parties

Taskforces Ad hoc inter-departmental organizations set up to solve specific issues

Corporate External Affairs & Environmental Management

Steering Committee Linkage

Chair: Chairman of the Board Heads of each committee Secretariat members of each committee Other relevant parties

Production and Logistics Committee

Products Committee

Sales and (After-sales) Service Committee

Management Committee

Energy conservation and environmental action in production, logistics, and procurement Reduction of waste and conservation of resources at the production stage Reduction of substances that impact the environment at the production stage, etc.

Reduction of exhaust emissions and inprovement of fuel efficiency of trucks and buses Development of next-generation environmental technologies, etc.

Energy conservation and environmental action at the sales and after-sales service stages, etc.

Energy conservation and environmental action in offices Pr omo tion o f c ommunic a tion on the environment, etc.

Secretariat

Secretariat

Secretariat

Secretariat

11

Environmental and Social Report 2012

Environmental Management

New Mid-term Plans for Environmental Activities In 2011, MFTBC drew up a new mid term plans for environmental activities that

Targets are set in 16 categories, and action is pursued to achieve more concrete

sets specific targets in six areas of action, such as “action to save energy and

annual targets set each year. Every year, MFTBC publicizes information on

combat global warming” and “action to reduce exhaust emissions and protect

progress and the results of its activities in this report.

the air environment.”

Details of this new medium-term environmental sustainability plan and annual targets for 2012 are shown below.

Item of Mid-term target

Contents of Mid-term target

Target in FY2012

Reduction of greenhouse gas (CO2) emissions

10% reduction of the GHG (CO2) emission on business activities versus 2005 by unit evaluation

Promotion of activities for energy conservation in each section Introduction and renewal of equipment for energy conservation Continuous improvement of the production and logistic process

Promotion of sales for vehicle with low fuel consumption and targeting of top-class fuel-efficiency in each region

Japan: Achievement of FY2015 fuel-efficiency standard Overseas: Meeting Correspondence to next CO 2 regulations in Europe and the U.S.

Promotion of development and launch of low fuel-consumption commercial vehicle

Development and popularization of next-generation vehicles

Development and popularization of next-generation vehicles focusing on HEVs and EVs

Promotion of development and launch of HEV trucks

Development of air-conditioner using new refrigerant for reduction of non-CO2 GHG emissions

Consideration of use of new refrigerant (HFO-1234yf)

Continuous development of air-conditioning system using new refrigerant

Reduction of GHG emissions from vehicle driving

Increase of executing driving lecture for good fuel consumption

Training of trainers for increasing of executing driving lecture for good fuel consumption

Timely introduction of vehicles complying with domestic and overseas exhaust emission regulations

Timely introduction of vehicles complying with domestic and overseas exhaust emission regulations

Promotion of IMDS registration for management of chemicals contained in products

Promotion of monitoring of chemicals contained in products

Promotion of wastes quantity reduction in production, logistics, sales and service activity for more effective use of resources

5% reduction of waste quantity versus 2010

Promotion of activities for reducing waste

Promotion of recycling designs for effective use of resources

Achievement of effective recycling rate of 95% in 2015

Promotion of monitoring of effective recycling rate

Living and working with local communities

Promoting activities considered community environment and improving plants with rich green belt

Maintaining the circumferential environment of the factory Executing the event for local residents

Development and launch of vehicle with low noise levels and ecofriendly

Timely launch of vehicles complying with domestic and overseas regulations on noise

Timely launch of vehicles complying with domestic and overseas regulations on noise

Planning and implementation of activities in consideration of biodiversity

Protection of abrupt increase of malignant microbe and maintenance of ecosystems on pond in Kitsuregawa Proving ground

Promotion of measures to preserve ecosystem in Kitsuregawa Proving ground

Improvement in an employee's environmental awareness

Execution of environmental educations for employees and clean-up activities around the plant

Execution of environmental educations for employees Clean-up activities around the plant Operation of the environmental patrol

Disclosure of environmental information and promotion of communication activities

Publication of information about Environmental and social report (Publication on website and through other channels)

Release of Environmental and social report Publication of environmental informations as needed

Enhancement and promotion of activity for environmental education

Excution of training to give employees the regal knowledge necessary for environmental activities (Practice to new employee/each ages)

Making training plan for employees

Deepening of understanding of the environmental activity to employee

Introduction of activities on the Employee Portal and in FUSO TIMES

Introduction of environmental activities on the Employee Portal and in FUSO TIMES: twice to third / year

(1) For Save energy / Global warming

(2) Emission / Air environment Promotion of reduction of exhaust emissions from vehicles helping to improve air environment

(3) Chemical hazardous meterial Promotion of activities for reducing chemicals contained in products

(4) Recycle / Wastes

(5) Noise / Other pollution

(6) Environmental Management

Environmental and Social Report 2012

12

Environmental Management

ISO 14001 Certification properly and to improve the system further, we conduct an annual internal audit

ISO 14001 Acquisition

for each department and an annual external audit by a third party. As for the

In order to ensure the transparency and reliability of our environmental activities,

internal audit, internal auditors (our employees) check environment-related

The main plant of MFTBC first acquired ISO 14001 certification, which is the

items.

international standard for environmental management systems as shown in the

Internal auditors have been certified through our qualification process after

below chart.

completing relevant education within and outside the company. Appropriate

In December 2002, at the time of an ISO 14001 renewal audit of the main plant,

measures are taken to correct problems that are found by them after the problems

MFTBC also acquired ISO 14001 certification for environmental management

are checked and reviewed by the chief executive. Measures regarded as highly

systems for development and design work.

effective will be adopted across all departments. In the FY2011 external audit, 0 nonconformance items and 8 observations were

State of acquisition of ISO 14001 certification Main plant

December 1999

reported. As a whole, our environmental management is evaluated as satisfactory

Expanding it to the development department

December 2002

in terms of operation and maintenance. As to the reported items, we will

Domestic affiliates

Mitsubishi Fuso Bus Manufacturing Co., Ltd.

December 2003

immediately correct the system and continuously try to provide better system

Overseas affiliates

MFTE (Portugal)

February 2002

operation.

MFTBC

We have also undergone an environmental audit by Daimler AG in November

Environmental Auditing

2008 as we are a member of the Daimler Truck Group. We aim to enhance the level of plant environments further in the future.

In order to confirm that the environmental management system is working

Emergency Measures and Environmental Incidents Emergency Measures MFTBC strives constantly in its production activities to maintain and manage

Legal Actions There were no environmental lawsuits in 2011.

safety and reduce environmental effects through stable operations in line with its existing operational and work standards. It has established guidelines, as well, for conceivable emergency situations, and carries out regular training exercises.

Environment-related recalls, etc. A total of 22 recalls were filed in 2011, two of which were made for

Incidents There were no environmental incidents in FY2011.

environmental reasons. These concerned a defect in the exhaust emission control device (urea solution dosing nozzles) used in heavy-duty trucks (recall no. 2728), and a defect with engine ECU program data (recall no. 2778). For details, please refer to the “Recall Information” section of our website.

Complaints In 2011, we received 9 complaints about noise and smells emanating from the Kawasaki Plant, and 1 complaint about matters including leaf litter around the plant. We are investigating the causes of these complaints, educating employees, and conducting monitoring activities such as patrols around the plant.

13

Environmental and Social Report 2012

(http://www.mitsubishi-fuso.com/jp/news/recall/index.html)

Environmental Management

Environmental Accounting / Environmental Communication MFTBC’s environmental accounting refers to the FY2005 version of the Ministry

(3) Economic benefits accompanying environmental protection measures*4

of the Environment’s Environmental Accounting Guidelines. As we use a fiscal

As in previous years, some revenue was generated from waste recycling.

accounting period of January through December, environmental accounting is

Industrial waste disposal costs increased slightly due to the recovery of

done based on the same period.

production.

(1) Environmental protection costs*1

Economic benefits accompanying environmental protection measures (million yen)

Total environment cost in 2011 was approximately 10.8 billion yen, equivalent to 2.0% of sales. This represented a decrease of approximately ¥3.5 billion from the previous year, which was attributable to lower spending on environmentrelated R&D. Category

(million yen)

2010

(1) Internal costs

384

Energy costs

171

Industrial waste disposal

-10

2011

12

Total

557

Against 2010

1,576

163

Anti-pollution

273

442

169

Anti-global warming

901

903

2

Recycling resources

239

231

-8

MFTBC provides information on environmental activities to our stakeholders

(4) R&D costs

83

115

32

through its website, brochures, and various events. Various environmental

252

-2

information such as past environmental reports, vehicle type specific

12,514

8,814

-3,700

24

23

-1

environmental information and our efforts to develop low-emission vehicles is

1

1

0

posted on our website, and it is regularly updated. Environmental information

14,289

10,781

-3,508

for each vehicle is also written on our brochures with an aim to provide our

(5) Social activity costs (6) Environmental damage costs Total costs

Environmental Communication

254

(3) Management activity costs

customers with environmental information.

30,000

“MFTBC’s Environmental Activities”

25,000 Environmental costs

Economic Benefit

1,413

(2) Upstream/downstream costs

Environmental Damage Social Activities

20,000

R&D Management Activities Upstream/Downstream

15,000 10,000

Business Area

5,000 0

Cost reduction*5

Item Waste recycling

Industrial water costs

Environmental protection costs

Breakdown

Profit/Cost Profit

(http://www.mitsubishi-fuso.com/ECO/index.html)

Participation in environmental and automotive events MFTBC takes part in events around the country. In 2011, we exhibited at the

2003 2004 2005 2006 2007 2008 2009 2010 2011 (year) Fiscal years (2004 and earlier: Apr. to Mar., 2005 and later: Jan. to Dec.)

Kawasaki International Eco-Tech Fair 2011 held in February. We also took part

(2) Environmental protection effects*

in the 42nd Tokyo Motor Show, which opened to the general public in December

The increases in total energy input, CO 2 emissions from production, and

2011, to give the new Canter Eco Hybrid its first public debut and showcase

substances subject to PRTR input were due to the recovery in production from

our other environmentally friendly vehicles and technologies in front of a large

the previous year. Reductions were achieved regarding other items.

audience.

2

Environmental protection effect Item (unit)

2010

Environmental Protection effect

2011

(1) Resources used for business activities Total energy input (1012 J)

1,488

1,578

-90

Substances subject to PRTR input (t)

273

338

-65

Water resources input (1,000 m3)

479

479

0

Kawasaki International Eco-Tech Fair 2011

(2) Environmental impact and waste from business activities CO2 emissions from production (1,000 t) CO2 emissions from transporting BU vehicles (t) Emissions and transfers of PRTR substances*3 (t) Waste generated (t) Final disposal of waste (t)

70.1

73.0

-2.9

3,135

2,301

834

92

69

23

19,396

19,272

124

1.2

1.1

0.1 42nd Tokyo Motor Show 2011

*1 Environmental protection costs: (1) Costs associated with environmental measures at each plant, including energy conservation, saving resources and waste disposal; (2) costs of collection of used parts, etc.; (3) costs of ISO 14001 certification and employee education concerning the environment, etc.; (4) costs of R&D related to improving fuel efficiency, reducing exhaust emissions, etc.; (5) donations to external environmental organizations, etc.; (6)taxes paid to the national government, etc.

*2 Environmental protection effects: Converting the effects of prevention, control and avoidance of environmental impact into quantitative values. Reductions over the previous year were calculated as ”effects.” *3 Waste is not included in “transfers.” *4 Economic benefits accompanying environmental protection measures: Converting the beneficial effects of carrying out environmental protection measures into monetary values. *5 “Effects” are calculated based on the difference between performance in the relevant year and the previous year. Environmental and Social Report 2012

14

Environmental Performance

Vehicle Lifecycle and Environmental Impact Vehicles affect the environment in various ways throughout their lives. The entire

MFTBC works hard to reduce environmental impact for the entire lifecycle of its

vehicle lifecycle and principle relationships with the environment (input and

products. Concrete steps being taken are explained in the following pages.

output) at each stage are shown below. The numeric data shown is from 2011. P15∼17

P18

Energy Packing materials

Energy

Energy

P19∼21

P22

P23

P15∼17

Recyclable materials

Procurement

Parts and materials suppliers

Production

Logistics

Completed vehicles 151,000 CO2 73,000 t NOx 11.7 t Chemicals 69 t Landfill waste 1.1 t

CO2 2,301 t

Sales

Recyclable materials

Parts CO2 Waste

Input/year

Output/year

Fluorocarbons Airbags ASR (Automobile Shredded Residues)

(Priority items)

Energy 1.58×1015J Industrial water 479,000 m3

Used and recycled parts

Parts - Iron 85,000 t - Aluminum 3,091 t - Chemicals 338 t

Main Flow

(Priority items)

Environmental concerns

R&D

P24

Use (R&D)

Recycling

CO2 NOx CO HC PM Noise

Treated properly by contractors

Research and Development Simultaneously achieving the twin goals of raising fuel economy and lowering

In order to protect the environment, MFTBC is developing and designing both

exhaust emissions is a major challenge that we currently need to surmount.

engine and after-treatment technologies so that it can extend its lineup of trucks

However, these are opposing goals because improving engine performance, for

and buses that contribute to both improved fuel economy and reduced exhaust

example, leads to increased emissions of NOx and PM.

gas emissions.

Lineup of vehicles complying with the 2015 fuel efficiency standards and P-NLT Regulations Fuel efficiency (2015 fuel efficiency standards)

Exhaust emission performance

Compliant

More than 10% better

Super Great heavy-duty truck

Canter light-duty truck (1.5t/2-4t with ISS)

Aero Queen large sightseeing bus

Meets 2010 (Post New Long-Term) Exhaust Gas Regulations

Fighter medium-duty truck

Rosa minibus (GVW 6t and under)

Aero Ace large sightseeing bus

Compliant with 2009 exhaust emission regulations + 10% lower NOx and PM emissions

Canter light-duty truck

Rosa minibus (super long/over 6t GVW)

Aero Star large route bus

Canter Eco Hybrid light-duty hybrid truck

平成21年排出ガス規制適合 （NOx&PM10%低減）

平成27年度重量車燃費 基準+10％達成

Aero Midi medium route bus

Eligible for eco-car tax break (50% reduction)

15

More than 5% better

Environmental and Social Report 2012

Eligible for eco-car tax break (75% reduction)

Eligible for eco-car tax break (100% exemption)

Environmental Performance

Prevention of Global Warming Fuel efficiency enhancement technology

(2) The regeneration controlling DPF (Diesel Particulate Filter) By combining a reliable, highly heat-resistant SiC ceramic filter with an oxidizing catalyst, particulate matter (PM), hydrocarbons (HC), and carbon monoxide (CO) are removed.

Seeing improved fuel economy as a key product goal, MFTBC has developed the various advanced technologies described below. We are also progressively

MFTBC has used BlueTec® systems combining urea SCR and DPF technologies

expanding the lineup of models that meet the 2015 fuel efficiency standards.

in all classes of trucks and buses launched since 2010 in order to achieve

(1) INOMAT-II automated mechanical transmission*1

cleaner exhaust emission levels.

A clutch pedal free transmission system INOMAT-II is used in mediumduty/heavy-duty trucks. It achieves low fuel consumption by keeping the engine’s most efficient range while driving. This can be done by appropriately

Safety

controlling shift transmission and gear ratio selection through its electronic

MFTBC focused on the crucial importance of preventative safety technology

control system. This system also reduces driver fatigue by providing shift

contributing to prevent accidents as early as possible before they occur. While

transmission according to the driver’s feeling through its fuzzy control feature.

we focus on enhancing “active safety” technologies to prevent accidents in the

Heavy-duty trucks use ECO mode switch, making it possible to achieve even

first place, however, we make much of “passive safety” technologies to minimize

lower fuel consumption. Also available are heavy-duty truck models featuring a

the damage when an accident occurs, and much of safety technologies, including

combination of a high-torque engine, 12-step INOMAT-II transmission, and low

driver-side airbags, cab crumple zones and FUP*3, are used to increase safety in

reduction final gear for improved actual fuel consumption at higher speeds.

case of an accident.

(2) X-Pulse intensified-pressure common rail system The intensified-pressure common rail system used for fuel injection in our

Active safety and Passive safety

heavy-duty truck and bus engines is capable of injecting fuel at 30% higher

Accident

pressure than conventional systems. Its variable fuel injection pattern allows fuel injection to be optimized to cope with the constant changes that occur in engine

Active safety

Passive safety

Recognition and preemptive avoidance of danger

Minimization of damage in the event of an accident

MDAS-Ⅲ

loan and speed while driving, thus enabling both improved fuel economy and lower exhaust emissions.

Seatbelt pretensioner Airbags, FUP*3

Distance warning, safety vision Auto-cruise with following-distance maintenance function

Reduced use of HFC134a air conditioner refrigerant

Side door beams

AMB ESP®*4

From new vehicles released in 1997, we have been gradually adopting new

BOS

air conditioners that use less coolant. These air conditioners are produced by downsizing the heat exchange equipment and using highly-efficient condensers.

(1) MDAS-III

As a result, coolant used per truck has been reduced by at least 20% on average

MDAS-III is standard equipment in lengthy cargo type large trucks, and is

compared to 1995.

MFTBC’s proprietary driving assistant system that functions together with Ivis*5 and gives the driver a warning when there is a drop in driving attention. Based

Prevention of air pollution Reduction of diesel engine exhaust emissions

on visual information obtained from a white line recognition camera located in the center of the dashboard, it determines the attention of the driver from driving and operating conditions, and sends a warning indicating a lack of attention. It also sends a warning if the vehicle leaves its lane due to a lack of attention.

The Post New Long-term Exhaust Emission Regulations introduced in Japan in

If the Distance Warning system (that sends a warning when the distance to the

2009 further lower PM and NOx emission limits by 63% and 65% respectively

preceding vehicle becomes too short) is also installed in the vehicle, it uses the

from those set under the New Long-term Exhaust Emission Regulations.

information on the attention of the driver detected and provided by the MDAS,

(1) Urea SCR (Selective Catalytic Reduction)

and the timing at which a distance warning is sent is automatically adjusted

By injecting AdBlue * (urea aqueous solution) into the exhaust pipe and

according to this information. It uses a millimeter-wave radar that can keep high

causing chemical reactions on SCR catalysts, it decomposes NOx in the exhaust

measurement precision even under adverse weather conditions. It is available as

gas into harmless nitrogen (N2) and water (H2O). Urea is a transparent, odorless

standard or as an option on some large truck and bus models.

® 2

and harmless substance, which is also used in cosmetics.

*1 INOMAT : Intelligent and Innovative Mechanical Automatic Transmission with fuzzy control. *2 AdBlue® : AdBlue® is high-grade aqueous urea solution developed and standardized in Europe as a NOx reductant for urea SCR systems. AdBlue® is a registered trademark of the German Association on the Automotive Industry (VDA). *3 FUP (Front Under-run Protection): Front under-run protection prevents passenger cars and other objects from becoming wedged under the front bumper in the event of a collision. *4 ESP® is a registered trademark of Daimler AG. *5 IVIS (Intelligent Visual Information System) : A system for displaying multiple types of vehicle information required by the driver in the meter cluster. Environmental and Social Report 2012

16

Environmental Performance

MDAS-III system

Increasing Recyclability Rates Camera

Speaker Lane departure warnings consist of optical warnings output on Ivis and a rumble-strip sound generated by the radio speaker on the side of lane departure.

A camera installed at the center of the cab recognizes lane markers and evaluates how smoothly the vehicle is driving in its lane.

MFTBC gives prior evaluation in the earlier stages of new vehicle development in order to promote the 3R*1 activities. During the idea development phase, we set goals (e.g. recyclability, etc.) for each vehicle. To achieve the goals, we are reducing the types of materials by ingeniously selecting the materials and

Steering

Millimeter-wave radar (option)

Using a steering-wheel angle sensor, the steering behavior is evaluated.

Using a millimeter-wave radar, the distance to the vehicle ahead is monitored. When the distance becomes short, the driver is warned.

structures, using easy-to-recycle materials, easy-to-dismantle structures and recycled materials, and printing material marks on plastic and rubber parts. (1) Choices of materials For much of the exterior parts, we have developed and used white-based coloring materials of thermoplastics that are not only highly recyclable, but also help significantly reduce the quantity of paint discharged by painting processes. Recyclable polypropylene*2 is used for most interior and exterior parts, and helps to unify materials. We have, moreover, used recycled passenger car

The clutch, auxiliary brake and turn signal operations are monitored to identify monotonous driving conditions and thus enhance the precision of warnings.

(2) AMB (Active Mitigation Brake) AMB is an active safety technology which decelerates the vehicle by applying the

bumpers (polypropylene), recycled materials from other industries (e.g., highdensity polyethylene*3) for covers and other parts.

brake automatically when a collision is possible. Using a millimeter-wave radar system, the AMB system monitors the distance from the vehicle in front. At first, it sounds an audible alarm to alert the driver of possible danger of collision.

Headlamp bezel

Step wall

Additional inputs

Front corner panel

Speed Average speed is calculated based on information from the vehicle speed sensor, which is u s e d t o e v a lu a t e t r a f f i c conditions while driving.

If the driver does not take appropriate action, it again sounds an alarm and also gently applies the brakes. When the system determines the driver is still not

Wheel house cover

reacting strongly enough and a collision is imminent, it gives another warning sound and firmly applies the brakes to reduce impact speed in order to mitigate

(2) Construction

collision damage.

MFTBC is actively making its products easier to dismantle by, for example,

(3) ESP (Electronic Stability Program)

reducing the number of fastenings and eliminating connections of different

The ESP® (Electronic Stability Program) works by controlling engine output,

materials. For instance, the Canter light-duty truck (including Canter Eco

independently controlling individual brakes on the tractor wheels and managing

Hybrid) has been made not only lighter but also easier to recycle by making urea

the brakes of the trailer. It is effective in preventing jackknifing and provides

(AdBlue®) tank and brackets out of plastic and using more integrated parts.

stability on slippery road surfaces. Additionary, It is intend to reduce the risk of

(3) Reducing use of substances of environmental concern

rollover accidents.

MFTBC continues to make every effort to eliminate use of substances of

(4) BOS (Brake Override System)

environmental concern (SOCs) such as lead, and the Canter light-duty truck

BOS gives priority to the brakes when the accelerator pedal is inadvertently

and large tour bus models meet the 2006 targets*4 set by the Japan Automobile

pressed at the same time as the brake pedal, and is fitted as standard to override

Manufacturers Association (JAMA). Under the EU’s ELV Directive, use of four

driver errors.

substances of particular environmental concern (lead, mercury, cadmium, and

®

hexavalent chromium) is in principle prohibited.

Brake override system Braking force Accelerator applied Engine

Driving force

Use of soldering material containing lead prohibited under this directive since January 1, 2011, has been eliminated, with the exception of some electric

Brake further applied Engine

Accelerator applied Brake applied

and electronic components, from the Canter, and use of all four SOCs is also voluntarily being reduced by MFTBC in Japan as well. MFTBC is additionally taking steps to reduce use of problematic volatile organic compounds (VOCs*5),

*Override does not come into effect when the accelerator is depressed after depressing the brake pedal.

such as formaldehyde and toluene, in vehicle interior parts.

*1 3R: Reduce (reduction of waste emissions), Reuse, and Recycle. *2 Polypropylene: Used for films, molded products, and textile products in the melt-spinning process *3 High-density polyethylene: Used for wire coatings, films, and molded products, etc. *4 Use of lead in and after 2006 to be reduced by the least 75% from FY1996 in heavy-duty commercial vehicles (including buses). *5 Volatile Organic Compound: The generic term for volatile organic compounds such as toluene and xylene.

17

Environmental and Social Report 2012

Environmental Performance

Procurement specified in the ELV Directive (2000/53/EC) and RRR Directive (2005/64/EC) in

Green Procurement

the EU, and JAMA’s voluntary measures in Japan.

MFTBC recommends that all its suppliers obtain the following certifications with

Since introducing it in 2009, we have made full-scale use of the International

an aim to ensure and environmental integrity.

Material Data System (IMDS) to efficiently gather data on materials along the

(1) ISO/TS 16949 standard of quality management system for automotive

entire supply chain. As a member of the Daimler Truck Group, we collect data

(2) ISO 9001:2008 international standard of quality management system

on materials and chemicals using the IMDS following methods laid down by

(3) ISO 14001 international standard of environmental management system

Daimler AG. In a section on environmental sustainability of our Supplier Manual, we also

MFTBC has worked on “green procurement” as our environmental conservation

require suppliers to take proper action to ensure the environmental friendliness

activities in the procurement process since November 2000. We have also

of the parts that they supply, and in particular to ensure that no prohibited

made “acquisition of ISO 14001 certification or EA (Eco Action) 21 by all major

substances are used and to comply with recycling requirements. Looking ahead,

suppliers” a goal of our activities. To encourage even more of our suppliers to

we intend to further enhance control of SOCs by such means as expanding the

acquire certification, we follow up their progress and provide appropriate support

scope of use of the IMDS and developing processes for gathering IMDS data.

including information sessions for those that have yet to be certified. As a member of the Daimler Truck Group, we have adopted Daimler AG’s ethical standards and are ensuring compliance with them throughout the company.

Organization of Supplier Days

To help our suppliers to understand and play their part in adhering to these

“Supplier Days” are annually held

standards, copies of the “Sustainability Guidelines for Daimler Suppliers”*1 were

as part of moves to strengthen

sent out to them all in July 2008. These guidelines explain a variety of matters

communication with suppliers.

concerning sustainable business operations for Daimler AG’s business partners,

Representatives of around 300 domestic

and set forth our own requirements.

and overseas suppliers took part in FY2011, providing an opportunity for

Parts and materials data management

our CEO and head of purchasing to express the company’s appreciation

Supplier Day (September 2011)

As part of our green procurement strategy, we work with our suppliers to control

for their valuable support and cooperation following The Great East Japan

the SOCs contained in parts, materials, and other supplies. Particular attention

Earthquake, thank them for their usual contributions to the company, and update

is paid to ensuring proper compliance with the prohibitions and restrictions on

them on our current situation and seek their ongoing cooperation worldwide.

use of four substances (lead, mercury, cadmium, and hexavalent chromium) *1 The Sustainability Guidelines for Daimler AG Suppliers may be viewed at the following website: https://daimler.portal.covisint.com/web/portal/sustainability

TOPICS +α

Protecting the environment and saving energy

Green IT Award MFTBC awards teams and individuals that introduced and implemented IT related measures to contribute in protecting the environment and reducing CO2 emission. Ideas can be nominated for recognition from any department, and do not have to be limited solely to the IT domain - any idea for making improvements that makes effective use of IT can be put forward. Candidates are then assessed on the basis of their effectiveness at reducing CO2 emissions, costs, and electricity consumption.

Energy-saving activities rolled out nationwide MFTBC pursues a variety of initiatives to reduce peak power demand and power use during the summer. Head office is working to reduce its peak power demand by making pioneering use of summertime working hours (including setting of closing/quitting

time) and making sure lights are switched off during break periods and outside office hours. The company has also adopted a cooler “Fuso Cool Biz” summer dress code and adjusted air-conditioning temperatures to reduce power consumption. Among other measures being taken, plants such as bitter gourds, morning glories, and tomatoes are grown in the Assembly and Engineering Department at the Kawasaki Plant, while employees at Mitsubishi Fuso Bus Manufacturing (MFBM) grow bitter gourds outside the windows of some buildings (such as the main office building). This not only softens the sunlight entering the offices, but also produces an excellent crop of gourds that is served on the menu in the company cafeteria to help employees stave off the heat of summer. Environmental and Social Report 2012

18

Environmental Performance

Production Vehicle production activities have a wide bearing on everything from environmental issues at the local level to global environmental concerns.

Annual CO2 emissions at the production stage (1,000t-CO2) 191

Recognizing this, MFTBC is taking concerted action to continuously reduce its plants’ environmental impact.

200

150 116

Global environment

100 73

Destruction of the ozone layer

Wide-area environment

Soil pollution

Noise

0

90

95

00

05

06

07

08

09

11 (FY)

10

Vibration

Water pollution

Green house effect

50

Oxidase smog

Local environment Acid rain

Consumption of the earth’ s resources

Odor Air pollution

Reduction and recycling of waste

Ground subsidence

Environmental problems associated with production activities

Target : 153

MFTBC is reducing and recycling its waste emissions to take it toward its goal of preventing its landfill disposal rate from exceeding 0.1% and maintaining a

Action on the environment in production

△54% recycling rate of at least 98%. In FY2011, 21,000 tons of waste was generated,

MFTBC produces trucks and buses of all sizes at three plants (including related

and the recycling rate was 99.8%.

companies) in Japan. These plants comprise a range of production processes,

In the future, we will be enhancing control of waste disposal, maintaining zero

including machining, heat treatment, pressing, welding, painting, and assembly.

waste emissions,*3 and ramping up action on the ”3R”.*4

Core parts, such as engines and bodies, are manufactured within the company,

Waste disposal process in FY2011

while other component parts are sourced from specialist manufacturers for

Waste

Prevention of global warming (energy conservation) MFTBC strives to reduce CO2 emissions and emission intensity in order to combat global warming. In FY2011, we engaged in various activities to enhance employee awareness, as well as installing inverter equipment and LED lighting.

Reduction of volume 0.19% Landfill 0.005%

Metal scraps Waste wood Waste paper Waste glass and ceramics

Incineration 11.35%

Recycling 88.45%

Incineration ash

environmental load mainly through its ISO 14001-related activities.

Sludge Waste plastics Waste oil Waste paper and wood

Heat recovery

assembly into vehicles. MFTBC’s production division is working to reduce its

Total CO2 emissions*1 from production processes came to 73,000 t-CO2, which represents a reduction of 1,660 t-CO2 compared with our reduction target of 1,200 t-CO2 for 2011. CO2 emission intensity was also down from the previous year. Main environmental activities*2: - Use of more efficient electrical substation equipment

Raising of employee awareness Performance yesterday (mm dd, 2011)

- Plant re-layout - Energy conservation patrols on a

90

implementation of highly-efficient fluorescent lights

110

(6.22%)

●Steam, etc.

Reuse (93.58%) ●Recycled metals ●Recycled oil ●Recycled paper ●Roadbed material ●Cement feedstock, etc.

Recycling rate 99.8%

Details of our “material recycling” of waste for use as raw materials or feedstock for other products, such as recycling of sludge from wastewater treatment to

day off -Frequent lights-off and

Total 1 day ago 2 days ago

100

Thermal recycling

80

81%

120

Performance yesterday: 151,630 kWh Target this month: 187,700 kWh

make feedstock for cement, are summarized in the table below. Combustible materials such as rubber and plastics, meanwhile, are “thermally recycled” to produce thermal energy by such means as conversion to RPF*5.

(target = average 3% reduction from a year earlier)

Posting of previous day’s power consumption on intranet *1 CO2 equivalents for electricity are calculated using power companies’ coefficients. As the method of calculating CO2 emissions was altered in 2010, figures are not necessarily compatible with past data. *2 Other significant activities include the installation of cogeneration systems, outsourcing of formed and fabricated materials, consolidation of plants in Japan (from four to two, in addition to the reduction of one related company’s plant), adoption of steam compressors, and use of more efficient compact through-flow boilers. *3 MFTBC defines emissions as “zero emissions” if the proportion of total waste generated that is disposed of by landfill does not exceed 0.1%. *4 3R : Reduce, Reuse, and Recycle. *5 RPF (Refuse Paper and Plastic Fuel) : A form of solid fuel made from waste paper and plastics.

19

Environmental and Social Report 2012

Environmental Performance

used to clean paint guns when changing colors, and installing exhaust treatment

Amount of waste generated

(kg/vehicle) Unit emissions (kg/vehicle)

300

equipment in paint-drying ovens. It also monitors compliance with regulatory

250

limits at plants subject to regulations on the concentration of VOCs in emissions.

200 150 100 50 40 30 20 10 0

(1,000t)

37

39

38

37

36

Prevention of Water Pollution

Amount of waste generated (1,000t)

Plants discharge two kinds of water,

27 16

19

21

’09

’10

’11

namely, industrial wastewater that is generated from such processes as

’03

’04

’05

Emission source Press lines Paint shops

Plants in general

Offices, etc.

’06

’07

’08

Type of waste Metal scrap Paint sludge Washing thinner Waste oil Waste plastics Sludge from wastewater treatment Waste wood Waste paper

(FY)

Recycled applications Casting materials Cement feedstock Recycled thinner, fuel Recycled oil, fuel Fuel, roadbed materials Cement feedstock, roadbed materials Fuel Recycled paper

painting and domestic sewage generated from such places as plant dining rooms. This raw water and treated wastewater is routinely monitored for pH and

Wastewater treatment plant

clearness, and is also subject to regular analysis of water quality to maintain and improve the quality of discharged water. Some purified treated wastewater is also used for production processes and toilets. Water consumption (water supply/sewage) (1,000 m3)

3,500

Breakdown of waste emissions in 2011

3,000

Waste wood 4.9% Waste paper 3.2%

Metal scrap 84.6%

Waste plastics 2.4% Sludge 2.2%

2,500 2,000 1,500

Total

21,000t

Waste oil 2.7%

1,000 500 0

’90

’95

’00

’05 ’06 ’07 ’08 ’09 ’10 ’11 (Year)

Prevention of noise and vibrations Prevention of Air Pollution

Presses, compressors, blowers, engine testing sites, and other such facilities are

We reduce emissions of nitrogen oxides (NOx) and VOCs*1, which are the two

major sources of noise and vibration.

main atmospheric pollutants.

We therefore take various steps to

(1) Sulfur oxides (SOx)

mitigate the impact on the areas around

We have switched to use of kerosene and city gas, which are almost sulfur free,

plants. These include installation

to power combustion facilities such as boilers and industrial furnaces, enabling

of quieter equipment and vibration-

us to keep emissions of SOx, which can cause asthma and acid rain, down to an

damping systems, modification of

extremely low level.

layouts, and soundproofing of buildings. To minimize the noise that escapes

(2) Nitrogen oxides (NOx)

from cogeneration systems when generating electricity, systems are enclosed in

NOx emissions have been reduced by installing low NOx boilers and using

highly effective noise barriers made from sound-absorbing materials.

Noise barrier around cogeneration system

low NOx burners. Cogeneration systems generate electricity by means of gas turbines powered by city gas, and use the waste heat generated in the process to make steam. As the exhaust gas from gas turbines contains NOx, ammonia

Prevention of Soil and Groundwater Pollution

is injected into it to break the NOx down into harmless nitrogen and water to

To prevent leakages into the soil, in-ground tanks of oil and other substances are

reduce NOx emissions.

regularly checked for air tightness to make sure that they are not leaking. Floors

(3) VOCs

are additionally coated as far as possible when new lines are set up, and checks

MFTBC is reducing emissions of solvents produced during the body painting

are carried out at groundwater monitoring wells to confirm that groundwater has

process by introducing painting equipment with better transfer efficiency, using

not been contaminated by hazardous substances or other chemicals.

new and improved painting methods, increasing recovery and use of thinners *1 VOCs (Volatile Organic Compounds) : The generic term for volatile organic compounds such as toluene and xylene. Environmental and Social Report 2012

20

Environmental Performance

Reduction of bad odors

Improving the Plant Environment

To reduce odors, exhaust processing systems have been installed in paint booths

In order to improve the environment

where vehicle cabs are painted in the paint shop which entered operation in

of the area where the plant is located,

2006. In 2011, deodorization equipment was installed to control odor emissions

we are replacing the concrete walls

from the electrostatic coating process.

with wire mesh fences to increase the green space. Attention is also paid to improving the scenery around

Management of Chemical Substances

plants by giving new buildings a more

(1) Use of Chemical Substances

harmonious appearance. In addition

MFTBC decides whether to adopt new chemicals or not by a system of

to renovating employee entrances, we have also installed LED lighting.

Example where concrete walls were replaced with wire mesh fences

prescreening for toxicity. The system examines the properties of new chemicals and the details of how to use them. In addition, steps are being taken to reduce emissions of chemicals, prioritized according to risk level. Daily inspections

Other internal activities

are conducted of handling facilities in order to ensure safety with respect to

(1) Tours of environmental facilities

dangerous substances and the work-place, and to protect the local environment.

In order to raise employee’s awareness

(2) Storage of PCBs*

of the environment, we hold tours of

PCBs (polychlorinated biphenyls) used as insulating oil for sealing transformers

plant facilities for employees.

and condensers are properly controlled as required by law. The total number of

(2) Environmental risk

1

management

transformers and condensers in storage at the end of FY2011 was 938.

We practice environmental risk

Emissions of chemical materials

(10,000 vehicles)

Number of vehicles produced

500 400 300 200 100 0 (t)

389

336

328

310

303

’04

’05

’06

’07

prevention in collaboration with

15

Daimler’s Environmental Team and

10

work to raise environmental performance. Common tools are used for tasks such

5

as soil and groundwater pollution risk analysis, and the findings are used to

Chemical emissions (including transfers to sewage system)

232 137

’03

20

’08

’09

94

81

’10

’11(Year)

Participants on a tour of the combined wastewater treatment plant

develop internal standards and formulate medium- and long-term improvement plans. *1 Polychlorinated biphenyls. The production and use of PCB have been prohibited in Japan since 1972.

Activities of Overseas Affiliates Mitsubishi Fuso Truck Europe (MFTE Portugal)

Action on chemicals

MFTE Portugal is taking effective action to lower its environmental impact and

In 2011, work on replacing approximately 1,423 m2 of fiber cement roofing to

reduce energy consumption.

eliminate asbestos was completed.

Protection of the environment

Reduction of energy consumption

In 2011, the frame painting line was

An eight-year energy control plan to

improved. The entry into operation

reduce electricity and gas consumption

of a new powder painting line has

has been approved further to energy

not only control VOC emissions and

auditing in June 2011 in compliance with

reduced waste and water use, but

legislation in Portugal. This lays down

has also contributed significantly to

16 measures for achieving a targeted

production and quality.

➡

Warehouse 1 before and after improvement

10% reduction in the consumption. One example of the sorts of measures taken New frame painting line

in 2011 is the installation of transparent acrylic plates on the roof of Warehouse 1 to increase the level of brightness and reduce electricity use.

21

Environmental and Social Report 2012

Environmental Performance

Logistics MFTBC’s efforts to become more eco-friendly in the logistics field have to be focused mainly on saving energy and reducing CO2 emissions. Designated a specified consigner under the Energy Conservation Law, we are pursuing “Modal Shift”*1 and the eco-driving to reduce the energy consumption and CO 2 in transportation with the aim of reducing unit energy consumption by the annual average of at least 1% in the medium to long term. Recognizing the importance of resource conservation, we are also actively reducing the use of our packaging

Transportation of mixed loads of parts

Transportation of parts by rail container

materials.

Improving transportation of completely built units Improving transportation of procured parts

Marine transportation is also used for transporting some vehicles in order

We are in the process of changing how production parts are transported by

to expand the efficiently combined transportation of the completed trucks

switching from the “sending out” method, in which the parts are delivered to

and buses. In addition, whereas the completed vehicles used to be mainly

us by the parts manufacturers, to the “pick up” method, in which we control the

transported by driving them to their destinations under their own power, we are

transportation process. Simultaneously improving our transportation operations

now working to raise the load efficiency and reduce CO2 emissions by switching

more efficiently by making greater use of “Milk-run”* 2 and coordinated

to use of vehicle carriers (as used for passenger cars). Further improvements

transportation, we have also been pursuing “Modal Shift” by using rail to

in transportation efficiency are being pursued through such means as

transport production parts for the Rosa minibus since 2010. In Aichi Prefecture,

coordinated transportation of vehicles in association with the other automotive

we have begun using the rail containers to transport some of the large amount

manufacturers, and the use of capacity on the return trip to carry passenger cars.

of parts used in the bus production which arrive daily at our bus plant as the outskirts of Toyama City from the parts manufacturers scattered in and around City of Nagoya, thus making our transportation operations more efficient and environmentally friendly. We are also using the rail containers for transporting some manufacturing parts

Reduction of packaging materials Increasing the usage of returnable racks and boxes*3

from the parts manufacturers in and around Nagoya to our Kawasaki Plant since

◇Use for service and repair parts and KD parts for export

December 2011.

This practice has been already adopted for the key markets such as North America, Europe, the Middle East, Australia, and Taiwan and it has also begun to be used for transportation of production parts to Taiwan. We are also now using the plastic and other resin containers as well as the steel containers to transport Mitsubishi Fuso Bus Manufacturing (Toyama Prefecture)

(2) Direct pickup from large-lot manufacturers JRF (1) Milk-run collections from small-lot manufacturers

(3) Large parts transported directly to Toyama Kamotsu Station

to Indonesia, the other Asian countries and the Middle East including Turkey,

Vanning at station

JRF

Nagoya Terminal

Replacement of wooden packing cases with steel ones Steel packing cases are already in use for the shipments of the knockdown parts

JRF

JRF

a variety of parts.

Deliveries divided into five runs per day JRF

JRF

Toyama Kamotsu Station

JRF Devanning at station

Flow of transportation of parts for Rosa minibus production (from parts manufacturers in and around Nagoya to Mitsubishi Fuso Bus Manufacturing)

and Africa.

Other measures Other steps being taken include the use of stretch film packaging and simplified packaging specifications allowing, for example, the use of wooden/steel crates.*4 We are also

Simplified packaging using wooden/steel crates

continuing to improve content-to-container weight ratios. *1 Modal Shift : The optimization of freight transportation combining multiple transportation modes, such as land, sea, and rail, to reduce the environmental load. *2 Milk-run : A transportation method in which a manufacturer’s vehicle (or a transportation contractor’s) goes around picking up parts from multiple parts manufacturers. The name derives from the dairy industry practice of having one truck collect milk from several farms. *3 returnable rack and box : After being unpacked at their destinations, the racks and boxes are folded or broken down to between a third and a tenth of their original size and sent back to Japan. Such steel racks and plastic boxes can be used for more than ten years. (The wood, plywood and steel boxes previously used were disposed of at each destination.) *4 wooden/steel crates : This is a type of packing using only crates without additional materials. By reducing the consumption of packing materials, packing costs are reduced. The approach is suitable for relatively light, non-fragile items Environmental and Social Report 2012

22

Environmental Performance

Sales activities Environmental Activities at Dealers

Environmental action based on “The Energy Conservatin Law”

MFTBC’s products reach its customers via a dealers network throughout the

MFTBC manages and is optimizing energy use at each of its dealers. In addition

whole country. Dealers are the “interface” between MFTBC and customers in

to seeing such action as a legal obligation, all our employees are committed to

other ways as well. They conduct, for example, regular maintenance and periodic

servicing vehicles and providing other services in as environmentally friendly a

inspections of trucks and buses as well as taking back end-of-life vehicles (ELVs).

manner as possible to minimizing CO2 emissions.

And they are increasingly important in their own businesses for the actions they

We are also looking into installing energy-saving equipment such as LED

take to protect the environment and recycle vehicles: collecting and recycling

lighting in order to further reduce the impact on the environment.

waste, such as oil and parts, and appropriately disposing of ELVs. The dealers network of MFTBC is working in closer cooperation with each other to improve their environmental activities.

Efforts for Energy Conservation and Safe Driving MFTBC tries to help customers’ business and environmental activities by actively supporting energy conservation and safe driving. Since 1997, we

Environmental activities by Dealers

have held, using actual vehicles, community-based workshops such as the

Disposal of waste oil and scrap parts

“Energy Conservation Driving Workshop” that lets participants feel the effects of

Treatment of wastewater from repair shops

environmentally friendly driving and the “Daily Checkup Workshop” that teaches

Taking trade-in Vehicles

how to conduct self inspections to ensure safety.

Collection of air-conditioning refrigerant

Since 2007, we provides a system that allows all our dealers in Japan to

Compliance with PRTR law

independently hold environmentally friendly driving workshops authorized by

Disposal of ordinary business waste

the Foundation for Promoting Personal Mobility and Ecological Transportation.

Establishing an environmental management system

All departments of MFTBC are working together to provide community-based support activities for our customers.

As far as environmental activities in dealers are concerned, MFTBC considers

As a member of Kawasaki City’s Eco-Driving Promotion Council, MFTBC

that it is important to voluntarily establish and maintain an environmental

provides instructors for lecture presentations organized by the city to cooperate

management system to conserve the environment and reduce the emissions

in the effort to promote eco-driving.

of environmentally hazardous substances, not to mention the importance of legal compliance. Under our environmental conservation policy, dealers that employ ISO 14001 means all dealers in Japan are working on environmental conservation by clarifying their “environmental policy” and “responsibility and authority of environmental activities” in the “declaration of environmental activities”. Overview of the management system for dealers Achievement of activity items

Textbooks for fuel conservation driving workshops and videos for daily checkup workshops

An instructor gives practical advice

Efforts for continuous improvement

Environmental management system Establishment of system and clarification of who is responsible Declaration of environmental policy by the top management

Understanding of actual conditions and activity planning Activity plans Activities Reporting and auditing Review

Current status

23

Environmental and Social Report 2012

Eco-driving lecture presentation hosted by Kawasaki City

Environmental Performance

Recycling Measures throughout the Life Cycle toward a Recycling-Oriented Society

Recycling percentages for ASR and airbags

Examples of measures (refer to details on each activity) Development: Production: Sales:

Using recyclable resources; using easily recyclable materials;

ASR

designing for ultimate disposal; etc.

Airbags

2005~2009

2010~2014

2015~

30%

50%

70%

85%

Using recycled materials; minimizing waste; utilizing material

The following figures are the totals accumulated from the date the law was

scraps, paint sludge; etc.

enacted to March 2012.

Providing information on recycling of products; etc.

Use of products: Utilizing rebuilt and used parts; appropriate treatment of replaced, unusable parts. Waste disposal: Receiving ELVs at dealers; preparing to receive and recycle

Vehicles collected Number collected

ASR

Airbags

Fluorocarbons

138,455

4,289

58,230

8,038

23,820 kg

32,959 t

fluorocarbons, airbags and ASR*1 from ELVs.

Voluntary Recycling Measures Automobile Recycling Law The Automobile Recycling Law, which has been in force since January 1,

Measures for mounted bodies on commercial vehicles

2005, makes automobile manufacturers responsible for receiving, appropriate

Due to long years of use, the possibility of remounting on other vehicles, and

disposing of and recycling Automobile Shredder Residue (ASR), fluorocarbons

reuse as storehouses, etc., mounted bodies on commercial vehicles are exempt

and airbags. There are two teams to receive and recycle ASR. To receive and

from the Automobile Recycling Law. MFTBC is participating in joint efforts

recycle ASR efficiently, in an environmentally responsible manner at low cost,

promoted by the Japan Automobile Manufacturers Association, Inc. (JAMA),

MFTBC established a ASR recycling promotion team called “ART* ,” jointly

and the Japan Auto-Body Industries Association, Inc. (JABIA), to develop an

with Nissan Motor Co., Ltd., Mitsubishi Motors Corporation, Mazda Motor

appropriate approach to the issue involving cooperation among companies,

Corporation, Fuji Heavy Industries Ltd., Suzuki Motor Corporation, Isuzu Motors

raising awareness among users (communications via fliers, etc.), and recycling

Ltd., UD trucks and others. As for promotion of appropriate collection and

designs, etc.

2

disposal of fluorocarbons and airbags, the Japan Auto Recycling Partnership

Recycling of mounted bodies

was cooperatively established by MFTBC and other automotive companies.

Results for FY2011 (April 2011 - March 2012) ◇Received and recycled 3,329 t (13,034 units) of ASR for a recycling rate of 93.4%, achieving the statutory standard (50% or more). ◇2,424 airbags (1,292 units) were recycled by collection or after actual

Frequently reused/recycled parts

Flat bodies, van bodies, etc.

Parts materially recycled

Metal parts, such as frames

Parts disposed of as waste

Non-metal parts, including wood, FRP and insulating materials

Recovery of rare metals

activation in vehicles. Recycling rate was 93.7% of the total number of

MFTBC’s vehicles are loaded equipment that uses rare metals. Rare metals are

airbags, meeting the required legal standard (more than 85%).

essential for making products more compact and enhancing their performance.

◇2,842 kg (7,009 units) of CFCs were collected and properly treated.

At the same time, however, their uneven geographical distribution and price

◇Total deposits remitted by the fund-managing corporation were 126,753,000

volatility raise concerns about the stability of supply of such materials. MFTBC

yen and total expenses for recycling, etc., were 141,888,000 yen. ASR Vehicles collected Number collected Recycling rate

13,034 3,329 t 93.4 %

Airbags

therefore collects and recycles rare metals from used DPF catalysts to make

Fluorocarbons

1,292

7,009

2,424

2,842 kg

93.7 %

more effective use of resources.

-

*1 ASR (Automobile Shredder Residue) : Waste consisting of various plastics, rubber, fibers and paint sludge, glass pieces and sand and soil left after recovering metals from shredded ELVs. *2 ART : Automobile shredder residue Recycling promotion Team.

Environmental and Social Report 2012

24

Social Responsibility

Compliance (Due Diligence Integrity Check)

Compliance Pledge

We perform due diligence integrity

Based on recognition at MFTBC - by top management as well as by every

checks on sales business partners

employee - that job engagement with ethical sense is an issue of utmost

in order to confirm, prior to entering

importance, MFTBC issues a “declaration of compliance” every year, a pledge

in any transactions or arrangements

signed and submitted by each employee to uphold the commitment to safety and

with them, that they are persons or

ethics. It is also working to establish a new corporate character fully reflective of

entities of integrity and hold good

compliance and of an “All for you” philosophy.

standing in the business community.

Efforts to Ensure Compliance

Compliance Check Sheet

As a member of Daimler Trucks, MFTBC carries out its business activities in

• Compliance Training

accordance with Daimler’s “Integrity Code” applied to all Daimler companies

We hold regular trainings

around the world.

(for new employees,

The Compliance Office is committed to communicating and anchoring awareness

refresher trainings,

of compliance through the following initiatives.

Compliance updates and presentations in Office,

Business Ethics Management System Report, Proposal

Corporate Ethics Promotion Committee

Report, Proposal

Office/dept.

Internal members

OpCom

Chief Business Ethics Officer = CoB Report

Advice, Instruction

Compliance Secretariat of Corporate Ethics Promotion Committee

HQ Director/SMG

Communication

Code Leader*

SC SC Head/Branch Manager

Consultation

Report Training, Support

Advice, Comment

Board of Directors

Townhall Meetings, etc.) in

CCD Compliance Consultation Desk

Promote implementation Consultation, Whistle-blowing

Response

accordance with the Daimler C o m p l i a n c e Tr a i n i n g

Compliance Training

Program. Web-based trainings (focusing on Integrity Code and Anti-Bribery) are centrally rolled out and tracked by Daimler Group Compliance.

Hold the Committee

HoRD

Heads of Regional desks

Report

Manager of Legal & Compliance in Asia/Pacific

Report

Business Practices Office

Fuso windows for whistle-blowing and consultation Employee Counseling

•Ext. intellectuals •Labor Union •Auditor •Advisor

BPO

Instruction, Investigation

Daimler’ s whistle-blowing system

Whistle-blowing

MFTBC/Affiliate Employees *Code Leader: In principle, 1 person/dept. (RSC: 1 person/SC) is selected as a representative.

Web-based training

The representative engages in an implementation of compliance program and corporate ethics measures.

(1) Domestic and International Networks, and Trainings

• Code Leader System

• Corruption Preventing Measures

To promote compliance, MFTBC appoints a code leader for each working unit.

(Approval and Escalation Process)

(In the headquarters, there are currently a total of 79 code leaders and sub-

In 2010, MFTBC established an advance approval and escalation process

code leaders, with a service period of two years). In January 2008, this system

involving Fuso Compliance Circle Meetings (FCCM), led by the CEO, and

was also introduced to the local sales departments, and 29 people have been

Compliance Working Teams (CWT), led by L2-level senior managers of overseas

nominated from each region of the country. In addition, 13 code leaders have

sales office, in order to ensure strict adherence to internal compliance rules.

been nominated from MFTBC’s affiliates. Code leaders’ main duties are to lead the activities ensuring implementation of the company compliance policies and to collect questions and opinions about compliance from employees in their working units. In order to improve their compliance knowledge and skills as code leaders, they attend workshops held by Compliance Office after their nomination.

25

Environmental and Social Report 2012

Social Responsibility

(2) Corporate Ethics/Communication

serves as whistle-blower hotlines under the Whistleblower Protection Act. Their

• CEO Message

contact information including the postal addresses, phone numbers, email

Each of CEO messages on the Intranet, which is also distributed to all employees

addresses has been conveyed to all employees via the Intranet and other print

via FUSO TIMES, includes compliance topics, in which CEO discusses Foreign

media.

Corrupt Practices Act, Anti-Monopoly Law and other topics related to corruption

The contact of the Daimler Business Practices Office (BPO) is communicated

prevention.

to all employees. Each report is carefully investigated and persons who submit them receive full protection against discrimination.

• Corporate Ethics Promotion Committee The committee of the custom by a committee in the company and the committee

• ”fairplay” Campaign

in which external experts participate are held. During the committee meetings,

”fairplay” Campaign which Daimler AG publishes three or four times a year, is

the status of MFTBC’s efforts to improve quality and implement compliance-

uploaded on the Intranet poster distributed to all offices and brochures provided

related measures are reported, and comments and guidance are provided from

all employees.

the committee members. As an advisory body to MFTBC’s Board of Directors,

The “fairplay” presents an editorial message from the Head of Integrity and

the committee reports back to and makes proposals to the Board of Directors.

Legal Affairs, information about the Whistleblower System with the contacts of Daimler’s Business Pactice Office’s (BPO) Hotline, and other compliance-related

• Day for Vows of Safety-First

news.

MFTBC regards January 10 and October 19 as “Day for Vows of Safety-First.” These are the days when people died due to the accidents caused by our company’s truck in Yokohama and Yamaguchi in 2002. On these days, before the start of business activities, all the employees offer a silent prayer to remember and mourn the victims and to pledge that they will never forget the tragedies and will always give the utmost priority to safety and quality, with self-reproach.

“fairplay” campaign logo

• Employee Counseling and Whistle-Blower Hotline MFTBC has established the “Employee Counseling desk,” with which employees may consult when they notice potential misconduct by other employees. It also

Environmental and Social Report 2012

26

Social Responsibility

Relations with Customers Quality must come first MFTBC strongly believes that its promise of “All for You” means providing

Production Process Quality -Building Customer Trust in Our Production

customers with satisfactory products and services. Everything it does is with

Next, we look at the quality management process at the production phase of

the spirit: “Quality must come first.” Quality must be, and is, always the top

products.

priority in every business activity and every business process. To maintain this,

A large number of employees are involved at production plants in various phases

we strive to continually improve our quality management process. We were also

from parts acceptance to machining, assembly, final inspection and shipment of

acquired to the ISO/TS 16949 certification in April 2011, and are developing

products. Quality improvement activities have been conducted for all processes.

and operating systems that enable continuous improvements to be made. Let us

MFTBC aims to build customer trust in its production. To this end, MFTBC has

explain the individual processes in more detail.

concentrated on a system for and workers’ appreciation of the quality-related responsibilities of the production lines. Clarifying those responsibilities of the production lines, the company has striven to improve product quality and workers’ awareness on the matter. Prime examples of activities in this area include the improvement of quality and productivity through shop floor management (SFM), the enhancement of traceability, and the keeping production areas clean and organized.

Improvement of quality and productivity through SFM Shop floor management (SFM) brings together those responsible for production Development process quality

Production process quality

After-sales service quality

processes at daily morning meetings to engage in short-term, direct discussion of matters such as parts delivery status and troubles with equipment. It makes it possible to determine “who should do,” “when we should do,” “what we should

MFTBC’s technological capabilities

do” what and when on the spot, enabling better products to be delivered more efficiently and speedily to the customer.

Enhancement of traceability

Development Process Quality -Development of Easy-to-Build, Easy-to-Maintain Vehicles

Traceability has been enhanced by establishing a process for identifying the

First, let’s look at the quality management process in the development phase.

This makes it possible to prevent defective products from advance to

This process is intended to ensure quality from the start of development, in order

downstream. In the unlikely event that a defective product does escape detection

to offer products meeting the needs and expectations of customers and society.

and advance to the next stage, prompt and precise action can be taken to deal

The development departments (design and test) are already working together

with it.

with the product departments on development of new products. In order to move to a higher rung, they have introduced a new mechanism for improving quality

production records of the each parts assembled into vehicles and components.

Keeping production areas clean and organized

from development, preparation for production, and manufacturing, through

By keeping the production areas clean and in order, latent factors that could

after-sales service. For example, efficient assembly on the production line, and

result in poor quality can be removed, ensuring sustainable quality in a stable

maintenance/repair during after-sales service, are taken into account during the

working environment.

development phase itself, helping to ensure quality. The objective is to nip in the bud anything that could cause a problem later in the flow from production to after-sales service.

Enhancement of Quality of After-Sales Service

There is, in addition, MFTBC’s Fuso product development process called the

Thirdly, there is the after-sales service quality management process. It is vital

“FPD process.” FPD was migrated to the CVDS2.0 process shared by Daimler

that we ensure the quality of the vehicles that our customers use day in and day

Trucks in 2010, and this has since been updated to CVDS3.0. These processes

out, and we must respond immediately to resolve any customer complaints that

make it possible to eliminate the causes of defects at each quality gate so that

might arise. We therefore constantly endeavor to provide ever better after-sales

they do not remain in the development process, thereby enabling smoother

service.

transitions to the mass production stage for all kinds of products.

We swiftly gather feedback and deal with queries on quality from customers. We then identify any important items of information that need to be shared within

27

Environmental and Social Report 2012

Social Responsibility

the company to resolve issues. Issues must be resolved as quickly as possible to minimize inconvenience to customers, and one effective strategy that we have adopted to assist in this process is to create “launch teams” when new products are launched. These teams cut across different departments and other

CVDS (Commercial Vehicle Development System) CVDS in outline

organizations within the company to respond quickly to early incoming data

Revamping its conventional “Fuso Product Development” (FPD) process to

following a launch.

incorporate concepts drawn from the Daimler Trucks’ “Commercial Vehicle

In March 2011, we also launched a hotline for putting customer support queries

Development System” (CVDS), MFTBC completed its full-scale migration to

from regional dealers and distributors through to head office in order to enable

the group’s shared CVDS 2.0 process in 2010. The migration to CVDS 2.0 not

issues to be dealt with more speedily. The scope and nature of the work involved

only reflects our commitment to quality, but also represents a further step on

in each process is defined and responsibilities for quality are made clear.

the road to global information sharing and the implementation of improvements

MFTBC will continue to actively pursue quality improvements so as to continue

throughout the entire Daimler Trucks.

to deliver products meeting the needs and expectations of our customers.

Process of CVDS CVDS is a comprehensive process for developing vehicles and components

Quality Month

(power train related engines, transmissions, axles and aftertreatment) from start

Quality Month was held for the 52nd time in 2011, and this year’s activities

of a product project to mass production, throughout the company. It will allow

included “Fuso Quality Day” on November 4 and “Fuso Quality Forum” on

us to sustainably improve the development process based on the knowledge

November 18.

and experience of project experts in the Daimler Trucks. In order to ensure

Quality Day gave our domestic local sales departments and overseas dealers the

transparency in each project and to achieve targets, global collaboration,

opportunity to give presentations on the “voice of the customer,” followed by

including sharing management of contents, schedules and actual work, will be

group discussions of “what can be done for the customer from tomorrow.”

implemented.

For the Quality Forum, we invited experts from outside the company to talk on subjects such as the revival of Japanese quality and raising of customer

Benefits of introduction of CVDS

satisfaction. Illustrated with concrete examples, these provided fresh and

(1) Improved efficiency of product development through front loading

meaningful insights that will help shake up attitudes to quality improvement

“Front loading” in the sense of moving tasks forward entails ascertaining

activities in the future. The following activities were also undertaken during

market needs of vehicles from the customer’s perspective at an early stage

Quality Month.

and incorporating this knowledge into parts specification requirements. This

Promotion of Quality Month

minimizes the work that must be expended later on modifying designs, resulting in more efficient product development.

“Q flags” were raised at all our plants and research centers, and panels, posters,

(2) Ensuring Process Quality through Quality Gate and Process

and slogans were displayed to boost employee’s motivation to improve quality .

Management

Distribution of booklets

◇Defining Processes and Value Standards In CVDS, deliverables (targets) are clearly defined as the product passes through

Quality Month booklets were distributed in all workplaces to introduce details

each quality gate, affording a ready grasp of what should be done at each stage

and fruits of quality activities in other companies.

of development. The same process definition can be applied to all projects in MFTBC and the Daimler Trucks. ◇Preemptive Resolution through Process Transparency The Fuso Product Executive committee (F-PEC) is responsible for determining whether products pass quality gates or not. F-PEC confirms that each product meets the established criteria and gives approval. The system also allows problem issues to be quickly identified and addressed.

Fuso Quality Day

Environmental and Social Report 2012

28

Social Responsibility

Customer Advice Center As a point of direct contact with customers, the Customer Advice Center deals with a wide range of customer inquiries. The center tries to respond to every

Promotion of people-friendly products Low-floor buses

inquiry promptly, appropriately and with sincerity, and to maintain or improve

Starting with the release of Japan’s first large low-floor “non-step” bus in 1997,

the customer’s satisfaction. Valuable feedback from customers is in addition

MFTBC has striven to comply with standard specifications for certification of

shared throughout the company to help our product development, sale, and

low-floor buses and to promote the spread of such buses. The Aero Star large

service activities deliver greater customer satisfaction.

route bus was joined by the medium route bus Aero Midi in 2011, creating a lineup capable of meeting needs for a variety of situations.

MFTBC Customer Advice Center Telephone: 0120-324-230 (Toll free throughout Japan) Hours: Monday - Friday (excluding certain holidays)

Providing Information to Customers MFTBC makes a range of pertinent information available to its customers

Aero Midi medium-duty route bus

through its website. Included is information on products and technology, the corporation itself, press releases, environmental efforts and recalls. In the page

Spacious stepless floor area

on recalls, customers can automatically check whether their own vehicles are

The Aero Midi has a spacious flat “non-

subject to recalls, improvement measures or service campaigns.

step” floor area between the front and center doors, making it easier for passengers with reduced mobility to board and alight and safer for everyone to move around on board.

Rosa minibus The Rosa minibus has also been remodeled to boost environmental and safety performance and make the lineup more “people friendly.”

MFTBC website:( http://www.mitsubishi-fuso.com/)

Publication of MFTBC newsletters Rosa minibus

The quarterly “Useful Fuso Information” and monthly “Fuso Truck & Bus Magazine” are published to provide useful information to our customers.

DUONIC® dual-clutch AMT Use of the same DUONIC® system as used in the Canter light-duty truck reduces gear shift shock, resulting in a smoother run and fluid acceleration. Improved passenger safety Several safety features are incorporated, including 3-point ELR passenger seat belts, to ensure early compliance with the ECE regulations on occupant safety that entered effect in July 2012. Additional enhancements include improved seatback cushioning for top-of-the-line interior safety.

“Useful Fuso Information”

29

Environmental and Social Report 2012

FUSO TRUCK & BUS MAGAZINE

Social Responsibility

Welfare and Social Activities Takenoko Program In order to help high school students in Japan and Germany experience the

Involvement in celebration of 150 years of friendship between Germany and Japan

culture of the other and promote exchange activities among them, the Takenoko

2011 marked the 150th anniversary of the signing of a treaty of amity,

Program administered by the Japanese-German Center Berlin, supports

commerce, and navigation between Germany and Japan on January 24, 1861,

exchange activities planned and implemented by Japanese and German high

and celebrations took place in the two countries to commemorate the occasion.

schools, by underwriting a portion of the travel expenses. The program was

Being a member of the Daimler Trucks, MFTBC was also involved in a variety of

launched primarily based on a proposal by Daimler and MFTBC, which then set

events held in Japan.

up the “Takenoko Fund” as co-sponsors, in support of the work of the Japanese-

At the 2011 Oktoberfest held at the German school of Tokyo Yokohama (in

German Center Berlin.

Tsuzuki, Yokohama) on October 8, MFTBC provided a Rosa minibus to serve as the canvas for a children’s art event.

Involvement in “Traffic Safety Program for Mothers and Children” This is a volunteer program held annually by the Automobile Journalists

The highlight of the program of events was “Deutschlandfest - An der Seite Japans,” in which MFTBC also took part as one of the sponsors of the celebrations.

Association of Japan (AJAJ) to promote traffic safety for mothers and children. MFTBC was sponsored a program for confirming heavy-duty vehicle fields of vision and blind spots, and exhibited the Super Great heavy-duty truck and Aero Star large route bus as part of this program. Traffic Safety Program for Mothers and Children

Rosa covered in children’s artwork

Children painting on the Rosa

Relationships with Local Communities Partnership with local residents

Plant tours

MFTBC strives to maintain close, harmonious ties with local residents through

MFTBC provided plant tours for local residents, elementary school students, and

the following activities.

others. About 6,400 people visited in FY2011.

Item Plant tours

Activities - Tours open to local residents, groups, families of employees, etc. Total participants: Approx. 6,400 (FY2011)

Collaboration with schools

- Plant tour programs linked with social studies curriculums

Participation in local residents’ associations

- Sponsorship of various events - Support for local activities and events - Clean-up activities for neighborhoods - Participation in Kawasaki’s “City of Flowers and Greenery II Campaign”

Participation in environmental groups Clean-ups and greening projects for neighboring areas

Visitors touring a factory

Volunteer activity by supervisors Family Day

Members of MFTBC’s Supervisors Association

This was held on November 13,

checked and cleaned convex traffic mirrors in

2011, at the Kawasaki Plant’s No.

Nakahara-ku, Kawasaki City and cleaned up

1 Site. Local residents as well

litter around the plant in October 2011.

as employees and their families were invited along to tour the plant, see the

33 company supervisors took part in what was

vehicles on display, and even take some for a test drive. There were attractions

the sixth such activity to date, cleaning around

for the children too, including a live character show and mini games. The event

800 mirrors.

was a roaring success, and drew about 5,000 visitors on the day.

Cleaning convex traffic mirrors Environmental and Social Report 2012

30

Social Responsibility

Employee-Related Activities Policies on employment and other arrangements to accommodate social changes

Introduction of Staff Potential Appraisal (SPA) The “Staff Potential Appraisal” (SPA) system was introduced in 2010, making

MFTBC’s business has grown increasingly global in nature as it has stepped

it possible to identify potential future managers, make promotions more

up its collaboration with Daimler AG, creating a need for personnel who can

transparent, and increase coordination with human resource development.

act aggressively. MFTBC therefore hires and appoints skilled human resources according to ability and in a gender-blind manner in accordance with the Equal

Introduction of AC44 (Assessment Center for L4)

Opportunity Employment Act. In order to create better working conditions for

The Assessment Center, where decisions on promotions of staff to L4

women, it assists employees with young children by providing parental leave

management-grade positions are made, was freshly overhauled in 2011 to

and parental working hour arrangements, and it has introduced the employee

achieve harmonization with global standards and ensure the quality of potential

fringe benefit program “Fuso Welfare Plan.”

verification processes and selection of future leaders.

MFTBC has additionally revised its existing senior program and introduced an “Age Associate Program” (for re-hiring retired workers) in compliance with the

Personnel training

revised Act on Stabilization of Employment of Elderly Persons in order to provide

All our training programs are based on the “Fuso Training House” approach

employment opportunities and better working conditions for highly experienced

to human resource development. Employees are basically divided into three

older workers, along with mechanisms for ensuring the transmission of

levels (up to three years experience, from three years to pre-management, and

manufacturing know-how to younger workers.

managers and higher), and defines the goal of training and needed individual capabilities, for each layer. For the promotion of employee training, a framework for collective management of training concepts, training details, budgets, and

Personnel System

other issues have been established, and such a program has been implemented that develops leadership and work performance depending on employees’

Operational policy on personnel system

respective responsibilities, jobs, and positions.

The personnel system is a mechanism whereby superiors and subordinates both grow as they positively communicate, think, work and accumulate successful

Helping employees to balance work and family

experiences. A workable PDCA (plan-do-check-action) cycle and appropriate

MFTBC has been working to promote the work-life balance of its employees. We

communications (feedback in particular) provide the motive force for individual

have exceeded our legal obligations to create an amenable working environment

and company growth.

for employees with young children, and have put in place arrangements that allow employees of both sexes to choose the work style that best suits their

Personnel system Clarification of evaluation standards & implementation of feedback interview

stages of life. In December 2011, we were authorized as a “parent-friendly

Evaluation

Rewards

Properly reflecting duties, responsibilities and performance

Duties and responsibilities Basis of the system

Fostering independent professionals

employer” by the Minister of Health, Labour and Welfare under the Act on Advancement of Measures to Support Raising NextGeneration Children, which allow us to display the official “Kurumin” logo. From now on we aim to encourage wider adoption of this scheme within and beyond the company and will continue to enhance

Development

our programs for employees with young children or family members in need of care.

Introduction of LEAD manager evaluation program In FY2006, MFTBC began introducing Daimler AG’s “Leadership Evaluation and Development” (LEAD) manager evaluation program. LEAD is used not only to assess performance, but also to discuss and determine future training and

“Kurumin” mark

Health and Safety Occupational safety

personnel assignments. This makes it possible to identify training needs and

Based on its 2011 safety and health management policies, MFTBC has

stimulate allocations of human resources between different departments and

formulated a safety and health action plan founded on the principle that “ensuring

regions.

the health and safety of employees comes before all else,” and it continues to

*1. “Sangen Shugi” refers to the Japanese management philosophy of paying attention to genba (the actual scene), genbutsu (actual things), and genjitsu (actual facts). This means visiting the site of a problem when it arises to check actual things and determine actual conditions (“the facts”), rather than taking decisions away from the scene from behind a desk.

31

Environmental and Social Report 2012

Social Responsibility

further instill awareness of health and safety among employees and create a safe

necessary measures.

and comfortable workplace. Putting the slogan “finding risks, assessing risks, eliminating risks” into practice, the following three strategies are pursued: (1) Following compliance standards, managers and supervisors take

Internal communications

responsibility for ensuring safety, and every single employee “always follows

MFTBC recognizes that it is extremely important to share necessary information

the rules.”

properly and in a timely fashion with all employees in every level. This leads to a

(2) “Sangen Shugi”* principles are practiced to lower risk and create a safe and 1

common awareness of the issues in company management.

comfortable workplace.

Intranet

(3) Employees are actively encouraged through communication activities to take care of their own physical and mental health.

Since December 2007, MFTBC has integrated its intranet with Daimler AG’s intranet, “Employee

25

Accidents resulting in lost workdays/disabilities

Overall incidence rate: Total number of accidents per million working hours

Accidents without lost workdays

20

Overall incidence rate

2.0 1.8 1.6 1.4

Overall incidence rate

Accidents

Annual safety performance of production operations

Portal.” The Employee Portal integrates 25 formerly separate intranets operated by Daimler Trucks’ operations around the world, allowing users everywhere to access and share news

15

1.2

and information on Daimler AG and Daimler

1

Trucks as a whole as well as previously available

10

0.8

information. Logging in is ID and password

0.6

protected, enabling information access to be restricted to designated users.

0.4

In 2012, employees at all our distribution operations in Japan also gained to

5

0.2 0

00

01

02

03

04

05

06

07

08

09

10

0

access to the portal.

11 (Year)

Road safety

Newsletter We

publish

a

In order to prevent traffic accidents involving employees, traffic safety and traffic

m o n t h l y n e w s l e t t e r,

manner guidance for drivers, cyclists and pedestrians, was offered. Moreover,

“FUSO TIMES,” to all

during the national traffic safety weeks, the improvement of employee’s

employees. It provides

consciousness about traffic safety was intended as part of employee education,

a wide range of

through events such as a lecture given by the manager of the traffic department

information, for example,

of the police station with jurisdiction, traffic safety guidance at a nearby

management information

intersection, danger prediction trainings, and so on.

including messages from

Operation of risk assessments MFTBC conducts ongoing health and safety risk assessments using risk management techniques. This involves identifying risks and hazards in the

Employee Portal

company executives and

FUSO TIMES

information about various events and individual department’s activities.

Townhall meetings

workplace, estimating the risks as determined by combining the severity

Townhall meetings attended principally by all management-level personnel are

of potentially resulting work accidents (including health disorders) with

held regularly. At these meetings, the CEO and other executives talk directly to

the possibility of their occurrence, determining the order of priority of

participants about the company’s direction, policies, and so forth. Question and

countermeasures according to the scale of the risks, investigating measures to

answer sessions are also held. In 2011, “FUSO 2015 Townhall Meetings” were

eliminate or mitigate the risks, and recording the results. Introduction of this

held at several sites to share with all our employees, including those at affiliates,

risk assessment program commenced in 2009. Beginning with one workplace

details of the FUSO 2015 corporate vision being pursued by the company

chosen as a model, company risk assessment operating procedures have been

as a whole. Also since 2011, monthly “FUSO 2015 Days” have been held in

drawn up and rolled out by providing appropriate training to personnel in

workplaces to discuss progress on attaining the FUSO 2015 targets. Important

production operations. Training was expanded to development operations from

information is communicated to

the second half of the year, further helping to reduce accidents.

individual employees through small

Countermeasures for Asbestos MFTBC has conducted work for removing asbestos, based on the result of

meetings held in each department, supplemented by use of the intranet, newsletters, and related blogs.

investigations of buildings where asbestos was possibly used. Moreover, MFTBC has investigated the past work which dealt with asbestos and has taken

FUSO 2015 Townhall Meetings Environmental and Social Report 2012

32

Social Responsibility

Plant Report (Performance in FY2011) Environmental data on each plant of MFTBC and the affiliates in FY2011 are as follows. The limits shown are the strictest established under relevant laws, ordinances and environmental protection agreements applicable to those plants. In the case of emissions into the atmosphere, maximums are shown. Type 1 designated chemicals shoes use is one ton per year or more are shown in the following PRTR tables. Environmental data on Plants of MFTBC See P.19 for CO2 emissions from MFTBC.

Kawasaki Plant

Number of employees: 3,400

◎Atmosphere Substances NOx

◎Substances covered by PRTR (Kawasaki)

Equipment

Unit

Result

Boilers

ppm

130

45

Substance no.

Heating system

ppm

150

60

1

Ovens

ppm

250

60

53

Gas turbines Boilers Dust

Regulation

50,963

80 188

N,N-Dicyclohexylamine

1,131

0.05

0.005

207

2,6-Di-tert-butyl-4-cresol

2,678

3

Xylene

g/m N

0.25

0.01

239

Organotin compounds

1,816

Gas turbines

g/m3N

0.025

0.01

296

1,2,4-Trimethylbenzene

16,533

30

103,476

9,229

mg/L

300

22

SS

mg/L

300

Oil

mg/L

5

Total nitrogen

mg/L

150

Total phosphorus

mg/L

20

Copper

mg/L

3

ND

Zinc

mg/L

3

Manganese

mg/L

1

Nakatsu Plant

Min.

Average

7

13

15

7.6

10.5

3.5

ND

2.1

15

6.7

11.2

2.7

0.6

1.6

ND

ND

0.45

0.1

0.24

0.2

ND

0.2

300

Toluene

309

Nickel compounds

392

Normal hexane

400

Benzene

453

Molybdenum and its compounds

Public water

Eliminated

Consumed

47

5,132

11,256

6,138

225

11,975

54,065

26,084

Waste

47

326

2,593

791

0

13

2,665

182

1,635 16,503

140

805

Total

Recycled

Drainage

341

Ovens

BOD

97

3,475

39,904

50,727

431

277

18,559

98

18,461

3,244

86

3,157

1,744

0.3

325,098

66,666

0

485

0.2

1,030

2,155

21,612

713 105,225

128,953

*Figures may not sum due to rounding.

Number of employees: 175

◎Atmosphere

◎Substances covered by PRTR (Nakatsu)

Equipment

Unit

Regulation

Result

Boilers

ppm

130

80

Substance no.

Heating ovens

ppm

200

120

80

g/m3N

0.3

0.01

0.25

0.001

Boilers

3

Heating ovens

g/m N

Unit

Regulation

Max.

Min.

Average

BOD

mg/L

300

9.4

1.1

5.2

SS

mg/L

300

1.1

ND

1

Oil

mg/L

5

ND

ND

ND

Total nitrogen

mg/L

150

13

7.3

10.1

Total phosphorus

mg/L

20

ND

ND

ND

Copper

mg/L

3

ND

ND

ND

Zinc

mg/L

3

ND

ND

ND

Manganese

mg/L

1

ND

ND

ND

(kg/year)

Emissions Transferred Amount used Atmosphere Public water Drainage Waste

Substance

Recycled

Eliminated

Consumed

Xylene

5,831

75

5,757

296

1,2,4-Trimethylbenzene

6,385

33

6,352

300

Toluene

1,086

16

13,302

124

Total

◎Drainage Substances

143,313

10

Max.

Dust

6,260

0.005

Regulation

NOx

28,833

70

Unit

Substances

Ethylbenzene

0.05

g/m N

Atmosphere

Transferred

2,966

ppm

◎Drainage Substances

Amount used

Zinc compounds (water-soluble)

g/m3N 3

Heating system

Substance

(kg/year) Emissions

1,071 0

0

0

0

0

13,180

*Figures may not sum due to rounding.

Environmental data on Plants of MFTBC’s Affiliates

Mitsubishi Fuso Bus Manufacturing Co., Ltd. ◎Atmosphere Substances

Equipment

Unit

Regulation

NOx

Boilers

ppm

150

Dust

Boilers

g/m3N

0.1

Result 43 Not measured

Substance no.

Unit

Regulation

Max.

Min.

Average

BOD

mg/L

20

7.5

1.1

4.4

SS

mg/L

30

23.0

1.0

7.5

Oil

mg/L

3

1.1

N.D.

N.D.

Substance

1 Zinc compounds (water-soluble) 71 Iron(III) chloride 80 Xylene

18,500

Regulation

Result

NOx

Boilers

ppm

150

32

Dust

Boilers

g/m3N

0.1

0.001

2,200

2,200

1,200

1,200

17,300

17,000

302 Naphthalene

1,000

1,000

309 Nickel compounds

8,100

3,500

4,600

0

412 Manganese and its compounds

8,200

4,100

4,100

0

17,800

2,100

Substances

Regulation

Max.

Min.

Average

BOD

mg/L

300

52.0

13.0

32.1

SS

mg/L

300

20.0

5.1

9.7

Oil

mg/L

5

1.9

ND

1.2

7,027

5,136

5,000

5,380

2007

2008

5,000

0 0 300

0 0

49,400

0

0

10,500

2009

Substance

0

0

2006

2007

2008

2009

2010

2011 (FY)

(kg/year)

Emissions Transferred Amount used Atmosphere Public water Drainage Waste

Recycled Eliminated Consumed

53 Ethylbenzene

10,359

9,060

1,299

0

80 Xylene

27,467

21,237

6,230

0

300 Toluene

42,844

17,019

25,826

80,670

47,316

Total

3,982

2006

6,580

2,100

Substance no.

7,925

0

6,840

◎Substances covered by PRTR

5,786

Unit

6,550

Sagami Plant

10,000 (ton-CO2)

◎Drainage

7,410

0

297 1,3,5.-Trimethylbenzene

◎CO2 emissions Unit

1,500

296 1,2,4-Trimethylbenzene

Number of employees: 314

Equipment

8,890

0

2,100

79,800

10,206

10,000 (ton-CO2)

0 5,400

17,000

◎CO2 emissions

0

1,100

239 Organotin compounds

Total

Substances

3,700 11,000

5,400

*Figures may not sum due to rounding.

◎Atmosphere

Recycled Eliminated Consumed

3,700 12,100

300 Toluene

PABCO Co., Ltd

(kg/year)

Emissions Transferred Amount used Atmosphere Public water Drainage Waste

53 Ethylbenzene

◎Drainage Substances

Number of employees: 650

◎Substances covered by PRTR

0

0

33,355

0 0

0

0

*Figures may not sum due to rounding.

2010

2011 (FY)

NOx: General term for Nitrogen Oxides, which cause acid rain and produce photochemical oxidants. BOD: Biological Oxygen Demand, a primary index for measuring contamination by organic substances in rivers. The higher the value, the less clear the water. SS: Suspended Solids, small particles of solid pollutants - 2mm diameter or less - that are suspended in liquids. ND: Not Detected (Not Detectable); Does not mean “none,” but below the applicable limit of detection. Eliminated: Amount transformed into other substances by incineration, decomposition or reaction

33

Environmental and Social Report 2012

Helping to recover from the devastation of the Great East Japan Earthquake We wish to offer our sincere condolences and prayers for all those who lost their lives in the Great East Japan Earthquake

Steadfast support for the customer

on March 11, 2011, together with our sincere sympathies to

Trucks and buses have had an essential contribution to

all who have been affected by the disaster.

make to the recovering process in areas affected by the

Our thoughts are with everyone in the devastated areas and

earthquake and tsunami. We have been providing full backup

those of our customers affected by the disaster, and we have

in necessary areas with the aim of bringing all our branches

been doing what we can as a company to assist their earliest

back to normal as soon as possible to ensure supplies and

possible recovery.

servicing of vehicles. The last of our branches to reopen for business as normal was our particularly severely damaged Sennan Branch, in

Contributing to the earliest possible recovery at the devastated areas

Miyagi Prefecture, which fully reopened on September 3, 2011, thanks to the unstinting efforts of local staff and the

Working through the Nippon Foundation, Daimler AG has donated 2 million euros (approximately 230 million yen)*

1

and 50 vehicles to assist the recovery in the affected region

assistance of countless other employees. MFTBC will continue to provide full support to assist the recovery process.

stretching over four prefectures (Iwate, Miyagi, Fukushima, and Ibaraki). These vehicles continue to play an important role in recovery work in frontline of the affected areas, where they are put to use as the local conditions dictate, in order to help restoring ordinary to people’s lives.

Removing debris and sludge piled in front of the Sennan Branch

Zetros loading debris in Yamada Town, Iwate

The Sennan Branch, back in business almost six months later on September 3, 2011

What we can do Zetros and Canter working in tandem (Ishinomaki City, Miyagi Prefecture)

Responding to the strong desire of our employees around the world to help people in the devastated areas, labor and management at Daimler launched a widely supported fundraising campaign. The monetary donations raised were sent to the devastated areas along with various forms of other contributions and relief supplies. Many of MFTBC’s employees have also volunteered to assist with recovery work, and have been helped to do so by both labor and management.

Canter in use as a children’s traveling library in Ishinomaki City, Miyagi Prefecture

*1. Based on the exchange rate at the time that donations were collected (March 2011).

Environmental and Social Report 2012

34

This report was produced in an environmentally-friendly manner using FSC-certified paper.

Published: December 2012

Environmental and Social Report 2012 Mitsubishi Fuso Truck and Bus Corporation Corporate External Affairs & Environmental Management 1-1-2, Kashimada, Saiwai-ku, Kawasaki-shi, Kanagawa 212-0058, Japan TEL: +81-44-330-7700 (Main Number) FAX: +81-44-330-5832

∼Environmental and Social Report 2012 QUESTIONNAIRE∼ Corporate External Affairs & Environmental Management, Mitsubishi Fuso Truck and Bus Corporation (FAX: +81-44-330-5832) Thank you for your interest in MFTBC’ s Environmental and Social Report 2012. It would be greatly appreciated if you could take a few moments to complete this questionnaire and return it by fax to the above number. Q1.

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Q7.

Q8.

In what capacity did you read MFTBC’ s Environmental and Social Report? (Multiple answers allowed) □ Customer □ Supplier □ Environmental officer at a company or other organization □ Environmental NGO/NPO □ Research/educational institute, etc. □ Student □ Media organization □ Government agency □ Financial institution □ Investor □ Resident living near MFTBC facility □ Employee or officer of MFTBC affiliate □ MFTBC employee or officer □ Other (Please specify: What in the report were you interested in? (Multiple answers allowed) □ TOPICS (1) □ TOPICS (2) □ TOPICS (3) □Environmental Management □ Research and Development □Procurement □Production □ Activities of Overseas Affiliates □ Logistics □Sales Activities □Recycling □Compliance □Relations with Customers □ Welfare and Social Activities □ Relationships with Local Communities □ Employee-related Activities □ Plant Report (Performance in FY2011) □ Other (Please specify: What in the report would you like to see improved in future issues? (Multiple answers allowed) □ TOPICS (1) □ TOPICS (2) □ TOPICS (3) □Environmental Management □ Research and Development □Procurement □Production □ Activities of Overseas Affiliates □ Logistics □Sales Activities □Recycling □Compliance □Relations with Customers □ Welfare and Social Activities □ Relationships with Local Communities □ Employee-related Activities □ Plant Report (Performance in FY2011) □ Other (Please specify: What is your overall opinion of the report? (1) Volume of information :□ Good □ Fairly good □ Passable □ Lacking a bit □ Lacking (2) Quality of information :□ Satisfied □ Fairly satisfied □ Passable □ A bit dissatisfied □ Dissatisfied (3) Clarity :□ Very easy to understand □ Fairly easy to understand □ Average  □ A bit difficult to understand □ Very difficult to understand (4) Number of pages :□ Too many □ Somewhat too many □ Appropriate □ Rather not enough □ Not enough Only answer if you read the FY2011 report. What in the report did you think was better than that in the FY2011 report? ( What in the report did you think was worse than that in the FY2011 report? ( How would you evaluate MFTBC’ s activities in reducing environmental impact? □ Very good □ Fairly good □ Average □ Not very good □ Poor Reason ( How would you evaluate MFTBC’ s social activities? □ Very good □ Fairly good □ Average □ Not very good □ Poor Reason ( If you have any other comments, please tell us. (If you need more space, please attach another sheet.)

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