ESG control chart

Item			Policies, commitments and systems	Initiatives
Overall			• Signatory to the United Nations Global Compact • Sustainability Mission • Materiality • Approach to Sustainability • Goals and progress　 • Stakeholder engagement • Sustainability management structure　 • External recognition • Key Sustainability Data(people, the environment, and governance)
Society	Health		• Basic policy
		Pharmaceutical Business	• Basic policy　 • Goals and progress	• Contribution to unmet medical needs 　 • Initiatives for access to medicine　 • Initiatives for infectious diseases including tuberculosis
		Nutraceutical Business	• Basic policy • Goals and progress	• Catering to yet-to-be-imagined needs • Initiatives for Access to Nutrition
	People		• Basic policy
		Human resource development	• Basic policy	• Human resource development programs (including management human resource development programs) • Internship programs • Systems for leveraging abilities (open recruiting system, self-assessment system, etc.)
		Diversity & Inclusion	• “Otsuka Group Global Code of Business Ethics” (“Diversity and Inclusion”) • Basic policy • Signatory to the Women’s Empowerment Principles (WEPs) • Iku Boss (managers supportive of work-life balance) declaration by group companies（Otsuka Pharmaceutical Co., Ltd.）	• Diversity • Systems for diversity promotion (including mindset and establishing structure to help diverse human resources play active roles regardless of nationality, race, age, gender, disability, sexual orientation, etc.) • Examples of external recognition
		Health and Safety	• Otsuka Group Global Code of Business Ethics(“Human Rights and Labor Standards” and “Employee Health”) • Basic policy • Declaration on health by group companies • “Health and Safety Committee” and other promotion structures	• Initiatives for employee health maintenance and promotion 　 • Initiatives for workplace health and safety • Initiatives for reduction overtime and encouraging employees to take paid leave • Examples of external recognition
		Fair employment and working condition	• Otsuka Group Global Code of Business Ethics(“Human Rights and Labor Standards,” “Discrimination and Harassment,” and “Reporting Concerns”) • Basic policy	• Internal training on bullying, harassment and other issues　 • Employee survey, and improvement activities based on survey results
		Human rights initiatives	• Otsuka Group Global Code of Business Ethics(“Human Rights and Labor Standards,” “Discrimination and Harassment,” and “Reporting Concerns”) • Basic policy • Otsuka Group Human Rights Policy • Promotional structure	• Implementing human right risk assessment to identify salient human right risks • Identifying salient human right issues and implementing corrective measures • Whistleblowing hotline • Employee training on Otsuka Group Human Rights Policy • External collaboration
	Quality in All We Do		• Basic policy • Otsuka Group Global Code of Business Ethics (“Business Integrity,” “Maintaining Books and Records,” etc.) • Certification status of ISO 9001 (quality), ISO 22000, FSSC 22000 (food safety), etc.
		Research and development	• Commitments in R&D (compliance with laws and guidelines, ethical considerations, etc.)	• Ethical considerations in research involving animals • Ethical considerations in research Involving human-derived specimens • Ethical considerations in research involving pathogenic microorganisms (pathogens) and genetically modified organisms • Ethics in clinical trials • Compliance in R&D by Otsuka group companies • Management of public research funds
		Procurement	• Basic policy • Otsuka Group Procurement Policy　 • Otsuka Group Sustainable Procurement Guidelines • Sustainable procurement Promotional structure (establishment of the Otsuka Sustainable Procurement Task Force) • Goals and progress	• Promotion of sustainable procurement with consideration for the environment, human rights other matters. (including due diligence investigation on new suppliers, and the common SAQ and briefing sessions for business collaborators) 　 • Joint business collaborator audit by pharmaceutical companies　 • Global initiatives for streamlining production and supply of products
		Production, quality control and patient/customer safety	• Basic policy • Measures including global product quality policies for the pharmaceutical products of Otsuka Pharmaceutical • Promotion structure including Global Production Meeting and Global Product Quality Meetings.	• Production, quality control and patient/customer safety in compliance with and regulatory requirements, and governmental and industry standards • Acquisition of ISO 9001 (quality), ISO 22000, FSSC 22000 (food safety), etc. • Quality control based on GQP and GVP, and post-marketing safety management　 • Global implementation of pharmacovigilance activities • Measures against falsified medicines • Employee training　 • Examples of external recognition (Initiatives for improvemnet at Otsuka Pharmaceutical Factory, Inc. )
		Logistics	• Basic policy • Establishment of the GDP Promotion Office and other promotion structures for control and maintenance of product quality and stable supply in logistics	• Initiatives for quality control and maintenance (promotion of logistics in compliance with the Good Distribution Practice (GDP) guidelines, employee training, etc.) • Initiatives for streamlined cooperation among shippers and distributors (standardization of IT-based data systems, digitization of forms, etc.) • Initiatives for stable supply (distribution strage of inventory, registration of vehicles for authorized access to restricted areas, etc.) 　 • Environmentally friendly measures (the promotion of modal shift to reduce CO₂ emissions) • Examples of external recognition(Initiatives for CO₂ emmission at Otsuka Warehouse CO.,Ltd.) (in Japanese)
		Sales and Marketing	• Basic policy • Establishing internal code of practice that expand on the JPMA Promotion Code for Prescription Drugs, for activities targeted at healthcare professionals • Structural measures such as establishing the Scientific Affairs Department for gathering and disseminating information about products, related knowledge, and the latest academic information, and dedicated review unit to ensure appropriate marketing and promotion activities	• Conducting appropriate marketing and promotion activities in compliance with laws and regulations • Gathering and disseminating information about products, related knowledge, latest academic information, etc. • Employee training • Reducing food loss (extending shelf life, switching to month-based expiration dates, etc.)
		Customer Service	• Basic policy • Declaration of Customer-centric Commitment　 • Group-wide Customer Service Liaison Meeting, cross department “Listen to Customer Feedback Meeting,” and other promotion structures for consumer-centric management	• Promoting customer-centric management • Ensuring appropriate communication with customers • Improved products based on customer feedback 　 • Establishing dedicated contact points for patients, healthcare professionals and customers respectively
Environment	Environmental management		• Otsuka Group Global Code of Business Ethics (“Environmental Protection”) • Otsuka Group Environmental Policy • Otsuka Group Environmental Activity Guidelines • Group promotional structures centering on the Otsuka Group Global Environmental Council • Disclosure of ISO 14001 certification status
	Carbon Neutrality		• Basic policy • Goals and progress	• Initiatives for efficient energy use and CO₂ reduction (expanded use of renewable energy sources, such as by introduction of CO₂-free electricity, including solar power generation for in-house consumption, and purchase of Green Power Certificates, etc.) • Validation of goals under the Science Based Targets (SBT) initiative • Disclosure of CO₂ emissions and other data
	Circular Economy		• Basic policy • Goals and progress	• Initiatives to achieve zero waste • Initiatives for plastic resource and marine plastic pollution • Disclosure of waste volume (effective use volume and final disposal volume) and other data
	Water Neutrality		• Basic policy • Goals and progress	• Water risk evaluation at manufacturing sites　 • Disclosure of water usage, water use efficiency and other data.
Governance	Corporate Governance		• Basic policy • Corporate Governance Guidelines
		Governance Structure	• Basic policy　 • Overview of governance structure	• Initiatives to Strengthen Corporate Governance • Board of Directors, Audit & Supervisory Board and Corporate Governance Committee • Rationale for selection of directors and evaluation of board effectiveness　 • Skill matrix for directors and Audit & Supervisory Board members • Succession plan
		Remuneration for Directors and Audit & Supervisory Board Members	• Basic policy	• Remuneration standards, system and method of determination
	Compliance	Overall	• Basic policy　 • Compliance promotion structure
		Tax Compliance	• Basic policy　 • Tax policy　 • Transfer pricing policy	• Correspondence with tax authorities
		Anti-Corruption	• Otsuka Group Global Code of Business Ethics (“Bribery and Corruption,” etc.) • Otsuka Group Global Anti-Corruption Policy	• Due diligence • Training for employees　 • Monitoring
		Conflicts of Interest	• Otsuka Group Global Code of Business Ethics (“Conflicts of Interest,” etc.) • Otsuka Group Global Policy for Conflict of Interest	• Training for employees　 • Monitoring
		Protecting Privacy	• Otsuka Group Global Code of Business Ethics (“Privacy and Confidentiality,” etc.) • Otsuka Group Global Privacy Policy	• Training for employees　 • Monitoring
		Whistleblowing Hotline		• Provision of internal and external whistleblowing hotlines
	Risk Management	Overall	• Basic policy　 • Risk Management Policy • Enterprise risk management Page 68　 • Risk management system operated through the Risk Management Committee	• Identifying principal risks via risk assessments and mitigating risks　 • Business continuity planning and management • Risk management training • Initiatives to mitigate information security risk
Contribution to Communities		• Policy	• Activities to Contribute to communities • Volunteer leave（Otsuka Pharmaceutical Co., Ltd.）