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About the report
This is Toyota Motor Europe’s fourth Sustainability Report. It covers our environmental, social and economic performance for Financial Year 2009 (FY09) from the 1st April 2009 to 31st March 2010. This report follows our 2009 Sustainability Report which was published in September 2009. This is the ninth year we have been reporting on our environmental performance. We began publicly reporting on our environmental performance in 2001 when we published our first annual Environmental Report. In 2007, we broadened the scope of the Environmental Report to include a wider range of sustainability indicators and since this date publish our Sustainability Report annually. More than 100 people have contributed to this report. They have made a great deal of effort to provide high-quality, accurate and transparent information. Without their contribution, this report would not be possible. Without the daily commitment to sustainability of all our employees in Europe, sharing the progress we have made would not be possible.
Toyota European Sustainability Report 2010 I Introduction
Report Coordination Team :
Front left to right : Gabrielle Lods, Colin Hensley, Sharka Holler, Willy Tomboy, Maria Isabel Rodriguez Leon
Data measurement and collection
The environmental performance data is gathered from internal reporting procedures. The methodology used is in line with the Greenhouse Gas Protocol of the World Business Council for Sustainable Development and the World Resources Institute. The social performance data is from formal statistics on customer relations, quality, safety, health and human resources. The economic data is from our finance group and all financial data is in line with corporate annual reporting procedures. There have been no major changes in the reporting procedures from previous years. We have developed this report using the Global Reporting Initiative G3 Guidelines, which provide a useful framework for examining the environmental, social and economic aspects of our performance to be included in the report. The report applies the GRI framework to an A level, which means that we have undertaken the G3 Profile and Management Approach disclosures and reported on all core indicators. The GRI Index is located on pages 86-91. Our internal and external stakeholder feedback processes (see pages 57-61) have also helped shape the content of the report.
About Toyota Motor Europe
Toyota Motor Corporation is one of the world’s largest automotive manufacturers and began selling cars in Europe in 1963. Toyota Motor Europe NV/SA (Toyota Motor Europe) is 100% owned by Toyota Motor Corporation. The head office of Toyota Motor Europe is located in Brussels, Belgium. Toyota in Europe has operations in 17 countries with 9 manufacturing plants, 9 vehicle logistics centres and 14 parts distribution centres. Caetano in Portugal (one of the nine manufacturing plants) is a joint venture in which Toyota Motor Corporation has a 27% share. The data for this plant is not included in this report. Similarly, Toyota Motor Manufacturing Russia (TMMR) is fully owned by Toyota Motor Corporation. The data for this plant is not included in this report, but in the Sustainability Report of Toyota Motor Corporation. Toyota Motor Europe serves 57 territories through 30 National Marketing and Sales Companies (NMSCs) that are either Toyota-affiliated companies or are independently-owned. A new National Marketing and Sales Company (one of the 30) was established in Kazakhstan in FY09. Apart from this, there have been no significant changes to our structure in the reporting period. We welcome your comments and opinions on this report and invite you to share them with us by emailing us at email@example.com. This report is also available online at www.toyota.eu and complements Toyota Motor Corporation’s Sustainability Report 2010, which can be viewed at: www.toyota.co.jp/en/csr We hope you enjoy reading this report.
. Looking to the future. we were hit with another crisis . Our technological leadership is further demonstrated by the introduction of a fleet of 200 Plug-in Hybrid Vehicles that will be tested in 18 European countries. customer satisfaction as measured by Toyota retailers has improved by 19% in sales and 13% in after sales. we said that our company has the ability and spirit to solve problems and to navigate through the difficult times brought on by the global economic crisis. while preparing for the future ” part of our everyday commitment to excellence. Since 2006. Then. To represent Toyota Motor Europe.product recalls. Toyota Motor Corporation established a Special Committee for Global Quality.Didier Leroy President. In our 2009 Sustainability Report. The improvements have been quicker than we initially anticipated. In our view. Toyota Motor Corporation Message from the President “ Tough times. Our utmost priorities were fixing the problem. We will make continuous efforts to reduce C02 emissions of cars sold. Toyota Motor Corporation President Akio Toyoda suggested going back to the basics and said “Let’s simply make better cars”.2 g/km (1). people’s respect and customer confidence in Toyota’s commitment to superior quality.the major characteristics of any Toyota car. regaining customers’ trust. The recall crisis was unexpected given Toyota’s reputation for quality. Customer satisfaction is Didier Leroy President. durability and reliability . At the same time. In FY09. we are testing Fuel Cell Hybrid Vehicles in Germany. Plug-in Hybrid technology will make an important contribution towards ensuring sustainable mobility. this hybrid technology is the best way of achieving the major efficiency improvements needed and will pave the way towards a low-carbon future. at the beginning of 2010. I have been appointed Chief Quality Officer and I am leading the European Quality Taskforce. Toyota Motor Europe Managing Officer. ‘Customer First’ remains a landmark Toyota philosophy. our company’s average carbon dioxide emissions of cars sold reduced by more than 10% from FY08 to 132. For that purpose. according to JATO.1 g/km. Toyota Motor Europe (1) Toyota brand 2009 average : 130. Each member of our team in Europe aims to always deliver their best and our retailers are committed to providing the best overall customer experience. the automotive industry can make a substantial contribution to the creation of a low-carbon society by improving fuel efficiency and developing and introducing new technologies which reduce emissions and enable personal mobility.
Engaging with the community Beyond our core business of producing and selling environmentally friendly cars. totalling a spending of €4. fuel companies. was an opportunity for Toyota to demonstrate our commitment towards making every effort to maintain stable employment and improve mutual trust and understanding with our employees through thorough communication and long-term development. it is one of the largest thin-film solar panel rooftop installations in Belgium. who will road test the vehicles. infrastructure providers. Covering 80. An Integrated Approach is needed to realise the vision to de-carbonise automotive transport The car industry.000 kilometres are 33% less than the Auris petrol model and 25% less than the Auris diesel model. As a result. and users of vehicles must work together to make significant contributions to reducing greenhouse gas emissions from road transport.000 retailer network in Europe by 2015. Full hybrid sales were 55. The vehicle has category-leading fuel consumption of 3. suppliers. Solar energy investment at Toyota Parts Centre Europe (1) Toyota brand 2009 average : 130. durability and reliability and ‘Customer First’ attention. Toyota’s main objective is to further investigate the technology and performance of the PHV with respect to the customer’s needs.000 m². Plug-in Hybrid Vehicle (PHV) programme launched The European PHV project is a part of a global Toyota project involving more than 600 Prius Plug-in Hybrid Vehicles that are also being tested in Japan. The European project is leasing 200 (of the 600 vehicles) to selected partners and customers in 18 European countries.Executive summary Immediate action has been taken with the product recalls A Special Committee for Global Quality was established.28% of our total sales. regulators. We will continue to further reduce emissions. Toyota Parts Centre Europe will be able to make savings on its energy costs while reducing its CO2 emissions.2 g/km (1).2 million in strategic community projects.1 g/km. With our retailers we work closely together in the Sustainable Retailer programme which will "green" the 3.8 l/100 km and emissions of 89 CO2 g/km. We aim to minimize the environmental footprint involving all partners in the lifespan of our cars. Engaging with business partners Toyota Motor Europe has a true 360° approach to the environment. the US. Didier Leroy was appointed Chief Quality Officer to lead the process with this issue and to re-instate Toyota’s reputation for quality. we work in close cooperation with all suppliers to promote Sustainable Purchasing Practices. Toyota Motor Europe has a tradition to serve the local communities it operates in. 10% reduction in the average CO2 emissions of Toyota and Lexus vehicles sold in 2009 The company’s average CO2 emissions of cars sold has been reduced by more than 10% from 2008 to 132. . while challenging. In the supply chain. In 2009 our employees and retailers were involved in over 150 projects. The installation will produce between 15% and 20% of the annual electricity requirements of the facility. A solar panel was installed on the roof of Toyota Parts Centre Europe in 2009. The car’s lifecycle CO2 emissions over a distance of 150.476 units or 6. Maintaining stable employment The crisis. Canada and Australia. The first rollout of full hybrid technology in Europe (Toyota Motor Manufacturing UK) The start of production of the Toyota Auris Hybrid Synergy Drive® marks the first rollout of full hybrid technology in Europe.
913 1.274 52.000 1.1 27.062 151 58.000 2.434 145 63.432 18.6% almost 7 fy08 20.56 >90% 7. of lost-time-injuries x 1 million / No.390 -252 544.702 28% 9% 3.958 5.819 5.8 66% fy09 4.9% >7 (1) Excludes NMSC-owned Parts Distribution Centres.0 0.442 419 228.495 443 261.3 28.108.920 26% 10% 3.651 874 814. Zeebrugge.585 tons CO2).563 48.635 fy09 7 28 918 14 9 85% 1. We changed the emission factors to enable more accurate calculation. road safety. of lost-time-injuries x 1 million / No.9 0 0 0 1 11.587 15.000 53.585 and 13. of hours worked) Injury frequency rate – Head Office.021 57. Zaventem (No.381 CO2 emissions – Production Parts Logistics (t CO2) CO2 emissions – Vehicle Logistics (t CO2) CO2 emissions – Service Parts Logistics (t CO2) CO2 average emissions from Toyota vehicles – EU-27(3) Sales of Remanufactured Parts (units) Social pErformancE Employment (direct) – Head Office.356 417 339.2 72% Economic pErformancE Net revenue (million €) Operating income (million €) Number of vehicles manufactured Number of engines and transmissions produced Annual total sales of Toyota and Lexus (Calendar Year) Annual hybrid sales (Calendar Year) Market share (Calendar Year) Investment since 1990 (billion €) fy07 24.154 44.77 >90% 4.29 >90% 10. (2) The figures for the CO2 emissions for NMSCs in FY07 and FY08 are different from the figures we reported in our Sustainability Report 2009 (respectively 12.456 4.3% >7 fy09 16.175 130 58.4 0 0 0 0 11.925 -995 589. of hours worked) Injury frequency rate – Regional Parts Centers and TPCE (Toyota Parts Center Europe) (No. .650 103. NMSC. 26 Feb.Key figures Toyota European Sustainability Report 2010 I Introduction EnvironmEntal pErformancE ISO14001 certified European Manufacturing Companies (EMC) ISO14001 certified National Marketing and Sales Companies (NMSC) Certified Environmental Management System Toyota and Lexus Retailers ISO14001 certified Parts Distribution Centres(1) ISO14001 certified Vehicle Logistics Centres Percentage of Vehicle Parts Suppliers that are ISO14001/EMAS certified EMC energy usage (kWh/vehicle) EMC CO2 (kg/vehicle) CO2 emissions – EMC (t CO2) EMC water usage (m3/vehicle) EMC VOC emissions (g/m ) 2 fy07 7 22 185 13 (1) 8 1.351 55.112.90 18. Logistics Group Employment (direct) – EMC Gender distribution – % of women in Head Office.98 19.496 18.464 32% 11% 2. Logistics Group Gender distribution – % of women in EMC Injury frequency rate – EMC (No.9 0.11 18.794 1.694 882. (3) Based on JATO data.050 1.093 1.7 35.000 82.747 72. of hours worked) Suppliers – purchased local European content of core models European social contributions – total amount (million €) (Revised figures FY07) European social contributions – % of total spending linked to strategic focus on education.009 87.210. NMSC.2 1. environment fy07 7.106 1.0 0.2010.233.000 75.05 0 0 0 fy08 7 26 724 14 9 85% 1.807 48.5 62% fy08 8.000 1.396.601 EMC waste-to-landfill (kg/vehicle) EMC number of fines EMC number of prosecutions EMC number of complaints CO2 emissions – NMSC (t CO2) (2) 6 12. of lost-time-injuries x 1 million / No.
The product recalls have provided an opportunity for us to improve the way we work. Toyota Motor Corporation’s President Akio Toyoda has established a Special Committee for Global Quality and appointed a Chief Quality Officer in each region to steer actions around the world.Special feature Toyota’s approach to quality The strongest connection between our customers and us is their trust in Toyota. Toyota Motor Europe „ Necdet Senturk In response to the product recalls that affected customers at the beginning of 2010. As a result. This connection is the foundation of our ‘Customer First’ approach to quality. Improvement activities have been identified and include: Reviewing all processes that have an impact on quality: from the vehicle product planning stage to the After Sales service we provide to our customers. Increasing our ability to identify and to solve customer concerns: we are strengthening our entire After Sales operation to better capture information and to provide faster and more effective solutions to our customers. This situation has given us the opportunity to improve our processes and our understanding of our customers’ expectations. we are reforming our operations to return to our basic principle of ‘Quality First. To do this. Safety – D y First : Qualitbility . this connection was challenged with the quality issues we faced. Strengthening human resources development as a key to quality assurance: we will further develop our people to ensure their development is aligned with Toyota’s quick expansion and growth. Toyota Motor Corporation is providing leadership to its companies around the world to understand what went wrong and identify improvements for the future. Customer First’ “ Necdet Senturk Vice-President. Recently. Quality.Reliability ura High ost ordable C lity at Aff est Qua r Custome C First: on ustomer cti ati Trust & S sfa Toyota European Sustainability Report 2010 I Introduction 7 . We are establishing a Customer First Training Centre in each region.
In terms of the recent product recalls. durability and reliability of critical vehicle components. 8 Advanced Quality revention P p 1 Stop the roblem from happening e Recurrenc tion Preven enerate 4 Do not g the same p roblem Quality ent Improvem ction & Early Deteolution Early Res 3 M problem: inimize the solve the p roblem quic kly Outflow n Preventio fore problem be 2 Stop the mer e custo it reaches th . warranty issues and customer feedback for improvement.Toyota European Sustainability Report 2010 I Introduction Recurrence prevention The Toyota Quality System looks at quality throughout the complete vehicle lifecycle. our customer concerns are stringently followed through by field reports. we are now analysing potential problem areas to ensure the quality. Additionally. The system seeks to ensure quality from the first stage of the vehicle’s development. with the aim of identifying and preventing potential problems in future vehicles. The aim is to eliminate any risk for our customers.
Table of contents Message from the President Executive Summary Key Figures Special Feature : Toyota’s Approach to Quality Table of Contents 4 5 6 7 9 Vision and Strategy Vision 2020 Governance Structure Measuring Environmental Performance Measuring Corporate Social Responsibility Performance 10 11 12 13 14 Environmental Performance Introduction Special Feature : Moving towards a Global Climate Agreement after Copenhagen Special Feature : Integrated Approach needed for de-carbonising transport Research and Development Manufacturing Logistics Sales and Marketing Lexus After Sales End-of-Life Vehicles and Sustainable Recycling 16 17 19 21 23 32 36 44 52 54 55 Social Performance Toyota : a Good Corporate Citizen Engaging with Customers Engaging with Employees Engaging with Business Partners Engaging with the Community 56 57 63 67 75 78 Economic Performance Market Context Vehicle and Market Share in Europe Production Volumes Investments 82 83 84 84 84 .
Vision & Strategy “ Our vision is to be a leading player in the European automotive industry by taking a ‘Customer First’ approach to safety. This gives our company and employees direction. To achieve the vision. quality and environment and ensuring we meet and exceed the expectations of our customers. formal planning. target-setting process and governance structure makes us responsive when faced with major issues. „ Didier Leroy . partners and communities.
Toyota European Sustainability Report 2010 I Vision & Strategy Customer First approach to safety. will drive our targets. embrace this challenge and will translate this vision to become a leading player and a key contributor to global Toyota.Didier Leroy President. We. The pyramid shows how this vision is cascaded throughout the organisation. quality. Toyota for all Customer Delight orate Good Corp Citizen ce Self Relian on with Focus d lly produce loca Models From vision to action The Toyota European Vision 2020. func hoshin and their Each com nal ng. distributed to our employees in May 2010. as a team. an Regio their planni the Europe nges into rrent challe own cu ning their utes by de dual contrib rtaking activities Each indivi de ives and un own object on. our vision Vision n Europea egiona)l R (1 hoshin n and y. functio r Compan hin o l hos divisiona plan business Member s objective ects vision re tion and di pany. decision making and action plans. Toyota Motor Europe Managing Officer. and the environment 11 . Toyota Motor Corporation Vision 2020 Vision 2020 explains the path to ‘ Becoming a Leading Player ’ in Europe by focusing on four key pillars. ro greater Eu pe To be Player in a Leading to Glo ontributor be a Key C To ntal Environme dership Lea Succe bal Toyota ss provides Our vision ion an direct the Europe employees. ort the visi that supp (1) Hoshin is an objective and target-setting process that enables the vision to be translated into action. (1) hoshin Regional siness European current bu e t-term re ects th and shor condition advance lenges to chal realising towards .
the sole shareholder of Toyota Motor Europe. One of the tasks of the committees is to lead our corporate social and environmental responsibilities. experience. Executives are compensated according to industry rates and performance. Senior executives of Toyota Motor Corporation. performance and industry knowledge and are appointed by Toyota Motor Corporation. 12 cutive TME Exe e ommitte C sident Chair: Pre ication Commun mittee gy Com Strate nt e-Preside Chair: Vic ent Environm ittee Comm sident Chair: Pre mittee CSR Com ent ir: Presid Cha mmittee Audit Co utive c Chair: Exe dent Vice-Presi Senior Mobility Electric mmittee Co sident Chair: Pre Quality e Committe t en air: Presid Ch und for Toyota F ard pe Bo Euro nt e-Preside Chair: Vic Toyota Motor Europe Head Office . all of whom are executive directors. Each committee has cross-functional representation. The company has processes in place to ensure there are no conflicts of interest.Governance structure Toyota European Sustainability Report 2010 I Vision & Strategy About Toyota Motor Europe’s Board of Directors The Board of Director of Toyota Motor Europe is composed of 6 members. review the performance of directors and of the Board as a whole. Governing committees Our governing committees help set our strategic direction and monitor progress in reaching our goals. These processes are consistent with the Company Code of Conduct and include the obligation to disclose conflicts of interest. The directors of Toyota Motor Europe are selected based on their qualifications.
Reduce use of Substances of Concern Reduce and eliminate substances of concern Fully compliant with EU Directive on end-of-life vehicles.28% of total sales) 13 Reduce CO 2 emissions and increase fuel efficiency 34-35 Further reduction of emissions and fuel consumption is possible by advanced vehicle technology and by taking an Integrated Approach with all stakeholders including car manufacturers. The purpose of the action plan is to set five-year goals and targets designed to help the European operations achieve our overarching Environmental Policy and vision of ‘Environmental Leadership’. Please note that these results refer to the calendar year. improving resource use. One Planet. Logistic hubs added : Finland (TPCFI). 2. Full hybrid sales (CY09) : Toyota : 42. Effective Use of Resources Contribute to a recycling-based society Fully compliant with European Union (EU) Directive 2000/53/EC on end-of-life vehicle recycling (ELV). The Toyota Auris HSD shows a 33% improvement in CO2 emissions through its complete lifecycle versus a comparable petrol model and a 25% improvement versus a diesel model. 4. and with the EU Chemical Regulation REACH. Prepare for next Five Year Environmental Action Plan (FY2011-15) to be introduced in April 2011. 3. Further investigate recovery and treatment of hybrid batteries.’ 5. II. Belgium. In 2010 this includes introducing the Toyota Auris Hybrid Synergy Drive ® (HSD). Hold a Green Month Campaign in 2010 with the theme ‘Many Species. National Sales and Marketing Companies added : 2. IV. eliminating substances of concern and expanding our environmental management system.744 Total : 55.Measuring environmental performance In order to ensure environmental risk management and compliance across all business activities.456 (6. 3 17 48-51 18 43 Continue with actions. Expand Environmental Management 1. 55 Promote lifecycle analysis 30-31 Continue to improve new model performance versus current/old model. Labelling. Ensure compliance with the new Classification. bringing the total to 28 out of 30. Company average CO2 emissions : 132. public authorities and users. we have developed a consolidated Environmental Management System (EMS).’ Increase share of renewable energy. Toyota European Sustainability Report 2010 I Vision & Strategy Five Year Environmental Action Plan priority area 2009 achievements page in this report 2010 Direction/target I. 3.2 g/km. Started with energy improvement audits at retailers. Packaging (CLP) regulation. The following table summarises our key environmental targets and achievements against our Five Year Environmental Action Plan. 2. Implemented Green Month Campaign in June 2009 with the theme ‘You control climate change. Strengthen consolidated environmental management based on ISO14001 . Continue full compliance with EU Directives and REACH. The table includes our performance in energy and climate change. Expanding hybrid vehicles into mainstream models. III. In order to manage this activity across all business areas a Five Year Environmental Action Plan defines mid-term targets and key activities to achieve the targets.712 Lexus : 12. Carbon footprint of the company reduced by 18% versus 2008. One Future : Make a Smart Choice. Promote the use of renewable energy : introduced 80. oil companies. Reduce Energy and Climate Change Impact 1. The current five-year plan runs from FY06 to FY10 and preparations are beginning for the next five year period. Continue to work towards achieving the 2015 recycling/ recovery targets.000 m² solar panels at Toyota Parts Centre Europe in Diest.
priority area 2009 plan Human resource management By FY10. we identify kaizen (improvement) projects and integrate them into our local planning cycles. based on CSR Assessment results. No additional measures were implemented. Introduced measures to reduce working hours in FY09 to maintain stable employment. Improved competitiveness by sharing best practice and manufacturing experience. Focus on continuous two-way communication. Continue to share manufacturing experience by establishing an activity calendar.Toyota European Sustainability Report 2010 I Vision & Strategy Measuring Corporate Social Responsibility (CSR) performance To be able to truly integrate CSR targets into our business. By FY10 further realise multi-year action plan on work/life balance. Achieved successful three-year strategy for Toyota in Europe Association of Manufacturers (TEAM). Increase the total number of TEAM members to represent 75% of purchasing spend ( see page 77). Launched Sustainable Purchasing Guidelines (SPG). Supply chain management 1. increased stakeholder engagement and urban mobility. including a quality improvement of around 90%. employee motivation and people development. Reinforced business partnerships through consistent application of the founding business principles. Within these areas. we needed to develop a common understanding and measurement of what CSR Leadership means to our company. value-added contributions to society. European Manufacturing Companies and Head Office. each of our affiliates identifies areas for improvement and sets targets which are entered into the three-year planning cycle. implement measures to reduce gender gap in employee recruitment by 50%. CSR management fully integrated with business processes and planning Continue to communicate CSR policy to suppliers. Broaden tools and methods for monitoring SPG compliance. We measure our CSR performance by conducting an annual CSR Assessment of our National Sales and Marketing Companies. Advanced the quality assessment process from the development phase to the design phase. Intensify collaboration for quality improvement with the aim of ultimate customer satisfaction. 14 CSR Three Year Business Plan Our CSR Three Year Business Plan focuses on four key areas : the integration of CSR management in our day-to-day business practices. 2009 achievement 2010 Direction This action was not implemented as there was a hiring freeze due to the global financial crisis. The CSR assessment measures company performance with respect to five stakeholders: Customers Shareholders Employees Community Business Partners Using this measurement system. Communicate results of CSR supply chain survey to the purchasing Annual Business Meeting. . CSR was communicated at the Annual Business Meeting. The CSR Three Year Business Plan captures CSR targets and actions for the years to come.
Not applicable. Design and implement a proactive stakeholder engagement strategy. France. European CSR Action Plan was defined in line with Vision 2020. Key stakeholders understand Toyota performance and have a positive image of the company Conduct European Key Stakeholder Survey on a bi-annual basis. Focus on environmental programmes. Integrated CSR activities into business plans of 60% of Toyota Motor Europe companies. Launch of Plug-in Hybrid (PHV) Limited Lease project in Strasbourg. This programme was discontinued due to the global economic crisis. Third European Key Stakeholder Survey completed. Enhanced and efficient system of social contributions that create social and business value Rebuild local admiration and respect by: Increasing the involvement of retailers in our social contribution activities. Increase alignment of social contributions with overall business strategy. Increase retailer involvement in CSR. Urban mobility Electrical Mobility Committee established. KPIs for stakeholder relations developed. with Toyota Motor Europe achieving the number one ranking for corporate citizenship. 3. Setting enhanced targets for employee involvement in manufacturing plants and Toyota Motor Europe offices. 2. as this was not included in the FY08 plan. Continued to develop flagship projects Eco-Driving and Eco-Schools. Increase employee involvement in CSR. with 44% of contributions funding environmental activities. Provide communication and stakeholder relations templates to retailers. Set up and implement continuous CSR communication with stakeholders. The percentage of total social contributions with a strategic focus increased to 72%. Toyota European Sustainability Report 2010 I Vision & Strategy 15 . Develop Key Performance Indicators (KPIs) for stakeholder relations. Ensure integration in 100% of Toyota companies based in Europe. Enhanced visibility of our social contributions through Toyota Fund website and newsletter. Retailer involvement piloted in five countries. 3% of our manufacturing and Head Office employees were involved in our social contribution activities. Implement PHV Limited Lease projects in 18 European countries. Integrate CSR activities into business plans of affiliated companies. 4. Enhance visibility of social contributions in Europe. Ensure definition of European CSR Action Plan which sets targets for National Marketing and Sales Companies (NMSCs). Support development of local CSR governance structures. Not applicable. Support was provided for focused communication on social contributions and Code of Conduct. Special mobility Strengthen programme in UK and other countries.priority area 2009 plan 2009 achievement 2010 Direction Support to affiliated companies Increase internal and external CSR communication.
which was revised in 2009. sets out our aim to reach environmental leadership throughout the whole vehicle lifecycle. „ Hiroyuki Ochiai . from the sourcing of the materials to recycling end-of-life vehicles. We take a holistic and Integrated Approach to reducing energy and emissions throughout the lifecycle of our products and services.Environmental Performance “ Our Environmental Policy.
We held our first Green Month in 2004 at our Head Office in Brussels. more than 32% of our retailer network is now certified to an EMS. In order to ensure environmental risk management and compliance across all of our business activities. Our operations include all manufacturing sites. Vehicle Logistics Centres and National Marketing and Sales Companies. This activity has helped generate ideas to further reduce our environmental impact. In addition. The campaign uses the EMS as a platform to engage our employees in implementing specific environmental activities. Toyota Motor Europe Managing Officer. Toyota Motor Corporation Co-Chairman of Environmental Committee. training and awareness Check : Conduct audits to check the system is operating according to the standard Act : Management review and recommendations for improvement. Check. we have developed a consolidated Environmental Management System (EMS). To implement our environmental management activities we use the international environmental management standard ISO14001. At the end of FY09. Parts Distribution Centres. 91% of our operations were ISO14001 certified. Toyota Motor Europe S Toyota EM Zero Emis sions Challenge Respect stem (EM ement Sy tal Manag CO2 REACH Batteries Water ELV S) Energy Emissions Waste Kaizen nbutsu Genchi Ge k Teamwor Base ronmen 4001 Envi line – ISO1 y Emergenc Response Work ns Instructio es Procedur th Green Mon Campaign Environmental Management System ental Environm Training pe Toyota O R& rations – D / Prod gistic uction / Lo s / Head Office / N MSCs / Re tailers Performan ce s Awarenes Risk Man agement mpl Legal Co iance Addressing environmental issues is a management priority and we strive to address these issues in line with the Toyota Way. held in June each year coinciding with the World Environment Day. Green Months are now held at more than 50 of our sites in Europe. Having a consolidated EMS enables us to reduce environmental impacts such as energy. waste and water and raises awareness across the organisation. The Green Month campaign. aims to raise environmental awareness among our employees. Do.Our Aim : Low Carbon Company Hiroyuki Ochiai Executive Vice-President. define environmental impacts and legal requirements and set objectives and targets Do : Implement action plans. This standard outlines requirements for an effective EMS based on the Plan. which sets specific requirements for each of our various business activities. Toyota European Sustainability Report 2010 I Environmental Performance 17 . Poland and Denmark. Act cycle. with a number of markets achieving complete certification including Adria. Plan : Establish an environmental policy.
We examine sustainability throughout the lifecycle by : 1.Implementation of EMS 100% Europea National n Manufa cturi anies ng Comp 93% ompan & Sales C es on Centr 100% entres 100% e ical Centr 32% Retailers ies 100% Toyota European Sustainability Report 2010 I Environmental Performance Marketin g tr Parts Dis o Vehicle L Offices / ibuti gistics C Techn 18 Green Month Campaign at Toyota Spain Lighting energy consumption evolution MWh 45 40 35 30 25 20 15 June 2008 2009 39 42 41 33 32 32 July August Toyota Spain implemented a Green Month campaign in 2009. Sustainable recycling Sustainability throughout the lifecycle To create a low-carbon company we need to be pro-active at each stage of vehicle manufacture and distribution.Operating sustainable manufacturing plants and facilities 3. which included hosting an Eco-Driving workshop and encouraging employees to switch off computers and lighting when they are not needed.Recycling end-of-life vehicles Sustainable retailers 5 4 Low Carbon Company 1 Sustainable product development 2 3 Sustainable logistics and operations Sustainable manufacturing plants .Selling and servicing our vehicles at sustainable retailers 5.Bringing our vehicles to market via sustainable logistics and operations 4.Developing energy-efficient. Switching off lights resulted in an 8% reduction in energy usage during three months from June-August 2009. recyclable vehicles 2.
As Europe’s chief negotiator in the international climate change talks. and many other countries. Denmark confirmed that climate change is now seen throughout much of the world as an issue justifying attention at the highest political level. But the outcome of the conference was a disappointment for Europe. Secondly. The Accord provides important political guidance to the UN negotiations on detailed texts that will form the future global agreement. This is a message that has been confirmed in our many contacts with European partners since the European Commission set up its Directorate-General for Climate Action in February 2010. Director General for Climate Action. and the international community is now busy building on it. enable us to act faster and go some way towards creating a level-playing field for business. particularly when measured against the high hopes that it would clear the way for reaching a legally-binding global climate agreement this year. Firstly. European Commission Vice-President European and Government Affairs. Toyota European Sustainability Report 2010 I Environmental Performance Special feature 19 . But progress towards this goal is not advancing fast enough or with sufficient ambition to address the enormous challenge we face. But perhaps most importantly of all. Though the Copenhagen Conference outcome did not live up to expectations. negotiations on the UN texts themselves advanced well in a number of areas.Moving towards a global climate agreement after Copenhagen Jos Delbeke (left) Piet Steel (right) Director General for Climate Action. the Copenhagen Accord brought an unprecedented momentum to the willingness of the vast majority of countries to act. Toyota Motor Europe We are pleased to include this contribution from Mr Jos Delbeke. at the European Commission. even in the absence of a global agreement. A global agreement will reduce the cost of action. Forward-thinking companies have recognised the massive business opportunity that building a lowcarbon global economy represents. with which more than 120 countries have associated themselves to date. A global agreement is crucial if the world is to prevent climate change from reaching dangerous levels later this century which could endanger the lives of millions of people and cause massive damage that could wreck our economies. it produced the Copenhagen Accord. Mr Delbeke expresses his strong conviction for urgent global action on climate change. “ „ Piet Steel “ The participation of some 120 world leaders at the December 2009 United Nations (UN) Climate Change Conference in Copenhagen. it has nonetheless taken us a step closer to a global deal.
Several partnerships have been launched for example on deforestation. Altogether more than 75 nations. In the meantime. accounting for more than 80% of global emissions. Around US $ 2. the rich world has pledged to mobilise US $ 100 billion a year by 2020. The Accord does not set any reduction targets for greenhouse gas emissions in order to meet this objective. In parallel with the international negotiations. countries are not waiting for a global agreement to work together internationally. In practice. The European Commission has put the achievement of greener.Toyota European Sustainability Report 2010 I Environmental Performance The Copenhagen Accord’s endorsement of the goal of keeping global warming below 2°C compared with the temperature in pre-industrial times represents a major step forward. the EU will push forward with de-carbonising our economy. it Jos Delbeke Director General for Climate Action. the international community has to make steps towards a global deal. Much will depend on whether the US Congress can pass domestic climate legislation.4 billion a year. The industrialised world has committed to provide nearly US $ 10 billion a year in new and additional resources over 2010. This is the ceiling that much of the scientific community warns we must stay within if we are to have a 50/50 chance of stopping climate change from reaching dangerous levels. There is broad international recognition that. this means the Cancún conference needs to deliver an action-oriented set of decisions that will provide a solid basis for reaching an international agreement at the conference in South Africa at the end of 2011. 2011 and 2012 to get these efforts off to a fast start. have done so to date.it is the first time in history that industrialised and developing countries together have accepted that they share responsibility for keeping warming below 2°C. This too is significant progress . and in particular the energy and transport sectors. more resource-efficient. Perhaps the Accord’s most concrete breakthrough is on the issue of finance to help developing countries adapt to climate change and develop their economies along a low-carbon path. low-carbon growth at the heart of our vision for the EU’s development over the coming decade and beyond. Without US action it is hard to imagine that China will be willing to bring its domestic actions into an international framework. For the medium to long term. However. rather than go for a ‘big bang’ as we did in Copenhagen. Building a lowcarbon society is not only essential for controlling climate change – it is also a huge opportunity to modernise and rejuvenate our economies and develop new. seems likely that some other big players will not. Instead it invites industrialised countries to notify their emission reduction targets and developing countries to submit the actions they plan to address emissions. European Commission . future-oriented sources of sustainable growth and jobs. or almost a third of the total.” 20 So what are the prospects for reaching a legally-binding global deal soon? The European Union would be ready to do so at the UN climate conference that will be held in the Mexican resort of Cancún at the end of 2010. adaptation and mitigation policies to help progress discussions on specific issues. will come from the European Union.
policymakers and road users. Executive Director of the EEA. has made it clear that de-carbonising the transport sector is a priority for the Commission. To do this we need to take an Integrated Approach by working with key stakeholders. consumers. „ Michel Gardel We would like to share three reports that have called for an Integrated Approach on de-carbonising transport and share our position. Suppliers. says that a common vision for sustainable transport and mobility is needed to reduce greenhouse gas emissions from transport. (3) McKinsey & Company Inc (2009). Professor Jacqueline McGlade. Toyota Motor Europe Integrated Approach needed for de-carbonising transport “ We are committed to creating a low-carbon company which will contribute to a low-carbon society. including onboard technologies. such as car companies.Michel Gardel Vice-President. fuel efficiency and vehicle technology. 1. Toyota European Sustainability Report 2010 I Environmental Performance Special feature 21 . (2) European Environment Agency (2010). Towards a resource efficient transport system.European Commission report : A European strategy on clean and energy efficient vehicles (1) European Commission President. José Manuel Barroso.European Environment Agency (EEA) report : Towards a resource efficient transport system (2) In this report. (1) European Commission (2010). External and Environmental Affairs. A European strategy on clean and efficient vehicles – Communication. infrastructure measures and urban transport management”. Roads toward a low-carbon future: reducing CO2 emissions from passenger vehicles in the global road transport system. road infrastructure. fuel and energy providers and policymakers will all need to take action. the Commission indicates it will “promote additional measures that may help to decrease CO2 and pollution emissions from road transport – such as eco-driving. the oil industry. intelligent transport systems (ITS). In this report. to improve eco-driving. 2. TERM 2009: Indicators tracking transport and environment in the European Union. 3. traffic management.McKinsey & Company : Roads toward a lowcarbon future: reducing CO2 emissions from passenger vehicles in the global road transport system (3) This report states that automotive manufacturers cannot solve the sector’s carbon abatement problem on their own.
22 Our action To implement significant greenhouse gas emission reductions.” The leaders of the companies say that while technology is an important part of the solution. Contribution to climate change : Automotive transport accounts for 8% of CO2 emissions globally. 80% of the increase of road transport CO2 emissions is expected to come from non-OECD countries. and users of vehicles. in January 2010. Switzerland. . and driving behaviour can significantly reduce the greenhouse gas emissions from road transport. bringing together all stakeholders. What is missing is agreement on the content. signed a letter to policymakers which identified four key challenges to the sustainability of automotive transport : Oil dependency : Automotive transport is 99% dependent on petroleum-derived fuel and 53% of the world’s annual oil consumption is used for transportation (58% for the countries in the Organisation for Economic Co-operation and Development – OECD). Consumers need better education to understand the transport choices available. The car industry. We commit with other members of ACEA to spare no effort in seeking to secure that agreement. An integrated approach. Accessibility and affordability : For the solutions and technologies to address the first three challenges to be effective. particularly in the developing world where the growth of vehicle use is highest. the leaders of six major car manufacturers. The letter states that “To find solutions to these challenges. Building trust and maintaining dialogue with all stakeholders will be fundamental. Energy providers and utilities will need to provide low-carbon fuels. we commit to a vision of de-carbonising automotive transport. suppliers. they need to be accessible and affordable to consumers in both the developed and developing world. including Toyota Motor Corporation President Akio Toyoda. At the World Economic Forum in Davos. road infrastructure measures. User ed e travell •Distanc ty(1) ali •Co-mod Vehicle gy Technolo t en evelopm D on Low Carb Fuel low Traffic F ts en provem Im d App Integrate roach (1) Co-modality refers to using different types of transport in one trip. It seems to me that all stakeholders agree on the principles of taking an Integrated Approach. partnerships are needed. urgently need to address both congestion and air quality challenges. Research from Japan and Europe has already shown that a combination of vehicle technology. can all make a significant contribution. regulators. We need to work together to find solutions : Governments need to implement consistent. low-carbon fuels.Toyota European Sustainability Report 2010 I Environmental Performance Our position The automotive industry agrees. Strains of urbanisation : Urban areas. will be indispensable if we are to make quick progress. but 12% of CO2 emissions in OECD countries. such as hydrogen and electricity generated from clean renewable sources. fuel and infrastructure providers. it alone cannot achieve the changes required to address the threat of global climate change. and when and how to implement the next steps. Between 2006 and 2030. longterm policies and incentives to assist in bringing advanced technology vehicles to the market and create the necessary infrastructure to facilitate widespread use of these technologies.
in the C-segment (small family car). at least four new models are launched each year. This type of technology will continue therefore to be a key area for our research and development team (see page 24). have a vital role to play. such as liquified petroleum gas (up to 10% lower CO2 compared to petrol) and compressed natural gas (up to 25% lower CO2 compared to petrol). We are researching regional market solutions in line with local regulations and incentive programmes for reduced emissions. I believe that we. and at the same time. Within the global Toyota research and development organisation. performance and safety. For example. In addition. It is our responsibility to assure the vehicle’s product power and quality reflects passion for excellence in design. „ Masato Katsumata The European market is the most competitive in the world. keeping our products competitive.Research and Development Masato Katsumata Senior Vice-President. Drivers can also choose the electric-only mode. in terms of responding to environmental needs. Toyota European Sustainability Report 2010 I Environmental Performance 23 . Toyota Motor Europe “ More than ever we have to focus our research and development efforts on developing cars that suit European customer demands and requirements. The Auris HSD has CO2 emissions of just 89 g/km and switches between petrol and electric engines to suit the driving needs of each motorist. we continuously research new breakthrough technologies with our European partners to maintain our environmental leadership position. We are the closest to the local market and can quickly respond to market needs. Research and Development. the Toyota Auris family now includes the Auris Hybrid Synergy Drive® (HSD). which is silent and emissions-free for short distances. at the European Technical Centre. Diesel engines are popular in Europe and much of the development of diesel technology occurs in Europe. ranging from performance to environmental and safety requirements. For example. which includes our Auris model. This includes adapting our powertrains and vehicles for loweremission fuels.
The application team adapts the Engine Control Unit to ensure the injection system and emission systems. 1ND diesel engine . such as Japan and the US.Toyota European Sustainability Report 2010 I Environmental Performance Diesel engine development in Europe 24 Engineers and technicians in the diesel application team Diesel engines consume less fuel and emit less CO2 per kilometre than petrol engines. They are popular in the European market where they are suited to European driving. the technology team focuses on future diesel engine technology. The design team then works with our suppliers to source the required parts for the engine compartment for each model. marking an important milestone in Toyota’s diesel engine development in Europe. The group focuses on the development of the 1ND diesel engine. In other markets. using computer-aided engineering. Working with European universities and engineering institutes. work together in preciselycontrolled timing. catalyst and diesel particulate filter. which typically includes highway driving and long-distance driving over weekends and holidays. Toyota Motor Industries Poland began manufacturing the 1ND engine in 2010. the team analyses the processes involving air and fuel in the engine for improvement. Intensive testing during the development process ensures the quality of the parts. the number of cars with diesel engines is lower due to different driving conditions and emission regulations. Yaris. This is necessary to provide smooth and powerful driving performance while emitting the lowest possible CO2 and exhaust emissions. Urban Cruiser and Auris models. Our diesel development group is comprised of three teams of engineers and technicians that specialise in diesel technology. Finally. which is installed in Toyota’s iQ.
public parking lots and on public roads. we launched the programme in Strasbourg in April 2010. as adopted by the United Nations Economic Commission for Europe. Based on the third-generation Toyota Prius. resulting in nearly zero CO2 emissions.Plug-in Hybrid – A new step towards sustainable mobility What is PHV ? A Plug-in Hybrid Vehicle uses Toyota’s full hybrid technology. The European project is leasing 200 vehicles to selected partners and customers in 18 European countries who will road test the vehicles. the vehicle’s battery can be recharged using a standard electrical outlet. the offices of business partners. Toyota expects the PHV to bring unsurpassed fuel efficiency and record low emissions compared to other mass-market vehicles on the road today. the US. it can be driven as an electric vehicle. In collaboration with our partner. European PHV project launched in Strasbourg. and excellent driving performance. For longer distances. Toyota’s PHV is ‘the best of both worlds’ : for short distances. providing low emissions and fuel consumption. (1) CO2 emissions of Prius Plug-in Hybrid are measured according to the new official international regulation for plug-in hybrid electric powertrains. French energy provider EDF and the City and Urban Community of Strasbourg (CUS). France The European PHV project is part of a global Toyota project involving 600 Prius Plug-in Hybrid Vehicles that are being tested in Japan. In addition. the new Prius Plug-in Hybrid is equipped with a lithium-ion battery and emits only 59 g CO2/km in combined cycle of the New European Driving Cycle (1). the PHV works as a conventional hybrid vehicle. About 100 PHVs are being leased to selected fleet customers and public bodies in Strasbourg. Canada and Australia. France is at the centre of this project. Toyota European Sustainability Report 2010 I Environmental Performance Special feature 25 . supported by charging points in users’ homes. ADEME. The project has received support via the Research Fund managed by the French Environment and Energy Management Agency. Toyota’s main objective is to further investigate the technology and performance of the PHVs with respect to the consumer’s needs.
” The Chairman and CEO of EDF. said: “EDF is proud to engage in a great industrial adventure involving the expertise of a manufacturer. We are also studying the impact on electricity usage. once it is available on the market. Electricité de Strasbourg (ES). using the recharging station at Toyota Motor Europe’s office in Brussels . and the office of the Director General for Climate Action. Didier Stevens. the charging pole may be updated with the new EU-wide standard plug. This project is part of ADEME’s Research Demonstrator Fund programme. In addition.Toyota European Sustainability Report 2010 I Environmental Performance Toyota Motor Corporation Executive Vice-President. will establish 150 charging points for the vehicles. Based on Toyota’s full hybrid powertrain. The partners will use the car for a period of three years. we are examining how users adapt to PHV technology which will help facilitate increased market take-up and mass commercialisation of this technology from the mid2010s. Colruyt. five vehicles have been allocated to Belgium. which aims to test future technologies that reduce greenhouse gas emissions. Environmental Affairs. Together with these partners. German energy provider EnBW Baden-Württemberg AG (which is part of the EDF Group). The project shows how important it is nowadays to combine technological breakthroughs and innovative initiatives with sustainable development”. The Mayor of Strasbourg and Vice President of the City and Urban Community of Strasbourg. Roland Ries. Senior Manager. the Federal Public Service for Mobility and Transportation. PHV is the most practical way of increasing the use of electricity for personal transport today. is extending the programme to the German state of Baden-Württemberg by demonstrating ten PHVs and their dedicated charging infrastructure. 26 PHV in Belgium Out of the 200 units that are being distributed to more than 18 European countries. said: “I am pleased to be able to host this unique experiment that will be taking place over the next three years. EDF. said “Plug-in Hybrid technology is key in our path towards sustainable mobility. We are also road testing two PHVs in our Head Office and at our European Technical Centre. Takeshi Uchiyamada. European Commission. Telenet. The five Belgian partners are AgoriaVlaanderen. This includes researching and monitoring the vehicles’ charging units. Currently the cars are charged by using a normal household plug.” EDF will evaluate different operational options for the charging infrastructure of the vehicles. an energy provider and public bodies. In the future. with the operational support of its subsidiary. Deficiencies in the energy market can then be raised with the authorities and the network operators. Henri Proglio.
Today. To limit the consumption of fossil fuels and the resulting CO2 emissions. Toyota Motor Europe Akihito Tanke The European energy framework Although the energy sector is generally stable. almost 60% of natural gas and 40% of coal. Working with our stakeholders.Transport makes up 28% of the total gross energy demand of the European Union (1). househ Transp vs 2005 reduction g System 10% GHG in ission Trad Em Non-ETS: y (1) Eurostat 2007 (published 2010). A 20% reduction in primary energy use compared with projected levels. 20% of the EU’s energy consumption to come from renewable resources and a 10% binding minimum renewable energy usage in transport. have initiated a number of energy shifts. The latest concerns about energy security and climate change will likely be the catalyst for a new shift: from fossil fuels to non-carbon fuels. Security of energy supply is a significant issue for the European Union. ort. major events such as the oil crisis of the 1970s and the air pollution and acid rain problems of the 1980s. The energy we require is expected to continue to grow. Mikako Le Lay Akihito Tanke Energy Research Group. ackage Change P n Climate Europea 20% GHG reduction vs 1990 l are in fina 20% RE sh ption consum Transport 10% RE in ase in 20% incre iency y effic energ Co Industrial Energy & 2005 duction vs 21% CO2 re Trading System Emission ETS: mpanies Countr agriculture old. The EU imports more than 85% of oil. the EU has set targets which include : A 20% reduction in greenhouse gas emissions by 2020 compared to 1990. the EU (27 member states) imports 55% of its energy needs. first from oil to nuclear and then from coal to gas. Toyota European Sustainability Report 2010 I Environmental Performance Our approach to global energy challenges 27 . It is therefore clear that the availability of energy should be a key concern for car manufacturers. to be achieved by improving energy efficiency. we need to develop products that can be powered with available and sustainable energy and to ensure that this energy is used efficiently. “ „ Muriel Desaeger.
Contributions to the EU CO 2 targets 28 180 170 160 150 140 130 120 110 100 90 80 Year Toyota 140 CO2 g / km 120 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 Biofuels We believe that biofuels can offer a sustainable and lowercarbon alternative. we need to improve the energy efficiency of our cars and to encourage low-carbon fuels usage. consuming about 28% of the total energy used in the EU. preferably made from renewable energy sources.Biofuels must be produced in a way that minimises CO 2 emissions and environmental impact. Plug-in Hybrid solutions represent the next step in fuel-efficiency.org/index_en. is an energy-intensive sector and a significant contributor to the manmade generation of CO2 emissions. Valvematic and D-4S dual injection. HVO is a high-quality product that has the potential to substantially reduce greenhouse gas emissions. Toyota is also a member of the Alliance for Synthetic Fuels in Europe that promotes the uses of synthetic fuels as a highquality alternative to diesel fuel. we also need to switch from fossil fuels to low-carbon fuels. cereals or sugar beet.The production of biofuels should not compete with food production. provided they meet certain criteria and are available in sufficient volume. Made by a refinery-based process which converts vegetable oil to paraffin. directly affect the transport sector. Biodiesel originates from oil-seed based feedstock such as rapeseed. Hydro-treated Vegetable Oil (HVO) is a promising low-carbon biological alternative to diesel and is available on the market today. 2. Regarding the use of biofuels. To contribute to a lowcarbon society. Toyota supports the Committee of European Normalization’s work in drafting common fuel standards and calls for their introduction across EU member states. We have long considered energy efficiency and the development of fuel-efficient vehicles a priority.Biofuels must meet strict quality criteria to ensure the fuel is fit for purpose and delivers expected performance in the vehicle. Today. called the 20-20-20 action plan. Toyota support second-generation .php 3. Ethanol originates from sugar-based feedstock such as sugar cane. We need to balance the need for enhanced mobility with the needs of our environment and society. Toyota is involved in a number of initiatives to establish criteria to guarantee that biofuels are produced in a sustainable way. and is then blended into diesel. We have introduced technologies such as Dual-VVTi. Toyota has three concerns: 1.Toyota European Sustainability Report 2010 I Environmental Performance The transport sector’s contribution to climate change These commitments. most biofuels used in transport are made from agricultural feedstock and are referred to as first-generation biofuels. To create a low-carbon society. For more information please see www. as well as our innovative Hybrid Synergy Drive® technology.synthetic-fuels. and is then blended into petrol. The transport sector.
sustainability. Toyota is involved in researching secondgeneration biofuels made from wood or straw. We believe that engaging multiple stakeholders will be essential in solving energy and environmental concerns. Besides our support of biofuels. We are therefore establishing links with energy industries. however. where the fuel comes from waste material from the forestry or agricultural industries.toyota. We have therefore started to develop energy/fuel modelling capabilities and scenarios that are tested and discussed with energy-related entities.eu/pages/default. rather than from agricultural feedstock. For these reasons. is still in its early stage of development and it may be several years before these advanced biofuels become available on a commercial scale. Most of the Toyota and Lexus petrol vehicles made for the European market after January 1998 can run on petrol blended with up to 10% volume bioethanol (E10) (1). These advanced biofuels promise a number of benefits and could be used in existing vehicles.biofuels. Further. we are encouraging the development of energy-efficient and low-carbon vehicles by introducing cars that run on de-carbonised electricity and hydrogen (see pages 45-47). we support low biofuel blends in Europe (E10 and B7) as a first step. The PHV project in Strasbourg is an example of our approach (see pages 25-26). Multi-stakeholder engagement Advancing the best energy solution is not an easy task and the long-term impacts to the community and various stakeholders must be considered. Since 2008. greenhouse gas performance and quality. Toyota European Sustainability Report 2010 I Environmental Performance 29 . This technology. We will support higher biofuel blends in the future if they meet criteria on availability. All European Toyota and Lexus diesel models can run on diesel blended with up to 7% volume biodiesel (B7) in accordance with the European diesel standard EN 590:2009.aspx. all Toyota and Lexus petrol vehicles made for the European market are compatible with E10. Plug-in Hybrid Prius (1) Detailed information on E10 compatibility of our vehicles can be found on our corporate website http://www. with the potential of even greater greenhouse gas emissions reductions. local authorities and the EU commission.
4 0. The driving phase of conventional engine types accounts for more than 75% of the lifecycle CO2 emissions. with few nitrogen oxide and particulate matter emissions Four driving modes including EV mode. driving comfort and quietness of Toyota’s full hybrid powertrain will offer the Auris HSD customer a smooth and sophisticated driving experience unique to the small family car (C-segment). maintenance and disposal. 30 Auris HSD An eco car made in an eco factory. The total CO2 emissions of the Auris HSD across the lifecycle of the vehicle are 33% less than the Auris petrol model and 25% less than the Auris diesel model.0 0. which enables driving using electric power alone CO2 emissions of 89 g/km Use of recycled plastic materials More than 95% recoverability and 85% recyclability Life Cycle CO 2 emissions Index 1.8 0. built by eco-minded people Toyota Motor Europe celebrated a milestone in 2010 with the start of production of the Toyota Auris Hybrid Synergy Drive ® at our manufacturing plant in Burnaston. This is Toyota’s first mass-produced full hybrid vehicle to be manufactured in Europe. While the CO2 emissions related to the production phase are similar to the Auris petrol and diesel vehicles. the everyday usability.0 Petrol Vehicle Material Production Vehicle Production -25% -33% CO2 Diesel Vehicle Driving Disposal Hybrid Vehicle Maintenance . there is a substantial reduction of CO2 emissions during the driving phase. UK. Over and above the benefits of exceptional fuel efficiency and low CO2 emissions inherent in Hybrid Synergy Drive®.2 0.Toyota European Sustainability Report 2010 I Environmental Performance Special feature Auris HSDToyota’s first full hybrid vehicle made in Europe CO2 emissions in the vehicle lifecycle The diagram below shows the CO2 emissions per kilometre of the Auris HSD compared to the equivalent petrol and diesel models throughout the lifecycle . Features of the Toyota Auris Hybrid Synergy Drive ® Contributes to the reduction of greenhouse gas emissions throughout the vehicle lifecycle High air quality standards : Complies with Euro 5 emission standards.6 0.from material production and vehicle production to driving.
0 50.000 kilometres.6 0.4 1. a power consumption gauge shows how much power is being used or generated at any given time. the Eco Drive Monitor helps drivers maximise the fuel efficiency of Toyota’s Hybrid Synergy Drive ® system. Eco-Drive Monitor Toyota European Sustainability Report 2010 I Environmental Performance 31 .Kilometres travelled and CO2 emissions We have analysed the CO2 emissions of the Auris HSD when it is driven for 150. The EV mode runs on the electric motor power alone.8 0. The ECO mode maximises hybrid system efficiency and fuel economy.2 0. Ratio between distance and CO 2 Index X: Auris HSD = 25 % less CO2 than Diesel Y: Auris HSD = 33% less CO2 than Petrol 1. the relative CO2 emissions savings of the vehicle will be even greater. resulting in nearly zero fuel consumption and emissions. In addition. In addition.800 100. including three that can be selected ‘on demand’ by the driver.2 1.4 0. and the POWER mode boosts system performance. This helps them develop fuel-efficient driving techniques and maximise system efficiency.000 kilometres. Drivers are also able to monitor the flow of energy within the Hybrid Synergy Drive ® system for each driving mode. When driven more than 150. the Auris HSD shows a reduction in CO2 emissions of between 25% (compared to the equivalent diesel vehicle) and 33% (compared to the equivalent petrol vehicle).0 0.000 Petrol Vehicle A unique eco-driving experience The Auris HSD has four driving modes.000 Distance (km) Diesel Vehicle 150.000 Hybrid Vehicle Petrol Vehicle Diesel Vehicle Hybrid Vehicle Y X 4. Over this distance.
000 m³) Total discharged water (1. Production Engineering. but excludes scrap. project waste and recycled waste for which revenue was gained) (2) 0 0 0 1 0 1 0 0 0 0 0 1 0 (3) 0 0 .854 457. all our main environmental Key Performance Indicators (KPIs) showed a marked improvement from FY08.752 (3) 2007 fy06 1.061 0 589.616 367. Key Performance Indicators .Manufacturing SuStainability rEport Absolute Emissions (1) Total energy usage (MWh) Total gas & oil (MWh) Total electricity (MWh) Total CO 2 (1.728 44 814.126 339 1.472 424.240 576.075.8% reduction to 544. This is waste which has a net disposal cost.011 311 1.859 603. Ikuo Kasahara Vice-President.608 1.794 7 2010 fy09 784.686 541.229 499.134 7 2008 fy07 1.095 1.166 1. volatile organic compound usage and at-cost waste.256 2.382 261 1.000 tonnes) (2) 2006 fy05 956.038 0. Toyota Motor Europe „ Ikuo Kasahara We performed well against these targets in FY09 and achieved record consolidated performance in our manufacturing facilities in water.Manufacturing “ Our European Manufacturing Companies (EMCs) achieved strong environmental results in what was another challenging year.782 1.119 228 1.377 276 1.000 m³) Total VOC emissions (tonnes) Total waste-at-cost (tonnes) 17.45 544.735 417.242 845 1.6% decrease reported in FY08.732 500.694 units.913 26.103.050 7 (1) Total water usage (1.025 1.575 23. As a result.075 15.907 5 Total waste-to-landfill (tonnes) Total European production volume (vehicles) Number of plants covered by result Legal compliance Total number of fines Total number of prosecutions Total number of complaints For TPCA joint venture – Toyota includes 1/3 reporting of total production volume & emissions This includes direct emissions from fuels and indirect emissions from purchased electricity All production waste which has net disposal cost (excludes scrap steel.410 1. We remain committed to our FY10 environmental targets which were originally adopted as part of the Toyota Global Fourth Environmental Action Plan covering FY06-10. Manufacturing volumes FY09 marked the second year of decreased vehicle production volumes in Europe although the 7. This is due to individual team members across our European operations who have worked hard to reduce unnecessary energy and water usage in FY09.108.309 415.329 71 807.4% to 1. Combined unit (engine and transmission) volumes over the same period decreased by 8.093 7 2009 fy08 881.050 vehicles was significantly less than the 27. but were revised to be more challenging in FY07. before the global economic crisis. project and recycled waste for which revenue is gained.035 689 957 11.319 622.
They also attend environmental events such as the ecoplant exposition and tours around the on-site lakes.299 Tonnes 36% 40% 61% 74% TMUK Weld Pilot Group Eco-points presentation 2005/6 Manual energy manipulation 2006/7 Manual energy manipulation plus Primer Booth 1 trials 2007/8 Primer Booth 1 optimised window control 2008/9 Roll out of window control to remaining booths 2009/10 In 2010 TMUK will become the first Toyota plant in Europe to produce a full hybrid vehicle with production of the Auris Hybrid Synergy Drive® (see pages 30-31).Toyota Motor Manufacturing UK – towards the ultimate Eco-Factory Toyota in the UK has been recognised by Cleangreencars. TMUK began manufacturing cars in 1992.024 Tonnes Reduction 44. employees make a personal commitment and a group declaration to reduce their impact on the environment. TMUK Paint Shop Annual Steam Consumption 2004-10 % 100 90 80 70 60 50 40 30 20 10 0 2004/5 Fixed set point contro Reduction 15. which are a major user of energy. solar. Wales and is now proposed for Burnaston. it has placed environmental considerations at the forefront of its business planning and sought to minimise its environmental impact. As part of this programme. The company was the first UK automotive manufacturer to achieve ISO14001 in 1996 for its manufacturing operations and the first to achieve zero waste to landfill in 2002. Initiatives include : Introducing control technology at its paint shop booths. material.468 Tonnes 22% Reduction 25. use of win Increasing and geothermal ass biom bers to take action Inspire mem its rmony with Plant in ha rroundings natural su 3 ge e and enga Encourag community the local e and promot Preserve ecosystem the local Leading by example This commitment is demonstrated by the following reductions that have been achieved : Reducing CO2 emissions rEDuction from 1993 to 2008 Energy (kWh/vehicle) Waste (kg/vehicle) Volatile Organic Compound emissions (g/m 2 ) Water (m 3/vehicle) > 68% > 60% > 70% > 70% Engaging employees TMUK encourages its employees to reduce their own environmental impacts through an Eco-points programme. Since that time. Further pilot projects are ongoing. A wind energy feasibility study has been completed at Deeside. co. energy or waste. Toyota European Sustainability Report 2010 I Environmental Performance Special feature 33 . TMUK is striving to reduce its CO2 emissions by reducing its energy usage and by using the most efficient energy sources. l vironmenta Leading Enmance Perfor 1 Innovative n Te Productio Kaizen chnology 2 use of Increasing energy renewable d. wastewater treatment plant and the on-site recycling facility.902 Tonnes Reduction 53. already meeting the 2013 European Union target set for automotive manufacturers. There are six points to collect in total and to achieve full eco-points. employees need to implement an improvement activity to reduce packaging. Solar energy is used in the visitor centre to heat water.760 Tonnes Reduction 28.uk as the first automotive manufacturer in the UK to achieve CO2 emissions averaging below 130 g/km across the model range.
0 kg / vehicle ahead of schedule. Waste reduction Waste disposed of at cost decreased by 20. 500 450 400 350 300 250 200 150 100 50 0 FY FY10 target = 425 kg/unit 443 386 kg/unit 417 443 420 Waste to landfill 4 3 2 1 0.442 kWh / vehicle.400 1.0000 0. regionally and globally.62 FY10 target = 24 kg/unit 29.15 25.3% to 1.000 800 600 400 200 0 FY FY10 target = 1. the average amount of energy required to produce a vehicle declined by 10.0545 0.332 1.0875 0.5% from 25.800 1. We expect that for Phase III (2012-2020) at least one more of our manufacturing plants will be included. In FY09 one of our manufacturing plants needed to dispose of a small quantity of asbestos to comply with legislation. This was a target set in our Fourth Environmental Action Plan in 2005. Energy and carbon dioxide (CO2) In FY09 despite falling production volumes and one of the coldest winters on record.2% reduction from 443 kg / vehicle in FY08 to 420 kg / vehicle in FY09.Toyota European Sustainability Report 2010 I Environmental Performance Manufacturing Key Performance Indicators As part of our vision to contribute to a sustainable society. The figure would not be included due to rounding methodologies.536 1. To reduce waste. but we mention it for transparency. The impact of significant investment in terms of time and resources in specially-trained energy reduction teams. Currently. with a 5.200 1.442 05 06 07 08 09 CO 2 emissions Kg/unit In FY08. This reduction means that we have achieved our FY10 target of 24. This section details the environmental performance of our production plants.3 kg / vehicle in FY09. .0008 3.356 1. Toyota Motor Manufacturing UK at Burnaston remains the only European Manufacturing Company included within Phase II of the EU-Emissions Trading Scheme for 2008-2012. we reported that since January 2008 all our manufacturing facilities achieved zero waste to landfill.7240 FY10 target = 0 kg/unit 05 06 07 08 09 0 FY 05 06 07 08 09 Consolidated CO2 emissions reflected this.495 1.70 32. we continue to examine technologies and solutions which can complement our production processes and lessen our overall environmental impact. we first look at how we can decrease waste at source before looking at reuse or recycling options.29 Energy kWh/unit 15 10 5 0 FY 05 06 07 08 09 1.375 kWh/unit 1.the ideas of which are shared locally.54 20.5 kg /vehicle in FY08 to 20. 34 Waste disposed of at cost kg/unit 35 30 25 20 27.600 1. This improvement is due to : The efforts of our European Manufacturing Companies to reduce all unnecessary energy usage by implementing improvement activities .
As a result of these activities. Toyota EMS is built on three pillars : Ensuring compliance Minimising environmental risk Achieving number one performance. In terms of absolute emissions (total tonnes). We will continue to look for ways of reducing water usage across all our manufacturing facilities. Toyota European Sustainability Report 2010 I Environmental Performance 35 .9 20 15 10 5 0 FY 05 06 07 18.6 FY10 target = 19 g/m2 Water usage In FY09 the amount of water required to produce one vehicle in Europe decreased by 10% from FY08 to 1. Environmental leadership Our aim is to be at the forefront of environmental leadership in the automotive industry. ISO14001 (see page 18). The average VOC emissions per square metre (m2) of vehicle body surface painted across our four vehicle assembly plants decreased from 18. and the ‘Process Premier Award’ from environmental not-for-profit organisation. Business Commitment to the Environment.9 18. 1 0 FY 05 06 07 08 09 Our manufacturing company in France now harvests a significant proportion of its water needs from rainwater in addition to recycling its wastewater using reverse osmosis treatment. In FY09 our manufacturing plants received the following external recognition : National Toyota Motor Manufacturing UK (TMUK) received the Big Tick Award for environmental leadership and climate change reduction activity from business membership organisation. Volatile Organic Compound (VOC) emissions Last year we were able to report that we achieved our FY10 target two years ahead of plan with the understanding we would continue to focus on Toyota’s guiding principle of kaizen (continuous improvement).Our designated ‘sustainable manufacturing plants’ (facilities nominated by Toyota Motor Corporation in 2007 as being model plants for carrying out sustainable activities) in the UK and France have a zero incineration policy which means that energy is recovered from any waste and is used as a fuel substitute. 30% of the plant’s water consumption was met using sustainable sources in FY09. Regional Toyota Motor Manufacturing France (TMMF) received the ‘Energy Efficiency Award’ from the North of France Industrial Society (SINF).11 1. This is our best consolidated result on record and reflects significant individual activity at our European Manufacturing Companies to reduce baseline water usage while facing declining production volumes.26 2. Business in the Community.4 08 09 Water usage m3/unit 3 2. achieving our target will be challenging as we had expected significant technological investment at our Turkish manufacturing plant.90 m3/vehicle.98 2. This focus has led to us setting a new record in FY09 with a further 3% reduction in VOC emissions from solvent-based paints and cleaners in the vehicle painting process.21 FY10 target = 1. Volatile Organic Compound emissions g/m2 35 30 25 29.70 m3/unit 2 1. This is the focus and guiding philosophy of Toyota’s environmental activities globally. Business in the Community. our improved performance combined with the decrease in production volume resulted in an 11% reduction in VOC emissions compared to FY08.4 grams in FY09. TMUK received the ‘East Midlands Carbon Positive Pioneer Award’ from business membership organisation.90 Environmental management All seven of our European Manufacturing Companies have Environmental Management Systems (EMS) that are independently certified to the international environmental management standard.9 grams in FY08 to 18. In FY09 we continued to support our manufacturing facilities with the ongoing implementation of Toyota Environmental Management System which is complementary to ISO14001. Looking to FY10.7 25. 19. which is currently on hold due to the current economic climate.
Strategic Production Planning and Production and Logistics Control. Vehicle Logistics Group and Parts Supply Chain Group. The group continues to expand its European operations and scope of its responsibility. It is our responsibility to ensure the availability of parts for every vehicle that is on the road in Europe. storage and distribution of accessories and spare parts for Europe. “ Emile Benaim Director. Vehicle Logistics. The main environmental impacts of our operations come from transportation. “ „ Vehicle Logistics Group The Vehicle Logistics Group manages the import and export of new vehicles and customises individual orders. Despite these pressures.Logistics Our logistics operations are divided into three separate divisions : Production and Logistics Control. We monitor CO2 emissions from transportation activities on a monthly basis. “ Jonathan Ballard Director. Toyota Motor Europe „ Parts Logistics Group Our group manages the procurement. Parts Supply Chain. regardless of age or origin. although at a slower rate than previous years due to the global economic situation. Toyota Motor Europe Our Production and Logistics Control division distributes components from suppliers to our manufacturing sites for vehicle assembly. We aim to minimise CO2 emissions involved in the collection and distribution of parts by reducing kilometres travelled and ensuring the optimal use of trailers. the group has maintained its strong commitment to our environmental objectives and targets. To do this we maintain relationships with all current and previous suppliers in Europe and co-ordinate the exchange of parts across Toyota’s global After Sales network. Production and Logistics Control Hiroyuki Ikeda Vice-President. Toyota Motor Europe „ Logistics operations gistics n parts lo Productio ion and ct The colle n of parts distributio to suppliers ts from ring plan anufactu m Ve port of rt and ex The impo es and hed vehicl new finis g in customis al orders of individu hicle logis tics arts Service p logistics essories and acc n and utio The distrib rts pa of spare ilers ies to reta accessor . warehouse operations and the packaging of parts.
and eco-efficiency. we have optimised the bulkiest parts unit packaging.920 kilometres of travel per day and will reduce CO2 emissions by 1.Absolute Amount 120 CO2 emissions (ktonnes) 103 87 72 73 I Flow After (as of October 2009) UK TMUK VALENCIENNES TMIP TMMP 100 80 60 40 20 0 FY 03 04 05 57 81 70 100 Cross Dock PL TMMF D CH CZ A SK H Estimation F 06 07 08 09 10 Italian Suppliers ITALIAN consolidation point Getting an engine part from an Italian supplier to our Polish manufacturing plant I before after 34 2.020 tonnes per year. Trucks equivalent/annum Distance to final delivery (km) CO2 emissions (tonnes) 34 4.Identifying opportunities to change the mode of transportation from road to train or ship. To reduce CO2 emissions from transportation. from 99 kg to 96 kg. Heating component packaging kaizen 272 Pces/Trailer unused space Original After kaizen proposal 510 Pces/Trailer 05 06 5-year Target 07 08 09 10 1.900 kilometres a day and 1. 3.The loading efficiency of trailers and collection routes.500 71 The situation today In FY09 our Production and Logistics Control division achieved its environmental performance target of reducing CO2 emissions by three kilograms per vehicle. The purpose of this work is to minimise the impact of parts and packaging design on the efficiency. of logistics. the Production and Logistics Control division focuses on improving three core aspects of its operations : 1.We rationalised our parts collection strategy in the south of Europe and around the Alps. This space optimisation has resulted in fewer truck loads.200 tonnes of CO2 emissions a year.Restructuring the network to reduce the number of kilometres travelled between suppliers and European Manufacturing Companies.020 tonnes of CO2 spared per annum Toyota European Sustainability Report 2010 I Environmental Performance Production and Logistics Control Network restructuring progress in FY09 37 . This equates to a reduction of 5. 2. This reduction was a result of network restructuring and logistics planning. saved 4. Regarding the heating component it means we can transport 510 pieces in one trailer instead of 272 pieces. UK TMUK Flow Before TMIP TMMP VALENCIENNES Cross Dock PL TMMF D CH CZ A SK H F LYON Cross Dock Italian Suppliers CO 2 Emission .600 131 co2 rEDuction : 60 tonnES / yEarS Preparing for the future CO 2 Emission per Car 140 120 CO2 / car emissions (kg / car) 121 121 115 102 100 100 102 98 99 2009: 96 kg Co2 / car 96 96 94 100 80 60 40 20 0 FY 03 04 Result Our Production and Logistics Control division is participating in simultaneous engineering for new projects. For the 2011 model sourcing.
16 kWh/vehicle 3. the team in Sagunto focused on how they could reduce usage to an absolute minimum. In FY09 the team’s main objectives were to manage and maintain environmental key performance indicators on energy and waste for the vehicle logistics sites. This is primarily due to the vehicle logistics centres introducing further waste streams to recycle different types of materials and ensuring employees know how to correctly segregate the waste.16 FY10 target = 2. This resulted in a 74% improvement in the energy consumed per vehicle handled.9 Ferdinand Krijnsen and Mercedes Navarro Puig Waste Last year we achieved zero (1) waste to landfill at our vehicle logistics centres in line with the target set in our Five Year Environmental Action Plan. energy usage per vehicle handled increased by only 7%.0 0. Air-conditioning systems tend to consume a significant amount of energy. This was maintained in FY09 with only 1% of waste from vehicle hubs going to landfill. Energy use at Sagunto 14 Energy (kWh/vehicle handled) 12. which reduced the number of hours the air-conditioning system was needed by 50%.3 7.29 38 FY07 FY08 FY09 Special feature Sagunto Vehicle Logistics Centre Given the warm climate in Spain.5 2. Energy Despite one of the coldest winters on record and a decrease in vehicles handled. an air-conditioning system was required in our Sagunto Vehicle Logistics Centre. we have seen a steady decrease since FY06 partly due to increasing our (1) Definition of zero waste is < 3% landfill returnable packaging. Continued efforts to reduce the absolute energy consumption resulted in a 13% improvement compared to FY08. the Vehicle Logistics Group maintains the international environmental management standard ISO14001 throughout its European operations.0 FY06 2. efforts have been made to reduce the amount of non-recycled waste per vehicle handled.8 12 10 8 6 4 2 0 FY08 Actual FY09 Target FY09 Actual 3.0 1. The group is also supporting the activities of the pan-European Environmental Team. which is composed of representatives from all hubs and meets on a regular basis.5 0. Therefore.0 2. which has resulted in a 54% reduction since FY06.34 2.5 1.29 3. . In terms of the total waste produced per vehicle handled. Additionally.0 3.Toyota European Sustainability Report 2010 I Environmental Performance Vehicle logistics Environmental management in our Vehicle Logistics Group In line with our Five Year Environmental Action Plan. The measures included : • Changing the on/off settings • Changing the temperature settings • Workshop doors were opened at night. One such example can be seen below from our facility in Sagunto.5 3. Total energy per vehicle handled kWh / vehicle 4.
0 0. Kazakhstan and the Caucasus region.154 69.051 75. Slovenia.77 1.66 kg 0. In FY09. measurement and management tool in FY10. the group continued to analyse its distribution network with the aim of optimising the mode and distance covered.2 0.06 To improve our ability to measure.74 fy07 1.66 Managing CO2 emissions in our vehicle logistics Our Vehicle Logistics Group continued to expand in FY09 and introduced new routes to supply Japan produced vehicles to Turkey.4 0. This was largely a result of the economic downturn and the consequent decrease in our production volumes.1 0.8 0.042 55.428 1. Toyota Motor Europe Toyota European Sustainability Report 2010 I Environmental Performance 39 .8 1.81 fy06 1.042 84.051 53.999 0.0 1.831 66.442 1. distribution to Russia and other Commonwealth of Independent States (CIS) countries is primarily ship and rail based.254.188.0 0.578 0. The change in our mix of destinations increased the distance covered by truck transportation from 21% in FY08 to 28% in FY09 while the most CO2 efficient mode of vessel reduced from 67% to 58%.21 2% 1% 1% FY06 FY07 FY08 FY09 FY06 FY07 FY08 FY09 Mixed waste per vehicle pre-delivered kg 0. in the south of France.63% reduction in CO2 emissions (421 tonnes).7 0. the Vehicle Logistics Group aims to introduce a new data collection.8 FY10 target = 0. absolute CO2 emissions decreased.836 1.2 1.57 fy08 1. This requirement is part of our Sustainability Purchasing Guidelines issued at the beginning of 2010. This is due to the significant shift of destination mix.044 82. the group introduced a new route for vehicles manufactured in Turkey for the French market by opening a new hub in Sète.0 FY10 target = 1.476 0.733 1.65 fy05 940.4 0. This has shortened the overall distance and has led to a 14.69 1.39 0.869 0. In contrast. Despite the introduction of new routes.681 1. fy04 Number of vehicles transported Total km (million) Kg CO2 / km Total CO2 (tonnes) Kg CO 2 / vehicle 888.77 kg 1.65 20 18 16 14 12 10 8 6 4 2 0 FY10 target = 3% 1. Distribution in Western Europe generally covers short distances and uses trucks.Waste to landfill % kg 18% Total waste per vehicle pre-delivered 2.040 62.410 72.29 FY06 FY07 FY08 FY09 To offset the negative impact of this.456 1.161. 0.5 0. Cyprus. and consequently manage our emissions.2 0.6 0.58 fy09 769.4 1.6 0.3 0. Vehicle Logistics Management Team.039 0.317 0. rather than ship and/or rail. CO2 emissions per unit have however increased.661 62.6 1. particularly from the East (Russia) to the West.274 65.563 63.49 0.
6 0.14 0. we have built on our previous successes in network optimisation so that our shipping partners can now directly optimise every load in their process.30 0. We will continue to review the network to identify other ways we can reduce CO2 emission from transportation.Two other routes have been reviewed to reduce the distance travelled by trucks.76 t CO2 emissions.76 t CO2 emissions.The environmental impact of our facilities 3.51 46. For example. modulating and loading processes.000 t CO2 kg CO2/km 80 60 40 20 0 FY 04 05 t CO2 0. and we will work with our logistics partners to invest in environmentally friendly trucks. which equates to a saving of 19. While the Warehouse Operations Division focused on improving case and truck density by adapting internal picking. the Transportation Division concentrated on switching to environmentally friendly transportation modes.06 0.174 15.8 0. routes to Ireland were sent by sea resulting in an 84% reduction in distance travelled by truck a year. 3.Implementation of a rail connection between Genk and Verona for shipments to Italy and Greece.2 0 06 07 08 09 kg CO2/km 0.062 16.919 15. which helps us reduce CO2 emissions from transportation.17 29. 491 fy09 44. Air and Rail transport 82% 80% 78% 76% 74% 72% 70% FY07 FY08 Rail Truck % for Truck transport 10% 8% 6% 4% 2% 0% FY09 C0 2 emissions 1.CO2 emissions from transportation 2. . Firstly. The three main environmental impacts of our operations are : 1.18 0. (1) The reported data includes all Toyota Motor Europe controlled parts accessories logistics. Transport methods evolution (share of kilometer) 12% % for Sea. 499 fy06 46.49 0.489 fy05 38.17 0. In 2009 a number of activities were completed including: 1.49 48.43 0. resulting in an annual saving of 257. In 2009 we have been able to make environmental improvements and at the same time.Packaging materials CO2 emissions from transport Managing CO2 emissions (1) Total CO2 emissions (tonnes) CO2 emissions (kg/m3 transported) CO2 emissions (kg/km transported) fy04 29.Changing the mode of transport for all of our shipments to Portugal from trucks to ships. This was achieved by introducing measures such as consolidating packaging and adapting the box size to the actual volume.Toyota European Sustainability Report 2010 I Environmental Performance Parts logistics Parts Supply Chain Group (PSCG) Within our network we have one central warehouse in Belgium and 13 regional depots in Europe.82 0.52 52. which has led to a reduction of 1.175 15.49 Sea Air 2.429 15. 520 fy08 48. 516 fy07 52.43 38.47 44.103 kilometres travelled and 288 tonnes of CO2 emissions per year.53 t CO2 emissions. 472 40 In FY09.92 0. packing. our Parts Supply Chain Group divisions continued their efforts to further improve and reduce CO2 emissions. The graph above shows the impact of changing the way we transport our parts.434 15. With this sense of urgency we have taken our environmental mission to the centre of every process and to our transport network. It also has helped increase operational efficiencies and reduce costs. routes to the Finnish depot in Helsinki were also We reduced airfreight volume by 14% from FY08 to FY09. Secondly.31 0. changed with the distance by truck reduced by 52% resulting in a saving of 37. reduce costs which is essential in the global economic context. By looking at how we can reduce environmental impacts throughout our supply chain we have made significant steps and will continue to look for improvements for the future.4 0.48 0.
0 3.06 0. Waste management All parts distribution centres worked hard to achieve zero waste to landfill. the total energy used in FY09 by our parts distribution centre decreased by 7% since FY08.09 33.07 0. The amount of mixed waste per part handled was 1.5 0.65 350 300 250 200 150 100 50 0 FY06 288.78 kg / 1.0584 3.0 4.9 296. Total waste per 1. Toyota Parts Centre Deutschland carried out a re-lighting project which contributed to 5% reduction in energy consumption.5 3.00 FY10 target = 0. which meets the target set in our Five Year Environmental Action Plan.5 2. we remain on target to achieve the FY10 target for both KPIs set out in the Five Year Environmental Action Plan.1 FY10 target = 288.55 FY10 target = 25.5 1.02 0. The decrease in energy is due to each site team maintaining the kaizen (continuous improvement) principles and making improvements wherever possible.total energy/warehouse volume multiplied by the number of operating hours The increase for the second KPI is due to the number of operating hours reducing at a faster rate (10%) than the energy reduction (7%).000 pieces shipped.000 pieces shipped 2.0 0.total energy/1. However.0 1.000 pieces shipped kWh 40 35 30 25 20 15 10 5 0 FY06 FY07 33.96 FY08 FY09 FY07 FY08 FY09 Mixed waste per 1. Toyota European Sustainability Report 2010 I Environmental Performance 41 .2 329. For example.0 25.0558 0. Energy consumption Despite one of the coldest winters on record and the number of parts handled increasing. The Parts Supply Chain Group has two energy related Key Performance Indicators (KPIs) to monitor : 1.000 pieces shipped Warehouse energy use per m 3 kWh kg 4.01 0.78 FY06 FY06 FY07 FY08 FY09 FY07 FY08 FY09 We achieved a 10% reduction in energy consumption for the first KPI.0 2.5% from FY08.0563 0. However.0610 0. Additionally the total waste produced per part shipped decreased by 10% as a result of increased reuse of packaging material at a number of depots.0610 kWh 0.04 0. which is a 57% decrease since FY06.29 kg 1. The key environmental aspects we track are energy consumption and waste management. for the second KPI there was a slight increase of 3.05 0.02 2.76 kg 33.000 pieces shipped kg Energy per 1.Environmental impact of facilities All 14 of our parts distribution centres are certified to the ISO14001 Environmental Management System.75 FY10 target = 3.5 4.1 kWh 307.03 0.11 0.
19 71.65 69. To reduce this waste we are: % Evolution usage re-use or returnable packaging vs new material 100 80 60 40 20 0 FY 03 New material Re-use packaging Returnable palets 11. 42 one n used for New carto ing small parts g way packa ack lter over p Store oil fiady for reuse carton re r pack il filter ove e Reuse of o all parts to Ukrain rton for sm ca Reducing packaging material Packaging material is used in the distribution of our spare parts and accessories to retailers in Europe.72 67.84 19. Despite efforts to standardise our in and outbound flows.Toyota European Sustainability Report 2010 I Environmental Performance Special feature Implementing employees’ ideas on reducing waste Toyota Parts Centre Austria (TPCAT) implemented an initiative to reduce the environmental impacts of distributing parts to the Ukraine. Fluctuating volumes and different shipping styles means that we have a number of ways of packaging these parts. which is 8% lower than in FY06.43 16.69 64.38 21. 89% of packaging was either returnable or re-usable packaging. small parts which were shipped to the Ukraine were shipped in small boxes which were packed inside large carton boxes to avoid damage. Continuing to monitor the accuracy of our data to support correct waste declarations by our National Marketing and Sales Companies to their local authorities.74 63.35 11.41 66. Only 11% of the packaging was from new packaging material. Previously.9 tonnes of carton boxes a year. In FY09.24 Increasing the usage of returnable packaging in inbound supply flows. 20.56 13. Standardising shipping pallet boxes through specification agreements with our suppliers.35 15. The small boxes needed to be purchased and generated waste.37 13. we continue to generate packaging waste at our Parts Centres and Dealerships.88 16. This has now been implemented and has reduced the need to purchase 1. These boxes are then reused for outbound shipping purposes.87 61.47 17. A TPCAT employee suggested carton boxes which were used to pack oil filters should be reused for this purpose. Ensuring Kaizen (continuous improvement) of the individual and logistics packaging conditions realising a saving of 173 tonnes in FY09.19 19.88 16.74 17.07 16. which has also helped reduce costs.78 69.92 04 05 06 07 08 09 10 .25 17.
620 MWh a year.000 0 FY 07 08 09 -16% solar energy Projects saving (target -3%) 10 Toyota European Sustainability Report 2010 I Environmental Performance Special feature 43 .Installing solar panels at our European parts distribution centre Our aim is to make all operations sustainable throughout the product lifecycle. With a peak power supply of 1.000 10. This installation will produce between 15 and 20% of the annual electricity requirements of the facility. In terms of electricity consumption : 1. in Diest. In FY09 we organised two tree planting events and 3. installed light and movement sensors and raised awareness through events such as the Green Month campaign and through environmental training for newcomers. 2.000 m2. Flemish Minister for Energy at the opening ceremony.We have upgraded lighting. Major improvements at TPCE include : In the latest expansion of our building we incorporated several new environmental initiatives such as using rainwater for sanitary facilities.84 MW.800 panels. built and operated by Blue Planet Solar NV. which was financed.000 6. The CO2 saving forecast is 1. solar panels were installed on the roof of Toyota Parts Centre Europe (TPCE).We purchase 100% green electricity.000 8. TPCE has implemented the environmental management standard ISO14001 since 2001. “This project is a great example of how government support in combination with industry initiative results in innovative renewable energy projects” said Freya TPCE Electricity consumption .000 2. The 80. includes 12. TPCE solar roof These initiatives are expected to result in a significant reduction in our energy consumption. Covering 80.MWh Consumption (MWh) -3% -13% -19% Forecast 12. This will reduce TPCE’s energy costs as well as CO2 emissions associated with energy use.000 trees were planted. it is one of the largest thin-film solar panel rooftop installations in Belgium.000 m² roof.700 tonnes / year. Belgium in FY09. Van den Bossche.000 4. the panels can produce 1. In line with this aim.
and about 20% from 2005). “ „ 44 Andrea Formica Our aim is to become the cleanest brand in Europe We believe that we can achieve this aim by investing in innovative technologies. Our commitment to European society is built on a solid foundation Ensuring customer safety by providing clean and safe products. We achieved 130. We aim to have a hybrid version of every vehicle in our model line-up by the 2020. Marketing. Our passion for excellence is brought to all stages of our operations . particularly when it concerns the quality and safety of our vehicles. Product Planning and Communication. We have made significant progress in reducing the CO2 emissions associated with our vehicles. For more information on the environmental performance of our vehicle distribution ( please see pages 38-39 ). Alongside our commitment to our customers. In FY10. is key to the ongoing success of our company. getting our vehicles to our customers requires a network of hubs and retailers. In FY09 we launched the third-generation Prius. and reducing emissions associated with our vehicles and distribution. Toyota strategy to bring HSD / Hybrid to mainstream models 2010 HSD mix >20% HSD mix towards 50% 2015~2020 Prius + Auris HSD Prius only Stage 1 Stage 2 Stage 3 . Sales.at design. absolute and urgent. UK plant. and met the EU target of 140 g/km CO2 emissions in 2009. is our commitment to protect the environment and to create pathways for sustainable mobility.Toyota European Sustainability Report 2010 I Environmental Performance Sales and Marketing Andrea Formica Senior Vice-President. we began producing the first full hybrid vehicle in Europe . Our production area of our Burnaston. ‘Your Toyota is My Toyota’ regaining customer confidence in our products is genuine. Toyota Motor Europe Having ongoing dialogue with our customers is essential to our business. such as hybrid and Plug-in Hybrid. Our CO2 performance is on the right track. manufacturing and Bridie Tucker is a team member in the marketing. She is featured in our Toyota Brand commitment to campaign. while using advanced technologies to ensure energyefficient vehicles. Developing our hybrid line-up will create one of the main pathways to becoming the cleanest brand in Europe.the Auris Hybrid Synergy Drive® at our Burnaston plant in the UK. Combining this passion and demonstrating our accountability is key to our vision to grow in harmony with society.1 CO2 g/km (a reduction of approximately 10% from 2008. In terms of distribution.
R Serie 1. the figure is expected to decrease to just 125 g / km. 2.6L. No com re ng pleasu drivi al Drive Diesel-D-4 D series Petro 1. Toyota Optimal Drive focuses on several key aspects of powertrain development such as environmentally friendly technologies. This segment represents almost 20% of total European new car sales. 1.0 Engine e Concept D-4D Engin L. Even prior to the introduction of Hybrid Synergy Drive® to the model range in 2010. timal Drive Toyo low-friction components. Toyota European Sustainability Report 2010 I Environmental Performance Environmental leadership in our products 45 . light-weight materials. 2.4L.000 Auris. a small family car. the overall Auris CO2 average has been reduced from 152 g / km in 2007 to 142 g / km in 2009. lowering CO2 emissions to segment best levels. In FY09 we completed the rollout of Toyota Optimal Drive as a core standard technology on the petrol and diesel powertrains. In 2010 we plan to sell 101.0 2. which will be the first full year of Auris Toyota Optimal Drive and Hybrid Synergy Drive® sales. compact ta Op design and enhanced combustion efficiency.2L) (1. Increase on promise 3. In 2011. Toyota’s Hybrid Synergy Drive ® has led hybrid powertrain innovations.8L Toyota Optimal Drive in Auris range Toyota’s Auris is in the C-segment. as per below. The application of Toyota Optimal Drive across the Auris range in 2009 has resulted in a significant improvement in the model’s environmental performance.2 D-CAT Valvematic L) .0 (1. Toyota’s early vision has been realised. The past few years have seen a marked increase in the production of environmentally friendly vehicles. Today. Reduce ncy Fuel Efficie 2. throughout the three generations of the Toyota Prius. tim Toyota Op s l .33 Engine Benefits ndard gy as sta Technolo Emissions 1. and most manufacturers are now developing hybrid technology. 2. With fossil fuels remaining the key energy resource of the immediate future. we will continue to improve the efficiency of our petrol and diesel engine vehicles by using Toyota Optimal Drive technologies. which already feature in most of our model line-up in Europe. 360° approach to our environmental leadership activities Toyota Optimal Drive Designed to optimise the balance of performance and driving enjoyment with fuel economy and low emissions.Towards zero emissions Toyota Motor Corporation (TMC) has been researching and developing environmentally friendly mobility solutions for more than 40 years with the aim of developing the ultimate eco-car.
Toyota European Sustainability Report 2010 I Environmental Performance
Full hybrid technology
Toyota’s hybrid cars are powered by a petrol engine and an electric motor. The technology is designed to operate at maximum efficiency by combining the advantages of both energy sources. The vehicles consume less fuel and therefore help reduce greenhouse gas emissions. They also produce less emissions than conventional, diesel-powered vehicles and less CO2 and nitrogen oxide emissions than petrol powered vehicles. Hybrid Synergy Drive® has been fundamental to the global success of the Prius. The Prius is now in its third generation. The first generation was launched in 1997, the second generation in 2004 and the third generation in 2009. Since the first generation Prius, improvements have continued to be made including increasing the system’s power by 30% and decreasing fuel consumption and CO2 emissions by about 25%. Toyota’s Hybrid Synergy Drive® was awarded ‘Green Engine of the Year’ in 2010, winning the award for the 6th time since 2004.
In FY09, we sold 44,179 Prius vehicles in Europe, an increase of 3% from FY08. Given the challenging economic market, this was a significant achievement. The third-generation Prius made up two thirds of the sales. We are committed to extending Hybrid Synergy Drive® to our core models, making these benefits accessible to more customers. In August 2009, the Prius was ranked as the most environmentally friendly car for the fourth time since 2004 by Verkehrsclub Deutschland, the German transport non-profit organisation. The third generation Prius has CO2 emissions of 89 g / km, an industry first for a car of this size.
Toyota has sold more than 2.6 million hybrid vehicles globally (June 2010) since launching the world’s first mass-produced hybrid. This vehicle was also the first commercial hybrid to be introduced in Europe in 2000. Since that time, we have sold more than 230,000 Toyota and Lexus hybrids.
Prius awareness continues to contribute to Toyota image
The Prius has also been awarded the maximum five star rating in the newly revised Euro NCAP crash test assessment (see page 65). The perception of Toyota as a green car manufacturer continued to grow in 2009, as shown by customer survey results (chart at left). Considerable gains in perception were made in the major European markets from the previous year with the 2009 results continuing the positive trend of the past eight years. Prius has been the leading driver of Toyota’s environmentally friendly and innovative image in recent years. In Germany, the UK, France, Italy and Spain customers’ awareness of the Prius has a significant effect on the Toyota brand image.
Cares of environment Among those aware of Prius
Launches innovative models Among those aware of Prius
Auris Hybrid Synergy Drive ®
The Auris Hybrid Synergy Drive ® (HSD) made its world debut at the 2010 Geneva Motor Show. Exclusively designed for the European market, the Auris HSD introduces full hybrid technology to a core model at the heart of the Toyota line-up, This is the first step in the deployment of hybrid technology across the company’s entire European model range by the early 2020s. Built at Toyota Motor Manufacturing UK, the Auris HSD marks an important milestone for Toyota Motor Europe and for the European automotive industry. With CO2 emissions of 89 g / km, the Auris HSD will help reduce Toyota’s whole fleet CO2 average. In FY09 the whole fleet CO2 average was 130.1 g / km, down by 16 g / km from FY08. For more information about the Auris HSD please see pages 30-31.
Eco-driving with ‘A Glass of Water’ iPhone application To encourage and teach the principles of eco-driving, we introduced a free application to iPhone users: A Glass of Water. The aim is to drive without spilling any water. The application helps motorists adapt their driving styles to drive at lower speeds and to accelerate and brake more smoothly. This application can be downloaded at www.aglassofwater.org
The hybrid effect in mainstream
Two years before governments in Europe started introducing incentives for motorists to exchange their old vehicles for new cars, Toyota Germany launched a competition with a Sunday newspaper to win a Prius. A total of 104 people won a Prius ( the number of winners reflects the 104 g / km CO2 emissions of the second generation Prius ) and in exchange, needed to dispose of their existing older vehicle. Winners were not typical Prius buyers and the competition helped increase awareness in Germany of the benefits of the Prius to a wide audience. In FY09 we contacted the winners to find out about their experiences of driving the Prius. We were able to reach 80% of the original winners. Around 75% of them still owned and drove the car. The research found that the ownership experience has been satisfying – with an overall satisfaction level of nine on a ten-point scale. Feedback from the winners suggested that the strongest source of satisfaction is not the low fuel consumption. Rather customers were most satisfied with the experience of owning and driving a hybrid vehicle and described it as stress-free, relaxing and comforting. The research found that success of the Prius is based on four pillars of customer satisfaction (as below).
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Toyota European Sustainability Report 2010 I Environmental Performance
Toyota European Sustainability Report 2010 I Environmental Performance
Sustainable National Marketing and Sales Companies (NMSCs)
360° environmental leadership approach
The National Marketing and Sales Companies are responsible for marketing and sales in the national markets across Europe. As such, they have a key role to play in advancing environmental activities among customers, retailers and in their own operations. A 360° approach has been developed which outlines the contribution sales and marketing makes to our vision of achieving environmental leadership. The approach focuses on four key areas : products and service, communication, retail environment and behaviour, and has led to the development of a range of environmental activities. Two examples of these activities are given below from Toyota Sweden and Toyota Motor Hungary.
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Toyota Sweden launches C O2 competition at its retailers
For the fifth consecutive year, Toyota retailers in Sweden have managed to reduce the average CO2 emissions from new car sales. The average carbon dioxide emissions for all new Toyota cars which were sold in Sweden during FY09 was 133.8 g CO2 / km exceeding the planned target of 138 g CO2 / km. An ambitious target has been set for FY10 to achieve 129.85 g CO2 / km. The “CO2 @ retailer scheme” was introduced in 2007 to reduce the total average CO2 emissions from the new cars that are sold. All retailers have individual targets that are adjusted to their respective markets. In the four years since the CO2 targets were introduced, the average CO2 emissions for new Toyota cars sold in Sweden have reduced by almost a fifth, from 163 g CO2 / km to 133.8 g CO2 / km in FY09. “ Our retailers have done fantastic work, better than we hoped for. It is all about helping customers reflect on questions such as ‘ Do I really need a big car ? ’ Through this dialogue, we can help meet customers’ needs while making positive changes for the environment, ” says Ulf Winberg, President of Toyota Sweden AB.
Average CO2 emissions of Toyota cars sold in Sweden
ing KPI Plann
180 170 160 150 140 130 120 FY
168 163.4 158 154.9 149.1 146.6 138 133.7
Unfortunately.Toyota Motor Hungary promotes hybrid technology Toyota Motor Hungary (TMH) participated in European Mobility Week (16th-22nd September 2009) with a number of activities in Budapest. We are now investigating how to reduce the volume of waste to landfill. water consumption and paper consumption in the reporting period.747 tonnes of CO2 was produced by NMSC facilities. To manage and control their environmental impacts. more than 100. However. the NMSCs have all either attained ISO14001 certification or are planning to attain it in the near future. Each NMSC is responsible for operating their office and training facilities. compared to 19% in FY08. the company took part in a conference on Green Mobility at Budapest University of Technology and Economics.0 g& Marketin National mpany Sales Co Input: mitted: of CO2 e Volume nnes 11. In total. TMH also displayed a Toyota Prius in the centre of Budapest that people could test drive. waste management.225 nergy: ewable e Total ren % kWh 33 ption: r consum Total Wate 57 m³ 101. In FY09 a total of 11.009 tonnes of CO2 in 2008. The aim of the events was to motivate the public to reduce their fuel consumption and to publicise Toyota’s hybrid technology and environmental philosophy. 22% 07 08 09 mption: rgy consu Total ene kWh 60. significant efforts have been made to increase the amount of energy used from renewable resources. The mayor of Budapest and local politicians took part in this event. Renewable energy use and landfill rate 60% 50% 40% 30% 20% 10% 0% FY 06 Landfill rate Renewable energy 5% 7% 19% 39% 37% 33% 56% Environmental performance at National Marketing and Sales Companies (NMSCs) NMSCs in Europe continued to steadily improve their performance in energy consumption. This was mainly due to the addition of energy data from the new facility in Russia. Information about Toyota’s environmental commitments and performance were distributed. As part of European Mobility Week.747 to ste me of wa s Total volu nne d: 2. an increase from 11. waste going to landfill increased due to the new facility opening in Russia.645 to generate Output: Toyota European Sustainability Report 2010 I Environmental Performance Special feature 49 . This has had an adverse impact on the NMSC’s total landfill rate. About 33% of all energy needs for NMSCs is now drawn from renewable sources.000 people were reached through these events. where current rates to landfill are high.
Our ultimate objective is for retailers to achieve zero emissions. France (see next page). new builds and major refurbishments. There are two parts to the audit. health and well being. Italy. Several other countries also have planned projects. 50 iler ble Reta Sustaina 2 1 ets New Outl & Full hments Refurbis Outlets Existing tailer Toyota re ntal nme enviro ent assessm EMS Certified 001) 14 (e. In FY10. Maribor Retailer Owner (Stajerski Avtodom) and Tadashi Arashima. Currently a number of markets have achieved complete certification to ISO14001 or an equivalent standard including Denmark. The programme applies to existing retailers. This can be done remotely based on historic energy bills. The targeted payback for any eventual investment is a maximum of three years. aims to ‘green’ all 3. pollution. If this analysis shows that energy usage is high.Toyota European Sustainability Report 2010 I Environmental Performance Sustainable retailers Environmental action at the point of sale Our Sustainable Retailer Programme. and Kosovo. Our Maribor Sustainable Retailer in Slovenia opened in December 2009. a specialist will visit the facility to understand how energy is used and recommend improvements. Slovenia. . can be worth more than € 8. (L-R) Katarina Manske.000 Toyota retailers in Europe.000 a year. Serbia. Firstly a specialist engineer analyses a retailer’s actual use of electricity and gas and benchmarks this against similar size facilities to determine whether the retailer can reduce its energy consumption. which was launched in 2008. The main objectives of the programme are to reduce CO2 emissions and energy consumption and to improve Toyota Motor Europe’s overall impact on the environment while reducing operating costs in all European retail facilities. water. Environmental Management System We have set a target for all retailers to have a certified Environmental Management System by 2015. Montenegro. land use and ecology. We have a flagship Sustainable Retailer in La Rochelle. The assessment is designed to encourage best practice in eco-friendly construction and design and has been developed by Toyota Motor Europe based on standards set by the UK’s Building Research Establishment Environmental Assessment Method (BREEAM). waste and materials. with more than 32% of Toyota Motor Europe retailers already achieving certification to ISO14001 or an equivalent standard. Adria(1). for a small retailer. additional Sustainable Retailers will open in (Salzburg) Austria and (Weil am Rhein and Freiburg) Germany. All Toyota retailers in Europe are expected to have participated in the audit by 2013. Environmental assessment for new retailers Each new retailer or major refurbishment will be subject to a Toyota Retailer Environmental Assessment on eight key areas : energy. Poland and Switzerland. former President and CEO of Toyota Motor Europe (1) This includes Bosnia and Herzegovina. management and transport.g ISO Energy kaizen audit Energy audits Existing retail outlets are subject to an energy kaizen (improvement) audit. Pilots in several markets have seen savings ranging from 10% to 25% which. A sustainable building is defined as one capable of being maintained at a steady level without causing ecological damage or exhausting natural resources. Croatia.
000 litre underground tank. La Rochelle Sustainable Retailer (1) Carbon neutral – according to the UK’s Department of Energy and Climate Change carbon neutrality guidance 30th September 2009. (2) BREEAM – Building Research Establishment Environmental Assessment Method. View of Opening Ceremony The retailer in La Rochelle demonstrates how a retailer can implement innovative environmental technologies and become ‘carbon neutral’(1). These measures are expected to provide significant environmental improvements such as: CO2 neutral with photovoltaic solar panels producing three times its own energy consumption. Further. a European assessment procedure for sustainable construction and building design. Consumes 50% less energy than a standard building (according to French building regulation RT2005). Also. Owner. A ‘green roof’ will provide a natural internal cooling system and serves as a wildlife habitat. Hiroshi Ito. The La Rochelle facility has been designed in line with environmental best practice. By using LED technology. Uses 67% less water compared to a similar type of building. this new project fits with the brand and Toyota’s approach to sustainable development across the vehicle lifecycle. I consider going in this direction as essential. Toyota European Sustainability Report 2010 I Environmental Performance Special feature 51 . Either way.000 m2 of solar panels have been installed producing three times the energy needed for the building. The car wash recycles 80% of the water used. This efficient ventilation approach reduces the building’s energy consumption. Is doing such a project complicated? Naturally it is more complicated than a ‘normal’ retailer building. The aim is to achieve an ‘excellent’ rating from an independent environmental assessment based on BREEAM(2).Sustainable Retailer La Rochelle Our flagship La Rochelle Sustainable Retailer demonstrates the business case for eco friendly design and construction. Q&A with Ronan Chabot. but we have engaged specialist consultants to help us make the best choices. the lighting is 40% more efficient than in a conventional showroom. The retailer was opened on the 17th June 2010 by Toyota Motor Europe President Didier Leroy. Chairman of Toyota France. Toys Motors Group Where did the idea come from? It fits with the development of our current retailer network. This is not a fashion statement but a real step by Toyota to reduce environmental impact. with a sound business case behind it. The other roofs capture and divert rainwater into a 150. the owner. The rainwater tank provides 70% of the site’s water requirements. A system of pipes (a Canadian well) which is two metres underground pre-heats the air in the winter and pre-cools the air in the summer. and Ronan Chabot. All road surfaces contain 20% of recycled aggregate. A wood pellet boiler is used to heat the paint booth. while 20% is topped up by rainwater. 2.
For example. hybrid technology works together with a whole range of current and advanced fuels. Lexus Hybrid Drive meets customers’ demands for lower CO2 emissions as well as their preference for performance. The aim is to have 100% of all Lexus’ sold in Europe equipped with Lexus Hybrid Drive by 2013. The launch of CT 200h will see this proportion increase to around 75%. it benefits from a 10% improvement in power output and a 23% reduction in CO2 emissions. The CT 200h will contribute to the acceleration of the mix of full hybrid technology within Lexus’ overall European sales. Lexus is building on its leading knowledge and experience with full hybrid technology to increase the proportion of cars sold with ‘Lexus Hybrid Drive’. the CT 200h will go on sale. Lexus. Its CO2 emission levels will be the lowest in the segment and particulate matter and nitrogen oxide emission levels will be significantly lower than diesel engines. The demand for improved environmental performance continues to increase. which provides a refined and rewarding drive with category-leading environmental results. Compared to the previous model. approximately 50% of all Lexus’ sold in Europe are equipped with Lexus Hybrid Drive. Lexus Hybrid Drive combines electric motors and a petrol engine into a sophisticated power source that reduces emissions. Toyota Motor Europe Andy Pfeiffenberger 52 Full hybrid technology Now in its second generation. Lexus Hybrid Drive uses a flexible platform. In particular. „ Andy Pfeiffenberger Vice-President. which can be further developed as new technology becomes more feasible. In addition.Toyota European Sustainability Report 2010 I Environmental Performance Lexus “ Lexus has pioneered key technologies that offer a premium driving experience with category leading environmental performance. reinforcing Lexus’ commitment to making full hybrid technology available to a wider section of the European customer base. The concept of full hybrid technology has substantial development potential compared with conventional powertrains. demonstrates the advances that are already being made. CT 200h RX 450h . The new RX 450h. In 2010. Currently. boosts fuel economy and offers refined performance. the first vehicle to use second-generation Lexus Hybrid Drive. The CT 200h will have category leading environmental performance. from advanced biofuels to hydrogen.
RX 400h and RX 450h system output and combined CO 2 versus competitors V8 average Lifecycle impact Lexus looks at the whole lifecycle of a car to help measure its overall environmental impact in terms of materials. Lexus is pioneering the use of materials with high recoverability.4 -4% 0. improving performance and efficiency across the power band. a member of the hibiscus family. which raises the efficiency of the combustion process meaning less fuel is used and D-4S.10 0. bumpers are recycled to make trim for the luggage compartment and shredded sound proofing material is used for the silencer behind the dashboard.6 0.25 0. Car door trims are now made with the stem of kenaf.35 NOx (g/km) Engine technology 100 CO 2 and NO x Lexus RX 450h versus competitors -16% -3% -16% 1 Both petrol and diesel fuels will continue to be the dominant sources of internal combustion engines in the immediate term. and so Lexus is making major efforts to reduce the environmental impact of powertrains using these fuels. Lexus has developed technologies like Electronic Variable Valve Timing with Intelligence. By re-examining the whole structure of the internal combustion engine.30 0. which features both direct and port injection. and uses material that does not deplete forests. emissions and end-of-life vehicles. and researching and utilising parts that are easy to reuse at the end of their life.15 0.8 0. 270 250 Combined CO2 (g/km) Petrol Diesel 6-cylinder average 4-cylinder average Petrol Diesel Petrol RX 400h Diesel -23% RX 450h +10% 230 210 190 170 150 130 100 140 180 220 260 300 Output (kW) CO 2 and NO x Lexus RX 450h versus competitors 320 300 280 Combined CO2 (g/km) V8 6-cylinder Petrol average V8 260 240 220 200 180 160 140 0 6-cylinder Diesel average RX 450h 0.2 0 NOx B NMHC Recycling A B A PM B A Driving/Maintenance A B SOx B RX 400h RX 450h Vehicle/Parts Production Toyota European Sustainability Report 2010 I Environmental Performance 53 . For example. has better sound-proofing. rather than the woodchips previously used. 80 60 40 20 0 CO2 Material Production A B A -5% 0.20 0. Kenaf absorbs between two and five times as much CO2 as other plants and is mixed with old waste bumpers from car repair shops to make door trim that is lighter.05 0.
After Sales contributes to Toyota’s environmental leadership by maintaining the car’s performance throughout its lifecycle while minimising environmental impact by. Remanufactured parts By reusing components and thereby reducing the demand for raw materials. 0w-20 Engine Oil In FY09 we made our 0w-20 engine oil widely available on the market. . more than 1. As part of this programme. we utilise reusable protection covers for Toyota and Lexus vehicles. Sales and Marketing. Customer Service. Modules in the programme include sales.700 retailers have been certified to the first level in the TSM programme. Out of a total of 3. so there are no metals to recover at the end of the product’s lifecycle. We are expanding our range of remanufactured products and in FY09 the volume of remanufactured parts increased by 10%. Toyota Motor Europe „ Bas Kasteel Toyota Customer Service Management Our Toyota Customer Service Management (TSM) programme provides retailers and repairers with training and encourages them to pursue a culture of continuous improvement. We recorded a core return rate of 90% and managed a lead time from the retailer to the supplier of less than a month. retailers must comply with environmental standards. “ Bas Kasteel Director. we are also saving the energy needed to convert those raw materials into finished products. There is an auditing process to ensure continued compliance to the standards over time. Despite the global economic downturn. The oil. The remainder have started the certification process.000 retailers. We are in the process of enhancing the programme by introducing elements such as “Fix it Right” which aims to ensure that customers’ cars are repaired satisfactorily the first time. Use of reusable and recyclable materials To avoid waste in workshops.After Sales Our After Sales business is made up of Authorised Retailers and Repairers who are the primary contact point for customers for parts and accessories. No magnets or lead weights are used in the reusable wing and front covers. increases the fuel economy performance versus traditional higher viscosity oils by reducing friction while maintaining the necessary lubrication in the engine. our After Sales business remained robust with parts sales showing an all-time sales record and accessories sales on target. maintenance and repairs. marketing and operations management. using remanufactured parts. and steering wheels and handbrakes are made from recyclable plastic. which is made from a fully-synthetic formula. for example. environmental management. parts and service. Our disposable floor mats are made from 100% recycled paper.
This provides a transparent and clear definition of the recycling and the recovery quotas. certified dismantling facilities • Different methodologies used to comply with the targets (a working group with representatives from the car industry has been established to prepare common guidelines). Non-authorised facilities increase the risk of not achieving set quotas. 4. Willy Tomboy „ Members of the European Automotive Manufacturers’ Association (ACEA) have identified some action points to improve the results of the ELV Directive : 1. Environmental Affairs.Use of existing infrastructure. If it is prohibited to dispose of more than 5% in landfill there will be more pressure to build up recycling and recovery infrastructure and to increase the performance of the whole recycling chain. and are detrimental to the authorised ELV treatment business. There should be no constraint for acceptance of applications with regard to the definition of recycling throughout EU member states. Toyota European Sustainability Report 2010 I Environmental Performance 55 . This will help direct shredder and post-shredder material streams into recycling and energy recovery routes.Harmonise and establish quota calculation systems. such as post-shredder technologies and energy recovery options. Toyota Motor Europe Earlier this year. tyres and non-metallic reuse. National recycling definitions must follow the definition given by the waste framework directive. Establish quota calculation systems using the expertise of the car industry who can share the experience they have gained over the past decades. Where fund or deposit systems are legally required. The implementation of this Directive by the member states has not always been smooth due to : • The involvement of different government bodies • Problems in making economic operators liable • The insufficient number of qualified.End-of-Life Vehicles and Sustainable Recycling “ Willy Tomboy Director. Select the most professional and efficient operators for ELV collection and treatment. financial resources must be directed to the most efficient recycling infrastructure. 3. Member states have to fight against fraud.Harmonise legislation. Authorised facilities have stringent environmental standards and are managed by national Environmental Protection Agencies. and not used for other purposes. 2. Both activities have negative environmental impact. Our industry is increasingly concerned about the apparent rise in illegal ELV treatment and illegal ELV export.Enforce landfill ban. 5. Use the fixed assumption approach proposed by ACEA in all member states for parts of ELVs which are constant like metals. the Environmental Committee of the European Parliament met with the European Commission to discuss the implementation status of the EU Directive 2000/53/EC on end-of-life vehicles (ELV).Put pressure on non-authorised facilities. This creates market distortion. oils and other fluids.
enhancing a culture of health and safety and strengthening Toyota’s good corporate citizenship performance. We also focused on achieving our aim to be the number one company for complete customer satisfaction.Social Performance “ Our focus is on maintaining stable employment and employee morale. „ Didier Leroy .
All employees in the Toyota network are trained in programmes to ensure a focus on “ Customer First ”.Toyota: a Good Corporate Citizen Didier Leroy President and Chairman of CSR Committee. Our stakeholder engagement includes : 1. Various programmes are in place to ensure that our supply partners are fully integrated into our business and enjoy open two-way communication. social and business performance (see pages 60-61).Employee engagement Employees are one of our most important stakeholder groups. we carry out regular satisfaction surveys at all European affiliates to identify areas for improvement in the management of human resources (see pages 71 to 72). in which stakeholders rate Toyota’s environmental. Toyota European Sustainability Report 2010 I Social Performance 57 .Customer engagement We seek to establish strong relationships with customers during and after the sale of a vehicle. through a yearly European Key Stakeholder Survey. This is reflected in our initiatives and partnerships with non-profit organisations and other stakeholders at the local level (see pages 78 to 81). 2. Toyota Motor Europe Managing Officer. from both a service and quality perspective. To encourage dialogue. Toyota Motor Corporation Transparency and cooperation with stakeholders We aim to build long-lasting.Business partner engagement We support our suppliers by providing training and shopfloor improvement clinics where we can share best practice. “ Environmental Leadership ” and “ Good Corporate Citizenship” (see pages 63 to 64). co-operative relationships with our stakeholders. (see pages 75 to 77).Engaging with the community We aim to build long-term relationships with the community. and areas for improvement in our stakeholder relations. 3. 4. We measure our success.
Managing our CSR performance Toyota European Sustainability Report 2010 I Social Performance The management of Corporate Social Responsibility (CSR) at Toyota Motor Europe is underpinned by a process which emphasises continuous improvement (kaizen) in our CSR performance. External Image t men Enhance Social tions contribu Good Corporate Citizen partner Attractive s partners es Future busin ployees Future em 58 ing player To be Lead Europe in greater or y contribut s To be a Ke yota succes to global To Customer Delight Environmental Leadership Good Corporate Citizen 20 Vision 20 Affinity Customer ent enhancem Self reliance with focus on core models lder Stakeho tion nica Commu AWARENES S E KNOWLEDG LIKING ental . The assessment is undertaken among all National Marketing and Sales Companies and majority owned European Manufacturing Companies. Our CSR process is based on internal (CSR Assessment) and external performance measurements (European Key Stakeholder Survey). Media NG s le Busines Favourab ment Environ rities. rowth Mid-term G Europe ctivities in yota CSR A To SR Internal C ancement nh rmance E Perfo ts mmitmen Toyota co CSR Policy CSR Policy Contribution towards Sustainable Development Toyota al autho bodies. loc Regulatory Os. Stakeholde rs Commitmen ts Customers • Innovation fety • Product Sa • Quality er First • Custom t an • Respecdevelopment • People y and no discrimination • Equalit & safety • Health r our busin d employee n satisfactio Employees Business Pa rtners t fo • Respecgrowth • Mutual g long-term relationships in • Build ocurement • Fair pr e co • Enhancolders benefits • Shareh stable growth Ensure • • Disclosure rporate va lue s ess partner KPI Shareholde rs t Environmen Community y • Harmonndly network pr otion • Eco-frie ental technologyps om • Environm ental partnershi nm • Enviroiance • Compl hrophy & • Philant ution to Society contrib vironmen with the en t . The tool is based on Toyota’s Global CSR Policy. These measurements provide opportunities for improvements which contribute to mid and long-term growth. The diagram on the right shows how the commitments made in our CSR Policy are linked to our key performance indicators. environm Economic l performance and socia essment CSR Assrnal) (inte l) (externa BRAND POWER EKSS Connect to a s in consumer ient and more effic way effective AT CONSIDER ION CE TATION T PRODUC POWER PREFEREN PRESEN MARKET RE RVICE RETAIL & SE CAPACITY TRADE-IN AVAILABILIT BUY (OR RE-BUY) Y SELLING POWER ip Ownersh ce Experien ility to Improve ab erers nsid convert co s to sale Measuring CSR performance – Internal stakeholders CSR Assessment definition and process The CSR Assessment is an internally developed tool which enables us to identify performance improvement opportunities.
Special attention will also be given on a European level to strengthen the risk management processes.8 6. 3. enhance a culture of health and safety and strengthen Toyota’s European good corporate citizenship performance) the CSR Assessment FY09 shows : On a standardised scale of ten. Especially in our European Manufacturing Companies. results are shown below for 2007-2009 by company type.2 5. (1) CCI = Corporate Citizenship Index.6 8. In addition we will focus on helping increase retailers’ involvement in environmental and social contribution activities.9 8. the NMSCs and the retailer network have shown exceptional dedication to serving our customers and maintaining customer trust and loyalty. This shows that the measures we undertook to maintain stable employment and employee motivation (see pages 67-74) were well received by the employees.Strengthening good corporate citizenship performance Overall corporate citizenship performance is measured by the Corporate Citizenship Index (CCI). 4.8 6.Be number one in Complete Customer Satisfaction Our NMSCs have improved their position across Europe and score well on customer satisfaction in sales and after sales.8 7.CSR Assessment results Specifically in relation to our priorities for FY09 (be number one in Complete Customer Satisfaction. the score steadily increases over the years. As shown in the graphs.7 6.0 7. health and safety is a fundamental element in the yearly planning cycles and in continuous improvement projects.Enhance a culture of health and safety This examines employees’ perception and operational health and safety indicators. maintain employee morale and motivation. Based on the CSR Assessment the following areas for improvement activities in FY10 were identified.7 7.Maintain employee morale and motivation Scores for ‘respect and employee satisfaction’ are up both in EMCs and NMSCs.3 7.6 CCI FY07 FY08 (1) FY09 Respect & Employee Satisfaction Health & Safety For the manufacturing plants (EMCs) : European projects will be introduced to strengthen risk management. Toyota European Sustainability Report 2010 I Social Performance 59 .7 8.5 6.4 8.2 9. due to the sharing of best practice in our companies and a growing awareness of CSR.9 9.3 CCI(1) FY07 FY08 Customer First FY09 Respect & Employee Satisfaction Health & Safety European Manufacturing Companies (EMCs) 10 9 8 7 6 5 4 3 2 1 0 9. The average score for health and safety has improved significantly due to focused activities in several plants and continued employee awareness of the health and safety systems in place. to create awareness on CSR and Environment in the local supplier base and to follow up on any Code of Conduct cases. 1.5 6.4 8.5 7.1 7. For the sales and marketing companies (NMSCs) : Due to the large spread of individual company scores. In the recent recall campaigns. both on a pan-European and on a local level : National Marketing and Sales Companies (NMSCs) 10 9 8 7 6 5 4 3 2 1 0 9. support will be given to the countries with the lower scores. 2.
0 1. both the highest and the lowest score compared to the average score (all OEMs including Toyota) and Toyota’s performance versus the average are visualised. These three pillars are further broken down into drivers and specific attributes (as illustrated in the graphs below).Measuring CSR performance – external stakeholders Toyota European Sustainability Report 2010 I Social Performance We measure the perceptions of our external stakeholders through our European Key Stakeholder Survey. social and economic performance. In the survey. 1 Environment ntal Environme tion Inspira ntal Environme ce Performan 60 Economic n Contributio 2 Society Social n Contributio le Responsib loyer Emp Innovation 3 Business Integrity Business ce Performan Overall CC score compared to competitors in industry 2. which are represented as the 0. external stakeholders from 11 European countries rate our environmental. which results in an overall corporate citizenship score.0 -1. The global economic crisis seems to have affected overall corporate citizenship (CC) scores for the car industry with both the absolute score of the industry average and Toyota showing a slight decrease. In other words.5 -1.5 1. The graphs show the deviation from the Corporate mean scores (average score of all OEMs Citizenship including Toyota).0 0.5 0.0 axis on the graphs.5 Environment Society Business Corporate citizenship 09 07 08 09 FY 07 Toyota 08 09 07 08 09 07 08 Worst scores Best scores . The survey compares our performance against other companies in our industry. Results of the 2009 survey show that Toyota remains the leader in corporate citizenship achieving the highest overall corporate citizenship score in the industry.0 -0.
0 0.5 0..0 -1.0 -1.0 0.5 1. Europe Countries Is committed to reduction road accidents Works in partnership Builds with and supports local relationships with organizations gov.0 0. Rating for Toyota on ‘Social Performance’– deviation from industry average Social Indicators 1.5 -1. integrity and quality are part of the Toyota Way and as such.5 Question Its activities has led to environmental issues moving up society’s agenda Is committed to help tackling climate change Is a leader in developing environmentally-friendly vehicles Is reducing the environmental impact of its car from manufacture to disposal Is committed to reduction the environmental impact of its vehicles across its full range of models Is a leader in hybrid technology FY 07 08 Toyota 09 07 08 09 Best scores 07 08 09 07 08 09 07 08 09 08 09 Worst scores Toyota remains the leader in environmental performance and has improved its score in four of six attributes.5 0.5 Produces high quality products Puts customers ﬁrst 07 08 Best scores Acts with integrity 09 07 08 09 Is a company you can trust 07 08 09 Makes cars which are amongst the safest on the road 07 08 09 FY 07 Toyota 08 09 Worst scores The score for Toyota’s business performance has increased.5 Important contribution to Creates employment in the economies of Europ. It is our priority to address these attributes and overall improve our performance as a result.0 2.0 -0.5 2.CSR Assessment results Rating for Toyota on ‘Environmental Performance’– deviation from industry average Environmental Indicators 3.5 -1. The values of the business performance : safety.0 1.0 -0. Toyota European Sustainability Report 2010 I Social Performance 61 .0 -0.5 0.5 1. This is due to the leading environmental technologies applied to both its vehicles and operational processes. NGOs and other Offers employees excellent learning and development opportunities Treats employees & jobs applicants equally Has good labour relations Offers secure employment FY 07 08 Toyota 09 07 08 09 07 08 09 07 08 09 08 09 07 08 09 07 08 09 07 08 09 07 08 09 Worst scores Best scores In general the perception of Toyota’s social performance has remained stable. form the foundations of the company.5 1.5 -1.0 -1. However the company is performing below aver- age on two of the nine attributes. Rating for Toyota on ‘Business Performance’– deviation from industry average Business Indicators 1.
it takes time to get the information in a recall of this size. with the internet it is very easy to gather material from across the globe to compare and contrast what is being said. and we needed to be sure of the facts. The media will then interpret those facts and any other information that they have to produce their articles. which were ten times more visits than normal. This was all the more important as we established new processes. in each case explaining the latest developments. These days. Our primary obligation is to the customer and this meant that we had to give the correct information to the media to ensure the customers were well informed. this took longer than we would have liked. The External Affairs team also spent many hours directly engaging with our stakeholders. Media sentiment had quickly changed to being negative. 62 Colin Hensley General Manager. they are able to get information from other sources as well. but also with the authorities when necessary.com and on many of the National Marketing and Sales Companies websites. Special web pages were developed on toyotaeurope.Toyota European Sustainability Report 2010 I Social Performance Special feature How did Toyota handle the recall campaign ? “ Here in the Corporate Communications division. Toyota European websites News section = visits and share '000s of visits % of all visits 50 40 30 20 10 0 10 010 010 010 010 010 010 010 010 010 010 010 010 010 010 010 010 010 010 /2 /2 /2 /2 /2 /2 /2 /2 /2 /2 /2 /2 /2 /2 /2 /2 /2 /2 /20 /01 4/01 6/01 8/01 0/01 1/02 3/02 5/02 7/02 9/02 1/02 3/02 5/02 7/02 9/02 1/02 3/02 5/02 7/02 1 2 2 2 2 3 0 0 1 1 2 0 0 0 1 1 2 2 22 25% 20% 15% 10% 5% 0 Visits % of site Visits . Corporate Affairs and Planning. Consequently. Of course. we maximised the use of online tools to communicate. there are two things that we need to do when a recall happens: first. Toyota Motor Europe „ Colin Hensley In Europe. It became clear from the start of the accelerator pedal recall that the speed of change of coverage of the issues and of the public opinion on those issues was way beyond what we had previously experienced. to ensure customer satisfaction. In an effort to minimise that uncertainty. we were determined to have the right information on which cars were going to be recalled. You can read more about these on pages 63-64. explain them to the media. However. This was in parallel to the letters that were issued to all of the affected owners. Traffic to the news section of the Toyota European websites peaked at approximately 40. get the facts and second. primarily the media. allowing customers to instantly check if their car was affected. The accelerator pedal which was potentially showing some ‘stickiness’ was used in a wide variety of models. We were handling about 20 enquiries from journalists every day. in order to build their story. and left the customers with some uncomfortable uncertainty. An online vehicle identification number checker was developed. so direct discussion and explanation was essential for us to get the facts across.000 per day at the beginning of February 2010.
we conduct an annual benchmarking survey which asks customers to rate their experience from completely satisfied to completely dissatisfied. and overall satisfaction levels for these groups. Experience & Satisfaction Team : Nancy Mboga. Ilaria Todesco and Leila Kerroudj.Sales 20 15 10 5 0 FY 06 07 08 09 12/26 12/19 13/20 14/20 Toyota CCS#1 position in European countries . Sofia Ovlinger Ann Cleynhens. Our ‘Customer First’ philosophy guides our interactions with our customers. Tom Abrahams. By focusing on the total customer experience. we also contacted thousands of customers directly. from the time of purchase and throughout ownership. To track our progress.Engaging with customers (L-R) Customer Relations.After Sales 30 25 Number of countries Number of countries 20 15 10 5 0 FY 06 17/29 24/29 19/29 21/29 07 08 09 Product recalls In early 2010. we seek to build a long-term relationship with customers. Toyota globally implemented a major recall for several of its models. Feedback from customers suggested that the company handled the recalls in a satisfactory way. To better understand the impact of the recalls on our customers and their concerns. Diane Ramirez. Complete Customer Satisfaction (CCS) To build customer loyalty we have set a strategic objective of achieving Complete Customer Satisfaction (CCS) by delivering products and services of superior quality. Toyota CCS#1 position in European countries . The graphs below show our CCS position in European countries for both sales and after sales. We are fortunate to have a strong network of retailers around Europe who helped us get information about the recall to our customers. Toyota European Sustainability Report 2010 I Social Performance 63 . for the first time in its history.
10/02 Sun. Most of our markets in Europe experienced customer recall volumes that were about ten times higher than their normal levels. Toyota Great Britain and Toyota France brought in extra staff and extended working hours.000 3.000 1.696 5. Trend of Customer Calls .. largely due to the recall of some of our models. 18/03 . 29/01 Russia Germany Tue.000 2. all markets responded immediately to ensure adequate resources were available to look after each customer. Nature of Customer Contacts Not involved in the recall but experienced a similar problem 2% Experienced the same problem in the past 3% Wants to know details of recall 23% 64 Whether or not my vehicle is involved 72% The recall situation has provided us with an opportunity to learn and improve. Calls 14. 10/03 Sun. Italy and France. In Toyota Motor Italia. In keeping with the current nature of global issues. the media was a key factor in determining how events unfolded. 02/02 Sat. almost 14. 06/03 Wed. 26/02 Tue. on the day a major UK newspaper published the Toyota recall issue on their front page. For example.Pedals Answered Cust. 06/02 Great Britain Italy Wed. and our focus for FY10 is to reaffirm our commitment to customer satisfaction.000 …….the UK. each department allocated staff from their team to respond to customer concerns.000 customers called Toyota Great Britain. 14/02 Spain France Thu. This increased activity lasted for about two months and particularly affected our major markets . 18/02 Mon.000 0 Fri. 02/03 Sat. 22/02 Fri. 14/03 Thu. customer relations and the overall customer experience. In line with our commitment to put our customers first. 13.000 4.The role of the Customer Relation Team Toyota European Sustainability Report 2010 I Social Performance The beginning of 2010 was an exceptional period for our customer relations team.
Safety 360° approach to safety As a major vehicle manufacturer. by identifying future potential protection of users in the pre-collision phase. bringing the total number of countries visited since the beginning of the programme to 23.etsc. In FY09 Toyota vehicles achieved the top score for four out of the five cars tested. Germany and Spain. Safety research We are one of 15 public and private partners of the EU cofunded project ASSESS. eSafetyAware! initiative We are also a founding member of eSafetyAware!. Toyota Motor Europe and our affiliates participated in three PIN debates in Italy. Currently. which commenced in July 2009 and aims to develop a set of test and assessment methods for active safety. we seek to reduce traffic accidents. Project deliverables should form the basis for future rating procedures for these systems and provide policy recommendations for their implementation. Toyota and Lexus has vehicles that are among the best overall performers in safety across the full range of Euro NCAP tests. Through the partnership we are also examining ergonomics. We have supported the Road Safety Performance Index (PIN) programme.eu Safety at Toyota Motor Europe : www. an EC funded programme that organises events to demonstrate how advanced vehicle technologies can help save lives. The speed is then reduced which lowers the likelihood of injury in the event of a collision.eu/PIN. by making vehicles safer to drive.esafetychallenge. Toyota European Sustainability Report 2010 I Social Performance 65 Further information on these programs can be found at : PIN programme : www. Findings from the PIN programme on issues such as speeding. run by the European Transport Safety Council.eu ASSESS program : www.eu/safety New Euro NCAP ratings for Toyota vehicles nEw rating SchEmE Toyota Verso Toyota Urban Cruiser Toyota Prius Toyota Avensis Toyota iQ year overall rating ★★★★★ ★★★ ★★★★★ ★★★★★ ★★★★★ adult child pedestrian Safety assist 86% 86% 86% 86% 86% 2010 2009 2009 2009 2009 89% 58% 88% 90% 91% 75% 71% 82% 86% 71% 69% 53% 68% 53% 54% . we took part in the eSafety Challenge in Italy and demonstrated the life-saving potential of the Pre-Crash Safety System in the new Prius. In FY09. since 2006. PIN encourages EU member states to improve road safety and identifies key road safety performance indicators. We are also collaborating with the French National Institute for Transport and Safety Research (INRETS) on the passive safety of vulnerable occupants (elderly people) and rear seat occupants. We also need to take an integrated approach to road safety by working in partnership with our stakeholders.php eSafetyAware ! program : www. drinking and driving and child safety. injuries and fatalities. Supporting road safety initiatives We have a responsibility to raise public awareness about road safety. the European Commission and motoring and consumer organisations in every country in Europe. may help determine targets set in the EC’s European Road Safety Action Programme 2011-2020. The technology aims to warn the driver about a potential collision.assess-project. In September 2009. European New Car Assessment Programme (Euro NCAP) safety tests Euro NCAP is an independent safety assessment programme backed by seven European governments.toyota. such as pre-collision systems.
we launched eco-driving workshops at showrooms.V. It also held an Eco Roadshow. In FY08. looking ahead and anticipating the traffic flow. such as giving customers ecodriving tips at showrooms or demonstrating ecodriving techniques during test drives. drivers can improve fuel economy by around 3%. which are stationed at 15 of ADAC’s safety driving centres and used to train people in eco-driving techniques. keeping car windows closed and using the ventilation system. Eco-driving practices include shifting earlier into a higher gear. By having the correct tyre pressure. hosted nine workshops at its showroom and an eco-driving tour in various municipalities in the local region. for example. 55% of our retailer network implemented eco-driving activities. Valkema B. We piloted the workshops with retailers in the Netherlands. The company has donated 50 Avensis cars. The programme was well received by the local community. participants learn new driving techniques on Toyota simulators that recreate the driving experience and test how far drivers can travel on 0.. with non-profit organisation Global Action Plan International.Toyota European Sustainability Report 2010 I Social Performance Special feature Eco-Driving By making simple changes to everyday driving behaviours. ADAC. For example. Under the guidance of trained supervisors. Toyota Danmark rolled out an extensive eco-driving test drive programme to its entire retailer network. Savings can be achieved through proper vehicle maintenance and planning journeys ahead of time.1 litres of fuel. Denmark: In the run-up to the Copenhagen summit. motorists can reduce their fuel consumption. Eco-driving activities are also undertaken in other countries such as : Germany: Toyota Deutschland launched a countrywide Eco-Driving programme with the national motoring organisation. Norway and Belgium. 66 Customers attending a dealer Eco-Driving workshop . This is the message that our retailers are promoting to customers to raise awareness of eco-driving. one of our retailers in the Netherlands. This year.
while challenging.464 people National Marketing and Sales Companies (NMSC) – 1.987 0 FY07 TMUK TMMF TMMT TMMP FY08 TMIP TPCA FY09 TPCE and Head Office Headcount 3.377 3.023 343 268 Also includes temporary employment European Manufacturing Companies TMUK = Toyota Motor Manufacturing UK (Burnaston+Deeside) TMMF = Toyota Motor Manufacturing France TMMT = Toyota Motor Manufacturing Turkey TMIP = Toyota Motor Industries Poland TMMP = Toyota Motor Manufacturing Poland TPCA = Toyota Peugeot Citroën Automobile (Czech Republic). Toyota European Sustainability Report 2010 I Social Performance 67 .000 15.040 2.000 10.344 4.Engaging with employees Seiji Abe Vice-President Human Resources. FY08 Permanent TPCE Temporary TPCE FY09 Permanent Head Office Temporary Head Office Note : The employment data reflects the situation on 31st March at each financial year.959 3.055 2.965 3.919 people Headcount at EMC 20.860 3. was an opportunity for us to demonstrate our commitment to our people to maintain stable employment and improve mutual trust and understanding.167 149 645 2.000 500 0 169 672 2. our European distribution centre (Toyota Parts Centre Europe).600 1.023 people Toyota Parts Centre Europe (TPCE) – 645 people European Manufacturing Companies (EMC) – 15.904 3.108 3. This strategy is built on a solid foundation of thorough communication and the long-term development of our people.008 2.500 2.000 2. our European Manufacturing Companies and in our majority-owned National Marketing and Sales Companies.051 people in our Head Office (Evere and Zaventem). Toyota Motor Europe (Head Office) – 2. Toyota Motor Europe The global economic crisis.602 714 2. “ „ Seiji Abe Workforce statistics We make a significant contribution to local economies by directly employing 20.000 5.500 1.000 5.347 3.000 1.547 3.578 890 2.
European Manufacturing EmployEES by gEnDEr Head Office Toyota Parts Centre Europe European Manufacturing Companies National Marketing and Sales Companies Total Companies and our majority-owned National Marketing and Sales Companies. age and by length of service The tables below show our permanent employees at Head Office.375 (9%) 658 (34%) 2.841 (49%) 35-44 (%) 758 (37%) 220 (34%) 5.051 EmployEES by agE Head Office Toyota Parts Centre Europe European Manufacturing Companies National Marketing and Sales Companies Total < 25 (%) 9 (<1%) 37 (6%) 906 (6%) 15 (1%) 967 (5%) 25-34 (%) 951 (47%) 271 (42%) 8.Toyota European Sustainability Report 2010 I Social Performance National Marketing and Sales Companies TGB = United Kingdom TFR = France TES = Spain TMI = Italy TDG = Germany+TIS = Toyota Information Systems TMP = Poland TMH = Hungary TDK = Denmark TSW = Sweden TFO = Finland TNOR = Norway TNRD = Nordic Headcount NMSCs 2. female (%) 617 (30%) 217 (34%) 1773 (11%) 583 (30%) 3.919 20.190 (16%) male (%) 1.406 (70%) 428 (66%) 13. Toyota Parts Centre Europe.694 (33%) 45-59 (%) 292 (14%) 117 (18%) 1.002 (32%) 714 (37%) 6.000 500 0 88 418 82 84 109 425 282 169 200 371 60 5 4 88 320 82 83 112 427 299 182 194 361 62 86 221 79 80 111 402 269 177 186 343 4 61 FY07 TGB TFR TES TMI TDG TMP FY08 TMH TDK FY09 TSW TFO TNOR TNRD 68 Also includes temporary employment Employees by gender.023 645 15.023 645 15.464 1.242 (12%) >60 (%) 13 (1%) 0 (0%) 26 (<1%) 68 (4%) 107 (1%) total 2.919 20.861 (84%) total 2.500 1.000 1.691 (89%) 1.500 2.336 (70%) 16.155 (53%) 464 (24%) 9.464 1.051 .
298 (28%) 335 (17%) 4. In FY09.029 (45%) 395 (21%) 7. TMUK and TMIP introduced voluntary separation programmes and about 400 employees opted for such release schemes.633 (27%) 7. Where applicable.383 Maintaining stable employment We make every effort to ensure stable employment and job security for our employees. Almost all manufacturing companies introduced work-sharing features in FY09.668 EmployEES by lEngth of SErvicE (1) European Manufacturing Companies National Marketing and Sales Companies Total <1 year (%) 1.014 (13%) 281 (15%) 2.148 (7%) 572 (30%) 1.919 17.023 645 2. These measures include temporarily re-allocating work to other parts of the business in Europe.219 (7%) 1. compared to EMCs and NMSCs. Toyota Motor Manufacturing UK (TMUK) employees voluntarily took the opportunity to work for Toyota Parts Centre Europe in Belgium. For example : Several team members voluntarily moved from Toyota Motor Industries Poland (TMIP) to Toyota Peugeot Citroën Automobile (TPCA) in the Czech Republic and Toyota Motor Manufacturing Poland (TMMP). the company negotiated to introduce voluntary separation programmes to make structural adjustments to the operations. Responding to changing environments and market requirements can mean evaluating job functions and workforce totals.EmployEES by lEngth of SErvicE (1) Head Office Toyota Parts Centre Europe Total <1 year (%) 20 (1%) 0 (0%) 20 (1%) 1-4 years (%) 923 (46%) 234 (36%) 1. Toyota European Sustainability Report 2010 I Social Performance 69 .<3 years (%) 3-5 years (%) 6-10 years (%) 11-15 years (%) >15 years (%) total 74 (<1%) 18 (1%) 91 (1%) 2.464 1. Some of our companies also introduced work-sharing.424 (43%) 901 (6%) 318 (17%) 1. The global economic crisis and the decrease in demand for vehicles meant that during FY09 we needed to implement measures to minimise the loss of employee income.157 (43%) 5-9 years (%) 631 (31%) 225 (35%) 856 (32%) 10-14 years (%) >15 years (%) 261 (13%) 118 (18%) 379 (14%) 188 (9%) 68 (11%) 256 (10%) total 2. such conditions were discussed and agreed with local trade union representatives : TMUK and Toyota Motor Manufacturing Turkey (TMMT) introduced work-sharing in their operations to cover nonproduction days and reduce labour costs.720 (10%) 15. (1) We calculate length of service using different categories for Head Office and TPCE. shifting from manufacturing activity to After Sales operations. In certain cases. where decreases of sales volume were significant and long term.295 (13%) 4.
70 70 4% 2% 0% FY07 FY08 FY09 Employee communication In all the European countries in which we operate. Under the severe business conditions caused by the economic downturn. re-engineered their company operations based on a benchmarking study that examined Toyota Motor Europe. Belgium). such as limiting the number of overtime hours.70% in FY08. These figures are for our Head Office (Evere and Zaventem. Employee Turnover 10% 8% 6% 4. With improved market conditions towards the end of FY09. Toyota Motor Europe has established collective bargaining agreements covering all employees at a specified location. Other NMSCs introduced voluntary unpaid holidays and implemented organisational changes to enable better flexibility to ensure long-term prosperity and employee stability. other National Marketing and Sales Companies (NMSCs) and other automotive distributors.00 7. surrounding environment and business challenges. work-sharing was stopped in most offices and manufacturing plants prepared for a gradual return to stable working conditions. We do not currently report turnover for our other operations but plan to do so in the mid-term future. To make the required structural changes for the long-term recovery of the organisation. For example. some of these measures were scaled back. In FY09 our turnover rate was 4. working with their works council. Where required.00%. some of the measures were retained. it was essential for us to provide open and timely communications to our employees on critical business issues and company decisions HR Communication Channels Company ement) (Top manag Supervisors d Unions an Employee atives Represent Employees /Union . we adhere to European and national legislation and we have established employee representative bodies to inform and communicate within the framework of social dialogue.Toyota European Sustainability Report 2010 I Social Performance Other measures included : Our Head Office in Brussels introduced 16 unpaid days in FY09. compared to 7.40 7. Toyota Deutschland (TDG). European and national consultations have helped to create and maintain awareness and motivated two-way communication concerning the company’s business position.
One of the ways we share information with our employees is through the Toyota European Works Council, which is also called the Toyota European Forum (TEF). The Forum consists of representatives from each country in Europe that Toyota has operations in and includes representatives from National Marketing and Sales Companies (NMSCs), European Manufacturing Companies (EMCs), the Head Office and senior management. Through TEF, employees receive regular updates on various business issues for Toyota’s global and European operations. In FY09, much of the discussion was related to the global economic downturn and the impact on employees. TEF usually meets twice a year, but due to these concerns, additional meetings were arranged. At the December 2009 meeting, a new TEF agreement was signed between management and employees representatives (in line with the new European Works Council directive, despite no legal necessity to do so). The agreement expands TEF priorities, including information and consultation by management with TEF representatives when significant changes are being considered that impact our employees. 300K Communication To strengthen communications, Toyota has globally launched the “ 300K communication activity. ” The name of the initiative comes from the 300,000 employees that Toyota employs
globally. The purpose of the initiative is to ensure all Toyota employees around the world are provided with up-to-date information about business operations. Communication packs are prepared and sent to divisions, sales and marketing affiliates and manufacturing companies. Communication sessions are held by local management with employees to share information and employees can request additional information and give feedback at these sessions.
Two-way Communication - Employees Feedback
Global & European business situation 12%
Current issues / hot topics 34%
Vision / Mission of Toyota in Europe 18%
Terms & conditions / stable employment 31%
We have continued to introduce measures to ensure employees have a work-life balance. By identifying priorities in our day-to-day operations and optimising processes, we are helping employees manage their workloads during a time when there are measures in place for no recruitment or overtime. Among other activities, in our Head Office in Brussels, reducing overtime hours has enabled employees to better manage the ratio between the time spent at work and at home (work/life balance). Based on local laws and regulations, employees in our affiliates were provided with the opportunity to take advantage of flexible work arrangements, sabbaticals and part-time work.
Current utilisation of Time Credit Promotion in Head Office per main functions
Manufacturing support 19% Sales - Marketing 43%
5,5% 97 employees
Note : Collective Labour Agreement allows 6%.
Toyota European Sustainability Report 2010 I Social Performance
Toyota European Sustainability Report 2010 I Social Performance
During a time of global economic change, it has been important to maintain and enhance employee motivation. In FY09 employee events included the Ekiden (relay race) Festival for employees and their families. At our Head
Office, more than 130 employees in 34 teams participated in this event, which was organised by the employees. Local Ekiden were also held in Toyota companies around Europe.
Learning and development
We support long-term employee development by offering internal training courses. These courses are offered to employees in the Head Office and in our manufacturing companies, as well as to retailers and the after sales network. Training sessions for our employees are complemented by annual performance appraisals and competency assessments for all permanent and temporary employees. In FY09, the number of training hours decreased from FY08 (see graph above) due to training being limited to internal training because of cost-saving initiatives.
TME training hours overall (1)
50 40 30 20 10 0 FY07
On the job development
The On-the-Job Development course provides managers and supervisors with a standardised approach to facilitate employee development in their daily work. The purpose of the course is to help employees to practice the Toyota Way principles. The course takes the participants through the four stages in the Plan-Do-Check-Act cycle. In the Plan stage, suitable work is identified which slightly challenges employees so that they gain a sense of achievement. The Do stage includes assigning the work and motivating the employee. In the Check and Act stages, the manager or supervisor evaluates the work and discusses the employee’s personal growth and the next steps needed to help them in their development.
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Id e n
ork eW bl
On the Job Development
p ni lete to r& Work Lea d
Managing people the Toyota Way
This course takes junior management through all elements of the Toyota Way, hoshin kanri (direction management) and On-theJob Development, and demonstrates how these philosophies can be implemented in daily practice. Designed as a tool to enhance the management skills of newlypromoted managers, the course also serves as a refresher course for more experienced leaders in the company. The core elements are (a) the role of a Toyota manager in developing human resources (b) motivating employees to continually improve and (c) the role of management in ensuring employee development.
(1) The training figures include Toyota Motor Europe’s Head Office and Technical Centre. (2) TBP = Toyota Business Practices (3) JKK = Jikotei Koteï Kanketsu
lace t workp Efficien
si gn Wo rk
m Co Mo
Health and Safety
Having a strong foundation for safety is fundamental in a changing environment. Changes in FY09, including preparation for manufacturing hybrid vehicles in Europe, meant we faced many new challenges. This process has given us an opportunity to expand our knowledge and further strengthen our safety culture. This effort has already been recognised, with Toyota Motor Manufacturing Poland (TMMP) winning a national award for safety in the workplace – “ Pracodawca – Organizator pracy bezpiecznej ” (Safe Work Organiser) in 2009. More than 400 organisations competed to win this award. In FY10, we will continue to strengthen safety communication with the creation of a ‘Safety Promotion Committee,’ made up of representatives from senior management, who will set the direction on safety throughout our European operations. In parallel, the process of sharing safety information and best practice between different areas of our business will be strengthened, so that our safety management system will continue to develop.
Lost Time Injury frequency rate in Parts Centres and TPCE
50 40 30 20 10 0 FY07
13 Parts Centres only
Formula: No of LTI/ Work hours x 1,000,000
Note : TPCE included Safety in vehicle logistics We take an active role in ensuring the safety of our contracted vehicle logistics network. In FY09, for example, we worked with our rail logistics partners to prevent falls from height during rail transport. Pedestrian access to the top of the rail carriages used to transport our cars is essential. Due to the height of rail bridges, it is not possible to install a fixed barrier which would protect employees from falling from the top of the rail carriage. Our vehicle logistics team worked with our rail logistics partners to overcome this challenge. The group developed a system of adjustable barriers, which protects employees from falling while ensuring that the carriages remain suitable for rail travel throughout the European network.
Production and health and safety employees at TMMP with the Safe Work Organiser award
Safety in our parts centres Our 14 parts distribution centres are responsible for the storage and distribution of parts and accessories to retailers around Europe. Following the introduction of a global strategy (called “ STOP 6 ”) in FY08 which aims to reduce the risk of the most serious and frequently occurring types of accidents within our operations, a significant improvement was made. This improvement has continued through FY09. STOP 6 risk assessment tools and check sheets were developed and are now used at each depot. As a result of these assessments, we implemented a number of improvements and the level of risk has significantly reduced. As part of its STOP 6 activity, Toyota’s European distribution centre - Toyota Parts Centre Europe (TPCE), focused on separating human work and machine work, avoiding falls from height and developing a safety awareness plan.
Adjustable barriers fixed to rail carriages
Toyota European Sustainability Report 2010 I Social Performance
Ergonomics at Toyota Motor Manufacturing Turkey Toyota Motor Manufacturing Turkey’s (TMMT) approach to ins) op (30 m 1st line st d to identify aske Members eir safety and list th points ent improvem tion 1 month ac ent lopm plan deve mins) stop (30 rs 2nd line to membe edback Fe ion of explanat including n plan actio of 6 months activity intensive To date more than 80% of improvement points have been addressed and 70% of employees said they would like to have this opportunity more often. health and environment is recorded. During the year we strengthened our reporting of ergonomic injuries and now report these types of injuries separately.0 CO2/car emission (kg/car) 3 2 2.Toyota European Sustainability Report 2010 I Social Performance Safety in our manufacturing plants In FY09 we saw a significant improvement in our Lost Time Injury (LTI) rate. Formula: No.6 FY06 FY07 FY08 FY09 Toyota Peugeot Citroën Automobile data integrated from FY07 Ergonomic injuries are reported separately from FY09. on at desig ce risk of ergo du Cooperati nts. other pla ring parts du concern AC T . managing ergonomics is through the Plan-Do-Check-Act cycle (see bottom left). Overview of line stop activity at TMIP on. evaluated and subsequently controlled throughout the lifecycle including during purchase. from Learning dels past mo P LA N P R EP RO including n stage.4 0. the risk to safety. h ist. all TMMT p ining for and Grou mics tra for Team • Ergono al training • Addition leaders. storage and disposal. To encourage employee participation. A more permanent system for employee safety suggestions is being developed. Employee involvement Initiatives undertaken in FY09 to encourage employees to engage on safety include: Toyota Motor Manufacturing UK (TMUK) Deeside introduced departmental safety meetings. workshops and laboratories. C DU TION MI C ER GO NO EN T EM IM PR OV N IO DO C D CHECK tion m observa hed syste • Establis remaining risk fy to identi health ers • Member of memb ncerns.000. TMIP even stopped the production line. inclu Feedback wsletter eekly ne via W LTI Frequency rate in European plants 4 3. of LTI/ Work hours x 1. rap healt • Member cess to physiothe ac • Provide TMIP production members receiving a health and safety award for their efforts during safety month.8 2. to re fit.000 In November 2009 we established an Ergonomics Working Group (EWG). which include garages. which provides a platform for discussion on safety in Europe.7 0. The start of production of the new generation Auris provided an opportunity to further improve the company’s ergonomic management system. Using a preventative approach. CT . ntifiation of ergo co • Early ide be at risk who may PRO P DU A burden Reduce er sign to memb ed part de • Improv process design ed centre) ness • Improv ntre" (fit for work. The EWG complements existing ergonomics activity within our manufacturing plants and provides an opportunity for specialists from all of our plants to share best practice.5 2.6 74 1 0 FY05 Single event Ergonomic 1. Toyota Motor Industries Poland (TMIP)’s annual safety month focused on the importance of employee communication in identifying and reducing risks. previously they were integrated into these statistics. "ergo ce remain fit • Use of epare & to help pr } Head Office and Zaventem We strengthened our risk assessment system for chemical products at our Head Office in Brussels and our Zaventem sites. EWG works jointly with our Safety Working Group. providing all members with a forum to discuss safety. er feedback Obtain memb alisation re Action plan a whole as The activity ding to all.
Purchasing. Toyota purchasing priority model for global manufacturing Sustainable Cost Growth Production Quality Safety T CORPORA E SOCIAL IBILITY RESPONS Toyota European Sustainability Report 2010 I Social Performance 75 . but also in times of adversity. the application of these principles has cultivated long term and sustainable growth for our partners and us. production interruption and logistics failures. not only in times of prosperity. we chose to demonstrate even stronger consistency and alignment with our Purchasing Policy which allowed us to further build and rely on our established business relationships. Throughout our history. The words of Toyota Motor Corporation founder. as well as natural disasters. “ „ Mark Adams The global economic crisis. We believe that Toyota’s Guiding Principles and the Toyota Way in Purchasing provide us with a sound approach to business that will deliver sustainable business results for our suppliers and us as well. we believe that our Purchasing Policy is more important than ever. Corporate social responsibility is the foundation of our Purchasing Policy and priority model.” The Toyota Purchasing Policy At a time when the automotive industry is facing unprecedented challenges. The three cornerstones of the policy are: Fair competition based on an open-door policy supporting our aim of continuously improving the supplier base Mutual benefit based on mutual trust through an open and transparent dialogue Good corporate citizenship by contributing to local communities and economies. These challenges include supply disruption. Toyota Motor Europe Our relationships with our business partners and specifically our suppliers were challenged in recent months. As a company. We remain committed to ensuring that the Purchasing Policy is consistently practiced in order to support the overall company vision of growth in harmony with society.Engaging with business partners Mark Adams Vice-President. We are not immune to the consequences of these macro events. and the past year has provided an opportunity to fully test the strength of our purchasing policies and supplier relationships. with safety and quality representing core principles in our relationships with suppliers. have all delivered challenges to suppliers of automotive components. Kiichiro Toyoda. are still valid today: “Toyota and its suppliers work together as one entity.
our top management work with their counterparts in our supply chain on quality issues. We are therefore focusing on sharing our core in-house knowledge and experience by assigning Toyota Production System specialists to our suppliers’ production teams. Remedial quality communication : Building on the successes made in FY08. clarity. These include: Quality information system : Just-in-time quality performance information with multiple dimension data ensures maximum visibility for enhanced quality improvement activities. Despite our core principles of quality and continuous improvement. led by the Purchasing Risk Management team. In FY10 we will continue to work with our suppliers to share our knowledge and further strengthen our supply base.Protecting the Supply Chain Toyota European Sustainability Report 2010 I Social Performance A European cross-functional taskforce. . with the aim of constantly improving supplier competitiveness. The following diagram outlines our process to protect the business from any type of risk in the supply chain (financial. we continuously look to improve the quality of our suppliers’ products and processes. Their mission is two-fold: to conduct a thorough production process assessment and to apply the Toyota Production System and tools. Built-in quality at suppliers: Transferring our manufacturing knowledge and experience to achieve zero defects in the manufacturing processes of our suppliers. ensures the continuation of business and production within the supply chain. Its effectiveness relies on the Toyota Way principles of transparency. The market context today sets a challenging framework for development and growth. mutual trust and speed of information sharing when managing relationships with all suppliers and other stakeholders in the business. social or natural disasters). Engineers from Toyota and our suppliers work together to study and identify opportunities to eliminate risks in the development and design phase and allocate resources appropriately to ensure the highest-quality output. Quality in our Supply Chain In partnership with our collective supply base. Predict ugh ering thro ork Data gath lder netw ho multi-stake ssment Risk Asse Monitor cking) itoring (tra Risk mon y plan ontingenc Develop C curs) (if risk oc Cure plan ntingency Deploy Co m proble Solve the al k to norm nage bac Ma 76 G E PLANNIN PROACTIV Competitiveness and Sustainability We aim to develop long-term partnerships with our suppliers to ensure mutual growth for ultimate customer benefit. We introduced a number of activities to support our suppliers. recent warranty incidents have demonstrated an opportunity to identify further areas for improvement in the production preparation stages of new vehicles and existing production to ensure ultimate customer safety and satisfaction. honesty. we improved our processes by examining quality considerations at the design stage. In addition. This principle is applied to both the development of new vehicles and to existing production and has led to significant quality improvements in the order of 90% since FY06.
Belgium. the Corporate Social Responsibility (CSR) Policy and Guidelines were added. we need to remain focused on maintaining and continuously improving our supplier relationships towards recovery. Toyota European Sustainability Report 2010 I Social Performance Sustainable Purchasing Practices across the Supply Chain In 2002. The focus of the meeting was on Toyota’s commitment to sustainable growth based on the Toyota Way and the Purchasing Policy. substances of concern and recycling. REACH. which included ‘Contribution towards Sustainable Development’. named Sustainability Purchasing Guidelines. we also made our internal training facility available to TEAM members and shared the latest techniques used in our assembly plants. or not to associate Legal compliance : Comply with applicable laws and regulations of each country and region as well as the spirit thereof Disclosure of information to stakeholders : Strive to disclose to stakeholders such information as is pertinent to them. who meet regularly to exchange best practice ideas from the shop floor. Our culture of Genchi Genbutsu (‘going to the source to find the facts’) means that we regularly visit the workplace of our suppliers. Addressing the increased expectations towards sustainable development. The annual meeting enables suppliers and Toyota representatives to meet each other face to face and exchange ideas regarding business targets and achievements. with 29 awards being handed out in 2010. In FY09. the implementation of our SPG guidelines in the supply chain. The new guidelines include : Human rights : No child labour or forced labour to be used Labour : The right of employees to freely associate. We plan to expand TEAM membership over the next three years to more accurately reflect the geographic distribution of our supply base. . In the reporting period. focusing on good corporate citizenship. We bring the suppliers together. mutual assistance and through the sharing of ideas and techniques. This gives us the opportunity to witness first hand. Highly sought after awards are presented to suppliers who have demonstrated outstanding achievements. we revised the guidelines in 2007 to become the Green Purchasing Guidelines. we issued our first Environmental Purchasing Guidelines. The meeting concluded with the agreement that in times where new challenges are constantly emerging. In the 2010 edition. This will double the membership numbers and these suppliers will represent 75% of our annual purchasing spend. along with a separate chapter on chemical substance management.Expanding TEAM in Europe The Toyota in Europe Association of Manufacturers (TEAM) is an association of strategic European Toyota business partners who come together to improve their individual and collective performance through networking. 77 Annual Business Meeting 2010 Around 350 suppliers and senior management from Toyota Motor Europe attended the Annual Business Meeting in March 2010 at the Toyota Technical Centre in Zaventem. the quality performance of TEAM members showed a near 90% improvement compared to FY06.
“ „ Andy Pfeiffenberger Working Together Our social contribution projects provide us with the opportunity to understand the expectations of our local stakeholders. 20% of retailers and 3% of manufacturing and Head Office employees were involved in local social contribution projects.Engaging with the community Andy Pfeiffenberger Vice-President. For more information please see www. In addition to social contribution programmes.csreurope. Toyota Motor Europe We understand that we need to focus on rebuilding trust with our stakeholders : our customers. One way of doing this is by engaging with the communities we operate in. and our business partners.org World Business Council for Sustainable Development: We are actively involved in a number of WBCSD activities and working groups. Corporate and Business Planning. For more information please see www.acea. our employees and their families. We are a member of the association and participate in the various expert groups dealing with issues of interest to the European automotive sector. For more information please see www.org .be BUSINESSEUROPE (Confederation of European Businesses): BusinessEurope is composed of 40 industrial and employers’ federations.businesseurope. namely those on Energy and Climate and Mobility for Development. CSR. We want to be a good corporate citizen at the most local level. In FY09. we interact with stakeholders on corporate social responsibility as a member of international associations and federations including: ACEA: European Automobile Manufacturers’ Association.wbcsd. For more information please see www. the business organisation that promotes corporate social responsibility in Europe. We participate in the Confederation’s working groups on subjects such as climate change and research and development.eu CSR Europe: We are a member of CSR Europe.
road Evolution of Social Contributions % 12 62% 62% 66% 69% 100 80 60 40 20 A student in Turkey signs to commit to take responsibility for the electricity use in his classroom 8 Millions € 51% 4 We support the Eco-Schools Environment and Innovation Competition. Its role is to : Identify. We also supported non-profit organisations through employee involvement. Winning entries receive a grant to help them put their ideas into action. follow up and evaluate the projects funded. The Board meets twice a year to define the overall social contributions strategy of both TFfE and Toyota Motor Europe as a whole. 0 05 Environment Road Safety 0 06 Other 07 Technical Education 08 09 Strategic focus . Despite the changed business environment. Spending on social contributions via the TFfE in this period totalled just under €600. the competition has generated 188 entries from schools and has led to the funding and implementation of 59 environmental projects. 79 2009 European total spend on social contributions Although there has been a reduction in the amount spent on social contributions across our operations since the start of the financial crisis in 2008.000. the TFfE continued to support key international and national projects Eco-Schools is an environmental education programme run by the Foundation for Environmental Education which helps schools become more sustainable. Support Toyota subsidiaries’ project development and strategy setting. fundraising and in-kind donations. Environmental projects received increased funding and make up 44% of our total contributions. More than 2. Since 2005.000 schools in 30 European countries are part of the Foundation’s EcoSchools network. select and fund appropriate projects for TFfE. In FY09. safety and technical education increased from 66% to 72%. Our focus on the strategic areas of environment. Review. the TFfE Board committed to supporting 18 projects.Toyota Fund of Europe (TFfE) The Toyota Fund for Europe provides seed funding and gives direction to social contributions within the company. which encourages schools to come up with innovative and creative solutions to environmental problems. we have maintained a steady level of support to our local communities. Toyota European Sustainability Report 2010 I Social Performance 2009 achievements: Examples of our environmental projects in Europe Toyota involvement in Eco-Schools extended to Toyota retailers The TFfE is governed by a Board composed of 13 members from senior management and representatives from our subsidiaries.
including staff and customers from Toyota’s retail network. seven tourist paths in the parks were rehabilitated.000 people.org Reforestation activities by Toyota España Toyota España held its second Reforestation Day in November 2009 (see pictures below). For more information please see www. 80 The aim of the project is to increase awareness of environmental issues in the community. non-profit organisations and companies. The paths are located in five different Slovak national parks. planted seedlings in 61 locations across Spain. For more information please see www.com Toyota manufacturing plants interact with the local communities Our manufacturing plants intensified their contribution to the local communities in FY09.000 seedlings were planted on the day. The winner of the last cycle was the Odtü Gelistirme Vakfi Özel Ilkögretim Okulu Primary School in Ankara.000 oak tree seeds and 10. undertaking antierosion activities.habiaunavezunbosque. Toyota Slovakia Living Trails Together with the Ekopolis Foundation. Toyota retailers in Denmark and Slovenia worked together with schools to develop and implement environmental projects in their local communities.Toyota European Sustainability Report 2010 I Social Performance In FY09. The activities undertaken ranged from cleaning trails after windstorms to improving their safety by repairing surfaces. Around 160. fixing safety chains. As part of this project. and more than 50 local partners including public institutions. Toyota Motor Manufacturing UK (TMUK) Technology Challenge : A nationwide competition to educate . including the Greenways and Living Trails initiatives. The company has received the Via Bona Award in recognition of its environmental projects. which encourages students to take responsibility for electricity use in their classrooms. for the first time. Every pound will be donated to support local projects. improving trail markings and installing information panels (see below). Toyota’s retail network and Toyota España were supported by the Spanish Environmental Ministry. the Trust generated £201.403 in FY09 from corporate and employee fundraising activities. Turkey. The 2009 project began in January with the launch of a competition to fund local initiatives to protect the natural and cultural heritage of the parks. More than 10. Initiatives include: students about environmentally friendly vehicle engineering and to encourage the consideration of engineering as a future career. The school received the award for the ‘I Take Responsibility’ project. the Fundación Felix Rodriguez de la Fuente. TMUK Charitable Trust : Established in 2008 to distribute funds to good causes. Toyota Slovakia supports the ‘Living Trails’ initiative to improve tourist infrastructure and reforestation in the Low and High Tatras mountain parks. the Fundación Biodiversidad (Biodiversity Foundation).eco-schools. This is the second consecutive year that Toyota Slovakia has supported this initiative.
800 education packs and videos on TMUK Charitable Trust Toyota Motor Manufacturing Poland (TMMP) Safe Driver Programme: TMMP has organised this programme with the Walbrzych Safe Driving Academy since 2006. Clean up the world: From 2007-2009. Toyota European Sustainability Report 2010 I Social Performance 81 . More than 250 TMIP employees and friends participated. CPIE Bocage de lCPIE Boca.eu Toyota Motor Manufacturing Turkey (TMMT) Road safety competition: TMMT continued its traffic safety education campaign during Traffic Week 2009. TMMF has partnered with sustainable development organisation. Technology challenge: This competition aims to engage young people in technical research and development. In FY09 a follow-up project was launched on recycling waste. Toyota Motor Manufacturing France (TMMF) Opening of the renovated trail Toyota Motor Industries Poland (TMIP) Playgrounds renovated: Playground renovation was undertaken by volunteers from TMIP.toyotafund. TMIP employees volunteered to help local authorities clean up the forests and schools around the plant. Renovation of bike and running trail: A bike and running trail was renovated near the company’s facilities in Walbrych by TMMP staff members in July and August 2009. More information about these and more than 300 Toyota social contribution projects in Europe can be found at www. In FY09 a number of training sessions were held to educate staff and local residents on ecological and safe driving. to: Maintain biodiversity on the plant’s grounds Enhance children’s environmental awareness of the surrounding communities. Students submit ideas and Toyota employees lend support by showing them how they can turn their ideas into practical solutions. Students learn about biodiversity near TMMF plant Educational partnership for sustainable development: Since December 2005. TMMT volunteers supporting students to develop their ideas traffic safety features for children.The campaign includes a regional drawing contest and the distribution of 6. their families and local residents from Miloszyce and Leg.
Flexibility in the development and production of our vehicles in order to satisfy customer needs will become a significant area of competitive advantage. Our top priority must be on rebuilding our customers’ trust. Long-term trust is more important than short-term profits. „ Ludo Vandervelden .Economic Performance “ We need to put in place strategies and actions to adapt to ever-changing market conditions. We will pursue mutual growth with our business partners based on mutual trust.
390 million as a result of both reduced sales and vehicle unit production. Toyota Motor Europe Market Context In FY09. our operating loss was €252 million in FY09 compared to €995 million in FY08. Business Services.Self Reliance with Focus on Core Models Ludo Vandervelden Senior Vice-President. Legal.Segment Information fy06 23.908 Toyota European Sustainability Report 2010 I Economic Performance 83 .919 (995) 16. Consolidated Financial Results for Europe (in million Euro) fy05 Net Revenues Operating Expenses Operating Income Assets Source: TMC Annual Results . the automotive market continued to expand in China.641 (252) 15.615 22. This was mainly due to cost reduction efforts in all areas.651 23.448 fy07 24. overall market conditions were difficult. One of the reasons for this was a change in the market structure resulting from shifts in consumer demand to small family cars (C-segment) and for cars in the lowest price segments.390 16.733 19. In developed countries.143 fy09 16.925 21. Accounting and Finance. our net revenues in Europe decreased by 22% from FY08 to €16.294 fy08 20. However. India and other developing countries.777 874 19.699 916 19.083 681 17. In FY09. despite government efforts to stimulate demand.764 19.
7% compared to CY08. In FY09. Vehicle Sales and Market Share '000s of vehicles 1. Belgium began.6% 4.5%.794 units in FY08 to 544.3% 4. we have reduced inventory levels and adjusted production volume to meet market demand. these programmes were not offered in Eastern Europe. North Wales.5% 4.6% by the introduction of programmes to provide incentives to motorists to scrap old vehicles and replace them with new more energy-efficient vehicles.125 1. In FY09.6% 6 5.300 1. the production of a full hybrid version of the Auris in the UKbased facility in Burnaston.7% 5. Derbyshire was confirmed. Under these conditions. Through this investment.3 million units. We expect sales to decrease further in 2010 when government stimulus and incentives packages will come to an end. Toyota’s 882’351 sales in Europe represented a decrease of 229’670 units or 20. The €548 million reduction is due to the absence of major model changes in FY09 (investments for Avensis and Corolla Verso model changes incurred in FY08) and because we needed to prioritise investment projects in FY09.2% 1. 539 229 200 0 FY 00 01 02 03 04 05 06 07 08 09 Source: TMC Annual Results . However. As a result. The year-on-year decrease in Western Europe was contained at 2. where markets collapsed by 41. Production of Toyota’s first European-built full hybrid will commence at Toyota Motor Manufacturing UK (TMUK) in mid-2010. This reflects the market trend towards small family car vehicles.9% in CY09.233 1. we intend to strengthen our capability to develop vehicles that meet the expectations of our European customers. In addition.9% 5 4 900 700 2. which is the lowest investment for the past ten years. Government scrapping incentives programmes in FY09 also benefitted cars in this segment. Engines will be produced at TMUK’s facility in Deeside. construction for the expansion of the testing facilities of our research and development premises in Zaventem.Toyota European Sustainability Report 2010 I Economic Performance Vehicle and Market Share in Europe The European car market decreased by 2.6% 3.8% 1.1% 4.8 million units to 18. falling below the FY02 level.001 855 950 882 3 2 1 0 Market share (%) 300 CY 84 97 98 99 00 01 02 03 04 05 06 07 08 09 Vehicle sales Market share Production Volumes '000s of vehicles 490 556 614 500 678 677 769 Vehicle Production Volumes 800 Our production volumes were adjusted to adapt to the decrease in demand. Toyota’s market share was 4. by enhancing the supply and demand management process. The reductions mainly affected production of the Avensis and Auris vehicles.100 3.050 units in FY09.4% 4.1% 3.4% lower than in CY08.112 3. our annual production volumes reduced from 589. we managed to contain the impact of the decrease in volume and mix deterioration by substantially reducing our costs.9% 5. Despite this. 600 400 200 0 FY TMUK TMMF 97 98 99 00 01 02 03 04 05 06 07 08 09 TMMT TPCA Investments Investments (million Euro) 1000 882 946 804 707 659 798 715 777 800 600 400 Investments in FY09 amounted to €229 million compared to €777 million in FY08. which is 0.
Packaging Hoshin kanri HSD HVO INRETS ITS ISO JAMA JKK Kaizen KPI LED LCA LTI NCAP NMHC NMSC NOx Direction Management System (Japanese) Hybrid Synergy Drive Hydro-treated Vegetable Oil French National Institute for Transport and Safety Research Intelligent Transport Systems International Organization for Standardization Japan Automobile Manufacturers’ Association Jikotei Kanketsu (Built-in Quality. Evaluation and Authorisation of Chemicals Simultaneous Engineering North of France Industrial Society Substances of Concern Sustainable Purchasing Guidelines Toyota Business Practices (Toyota problem solving methodology) Time Credit Promotion (Programme in Belgium) Toyota in Europe Association of Manufacturers Toyota European Forum Toyota Fund for Europe Toyota Motor Corporation Toyota Motor Europe Toyota Motor Hungary Toyota Motor Industries Poland Toyota Motor Manufacturing France Toyota Motor Manufacturing Poland Toyota Motor Manufacturing Russia Toyota Motor Manufacturing Turkey Toyota Motor Manufacturing UK Toyota Customer Service Management OECD OJD PDC PDCA PHV PIN PLC PM PSCG R&D RE REACH SE SINF SOC SPG TBP TCP TEAM TEF TFfE TMC TME TMH TMIP TMMF TMMP TMMR TMMT TMUK TSM Toyota European Sustainability Report 2010 I Economic Performance Glossary of terms smret fo yrassolG 85 .ADEME ABM Agence de l'Environnement et de la Maîtrise de l'Energie Annual Business Meeting Assessment of Integrated Vehicle Safety System for Improved Vehicle Safety European Automobile Manufacturers’ Association Diesel Blended with up to 7% Volume Bio-diesel Building Research Establishment Environment Assessment Method Corporate Citizenship Corporate Citizenship Index Complete Customer Satisfaction Chief Executive Officer Commonwealth of Independent States Classification. Labelling. Process Standardisation Methodology) Japanese term that roughly translates to ’continuous improvement’ Key Performance Indicator Light Emitting Diode Lifecycle Assessment Lost Time Injury New Car Assessment Programme Nonmethane Hydrocarbons National Marketing and Sales Company ASSESS ACEA B7 BREEAM CC CCI CCS CEO CIS CLP CO2 C-Segment CSR CUS CY D-4D D-4S Dual-VVTi E10 EC Eco-Driving ECO Mode Eco Schools EDF EEA Ekiden EKSS ELV EMC EMAS EMS ES ETS ETSC EU EURO 5 EV EWG FY Genchi genbutsu GHG GRI Carbon Dioxide Small Family Car Corporate Social Responsibility Urban Community of Strasbourg Calendar Year (1st January – 31st December) Direct Injection 4-Stroke Diesel Engine Direct Injection 4-Stroke (Petrol) Superior Engine Dual Variable Valve Timing (intelligent) Petrol Blended with up to 10 % Volume Bio-ethanol European Commission A way of driving that reduces fuel. greenhouse gas emissions and accidents Intelligent software controls (battery) power consumption Programme to implement sustainable development education in schools Electricité de France European Environment Agency Relay Running Race (Japanese) European Key Stakeholder Survey End-of-Life Vehicle European Manufacturing Company Environmental Management and Audit Scheme Environmental Management System Electricité de Strasbourg Emission Trading System European Transport Safety Council European Union European Directive that caps vehicle pollutants’ emissions Electric Vehicle Ergonomics Working Group Financial Year (1st April – 31st March) Japanese term that roughly translates to “go to the source to find the facts” Greenhouse Gas Global Reporting Initiative Nitrogen Oxide Organisation for Economic Cooperation and Development On-the-Job Development Parts Distribution Centre Plan-Do-Check-Act Plug-in Hybrid Vehicle Performance Index Parts Logistics Centre Particulate Matter Parts Supply Chain Group Research and Development Renewable Energy Registration.
We have not undertaken external assurance for this report.9 3. Data measurement techniques. Mission and values statement. Mechanisms to provide recommendations or direction to the board. External assurance. Table of standard disclosures. Senior executives of Toyota in Europe review the performance against annual objectives and key performance indicators under the Toyota Global Assessment Performance framework. Awards.46.Toyota European Sustainability Report 2010 I Economic Performance Global Reporting Initiative Index gri inDicator 1.3 3. Process for defining report content. Reporting on joint ventures and other entities. products. 4. .5 2.4 4. Significant changes during the reporting period.6 3.9 Avoidance of conflicts of interest.2 4. risks.5 Governance structure.11 3. Location of organisation’s headquarters.7 2. Reporting cycle.13 gri DEScription Statement from the President.10 3.6 2. 12 12 10-12 11-12 4. Number of countries where the organisation operates.2 2. Name of organisation. Primary brands. and opportunities. Management of performance. Explanation of re-statements. Contact point for the report.8 4.8 3. Operational structure of organisation.5 3. 12 12 12 12 Executives within Europe are compensated according to industry rates and performance. Scale of the reporting organisation.10 3. Chair of the highest governance body.1 2.6 4. Boundary of the report.2 2.12 3. 67.4 3. Limitations on the scope or boundary of the report.8 2. Markets served. Independent and/or non-executive board members.1 1. Net Balance. 83 3 35.73 3 3 3 3 3 3 3 3 3 6 3 86-91 86 We undertook rigorous internal auditing to ensure the data in this report is correct.9 2.4 2. Key impacts.7 4. Board selection process. codes of conduct and principles. Date of most recent previous report. Nature of ownership and legal form. Our GRI application level has been checked by an independent provider.3 4.2 3. and/or services. commEntS pagES 4 4 3 3 3 3 3 3 3 3. Compensation and performance.7 3. Significant changes from previous reporting periods.1 4.3 2.1 3. Reporting period.
Economic Disclosures on management approach. Economic Performance EC1 EC2 EC3 Direct economic value generated and distributed. Financial implications of climate change. our operations in Europe have social security systems that are competitive in the industry and locality where required by local practices. 78-81 78-81 Environmental Disclosures on management approach.12 4. List of stakeholder groups. See EN1.65. environmental. We do not have the data collection systems to collect this information. 4. Basis for identification and selection of stakeholders.4.13 4. Percentage of materials used that are recycled input materials. Approaches to stakeholder engagement. Since our operations are spread across Europe.21-22 27-29.32 44.17 Explanation of whether and how the precautionary principle is addressed. Key stakeholder topics and concerns. Depending on the country of operation. 4. Externally developed economic. We plan to do so in the mid-term future.79.82-84 6. Toyota Motor Europe has not received significant financial assistance from government in the reporting period. 21-22 78 28.54 54 Toyota European Sustainability Report 2010 I Economic Performance 87 . and social charters. with a focus on hiring local people wherever possible.82 21-22 EC4 Market Presence EC6 EC7 Significant financial assistance received from government. Procedures for local hiring.10 Performance evaluation. 4.17. Indirect economic impacts.14 4. Locally based suppliers. Organisation’s defined benefit plan. Materials EN1 EN2 Materials used by weight or volume.15 4. Memberships in associations. 6 Indirect Economic Impacts EC8 EC9 Development and impact of infrastructure investments and services. Executive remuneration is subject to annual review and is composed of a fixed salary payment and an incentive programme that is tied to the achievement of organisational targets in the financial year.78 58 57 56-61 56-61 4. we attempt to hire from across the region.16 4.11 4.
25-31. EN20 EN21 NOx. 33.43 5. Initiatives to provide energy-efficient or renewable energy based products and services. 27-29. 53 Our water discharges are associated with our manufacturing facilities. some refrigerants and air conditioning units. 48 We do not have the data collection systems to report on this indicator fully. except for fire extinguishers.4041. 37. Not applicable . The majority of our greenhouse gas emissions are covered by EN16. 80 Emissions. 25-26. 13. SOx.38. We do not report on this indicator as it is not deemed material as we do not have land in biodiverse habitats. 37. 38-41 Toyota Motor Europe sites do not use materials that contain ozone-depleting substances. 32. 45-47. 34. 50.261 m3 for our production sites. 16 19. 33. 39. Impact on biodiversity rich areas. 45-47 . 28. 43 32. Indirect energy consumption by primary source.43 32.34 37. 6. and other significant air emissions. 32. 32. Effluents and Waste EN16 Direct and indirect greenhouse gas emissions. 6. 32. 41. 32. 40. 3031. EN18 Initiatives to reduce greenhouse gas emissions. 49 88 Biodiversity EN11 EN12 Land in biodiversity habitats. 33.34-35 38. 55 5. 33. 18-20. EN23 Significant spills. 35. 3435 There have been no significant spills in the reporting period. 6. In FY09 the total amount of wastewater was 689. 41. 43 EN5 Energy saved due to conservation and efficiency improvements. EN6 EN7 Initiatives to reduce indirect energy consumption and reductions achieved. therefore emissions of these substances are minimal and not deemed significant. 5. 34.33. 23. Most of the company’s water is sourced from municipal water suppliers with the remainder sourced from rainwater harvesting methods. Products and Services EN26 Impacts of products and services. 13.Toyota European Sustainability Report 2010 I Economic Performance Energy EN3 EN4 Direct energy consumption by primary energy source.please see EN11 comment. EN19 Emissions of ozone-depleting substances. 33. We plan to do so in the mid-term future.34-35 38. 2426. Total water discharge. 35 EN17 Other indirect greenhouse gas emissions. EN22 Weight of waste by type and disposal method. 32. 53. Water EN8 Total water withdrawal by source.
Toyota European Sustainability Report 2010 I Economic Performance 89 . We recognise the right of employees to freely associate and adhere to all applicable laws on collective bargaining in each country we operate in. 73-74 74 Training and Education LA10 LA11 Training per employee. discussions with our social partners. Employment LA1 LA2 LA3 Workforce. Benefits for full-time employees. Investment and Procurement Practices HR1 HR2 Investment agreements with human rights considerations. Percentages differ by our countries of operation. We do not have the data collection systems in place to be able to report on this indicator fully.EN27 Products sold that are reclaimed. 36-42 Fines and sanctions for non-compliance with environmental laws and regulations.32 Labour Disclosures on management approach. We have had zero number of incidents of discrimination. 70-71 LA5 Minimum notice period for operational changes. Supplier screening on human rights. We plan to do so in the mid-term future. Employee turnover. 77 77 77 Non-discrimination HR4 Total number of incidents of discrimination and actions taken. Programs for serious diseases. Salary ratio by gender. capability and experience. 69-74 67-69 70 71-72 Labour/Management Relations LA4 Percentage of employees covered by collective bargaining agreements. 10-11. 6. in line with which and as applicable. In terms of pay between males and females. 6. Career and skill development programmes. 67-69 Human Rights Disclosures on management approach. the company’s pay policies are designed to promote equal pay for equal contribution. 55 Compliance EN28 Transport EN29 Impacts from transport. 72 72 Diversity and Equal Opportunity LA13 LA14 Workforce by diversity. Operational changes are determined in line with the local legislature of the locations in which we operate and. There is no difference between pay ratios by virtue of gender. Occupational Health and Safety LA7 LA8 Absentee rates and injuries.
21-22. 27-29 Fines and sanctions for non-compliance with laws and regulations. 15. No significant incidents of corruption have been reported or been found in the reporting period. 65 5. Public policy positions and lobbying. Child Labour HR6 Risk of child labour. Community SO1 Managing impacts on communities. 78 90 56-60. Every employee at Toyota Motor Europe is required to read and understand the company’s Code of Conduct which sets out the type of ethical behaviour that is required of every employee. Forced and Compulsory Labour HR7 Risk of forced or compulsory labour. 63-64 Marketing Communications PR6 Compliance PR9 Monetary value of significant fines.44. In line with our CSR policy. SO4 Public Policy SO5 Compliance SO8 Actions in response to corruption. Society Disclosures on management approach. 6264. Marketing communications. SO3 Employees trained on corruption. 18. Nil. 6 Product Responsability Disclosures on management approach. 65. In line with our CSR policy and local legal requirements. Toyota’s Code of Conduct sets out our approach to preventing corruption and managing corruption if it occurs or is reported. 63 4. we do not tolerate any forms of child labour in our business. including honest and fair transactions and the policy on receiving gifts. 47. 63-64 .Toyota European Sustainability Report 2010 I Economic Performance Freedom of Association and Collective Bargaining HR5 Risk to freedom of association and collective bargaining. Based on local legal requirements employees are covered by collective bargaining. 4. we do not tolerate any forms of forced labour in our business. complying with the laws of the country in which we operate. Customer Health and Safety PR1 Life cycle stages of products and services. 56-57. 21-22. 7881 Corruption SO2 Analysis on corruption. hospitality or other favours. all employees have the right to freely associate or not to associate. In line with our CSR policy. 62-64. Customer satisfaction. 65 Product and Service Labelling PR3 PR5 Product and service information.
© Toyota Motor Europe NV/SA.warmred.com www. environmentally friendly inks. For any questions. using non-solvent.com Environmental Affairs: environment@toyota-europe. All rights reserved 2010. Toyota Motor Europe is a Belgian limited company with a registered office at : Avenue du Bourgetlaan 60 1140 Brussels.be . please contact : Corporate Affairs and Planning: firstname.lastname@example.org. Designed by : www.eu/sustainability Printed on FSC certified paper. Belgium The Toyota European Sustainability Report 2010 is provided to you by Toyota Motor Europe for informational purposes only.
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