Value Chain Initiatives
Epson is proactively working to reduce the direct and indirect emissions associated with its business and production activities (scopes 1 and 2 emissions). However, it is indirect emissions that occur in the value chain (scope 3 emissions) that account for the vast majority of Epson’s GHG emissions. The lion’s share of scope 3 emissions are emissions during the use of our products (category 11: use of sold products) and emissions associated with the procurement of raw materials (category 1: purchased goods and services). Therefore, Epson has incorporated these two categories in its SBT (science-based target). As the company grows, emissions are expected to increase. Therefore, to ensure that these indicators are useful, we are focusing on reducing emissions as a percentage of business profit as we work to achieve growth and increase corporate value.
In FY2019, we reduced our category 1 and category 11 GHG emissions, but our emissions per unit of business profit increased due to a significant decrease in business profit.
Scope 3 emissions per unit of business profit
(compared to FY2017)
*Due to a significant decrease in business profit
Epson is reducing GHG emissions by increasing the efficiency of product, part, and waste transportation. We are making products smaller (which increases shipping efficiency), rethinking our logistics centers, innovating the loading and packing processes (to boost loading efficiency), and reconsidering shipment departure and arrival frequencies and number of trips.
Cooperation with Suppliers
Epson and its suppliers can help address societal challenges and achieve sustainability by aligning their approach to supply chain CSR.