CTI Engineering Group’s Materiality

The CTI Engineering Group’s social environment presents a diverse array of issues, such as demands for greater diversity in personnel and stronger corporate governance, in addition to global problems such as climate change and energy. In this social environment, under its Mid- to Long-Term Vision SPRONG 2030, the CTI Engineering Group aims to make great strides forward as a Global Infrastructure Solutions Group that can resolve all sorts of issues related to infrastructure in Japan and overseas and contribute to the sustainable development of society.

To ensure that we take steady steps toward making this happen, we have identified the important issues we should address as our materiality issues.

Important Issues the CTI Engineering Group Should Address (Materiality Issues)

Contributing to a Sustainable Society

  1. Contribute to infrastructure development thatsupports safety and security
  2. Contribute to the sustained development of countries, communities and society
  3. Contribute to a decarbonized and recycling-oriented society and ecosystem preservation
  4. Create value through digital transformation (DX)

Strengthening the Management Foundation

  1. Enhance human resources and achieve well-being
  2. Strengthen corporate governance
  3. Assure and improve the quality of final products and services

Materiality Determination Process

  1. Extract Social Issues

    We created a list of social issues with reference to the SDGs and ISO 26000, particularly issues that are elated to contributing to a sustainable society and those related to the Company’s management foundation.

  2. Identify Social Issues Related to the CTI Engineering Group’s Businesses

    Based on the CTI Engineering Group’s Business Philosophy and Code of Corporate Conduct, we identified the issues related to the CTI Engineering Group’s businesses from among the social issues. The issues related to the CTI Engineering Group’s businesses were then organized by classifying them into issues related to contributing to a sustainable society and issues related to strengthening the management foundation.

  3. Determine Materiality Issues

    We assessed the importance of each issue from the perspectives of the importance to stakeholders and the importance to the CTI Engineering Group’s businesses and identified seven materiality issues. The Board of Directors approved these materiality issues following discussions in the Sustainability Committee, the Management Meeting and other forums.
    The Sustainability Committee will monitor the identified materiality issues and revise them as necessary through PDCA cycles.
Materiality Determination Process

Main Reasons for Selection of Materiality Issue and Main Initiatives

Main Reasons for Selection of Materiality Issue Main Initiatives

Contributing to a Sustainable Society
  1. Contribute to infrastructure development that supports safety and security
The increasing severity of natural disasters due to climate change and the aging of infrastructure developed during Japan’s period of high economic growth, among other challenges, have become social issues. Meanwhile, funding for infrastructure development and the lack of infrastructure developers are also challenges, requiring more efficient and effective infrastructure development. Leveraging its accumulated expertise and experience, the CTI Engineering Group will address issues related to infrastructure development, which supports a safe and secure society.

●Strengthen measures to address national resilience

●Expand business to public-private partnerships and the private-sector market
  1. Contribute to the sustained development of countries, communities and society
The stagnation of regional economies and maintenance of social infrastructure services have become social issues due to factors such as the declining birthrate and aging of society. In addition, there are certain regions of the world that are suffering from a lack of infrastructure development, which is necessary for economic development. By harnessing the initiative of revitalizing regions through next-generation mobility and its track record of developing infrastructure in Japan, the CTI Engineering Group will contribute to the sustained development of society in Japan and other parts of the world.

●Expand business to municipalities

●Promote global business expansion
  1. Contribute to a decarbonized and recycling-oriented society and ecosystem preservation
Realizing a recycling-oriented society with a reduced environmental impact through such means as shifting to sustainable energy has become a global priority. The preservation of ecosystems and protection of biodiversity in bodies of water and on land areas have also become urgent priorities. By leveraging the CTI Engineering Group’s experience in consulting services related to environmental analysis and environmental preservation measures, the CTI Engineering Group will contribute to the creation of a recycling-oriented society and the preservation of ecosystems.

●Expand business to the energy and environmental management sectors

●Promote the CTI Engineering Group Challenges for Sustainability
  1. Create value through digital transformation (DX)
The CTI Engineering Group aims to contribute to society through technology. Therefore, it is essential for the CTI Engineering Group to stay on top of rapidly evolving technology. The digitalization and innovation of companies are sources of competitiveness, and the use of innovative technologies also helps to solve social issues. The CTI Engineering Group will apply the outcomes of its digital transformation (DX) initiatives to solve social issues, along with putting these outcomes to good use in streamlining business production processes and increasing corporate value.

●Strengthen investment in technological innovation

●Expand business to the information services sector

Strengthening the Management Foundation
  1. Enhance human resources and achieve well-being
The CTI Engineering Group’s greatest management resource is its people. Therefore, it is extremely important for us to hire, train, and revitalize our people. We believe that when employees are happy, it drives their creativity and productivity, which in turn attracts more talented people. For this reason, the CTI Engineering Group regards well-being as its most important challenge, and top management will promote it as a significant issue.

●Promote well-being management

●Strengthen recruitment and development of human resources
  1. Strengthen corporate governance
The CTI Engineering Group believes that transparent governance is essential to promoting sustainable reforms under fair business practices. Through proper and proactive information disclosure, we will build relationships of trust with stakeholders. Concurrently, we will ensure fair decision-making and management and implement proactive and defensive governance, with the aim of sustainably increasing corporate value.

●Strengthen risk management

●Implement management that considers capital efficiency

●Conduct proper and proactive information disclosure
  1. Assure and improve the quality of final products and services
The CTI Engineering Group’s final products and services are directly related to people’s safety and security. Therefore, assuring the quality of final products and services, as well as retaining the trust of customers and other stakeholders, can be described as a lifeline for the CTI Engineering Group’s corporate activities. The CTI Engineering Group will endeavor to provide high-quality final products and services as it strives to enhance customer satisfaction, its public reputation, and its technical competitiveness.

●Raise the sophistication of quality management

●Promote reform of production systems