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1、NTT Group Sustainability Report 2022Ensuring the positive coexistenceof nature and humanityCEO MessageImproving prosperity for all people and culturesMaximizing well-being for all002Sustainability Report 2022Editorial PolicyThe composition of this Data Book closely corresponds with items in the NTT

2、Group Sustainability Priority Activ-ities in order to report comprehensively and in an easy to understand manner to stakeholders,including investors who value ESG.While the report covers the status of the NTT Group overall as much as possible,the scope of data is clearly noted when it is limited to

3、a part of the Group.For detailed information on the business strategies of NTT(hereinafter“the Company”)and operations,please refer to Annual Report 2022.For details on ongoing ef-forts related to sustainability and achievements at NTT Group companies,please refer to the Sustainability Re-port publi

4、shed separately by each company.n NTT IR Sitehttps:/group.ntt/en/ir/n NTT Group Sustainability Sitehttps:/group.ntt/en/csr/Scope of DisclosureThe Data Book covers the NTT Group in its entirety.The scope of reporting for some sections are as follows.A Main companies:NTT,NTT East,NTT West,NTT Communic

5、ations,NTT DOCOMO,NTT DATA,NTT Facilities,NTT COMWARE,NTT Urban SolutionsB Domestic Group companies:282C Domestic and overseas Group companies:964D Main companies+operating companies NTT East Group,6 companies(NTT EAST-HOKKAIDO,NTT EAST-TOHOKU,NTT EAST-KANSHINETSU,NTT EAST-MINAMIKANTO,NTT EAST SERVI

6、CE,NTT-ME),NTT West Group,4 companies(NTT MARKETING ACT,NTT BUSINESS SOLUTIONS,NTT FIELDTECHNO,NTT BUSINESS ASSOCIE WEST)E Companies subject to NTT Group plans to double the number of female managers NTT Urban Development,NTT FINANCE,NTT BUSINESS ASSOCIE,NTT BUSINESS ASSOCIE EAST,NTT Electronics,NTT

7、 Advanced Technology,NTT LOGISCO,NTT ADVERTISING,NTT TechnoCross,InfoCom Research,NTT LEARNING SYSTEMS,NTT TRAVEL SERVICE,NTT CLARUTYNote:Unless specifically stated otherwise,the scope of environmental performance statistics refers to domestic companies.Reporting PeriodApril 1,2021 to March 31,2022

8、Certain activities implemented after March 31,2022 and the outlook for the future are also included.Publication DateNovember 23,2021(Previous report:December 2021;Next report(tentative):October 2023)Decision Making Process for Published ContentTo determine the content requirements for the publicatio

9、n,the Board of Directors discussed sustainability and other basic policies in April 2022,and then the representative director and senior executive vice president acted on their authority under the organizational rules to confirm and approve the content.Reference Guidelines GRI Sustainability Reporti

10、ng Standards 2016/2018/2019 Environmental Reporting Guidelines 2018,Japan Ministry of the Environment ISO 26000:Guidance on Social ResponsibilityLegend Nippon Telegraph and Telephone Corporation is abbreviated as NTT,Nippon Telegraph and Telephone East Corporation as NTT East,and Nippon Telegraph an

11、d Telephone West Cor-poration as NTT West.Some group companies of the NTT Group are defined with“”for registration purposes,but in general use the NTT notation.In principle,notations for status of incorporation have been omitted from the names of NTT Group companies.Figures in the numerical tables h

12、ave been rounded and therefore may not necessarily add up to the total figures.The names of companies,products and services are the registered trademarks or trademarks of each company.Third-Party AssuranceThe NTT Group obtained third-party assurance from Sustainability Accounting Co.,Ltd.with re-gar

13、d to indicators for the fiscal 2021 results of“Improving prosperity for all people and cultures”and“Maximizing well-being for all,”and for the indicators of CO2 emission volumes(Scopes 1,2,and 3),waste disposal volumes,and water intake(clean water)within the fiscal 2021 results of“Ensuring the posit

14、ive coexisting of nature and humanity,”from the NTT Group CSR Priority Activities.(See page 170)InquiriesNippon Telegraph and Telephone Corporation Otemachi First Square East Tower,5-1,Otemachi 1-chome,Chiyoda-ku,Tokyo 100-8116,Japan Sus-tainability Promotion Office,General Affairs DepartmentTEL:03-

15、6838-5560 https:/group.ntt/en/csr/contact/002Editorial Policy004NTT Group Sustainability CEO Message NTTs Mission,Vision,Values Process for selecting material issues for three themes for achieving Self as We,which under-pins NTTs vision for a sustainable society Contributing to the development of a

16、sustain-able society with medium-term strategies Organization for Implementation Stakeholder Engagement Message from Management(Senior Executive Vice President)(1)Initiatives for human capital management Message from Management(Senior Executive Vice President)(2)IOWN concept 2021 highlights028Ensuri

17、ng the positive coexistence of nature and humanity Feature 1 Environment and Energy Vision Social Challenge 13 Business Activity 111 TCFD068Improving prosperity for all people and cultures Feature 2 Transformation to a New Manage-ment Style Social Challenge 46 Business Activity 1221125Maximizing wel

18、l-being for all Feature 3 Promoting Supplier Engagement Social Challenge 79 Business Activity 2230161Data List170Independent Assurance Statement171GRI Content IndexCONTENTSList of Memberships(as of November 2022)Keidanren(Japan Business Federation,general incorporated association;vice chair)Tokyo Em

19、ployers Association(honorary chairman,deputy chairman,president)Telecommunications Carriers Association(incorporated association;chairman,director)ITU Association of Japan(general incorporated association;director,council member,advisor)Association of Radio Industries and Businesses(general incorpor

20、ated association;director,member of the management adviser)ICT Ecology Guideline Council Telecommunication Technology Committee(incorporated association;vice chairman)Integrated ICT BusinessRegional communicationsGlobal Solutions BusinessOthers(Real Estate,Energy and Others)ConsolidatedOperating Rev

21、enueRatio(FY2021)ConsolidatedOperating IncomeRatio(FY2021)(5,870.2 billion)41.7%(1,072.5 billion)59.7%(3,207.6 billion)22.8%(440.0 billion)24.5%(3,615.2 billion)25.7%(210.5 billion)11.7%(1,396.0 billion)9.9%(72.5 billion)4.0%*The percentage of each segments simple total(including inter-segment trans

22、actions)ConsolidatedOperating Income(FY2021)1,768.6 billionNo.of Employees(FY2021)333,850ConsolidatedOperating Revenue(FY2021)12,156.4 billionAt a Glance NTT GroupThe experience and advanced technologies developed by the NTT Group will be used to achieve a“paraconsistent”*society,and contribute to r

23、esolving social issues faced by society as a whole.(*Where opposing concepts or matters are both achieved inclusively)In addition to promoting sales of 5G services and“docomo Hikari,”etc.,for corporate business,we promoted initiatives for“docomo Business,”a corporate business brand unifying NTT DOCO

24、MO,NTT Communications,and NTT Comware,to support all corporate customers with one-stop service.In the smart life area,we are advancing collaboration with various businesses and worked to provide new added value.Centered on the Hikari Collaboration Model provides wholesale fiber-optic access services

25、 to various service providers,and also strengthening the solutions business with the aim of revitalizing local communities and regional economies.In the Global Solutions business,we worked to enhance our ability to provide services in growth areas,including the data center business and managed servi

26、ces,as well as expanding and providing various IT services in a reliable manner,such as digitization proposals and system integration in response to market changes.Provides services related to the real estate business,energy business,and other businesses.Ensuring the positive coexistenceof nature an

27、d humanityCEO MessageImproving prosperity for all people and culturesMaximizing well-being for all003Sustainability Report 2022NTT Groups RootsNTT Group has continued to develop a range of solutions as a partner that enables society and industry to move ahead.It was some 70 years ago that the teleph

28、one and telegraph services provided by the Ministry of Communications and Ministry of Telecommunications were handed over to Nippon Telegraph and Telephone Public Corporation.With economic growth booming following the countrys post-war recovery,the company began exploring a range of avenues to meet

29、growing public demand for telephone services that connect in an instant.After subsequently undergoing a name-change to NTT,the company expanded its businesses including the regional communications,long-distance and international communications,mobile communications,and global data communications sec

30、tors,based on its roots that aim to respond to the needs of customers and challenges faced by industry and society.Focused on creating a better future for Japan and the world.Never losing sight of the goal as“Your Value Partner.”A small inner loop at the top of the mark ensures that the voice of cus

31、tomers and society is always heard.This symbol represents NTTs vision and its commit-ment to developing a harmonious society through both business and cooperation.The single continuous curve represents the dynamism and our commitment for continuous innovation and delivering value to people and socie

32、ty.Privatized in 1985.Our Dynamic Loop The Heart of NTTCEO MessageEnsuring the positive coexistenceof nature and humanityImproving prosperity for all people and culturesMaximizing well-being for all004Sustainability Report 2022Ensuring the positive coexistenceof nature and humanityCEO MessageImprovi

33、ng prosperity for all people and culturesMaximizing well-being for all005Sustainability Report 2022In 1952,the telephone and telegraph services delivered by the Ministry of Communications and Ministry of Telecommuni-cations were handed over to Nippon Telegraph and Telephone Public Corpo-ration.The c

34、ompany developed various tech-nologies to meet growing public demand for tele-phone services that con-nect in an instant.1952“Nippon Telegraph and Telephone Public Corporation”established2007Hikari TV services Launched2008Cloud services launched2009Android OS smartphones Launched2000ISDN flat-rate s

35、ervices launched2001Optical fiber services launched for general households2004Osaifu-Keitai(Mobile Wallet)announced Hikari Denwa services launched2000sFull-scale roll-out of broadband ubiquitous servicesNTT began offering the FLETS ISDN always-on ser-vice as well as the B FLETS optical fiber service

36、,fa-cilitating the widespread roll-out of high-speed,high-capacity communication services.2010Acquired Dimension DataLTE(Xi)services launchedAcquired Keane(currently NTT DATA,Inc.)2013iPhone launched2014“Kake-hodai&Pake-Aeru”phone plans launched“Hikari Collaboration Model”launched“docomo Hikari”laun

37、ched2016Acquired Dell Services(currently NTT DATA,Inc.)2018“Your Value Partner 2025”medium-term management strategy formulated2010sGlobal ICT services framework developedNTT Group had primarily been operating in markets in Asia,Europe,and the US,and acquired Dimension Data and Keane in preparation f

38、or delivering total ICT services around the globe,including Australia,South America,Africa,and the Middle East.20205G services launched from March 25 Communication speeds up to 4.1 Gbps downstream2021Provided support for the Olympic and Paralympic Games Tokyo 2020 as a Gold Partner 2021 Green Innova

39、tion toward 2040 announced A new management style unveiled2020sIOWN concept releasedFramework involving devices,networks and infor-mation processing infrastructure built on optical and other innovative technologies,to deliver high-speed and high-capacity communications,and vast computing resources e

40、xceeding the limits of existing infrastructure.Specifications are planned to be finalized by 2024 for a 2030 roll-out.1987Mobile telephone services Launched1988NTT Data establishedWorlds first ISDN serviceLaunched1980sNTT Group born from telecommunications liberalizationNippon Telegraph and Tele-pho

41、ne Public Corporation was privatized in 1985 following liberalization of telecommuni-cations services,resulting in the birth of“Nippon Telegraph and Telephone Corporation(NTT).”1991NTT DOCOMO established1996OCN internet connection services launched1998i-mode services launched1999NTT Group transition

42、ed to holding company structure1990sExpanded telephone services with view of building an advanced telecommunications societyPhone services with a broad range of plans to suit customer usage scenarios were launched.The Open Computer Network(OCN)was launched with the view of expanding Internet use.NTT

43、 Groups HistoryNTT has contributed to lifestyles of people through its business activities.Ever since being established as the Nippon Telegraph and Telephone Public Corporation in 1952,the NTT Group has developed a wide range of technologies and services,and has been delivering infrastructure for se

44、rvices like mobile phones,internet and cloud computing that could never have been imagined in the past.At the heart of these achievements is NTTs underlying commitment to work-ing as a partner that supports society and industry as a whole.Ensuring the positive coexistenceof nature and humanityCEO Me

45、ssageImproving prosperity for all people and culturesMaximizing well-being for all006Sustainability Report 2022CEO MessageNTTs Vision of a Sustainable SocietyThe NTT Group established its Global Sustainability Charter in Autumn when it restructured its medium-term management strategy.This new Charte

46、r encompasses three key themes.(1)Ensuring the positive coexistence of nature and humanity:Aiming to solve environmental issues as well as achieve economic growth(2)Improving prosperity for all people and cultures:Accepting diverse,inclusive cultures while aiming to build a better society and create

47、 value(3)Maximizing well-being for all:We aim to maximize the well-being of everyone by respecting human rights and encouraging diversity and inclusion.Nine challenges and thirty business activities have been established under these three themes,to be implemented alongside business operations as par

48、t of our goal to achieve a sustainable society.We have also developed a structured approach for our environmental vision,management style,and human rights policy based on this new Sustainability Charter.Three themes the NTT Group is pursuingWe will be continuing our efforts toward transformation und

49、ertaken thus far,while also creating a path forward by responding to changes,or,at times,pre-empting changes and transforming ourselves,in line with the NTT Group Global Sustainability Charter.To ensure that we continue to be a company that is chosen by our customers,we need to raise the quality of

50、our products and services.We will be pursuing the following three initiatives to ensure that the NTT Group delivers new experiences and value to our customers.The first of these initiatives is to create better customer experiences(CX)through improved employee experiences(EX).We will be taking the se

51、nse of excitement felt by each of our employees and using it as a source of inspiration for“creating new value,experiences,and excitement for our customers(meaning CX).”From April 2023,we will be rolling out a new and revised specialization-based personnel compensation system for the main companies

52、of the NTT Group.The source of motivation for creating new value for our customers is the potential of employees.This revision will help to inspire each and every employee to further increase their specializations and acquire,or maximize their skills,as part of our efforts to create added value acro

53、ss a broad range of fields.I want to harness the potential of our employees to generate new value,and provide customers with a new sense of excitement.m e ssag eCEO MessageAkira ShimadaPresident and Chief Executive Officer,Representative Member of the BoardEnsuring the positive coexistenceof nature

54、and humanityCEO MessageImproving prosperity for all people and culturesMaximizing well-being for all007Sustainability Report 2022CEO MessageThe second initiative is to decarbonize through technology.The decarbonization of society is a matter of urgency.I believe it is the mission of those of us livi

55、ng in the present to ensure that our descendants can live sustainably on the planet.The NTT Group has set a goal of achieving carbon neutrality by 2040.In order to realize this goal we are working to drastically reduce our power consumption through the promotion of Innovative Optical&Wireless Networ

56、ks(IOWN),and to develop and expand our use of renewable energy.An example is Green 5G provided by DOCOMO provided as part of its service aimed at achieving carbon neutrality.Initiatives like these illustrate just some of the ways that the NTT Group is helping to alleviate the impact that society as

57、a whole has on the environment.The third initiative is to maintain connectivity with infrastructure and critical IT systems even in the event of major disasters.We will be making efforts to enhance our preparations for more widespread and complex large-scale disasters like an earthquake directly und

58、erneath Tokyo or the Nankai Trough off Japans southern coastline.In addition to wired-and-wireless networks and other services,the NTT Group is also involved in numerous national projects like systems that provide connectivity for financial institutions.It goes without saying that networks and criti

59、cal systems like these are the very foundation of Japan and serve as an indispensable infrastructure.Preparation is the key to staying connected.We therefore need to continue taking into consideration all the possible risks that could occur.Mission and ideals of the NTT GroupWhen considering the NTT

60、 Group five years from now,moving ahead with these three initiatives provides an opportunity to contribute to the creation of a sustainable society,and also serves as a chance for the NTT Group to generate revenue.We need to contribute to society while simultaneously delivering organizational growth

61、.An example that illustrates this is the way NTT DATA is working to digitize valuable materials held by the Vatican Library.We have built up a business model where donations provided by those who view digital archives of valuable documents and collections serve as the funds for future archiving work

62、.Harnessing the capabilities of IT to preserve our historical assets and culture for future generations,making them available as training material to as many people as possible around the world,is a socially significant initiative that helps to maintain digital archiving efforts and contribute to gl

63、obal cultural and research activities.We will be shifting our ideals from a company that“connects communications”to a company that“connects data to create new value for people,business and society.”We will be accelerating our growth as a group that provides services to make customer businesses and l

64、ifestyle even better by utilizing a broad range of data.I am confident that we will develop various solutions through close collaboration with our partners,by applying our technology and know-how across a broad range of fields.Creating new business sectors as part of these efforts will help to expan

65、d our business base,as we aim to develop into a customer-centric company.I would like to take this opportunity to ask for your continued support moving forward.President and Chief Executive Officer,Representative Member of the BoardAkira ShimadaNTT will continue to innovate through imagination and b

66、y challeng-ing ourselves.We always listen to our clients,employees,and the world at large.NTTs culture is based on our core belief of responding to the needs of our clients and society to help achieve their best future possible.This is NTTs vision and its commitment to developing a harmonious societ

67、y through both business and co-operation.NTT promises to always listen to our clients and the world at large.We engage with clients and society as a valued partner with a deep commitment to trust,long-term relationships and mutual success.We believe in achieving transformative results through techno

68、logy innovation for ourselves,our clients,and society.Our VisionWe are NTT.Your valued partner that is committed and can be trusted NTT seeks to solve social challenges and create a sustainable society through our business operations and partnerships for people,organizations,and communities.We commi

69、t to providing the confidence needed to move into the digital future that works for all of us.Our MissionContributing to society through our business operationsNTTs values are based on trust,integrity,and connecting.We always act with a moral and ethical code across our trusted relationships with cl

70、ients,employees,partners,and society.We are a trustworthy company that believes in the value of diversity and inclusion in our people and the world.Our ValuesOur shared values informs all our decision makingNTTs Mission,Vision,ValuesVISIONMISSIONVALUESConnect Trust IntegrityYour Value PartnerEnsurin

71、g the positive coexistenceof nature and humanityCEO MessageImproving prosperity for all people and culturesMaximizing well-being for all008Sustainability Report 2022Ensuring the positive coexistenceof nature and humanityCEO MessageImproving prosperity for all people and culturesMaximizing well-being

72、 for all009Sustainability Report 2022What Exactly is“Our Vision for a Sustainable Society”Global versus Local.Environmental versus Economic.Today versus the Future.Many seemingly contradictory ideas,perceptions,and values exist around the world.Yet a single phenomenon can be interpreted differently

73、depending on perspective.Instead of focusing only on one perspective,the NTT Group will be making them all a reality.That is the sustainable society we are setting out to achieve.The“Self as We”concept underpins the NTT Groups efforts to achieve this goal.“We”live our lives supported by the connecti

74、ons between diverse people,things,and technologies.The well-being of everyone throughout society is maximized by seeking our own happiness along with the happiness of others.Being sincere in accepting of others and building connections across the entire globe will achieve a greater harmony with natu

75、re and make culture flourish.The NTT Group acts with high ethical standards in its commitment to achieving“sustainability”that helps to resolve social issues,while growing also as a company.NTTs Vision of a Sustainable SocietyConflicting phenomenaexist in societyEvents differ dependingon the actorPa

76、raconsistent(concepts achieved inclusively)Vision for a“Sustainable Society”Promoting“Self as We”Cannot be understoodwith traditional dualistic thinkingBasic PhilosophyDifferent reality or meaningdepending on perspectiveEnsuring the positive coexistenceof nature and humanityCEO MessageImproving pros

77、perity for all people and culturesMaximizing well-being for all010Sustainability Report 2022The Self as We conceptSelf as We is a concept where the individual self is part of the whole We.It extends beyond the individual levelit is also about making others happy at the same time,and achieving a broa

78、d range of policies backed with a sense of altruistic purpose.“Self as We”The traditional“Self as I”“I”as an individual(self-centered,self-sustaining)A choice between being either active or passive“Self as We”“I”as one of all the individuals(non-self-centered,non-self-sustaining)Collaboration with o

79、thers in the same situation“I”“I”Self“Self=We”ControlEntrustBodyBodyOthersOthersThingThingEnvironmentEnvironmentThree themes for achieving a sustainable societyTo achieve the sustainable society that NTT is envisioning,we will be promoting initiatives for a“sustainable society”by achieving both“Grow

80、th as a company”and“Resolving social issues”as part of these three themes,by driving ahead with the IOWN concept based on NTTs high ethical standards,advanced technology and innovation.Maximizing well-being for allContribute to maximizing the well-being of everyone by respecting human rights and enc

81、ouraging diversity and inclusion.Improving prosperity for all people and culturesAccepting diverse,democratic cultures while contributing to a better society and creating value.Ensuring the positive coexistence of natureand humanityContributing to solving environmental issues as well as achieving ec

82、onomic growth.Ensuring the positive coexistence ofnature and humanityImproving prosperity forall people and culturesMaximizing well-being for allMoving towarda decarbonizedsocietyA commitmentto a resource-recycling futureA future wherepeople and natureare in harmonyEstablishshared ethicalstandardsPr

83、epare fora new futurewith the powerof technologyMoving towards asafe,secure,andresilient societyRespect forhuman rightsDiversity&InclusionCreatingnew workstyle modelsEnsuring the positive coexistenceof nature and humanityCEO MessageImproving prosperity for all people and culturesMaximizing well-bein

84、g for all011Sustainability Report 2022NTT Group SustainabilityA future wherepeople and natureare in harmonyA commitmentto a resource-recyclingfutureMovingtoward adecarbonizedsocietyCreatingnew work stylemodelsDiversity&InclusionRespect forhuman rightsMovingtowards asafe,secure,and resilientsocietyPr

85、epare fora new futurewith the powerof technologyEstablishshared ethicalstandardsMaximizing well-being for allImproving prosperity forEnsuring the positive coexistenceof nature and humanityall people and culturesEnsuring the positive coexistenceof nature and humanityCEO MessageImproving prosperity fo

86、r all people and culturesMaximizing well-being for all012Sustainability Report 2022The three themes cover nine challenges and thirty business activitiesWe are actively implementing these initiatives to contribute to the development of a sustainable society.A broad range of sustainability indicators

87、have been defined.Of these,the following items have been added as key financial indicators,with compensation of members of the Board and audit&supervisory Board members linked accordingly:“Carbon neutrality”as an indicator for environmental issues“B2B2X earnings”as an indicator for resolving social

88、issues “Ratio of women newly promoted to management positions”as an indicator for human rights,diversity and inclusionEnsuring the positive coexistenceof nature and humanityCEO MessageImproving prosperity for all people and culturesMaximizing well-being for all013Sustainability Report 2022Process fo

89、r Selecting Material Issues Material issues(materiality)are selected using the following steps based on the GRI materiality standards and processes.STEP1 Identifying material issuesUsing evaluation organizations like third party institutions,ISO26000 and GRI Standards,global trends,internal workshop

90、s,and materiality at other companies as a guide,we identify material issues through a comprehensive review of new problems related to sustainability,in order to discuss and select important issues that NTT should address on a global scale.STEP2 Setting prioritiesNTT assesses the priorities to be add

91、ressed based on their impact on two aspects,“Growth as a company”and“Solv-ing social issues.”To achieve management that simultane-ously helps resolve social issues while achieving business growth,NTT assesses priorities by incorporating the opin-ions of outside experts.STEP3Confirming validity&appro

92、valNTT also incorporates the opinions of third parties from a global perspective,which are then deliberated by the Sus-tainability Committee and approved by the Board of Direc-tors.*These are reviewed regularly(once/year)and revised when neces-sary.Solving social issuesGrowth as a companyReducing po

93、wer consump-tion by introducing IOWN technologiesPromoting energy conservation Ensuring the positive coexistence of nature and humanity Improving prosperity for all people and cultures Maximizing well-being for allDeveloping and expanding the use of renewable energyProviding new services that contri

94、bute to carbon neutralityCreating innovative environmental and energy technologiesIncreasing the reuse and recycling of communications equipment,mobile terminals,and other technologiesReduction in plastics use and promotion of recyclingProper treatment,storage,and manage-ment of hazardous wasteAppro

95、priate and efficient management of water resourcesThoroughly implementing environmental assessmentContributing to natural ecosystem conservationEstablishing and thoroughly complying with ethical standardsAppropriately managing conduct riskThoroughly reinforcing corporate governance and complianceSha

96、ring high ethical standards with business partnersPromoting the B2B2X modelProtection and respect for intellectual propertyContribution to the revitalization of local communities and economiesEnsuring the stability and reliability of servicesStrengthening information security and personal informatio

97、n protectionCompliance with the NTT Group Global Human Rights PolicyEncouraging society as a whole to respect human rightsPromoting recruitment,training,and education of diverse human resources and womens advancement in the workplaceEncouraging of understand-ing of LGBTQ+and promoting the advancemen

98、t of people with disabilitiesSupport for balancing work and homelife such as childcare and nursing carePromoting remote work and other workplace modelsPromoting a decentralized society based on remote workAchieving zero fatal accidents as well as maintaining and promoting employee healthPromoting pa

99、perless operationsSupporting autonomous capacity development202122141213151819234567891011232524293011626271728Ensuring the positive coexistenceof nature and humanityCEO MessageImproving prosperity for all people and culturesMaximizing well-being for all014Sustainability Report 2022Contributing to d

100、evelopment of a sustainable society with medium-term strategiesNTT Group works together with its partners as“Your Value Partner”to resolve social issues through its business operations and respond to future changes in the operating environment,such as the advancement of digitization and DX.To guide

101、us in this pursuit,we refined the NTT Group Medium-Term Management Strategy announced in November 2018 to accelerate our transformation into an open,global,and innovative new NTT.Organization for ImplementationIn November,the NTT Group moved to a new organizational structure by establishing the“Sus-

102、tainability Committee”under the Board of Directors,chaired by the Chief Executive Officer.The committee reviews and discusses strategies concerning sustainability,the status of implementa-tion of activities,and information disclosure,and implements relevant initiatives.The Sustainabili-ty Committee

103、includes the Corporate Ethics Committee,Human Rights Committee,and Green Innovation Committee to handle the individual topics relevant to each sub-committee.Efforts to-ward sustainability throughout the entire group are also implemented by holding Group Sustain-ability Committee meetings(with senior

104、 executive vice presidents of major group companies).The meetings are for sharing common challenges and examples of success from each Group company,and for monitoring progress on sustainability implementation with respect to PDCA cycles and further promoting a sense of unity throughout the group.(1)

105、Evaluation The viability,effectiveness,and progress of measures are checked every year by employing the PDCA cycle to review and expand the focus of activities.Attainment levels are also linked to the evaluation standards of directors.(2)Disclosures Internal conferences involving global group compan

106、ies are held for reporting the results of ef-forts and facilitating dialogue,which are then disclosed on the website and in sustainability re-ports.The impact of climate change risks and revenue opportunities on business activities and revenue are disclosed in accordance with TCFD,an international f

107、ramework created to devel-op such disclosures.(3)Dialogue with Third Parties Each process involves dialogue with experts and other third parties,with a PDCA cycle used to obtain evaluations from third parties for reviewing and ex-panding the focus of activities as needed.Social/Economic Directionali

108、tyNTT Groups DirectionalityNew Strategic FrameworksInitiatives to Achieve the StrategySociety During COVID-19 and Post-COVID-19A New Management Style Suitable for a Decentralized Network SocietyTransformation to a New Management Style New style based on remote workAdvancement of Digitalization/DXEnh

109、ance Domestic and Global BusinessEnhance Domestic and Global Busi-ness Growth and strengthening of the newly formed DOCOMO Group Promotion of the IOWN development/rollout plan Enhance competitiveness in global business Promote the B2B2X model Strengthening of new businessesAchieving well-being in so

110、cietyEnhancement of Corporate Value through ESG InitiativesEnhancement of Corporate Value New Environmental and Energy Vision Disaster countermeasures initiatives Enhancement of returns to sharehold-ersContribute to Achieving a Sustainable SocietyDirectionality of NTT Groups Transformation and New S

111、trategic FrameworksBackground of the Re-Examination of the Medium-Term Management Strategy and New Strategic Frameworks Future Changes in the Operating EnvironmentFuture Changes in the Operating EnvironmentSustainability Promotion System(from November 10,2021)Board of DirectorsGreen Innovation Commi

112、tteeHuman Rights Education CommitteeCorporate Ethics CommitteeGroupSustainability CommitteeMembers:Senior executive vicepresidents of major groupcompaniesMembersRepresentative Member of the Board,Senior Vice President of Corporate Strategy Planning Department,Senior Vice President of Technology Plan

113、ning Department,Senior Vice President of Research and Development Planning,Senior Vice President of Finance and Accounting Department,Senior Vice President of General Affairs Department,Senior Vice President of Global Business Offce,Senior Vice President of Strategic Business DevelopmentSustainabili

114、ty CommitteeChairperson:President and Chief Executive Offcer,Representative Member of the BoardSociety/Economy Advancement of digitalization/DX Increasing the importance of economic security Expansion of AI/robotics usage Pluses and minuses of digitalization(surveillance capitalism)During and Post-C

115、OVID-19 Accelerating the division of the world Co-existence with the threat of infectious diseases Advancement of a remote/decentralized society Social advancement of diverse personnelEnvironment/Resources,Energy Increasing scale of natural disasters worldwide Achieving carbon neutrality by 2050Tech

116、nology Breaking the existing paradigm with new technologiesBeyond 5G/6G,Quantum,Genome,etc.Ensuring the positive coexistenceof nature and humanityCEO MessageImproving prosperity for all people and culturesMaximizing well-being for all015Sustainability Report 2022Benefits of Stakeholder EngagementSta

117、keholder EngagementThe Fundamental PrincipleThe NTT Group provides products and services to diverse stakeholders around the world,and its value chain continues to expand globally and grow in complexity.Along with these changes,our stakeholders needs and expectations are also becoming increas-ingly d

118、iverse,and we must accurately understand and reflect them in our business activities through stakeholder engagement.Stakeholder input,particularly on social and environmental issues,can help us to become more competitive and accountable while guaranteeing our public license to conduct operations in

119、the various regions in which we conduct business.Stakeholder engage-ment forms the building blocks of trust-based,value-generating relationships.To properly develop these relationships,the NTT Group follows global guidelines based in part on the AA1000 Stakeholder Engagement Standard(AA1000SES)and A

120、A1000 Ac-count Ability Principles Standard(AA1000APS)and applies them to all of our worldwide operations.By having all Group companies apply the same principles to engaging with stakeholders,we intend to promote effective,efficient,and ultimately value-creating in-teractions between the NTT Group an

121、d its stakeholders.It goes without saying that all means of engagement shall be conducted according to relevant laws,regulations,and legal requirements.Process of Stakeholder EngagementBenefits for the NTT Group Identify emerging environmental/social trends and reflect them in strategy formulation I

122、dentify potential risks and develop countermeasures More closely manage our brand reputation Identify opportunities for potential new businesses,collaboration,and in-novation I mprove community relations and support for operations,in particular by involving stakeholders in decisions to ensure their

123、needs are taken into consideration Improve our understanding of sensitive issues and of stakeholders opin-ions of us Make more sustainable business decisions based on stakeholder inputBenefits for Stakeholders Clearer understanding of the NTT Group strategy and projects provide relevant feedback in

124、line with expectations Levels and Methods of EngagementStep 1 PlanLevel of engagementExamples of engagement methodsMonitorTracking of media and one-way communications to the companyInformProvision of information from the company to stakeholders through letters,bulletins,websites,speeches,reports,etc

125、.,with no invitation to respondConsultTwo-way exchange of information between the company and stakeholders through surveys,focus groups,workshops,etc.,with an expectation of responses from both sidesInvolveTwo-way exchange of information between the company and stakeholders,with stakeholders more ac

126、tively involved in decision-making,through establishment of advisory panels or multi-stakeholder dialoguesCollaborateJoint ventures and partnerships on specific projectsPotential Risks of Engagement with Specific Stakeholdersn Unwillingness to engage on the part of stakeholdersn Disruptive stakehold

127、ersn Creation of unrealistic and unfulfillable expectations of the company on the part of stake-holdersn Inter-stakeholder conflicts and other issues could potentially result in criticism of the com-pany and damage to the companys reputation While engaging with stakeholders,discussions should be hel

128、d on mutual expectations regarding such engagement,and any necessary revisions to initial en-gagement plans should take into consideration stake-holder requests as well as the NTT Groups initial intentions.When holding events attended by multiple stakeholders,care must be taken to ensure balanced pa

129、rticipation to minimize risk and maximize value.Step 2 DoFactors Requiring Consideration during Engagementn Levels of contribution and a clear definition of participant rolesn Details of the process,including timelines and methodsn Timely provision of instructions and required materials for par-tici

130、pation in and meaningful contribution to the engagement processn Boundaries of disclosure of required information,including confidentiality requirementsn Communication of the results of the engagementAfter concluding the engagement,results must be re-ported both internally and to participating stake

131、holders as well as externally to the wider public as necessary to conduct both an evaluation of the outcome of the engagement and a review of the engagement process itself and define KPIs for the assessment of results.Regarding the review of the engagement process itself,an in-ternal review should b

132、e conducted and feedback should be sought from participating stakeholders regarding how they felt about their involvement,and a plan for improvement should be developed based on the results of these.Step 3 Follow-up and ReviewFactors that Should Be Included in Reports and Infor-mation Disclosuren Th

133、e purpose,scope,method and participants of the engage-mentn A summary of content,including issues and concerns raised during the processn NTT Group response to the outcomes of the engagementEnsuring the positive coexistenceof nature and humanityCEO MessageImproving prosperity for all people and cult

134、uresMaximizing well-being for all016Sustainability Report 2022Identifying Stakeholders Our stakeholders are organizations or individuals who have an interest,in one way or another,in the business activities or decision making of the NTT Group.Major stakeholders of the NTT Group include customers(cor

135、porations and individuals),shareholders and investors,employees(employees,their families and retired employees),local communities,business partners,ICT companies and industry associations,central government and administrative agencies.The NTT Group will fulfill its responsibilities and the expectati

136、ons of its various stakeholders related to these businesses.Customers(Individuals and Corporations)All customers,both corporate and individual,who use services provided by the NTT GroupAs we strive to be chosen as“Your Value Partner,”each indi-vidual employee will strive for an even higher awareness

137、 of sus-tainability to provide safe,secure services that are high in quality and convenient from the cus-tomers standpoint.NTTs Approachn Customer information servicen Customer satisfaction surveysn Website,social mediaMethods of Engagement (examples)The NTT Group endeavors to enhance customer satis

138、faction and become“Your Value Part-ner”for our customers by un-derstanding customer needs in order to provide higher quality services and products.Why We EngageEmployees(Employees,Their Families,and Retired Employees)Employees who work at the NTT Group and retired employees who support the NTT Group

139、s sustainability idealsWe will pursue various employee initiatives to create safe and healthy workplaces in which ev-eryone can realize their full po-tential and be rewarded in their work and daily lives.We will also value communication with re-tired employees.NTTs Approachn Employee satisfaction su

140、rveysn Regular interviewsn Dialogue between labor and managementn Corporate ethics helplinesn Hold sustainability confer-encesMethods of Engagement (examples)We create safe and healthy workplaces for our employees and support their daily lives so that each individual employee can realize their full

141、potential and carry out their work with a high sense of CSR.Why We EngageShareholders and InvestorsIndividual and institutional investors including the shareholders and creditors of the NTT GroupWe will return profits to share-holders while maintaining a sound financial standing and enhance our corp

142、orate value.We will also endeavor to dis-close information related to the Group in a timely,appropriate,and fair manner.NTTs Approachn General Meeting of Share-holders,earnings reportsn Explanatory presentation for individual investorsn Explanatory presentation for institutional investorsn Annual re

143、portsMethods of Engagement (examples)We endeavor to disclose infor-mation in a timely,appropriate,and fair manner to return profits to shareholders while maintain-ing a sound financial standing and enhancing our corporate value.Why We EngageLocal CommunitiesPeople in local communities who are connec

144、ted to us through the businesses of NTT Group companiesWe will support local communi-ties through our ICT business and operations to support soci-ety and provide disaster recov-ery.NTTs Approachn Support and collaboration through social contribution activitiesn Negotiations with local resi-dents on

145、construction work,system development,and other activitiesn Support through donations and sponsorshipsMethods of Engagement (examples)We seek to contribute to the de-velopment of a flourishing and vibrant community and to under-stand and identify the issues faced by local communities in order to prov

146、ide social contribu-tions and disaster countermea-sures through our ICT business.Why We EngageEnsuring the positive coexistenceof nature and humanityCEO MessageImproving prosperity for all people and culturesMaximizing well-being for all017Sustainability Report 2022Business PartnersBusiness partners

147、 who support us in various ways in providing the NTT Groups servicesWe will seek to work together to create and implement services that help to solve a variety of so-cial issues.NTTs Approachn Inquiry formsn Disclosure of procurement policies and guidelinesn Questionnaires of suppliersn Briefing for

148、 suppliersMethods of Engagement(examples)By procuring products with due consideration to the environ-ment and human rights,and by forging partnerships based on fairness,we will fulfill our social responsibilities as a company and achieve sustainable growth alongside our business partners.Why We Enga

149、geCentral Government and Administrative AgenciesCentral and local governments and administrative agencies that make policy decisions on informa-tion and telecommunications,employment and the economy,the environment,and other issuesWe will fulfill our responsibility as an information and telecommu-ni

150、cations company by adhering to the policies of the central gov-ernment,administrative agen-cies,and local governments.NTTs Approachn Response to laws and regula-tionsn Policy proposalsn Participation in joint projects between the government and private sectorMethods of Engagement(examples)We will re

151、spond to and comply with central and local govern-ment and administrative agency policies.Therefore,we will carry out business activities in an ap-propriate manner and contribute to resolving social issues faced by the Japanese people and lo-cal governments.Why We EngageICT Companies and Industry As

152、sociationsOther ICT companies and people in industry associations who are striving to develop Japans information and telecommunicationsWe will engage in discussions on the direction and initiatives for the information and telecommu-nications industry,not only in Japan but from a global per-spective,

153、and seek to address diverse social issues together.NTTs Approachn Participation in industry asso-ciations and related initiativesn Participation in conferencesMethods of Engagement(examples)We will engage in discussions on the direction and initiatives for the information and telecom-munications ind

154、ustry.By doing this,we will invigorate the indus-try and contribute to society by promoting development and progress in information and tele-communications.Why We EngageNGOs,NPOs,and ExpertsNGOs,NPOs,and experts who are positioned within the NTT Groups domain of activities includ-ing sustainabilityW

155、e will contribute to creating a sustainable society by sharing the expert knowledge and expe-rience of NGOs,NPOs,and ex-perts,and by incorporating them into the telecommunications in-dustry.NTTs Approachn Participation and collaboration with study groups and activi-ties of each organizationn Dialogu

156、esn Collaborative projectsMethods of Engagement(examples)The NTT Group provides ser-vices that extend beyond tele-communications to broader domains,and gaining the spe-cialized perspectives of NGOs,NPOs,and experts allows the Group to appropriately and ef-fectively develop business activ-ities.Why W

157、e EngageEnsuring the positive coexistenceof nature and humanityCEO MessageImproving prosperity for all people and culturesMaximizing well-being for all018Sustainability Report 2022m e ssag eMessage from Management(Senior Executive Vice President)Achieving a sustainable society and profit growthWhen

158、we look at the various issues that plague society these days,there are simply too many to mentionthe increasingly tense global situation,circumstances related to carbon neutrality,the rapid increase in traffic and network loads due to a spike in remote operations spurred by COVID-19,and soaring oil

159、prices to name a few.The NTT Group aims to help achieve a sustainable society by promoting its own transformation in response to the direction of society and the economy and solving various social issues through its business operations.To ensure that the NTT Group keeps on track for sustainable grow

160、th,efforts have been made to grow and strengthen the new DOCOMO Group,coupled with significant restructuring of business segments from January 2022.In May 2022,we also announced reorganization of our global businesses.We are also aiming to boost corporate value through initiatives geared for ESGs,an

161、d in November 2021 we created and announced the NTT Group Global Sustainability Charter.In order to implement these initiatives,performance indicators for officer compensation was freshly updated covering aspects like amount of greenhouse gas emissions or ratio of women in management positions.Going

162、 forward,we will be making greater effort for the disclosure of non-financial information like utilization of human capital,while also pre-empting trends in social values likely to undergo significant changes such as environmental issues,in an attempt to achieve more advanced disclosure.Achieving ca

163、rbon neutralityTo reach carbon neutrality,around half of efforts to reduce energy consumption will come from increasing the efficiency of electricity usage while the other half will be from innovations based on IOWN.In addition to ongoing efforts towards energy-efficiency,we will also be rolling out

164、 measures such as switching to renewable energy sources for our power consumption.We are also looking at highlighting use cases and other benefits of IOWN with an eye toward commercialization.Initiatives for human capital managementHuman capital development is drawing a greater level of attention th

165、roughout society every year and is an area in which we will be placing a greater focus.Strategic investment into human capital is considered a key factor underpinning“sustainability management”that aims to achieve both sustainability for society as well as corporate growth and earning powerwe are pl

166、anning to make improvements with a focus on the following three areas.The first will be“linking management strategy and human resources strategy.”In October 2021,NTT unveiled its“New Management Style.”We believe that promoting diverse work styles and increasing opportunities to harness the capabilit

167、ies of people from diverse backgrounds will help to achieve a more open,global and innovative business management style.We are promoting the participation of women,foreign employees and outside personnel as part of these efforts and introduced a job-based personnel system last fiscal year to encoura

168、ge self-guided career formation.We are moving ahead with a shift from company-driven career development to a system that allows employees to control the development of their own careers.The second area is gaining an understanding(visualization)of the gap between available personnel and our human res

169、ources strategy,against the business model and management strategy we are striving to achieve.We aim to disclose various types of information required in response to trends in systems,laws and policies,and in response to requests like this from society.We are also looking at spurring effective inves

170、tments toward human capital,by analyzing the gap in skills between the business model or management strategy that we are striving to achieve for the future,and the currently available personnel with their skills and specializations.We consider“visualization of human capital”as an essential step for

171、advancing both corporate and personnel growth to create value and subsequently a more prosperous society.Looking ahead,we will be engaging in discussion to develop a clear awareness and vision for investment into human capital,with efforts including defining our expectations of personnel that match

172、our management strategy,implementing policies to facilitate securing and training,and establishing indicators and targets for monitoring the results.Takashi HiroiSenior Executive Vice President CFO,Representative Member of the BoardEnsuring the positive coexistenceof nature and humanityCEO MessageIm

173、proving prosperity for all people and culturesMaximizing well-being for all019Sustainability Report 2022The third area is establishing a corporate culture that encourages behavioral changes among individuals throughout the organization.We want to develop a culture that respects more open,flat and fl

174、exible communications,and diverse values,that also embrace the action of taking on challenges without fear of failure.To better visualize the way this culture is instilled,the NTT Group in fiscal 2021 revamped its existing Employee Satisfaction Survey,which focused on questions related to ease of wo

175、rking,and added questions related to job satisfaction.Approximately 130,000 Group employees in Japan responded.By understanding current levels of engagement among NTT Group employees and the issues that need to be improved,and by taking action to make improvements,we hope to increase the number of h

176、ighly engaged employees who identify with the companys and organizations policies and strategies,as well as feel pride and take initiative in their work.The employee engagement rate has a major impact on labor productivity and is also directly related to business performance.This provided a clearer

177、image of specific issues when viewed against domestic and international standards,and we will be investigating potential courses of action that can be taken to establish a corporate culture that encourages behavioral changes.Management strategy and sustainabilityCarbon neutrality and various policie

178、s related to human capital only make sense if they are tied to the management strategy and incorporated specifically within action plans.Initiatives aimed at achieving carbon neutrality can help to reduce the costs that society or companies would have to bear in the future and providing our initiati

179、ves as solutions could also result in potential business opportunities.We believe that advancing Diversity&Inclusion as part of the human resources strategy creates an open workplace environment and being able to harness the potential of diverse human resources in turn results in greater productivit

180、y.As work styles,unconstrained by location or time,become increasingly commonplace we introduced the Remote Standard from July 2022 to address the need for companies to provide flexible working arrangements.We will continue creating an environment where individual diversity can lead to dialogue,inno

181、vation and positive business outcomes.The NTT Group will strive to become an innovative corporation spearheading societal transformation by inviting dialogue and communication with various market players and a broad range of stakeholders.Ensuring the positive coexistenceof nature and humanityCEO Mes

182、sageImproving prosperity for all people and culturesMaximizing well-being for all020Sustainability Report 2022Initiatives for human capital managementNew management styleIn October 2021,the NTT Group unveiled its“New Management Style.”In addition to promoting the appointment of female managers(newly

183、 appoint-ed managers in FY2021:29%(target 30%),intro-ducing new work styles(from July 2022)based on remote work and expanding satellite offices(551 locations at the end of September 2022)for pro-moting work-in-life(health management)through the workplace-residence proximity,we began a trial at the h

184、olding company from October 2022 for decentralizing the organization in order to enhance resilience.We believe that promoting diverse work styles and increasing opportunities to harness the capabilities of people from diverse backgrounds will help achieve a more open,global and innova-tive business.

185、We are promoting the participation of women,foreign employees and outside person-nel as part of these efforts to increase the choices for working time,place,and residence.The NTT Group has reviewed its personnel system to as-sign the right person to the right job at the right time regardless of thei

186、r gender,years employed,or age.We are focusing on specialization,encour-aging self-guided career formation,and also rais-ing the starting salary of new recruits as part of efforts to revise the personnel system for general employees.Promotion of participation of women,foreign employees and outside p

187、ersonnelTargetResultsPromote the appointment of females as managers and Board membersEnhance various support and training programsNewly appointed managers:30%every year29%Managers:15%in FY20258.7%Board members:25%to 30%in FY202517.7%Aggressively hire foreign employees and outside personnelMid-career

188、 hires*:30%in FY202332.5%*Outside personnelIntroduction of new personnel systemTargetResultsExpand job-based personnel system to all management positions-Introduced in October 2021Promote self-guiding career formation for general employees(revision to specialization-based personnel compensation syst

189、em)New system to be introduced in April 2023Decentralization of the organization(including head office and back-office employees)TargetResultsDecentralize organization from metropolitan areas to regional areas(core cities)From FY2022Began trial in October 2022Further accelerate community-based regio

190、nal revitalization businesses for primary or other industries in the regionFrom FY2021Promotion of work-in-life(health management)through the workplace-residence proximityTargetResultsEnsure remote work for employees,and provide them with the freedom to choose their place of work(no need for relocat

191、ions and unaccompanied assignments,recruitment of remote-based employees,expansion of satellite offices,etc.)FY2022260 or more locations*End of September,FY2022551 locations*Satellite officesEnsuring the positive coexistenceof nature and humanityCEO MessageImproving prosperity for all people and cul

192、turesMaximizing well-being for all021Sustainability Report 2022Engagement SurveyIn fiscal 2021,NTT Group revamped its existing Employee Satisfaction Survey,which focused on questions relat-ing to ease of working,and added questions relating to job satisfaction as an indicator for defining culture.It

193、 also conducted a Group-wide Engagement Survey to quantify employees attachment to and trust in the company to which they belong as an“engagement score.”By understanding the issues that need to be improved for estab-lishing corporate culture,and by taking action to make improvements,we hope to estab

194、lish a corporate culture where employees identify with the companys and organizations policies and strategies,as well as feeling pride in their work.NTT Groups Four KPIsWillingness to make voluntary contributions(1)I am motivated to contribute more than is required to get the job done at the company

195、Attachment to and pride in the company(2)I am proud to work at this company(3)I would recommend our company as a great place to work to those I knowJob satisfaction(4)I gain a sense of personal accomplishment through my workManagement where investment in human resources leads to value provided to cu

196、stomersThe NTT Group focuses on assigning the best-suited person to the work and post,regardless of age,and is moving ahead with self-guided career development that will result in better earnings for the company by boosting the motivation of employees to take on challenges and encouraging them to en

197、hance their skills by acquiring specialized knowledge.To achieve this,we are implementing a system for posts with clearly defined roles that assigns the right person to the right job,while taking into account employees career plans,in line with the job-based personnel system introduced in October 20

198、21 for all management positions.We will also be rolling out a system for general employees from April 2023,built on a revised personnel compensation system with a greater focus on specialization so that employees can work on enhancing their professional areas of specialization and forge their own pa

199、th forward.Providing customers with a new sense of excite-ment only comes about due to having the motivation or taking action to create something new.In fact,each and every idea or product is created by a“person.”We believe that employees creating added value helps to increase convenience throughout

200、 our customers lifestyles and can even lead to the development of new social trends.All of these revisions have helped to inspire each and every employee to further increase their specializations and ac-quire or maximize their skills and have resulted in the cre-ation of a working environment that a

201、llows them to create added value in a broad range of fields.Creating new value by reforming business and expanding into new business areas will provide the impetus for continued growth and development through the entire NTT Group.Introduction of job-based personnel system to all man-agement position

202、s(October 2021)Shift to assigning the right person to the right job for greater strategic capability Job definition and grading linked to management strategy and business strategy importance Assign the right person that suits the roles and tasks required of each job,regardless of number of years emp

203、loyed or age Framework where compensation is determined based on job assignment.Move to a working environ-ment where special appointments or salary reductions are the norm Transform awareness for management positions and increase employee motivation to take on chal-lenges,and promote self-guided car

204、eer developmentIncreaseemployeesspecializationsand skillsIncreaseemployeesability toprovidevalue-addProvidenew value tocustomersBusinessgrowthInvestmentin humanresourcesRevision to specialization-based personnel compensa-tion system(general employees,April 2023)Personnel compensation system that rew

205、ards specialization with promotions Framework that eliminates requirements for years employed or years served,and provides promotions and salary increases corresponding to acquired specialization or level of skills(set grade standards that clarifies the specializations or other skills required in 18

206、 specialist fields)Formation of a new“Specialist Course”that provides high compensation for employees with a particu-larly high level of specialization(career diversification)Personnel system that supports self-guided career development Shift to personnel assignment and transfer policy to boost spec

207、ialization Greater support for self-guided career development(enhanced training,better career consulting functions,etc.)Percentage of positive responses57%The Average of the Four KPIsEnsuring the positive coexistenceof nature and humanityCEO MessageImproving prosperity for all people and culturesMax

208、imizing well-being for all022Sustainability Report 2022Decentralization of the Organization(Including Head Officers and Back-Offices)The NTT Group began initiatives for decentralizing the organization from metropolitan areas to regional areas(core cities)Trial run for dispersing the organization acr

209、oss regions to begin at the holding company(starting in October 2022)From the standpoint of resilience,we will aim for sustainable business operations by opening offices in Takasaki City and Kyoto City for promoting distributed offices The first step will involve a trial of certain organizations(wit

210、h approx.200 employees)of the holding company The trial will be used to test for issues or measures related to business operations and communi-cations with distributed offices,with a view to applying it to actual operations Introduce a working style based on telework in which employees engage in hea

211、d office opera-tions while residing in a distant location Introduce a“hometown double work”program to contribute to the revitalization of local commu-nities and areas associated with the Company while continuing current assignmentsHomeTravelexpensesRelocation allowanceTravel expensesOfficeNo need fo

212、r unaccompaniedassignmentHome(to return to)HomeRemote Standard Any residence in Japan is acceptable Any reasonable transportation method to and from work that can be considered travel expenses(lodging expenses provided if accommodation is needed)is acceptable No need to relocate to a remote location

213、 if the new location is an organization that accepts the Remote StandardNew Work Style In general,reside in a location within 2 hours commuting distance(one-way)Relocation or unaccompanied assignment if transferred to remote locationsPast Work StyleHomeRelocationallowanceTravel allowancefor returnin

214、g homeCommuting allowanceDormitoryCompanyhousingOfficeHome(to return to)RelocationUnaccompaniedassignmentPrevious residenceFlexible work styles not bound by time and placeIn September 2021,we declared our policy aimed at eliminating the pressures of job transfers or working away from their family,as

215、 part of efforts to create work styles throughout the entire NTT Group that are no longer constrained by location or time.In July 2022,we introduced a work system that generally allows employees to work anywhere as long as they reside in Japan,and successful-ly rolled out Remote Standard for 30,000

216、employees,around half of all of those working at the Groups main companies.We believe that flexible work styles encourage individual diversity,dialog and innovation,which will lead to a work environment that delivers positive business outcomes.Achieved work styles not bound by time and place.To elim

217、inate restrictions by place of residence.New system“Remote Standard”(2022)Previous System Revisions(2020)System revisions due to COVID-19Remote work(no restrictions to frequency or location)Commuting allowance(payment corresponding to actual commuting)Remote work stipend(equivalent to energy,water a

218、nd communication costs)Super fex-time system(without core times,can be staggered)Work-from-home(with upper limit)Commuting allowance(fixed payments)No work-from-home stipendsFlex(with Core Times)Past work styleNew work style(Remote Standard)Commuting to the office was the norm Reside within commutin

219、g distance to office Remote work required approval Commuting allowance paid when commuting to office Remote work is the norm(hybrid work with both remote work and commuting to the office)No restrictions to place of residence Travel allowance paid when commuting to office(processed as business trip,n

220、o upper limit)Initially available for approx.30,000 employees,mainly office workersEnsuring the positive coexistenceof nature and humanityCEO MessageImproving prosperity for all people and culturesMaximizing well-being for all023Sustainability Report 2022m e ssag eMessage from Management(Senior Exec

221、utive Vice President)Using Technology to Achieve SustainabilityThe 21st century world that we all live in today is facing major challenges on the way to achieving a low-carbon and sustainable environmentally-oriented society.The NTT Group views resolving issues like climate change as one of its key

222、corporate activities in its goal of building a sustainable society and implements various initiatives in line with its Your Valued Partner”management philos-ophy.The NTT Group is aiming to achieve sustainability based on technology with a key focus on the Innovative Optical and Wireless Network(IOWN

223、).Providing customers with reliable telecommunications ser-vices is the most important role for NTT Group to fulfill.As IoT be-comes more widely used and the services that are essential to our daily lives diversify,the amount of traffic continues to grow,and we are approaching various limits in term

224、s of data volume,latency,and power consumption.While the NTT Group initially aimed for commercialization of IOWN around 2030,a number of social is-sues have emerged,including the aforementioned rapid increase of network load,the global situation regarding carbon neutrality,the expansion of traffic d

225、ue to a spike in remote usage spurred by COVID-19,and soaring oil prices.For these reasons,the NTT Group will move its 2030 target forward and start offering IOWN services during fiscal 2022.We are introducing these services to users who have a need for advanced services and planning to in-troduce s

226、ervices for specific applications and areas while achiev-ing further advancements with technological demonstrations.We are already running a proof-of-concept for the“Urban DTC”(DTC:Digital Twin Computing)initiative aimed at increasing com-fort in cities using data on buildings,urban spaces and behav

227、ior of people,at the“Urbannet Nagoya Nexta Building”next-generation advanced office that opened in June 2022.After putting some technologies to practical use during fiscal 2022,we will also grad-ually be installing equipment in facilities of the NTT Group.We plan to showcase the results of our IOWN-

228、related efforts at the 2025 World Exposition to be held in Osaka,Kansai.The Value that IOWN Provides and Collaborating with Our PartnersIn September 2021,we unveiled our new environment and energy vision,“NTT Green Innovation toward 2040”aimed at achieving zero environmental impact while continuing

229、economic growth,by reducing the environmental impact of our business activities and creating breakthrough innovation.This vision was designed so that the NTT Group is able to achieve carbon neutrality in fiscal 2040 with IOWN,ten years before the 2050 goal for carbon neutrality set by the Japanese g

230、overnment.Additional utilization of optical technology is important for implementing the IT infrastructure with both high performance and low power consumption that IOWN is aiming for.We will introduce optical technology,which can handle signals while using less pow-er than electricity,not only for

231、transmission,but also for process-ing.This will enable us to achieve advanced fusion of light and electricity(photoelectric merging technology),in which optical technology is applied in extremely close proximity to the parts where operations are performed.Incorporating this technology into semicondu

232、ctors will fundamentally solve the aforementioned issues.Photoelectric merging technology is an area in which NTT excels,given the optical-related technologies it has amassed.At present,Japanese companies possess significant tech-nology and manufacturing capabilities in the semiconductor value chain

233、.However,we have not yet achieved the kind of presence a global stakeholder should have.Our goal is for Japan to spear-head IOWN in collaboration with our global partners and become an indispensable global player in the semiconductor value chain.Established in the United States in 2020,the IOWN Glob

234、al Forum has already attracted more than 100 members from Europe,the United States,and Asia.This forum is unique in that it is not limited to the IT and telecommunications industries,but also encompass-es the automotive,plant,and financial industries,as well as aca-demic institutions.We believe that

235、 we can work hand in hand with the members of the forum to create a value chain that utilizes IOWN in every industry.Katsuhiko KawazoeSenior Executive Vice President CTO,Representative Member of the BoardEnsuring the positive coexistenceof nature and humanityCEO MessageImproving prosperity for all p

236、eople and culturesMaximizing well-being for all024Sustainability Report 2022Investment in human capital is essential to continue producing research resultsResearch and development at NTT involves approximately 2,300 researchers conducting a broad,diverse range of research,from basic research to R&D

237、that underpins business development at operating companies,based on the principle of creating world-leading technologies and services and contributing to the development of society,industry,and academia.We are creating competitive technologies as part of the research and development that forms the s

238、ource of growth for the NTT Group,and will go on to create new value through open innovation and collaboration with various companies,universities and research institutions.It is vital to view each and every employee as an independent researcher with a high level of market value.To facilitate this,w

239、e are supporting diversity-rich career formation,from basic research to technology management,in line with each individuals career plan.With even more rapid changes occurring today,we are regularly reviewing training programs to ensure they are up to date and optimized for nurturing researchers with

240、 a high level of market value.Going forward,we will need excellent researchers in a wide range of fields such as encryption technology energy.To this end,we will aim to make NTT Group more attractive,not only in terms of compensation,but also in terms of prestige,the research environment,and many ot

241、her aspects so that people wish to work here.Ensuring the positive coexistenceof nature and humanityCEO MessageImproving prosperity for all people and culturesMaximizing well-being for all025Sustainability Report 2022An abbreviation for the Innovative Optical and Wireless Network(IOWN),this concept

242、is a step for achieving a Smart World through the fusion of photonics-electronics convergence technology and three core elementsan All-Photonics Network,Digital Twin Computing,and Cognitive Foundation.This is the core concept that delivers a stable,high-capacity commu-nications network with computin

243、g capacity that exceeds the perfor-mance of conventional computing technologies and networks,with lower power consumption and overcoming communication latency issues.*1 Target value of power efficiency of photonics technology-applied part *2 Target value of communication capacity per optical fiber *

244、3 Target end-end delay for video traffic that does not require compression within the same prefectureWhat is IOWN conceptAll-photonics network(APN)for achieving the IOWN conceptSmart WorldLimits and reduces power consumptionPower efficiency*1100 times higher(1)Low power consumption No conversion bet

245、ween light electricity Integrated opto-electronic information processingCapable of handling increasing trafficTransmission capacity*2 125 times higher(2)High capacity and high quality Allocate wavelength for each service IP-independentLow-latency transmission backboneEnd-to-end delay*3 1/200(3)Low l

246、atency No data compression No queueingChip-to-chip opticaltransmissionConnectionsaround a chipCOSAIncreasedinformationprocessingcapability*Photonics-electronics convergence deviceOptical transmission:400 GbpsCore-to-core optical transmission in the chipOptical signal transmission in the chipTight co

247、upling of optical and electronic circuitsPhotonics-electronics convergence processorElectrical layerOptical layerPublic networkPrivateOptical processor(Photon fusion type)APIAPICtrlAPICtrlAPIEdgeCloudCtrlAPICtrlCtrlDigital Twin ComputingDevice AgentAll-Photonics NetworkEnd-to-end connectivity by com

248、bining ICT resourcesNetwork servicesCtrlAchieve rapid ICT resource deploymentand calibration optimizationMultiorchestratorCognitiveFoundationBusiness ABusiness BBusiness CEnsuring the positive coexistenceof nature and humanityCEO MessageImproving prosperity for all people and culturesMaximizing well

249、-being for all026Sustainability Report 2022Going forward,the goal is to implement use cases raised at the IOWN Global Forum by demonstrating conceptual use cases among a wide range of companies and organizations.Future use cases achieved with IOWNArea managementSmart mobilityCapable of high-speed pr

250、ocessing of data generated from the large number of cameras and other sensors installed around the venue,together with low power consumptionAutomation of logistics within a venue by using automatically driven vehicles,transportation robots,drones,and more1 2 3:Target value of R&DAPNQuickly dispatch

251、to venueBandwidth:96 Gbps*14K videoReal-timeprocessingIT resourcesUse effciencyLimits powerconsumption1/8th that of IA serversWavelength allocatedfor objective100 Gbps/wavelength12Concatenated loopDataprocessingDataprocessingDataprocessing*1 For 4K/H.265,30 fps x 4,000 unitsDisaggregated computingAP

252、NDataprocessingRemoteoperation3ConcatenatedloopCognitive Foundation(ExNaaS)Achieves smooth movement in varying wireless environments*2 1 Gbps/device,120 Gbps/1km2Bandwidth:120 Gbps*2E2E delay10-20msecAudiencePerformersAPNDataprocessingLive venueRemote venuePerformersConcatenatedloopUltra-realistic l

253、iveexperience same or betterthan those at the venueUncompressed video/Voice transmissionBandwidth:14 Gbps to 230 Gbps*3 x number of venuesLatency:less than 70 ms(performer audience)*3 When using Volumetric Capturing uncompressed videoLive entertainmentAchieves live entertainment that brings together

254、 live venues,remote venues and the audience2021 highlights544.1billionB2B2X earningsRatio of women newly promoted to management positionsRatio of direct dialogue with critical suppliersRatio of remote work100%29.1%77.3%reduction38%(compared to FY2013)GHG reduction(Scope1+2)Ensuring the positive coex

255、istence of nature and humanityImproving prosperity for all people and culturesMaximizing well-being for allRecycling rate97.8%Ensuring the positive coexistenceof nature and humanityCEO MessageImproving prosperity for all people and culturesMaximizing well-being for all027Sustainability Report 2022Th

256、e NTT Group is contributing to resolve environmental issues while also delivering economic growth.Ensuring the coexistence of nature and humanityCEO MessageEnsuring the positive coexistenceof nature and humanityImproving prosperity for all people and culturesMaximizing well-being for all028Sustainab

257、ility Report 2022Ensuring the positive coexistenceof nature and humanityThoroughly implementing environmental assessmentContributing to natural ecosystem conservationIncreasing the reuse and recycling of communicationsequipment,mobile terminals,and other technologiesReduction in plastics use and pro

258、motion of recyclingProper treatment,storage,and management of hazardous wasteAppropriate and efficient management ofwater resourcesClimate change and other environmental issues are increasing in severity every year causing greater social and economic damage as natural disasters become more frequent

259、and widespread.The NTT Group is“moving toward a decarbonized society,”“implementing closed loop recycling”and achieving“a future where people and nature are in harmony”as part of its goals for“ensuring the positive coexistence of nature and humanity,”and is analyzing the under-lying reasons behind e

260、ach issue in order to take the required action.Toward a future that ensures the positive coexistence of nature and humanityCarbon Neutrality(2040)The NTT Group is committed to initiatives that reduce greenhouse gas emissions throughout its business activities and society as a whole,by rolling out IO

261、WN technology and increasing development and use of renewable energy sources.Recycling Rate of 99%or higher(2030)To facilitate the shift from a one-time use consumption-oriented economy to a recycling-oriented one,we will promote the effective use of resources throughout the entire life cycle of our

262、 products and systems,from procurement to use and disposal.Moving towarda decarbonizedsocietyImplementingclosed looprecyclingA future wherepeople andnature are inharmonyPotential Future and Underlying ReasonsActionCommitmentsA future ensuring the positivecoexistence ofnature andhumanityTodayPromotin

263、g energy conservationReduction of power consumptionby introducing IOWN technologiesDeveloping and expanding the use ofrenewable energyProviding new services that contribute tocarbon neutralityCreation of innovative environmentalenergy technologyThe telecommunication equipment essential to the NTT Gr

264、oups businesses have no small impact on ecosys-tems.Ecosystems full of biodiversity provide us with a bounty that is crucial for all forms of life on earthwe are focusing on proper conservation as a way of keeping nature the way it was meant to be for future generations.Through our business and empl

265、oyee activities,we will promote initiatives related to conserving ecosystems within nature.What should NTT be aiming for?The NTT Group views finding solutions to climate change and other environmental issues that society faces as one of its core roles,and is continuing its existing activities aimed

266、at reducing greenhouse gas emissions.Meanwhile,there is growing hope that environmental challenges can be resolved through the use of ICT.The NTT Group needs to focus on Group-wide efforts at promoting energy efficiency and increasing the use of renewable energy sources,given that 90%of the CO2 emis

267、sions from its business activities arise from the electricity it consumes.Additionally,developing next-generation energy technologies and technologies to enable resilient environmental adaptation,and providing services that help to alleviate the impact that society as a whole has on the environment,

268、will reduce the impact on the global environment and help prevent environmental destructionthese will open the door to a sustainable society in which humans can continue to live in harmony with the environment.Although our one-way society of mass production,mass consumption,and mass disposal has bro

269、ught affluence and convenience to our lives,it has brought about various problems such as the creation of massive amounts of refuse,illegal dumping and concern about the depletion of natural resources.To resolve these issues we must first review how companies manage their businesses as well as our s

270、ocial and economic systems,and shift to a closed loop society.In an effort to realize a future with closed loop recycling,the NTT Group promotes the 3Rs(reduce,reuse,and recycle),working to reduce the amount of materials consumed by our business activities and reuse or recycle the resources that are

271、 consumed.We will shift from a one-time use consumption-oriented company to a recycling-oriented one.We will promote the effective use of resourc-es throughout the entire life cycle of products and systems,from procurement to use and disposal.CEO MessageEnsuring the positive coexistenceof nature and

272、 humanityImproving prosperity for all people and culturesMaximizing well-being for all029Sustainability Report 2022Ensuring the positive coexistence of nature and humanityEnsuring the positive coexistenceof nature and humanityEnsuring the positive coexistenceof nature and humanityCEO MessageImprovin

273、g prosperity for all people and culturesMaximizing well-being for all030Sustainability Report 2022Ensuring the positive coexistence of nature and humanityEnsuring the positive coexistenceof nature and humanityBasic Policy and Action Guidelines Basic PolicyThe NTT Group is committed to achieving a ne

274、w level of prosperity where humanity can co-exist and preserve nature for generations to come.To this end,we will work to balance solving ecological problems and improving economic development by reducing the environmental impact of our business activities and creating new technologies and innovatio

275、ns.Action Guidelines1.Reducing greenhouse gas emissionsThe NTT Group is committed to initiatives that reduce greenhouse gas emissions throughout its business activities and society as a whole,by rolling out IOWN technology,increasing development and use of renewable energy sources,and providing serv

276、ices that contribute to carbon neutrality.2.A commitment to resource recyclingWe will shift from a one-time use consumption-oriented company to a recycling-oriented one.We will promote the effective use of resources throughout the entire life cycle of products and systems,from procurement to use and

277、 disposal.3.Conserving ecosystemsThrough our business and employee activities,we will promote initiatives related to conserving ecosystems within nature.4.Compliance with laws and regulations and fulfillment of social responsibilitiesWe comply with the laws and regulations related to environmental i

278、ssues in each country and re-gion,and act with high ethical standards.5.Establishing and maintaining environmental management systemsWe will establish the Green Innovation Committee chaired by the Representative Director and Se-nior Executive Vice President,and discuss basic strategies concerning en

279、vironmental issues,the status of implementation of activities,and information disclosure,and implement relevant initiatives.6.Stakeholder engagementWe will engage with stakeholders throughout our entire value chain to help resolve environmental issues.Disseminating Environmental Activities Policies

280、and Measures among EmployeesNTT Group conducts environmental education to disseminate NTT Group policies and measures among employees and develop a shared understanding of Group-wide activities for promoting environmental protection.In fiscal 2021,we also provided training related to the Groups envi

281、ronmental activities for all employees,such as group training and e-learning.The NTT Environmental Protection Office organizes environmental education for staff in charge of environmental issues at each Group company and has been holding study sessions every year since fiscal 2001.Along with lecture

282、s for disseminating our en-vironmental policies and sharing outstanding issues,we invite outside lecturers to speak on recent top-ics.These study sessions are intended for the NTT Group throughout Japan and are therefore offered via a teleconferencing system so that staff in remote areas can attend

283、and ask questions through two-way connections.This paperless approach is also another way the NTT Group is helping to reduce greenhouse gas emissions resulting from holding meetings.In fiscal 2021,we invited experts on environmental management and CSR to explain the SDGs and ESG and to speak about e

284、nvironmental management.Furthermore,related staff in Group companies introduced their environmental initiatives with the aim of promoting environmental activities at each Group company.Compliance with Environmental Laws and RegulationsThe NTT Group complies with laws and regulations related to the e

285、nvironment and works to reduce its impacts on the environment.We have established a mechanism that can deal with cases of legal viola-tions on a Group-wide basis by reporting to the Global Environmental Protection Promotion Committee.There were no legal violations nor payments of penalties in fiscal

286、 2021,following the same result for fiscal 2020.As part of its environmental management measures,the Group also tracks the number of com-plaints related to the environment for each fiscal year.In fiscal 2021,no complaints related to environ-mental impact were submitted,handled or resolved through ou

287、r systems for dealing with complaints.Going forward,we will maintain compliance with existing laws and regulations as well as set up a work-ing group on environmental laws and regulations to help step up our preparations for complying with laws and regulations under review or scheduled to take effec

288、t.CEO MessageEnsuring the positive coexistenceof nature and humanityImproving prosperity for all people and culturesMaximizing well-being for all031Sustainability Report 2022Ensuring the positive coexistence of nature and humanityEnsuring the positive coexistenceof nature and humanityWhy it mattersT

289、he NTT Group views one of its core roles as helping to resolve environmental issues that society faces,and is con-tinuing its existing activities aimed at reducing greenhouse gas emissions.There are increasingly high hopes that the ICT sector will be able to help resolve environmental issues,and thi

290、s has been outlined in the Paris Agreement.The NTT Group remains committed to measures that utilize ICT ser-vices and cutting-edge technology to reduce greenhouse gas emissions.Future visionThe NTT Group is pushing ahead with research and devel-opment aimed at curbing climate change,encouraging em-p

291、loyees to take part in nature conservation activities,increasing awareness inside and outside the group of its activities that help improve the environment,and many oth-er activities to contribute to a reduction in greenhouse gas emissions throughout society as a whole.What can be accomplishedThe NT

292、T Group is committed to initiatives that reduce greenhouse gas emissions throughout its business activi-ties and society as a whole,by rolling out IOWN technology and increasing development and use of renewable energy sources.Social Challenge1Moving toward a decarbonized societyBusiness Activity1.Pr

293、omoting energy conservation2.Reduction of power consumption by introducing IOWN technologies3.Developing and expanding the use of renewable energy4.Providing new services that contribute to carbon neutrality5.Creation of innovative environmental energy technologyFeature 1:Environment and Energy Visi

294、onAchieving carbon neutralityIn September 2021,the NTT Group unveiled its new environment and energy vision,“NTT Green Innovation toward 2040”for achieving“zero environmental impact”while continuing“economic growth”by reducing the environmental impact of its business activities and creating breakthr

295、ough innovation,with the aim of creating a well-being society and boosting corporate value through ESG initiatives.NTT will aim to achieve carbon neutrality by fiscal 2040 based on this vision.NTT has set targets for groupwide carbon neutrality by fiscal 2040 on its way to achieving zero environment

296、al impact.The mobility communications(NTT DOCOMO)and data center business will be the first within the NTT Group to achieve carbon neutrality,as targets have been set to reduce greenhouse gas emissions by 80%of fiscal 2013 levels,by the fiscal year ending March 31,2031.This target was approved as th

297、e 1.5C level by SBT in December 2021.20302040 Carbon-NeutralGreenhouseGas EmissionsMobile(NTT DOCOMO)Data Centers80%Reduction(comparedto FY2013)Carbon-NeutralParaconsistentAddressingEnvironmentalIssuesImprovingEconomicGrowthReduction ofEnvironmentalImpact throughBusiness ActivitiesCreation ofBreakth

298、roughInnovationNew Environment and Energy VisionNTT Green Innovation toward 2040-Achieving Zero Environmental Impact and ImprovingEconomic Growth at the Same Time-Achieving Zero Environmental Impact and ImprovingEconomic Growth at the Same Time-NTT Green Innovation toward 2040*Scope of reduction tar

299、getsGHG protocol:Scope 1(own direct emissions of GHG)and Scope 2(indirect emissions from using electricity,heat and steam supplied by other companies)Mobile:15 companies in NTT DOCOMO Group(as of September 28,2021)Ensuring the positive coexistenceof nature and humanityCEO MessageImproving prosperity

300、 for all people and culturesMaximizing well-being for all032Sustainability Report 2022Ensuring the positive coexistenceof nature and humanityEnsuring the positive coexistence of nature and humanityWith the current situation,data traffic will increase significantly,leading to an increase in energy co

301、nsumption and thus greater greenhouse gas emissions.In order to achieve carbon neutrality,IOWN will be rolled out to reduce energy consumption,increase the use of renewable energy sourc-es,and cut down on greenhouse gas emissions.Key Initiatives Toward Carbon NeutralityIllustration of NTT Group Gree

302、nhouse Gas Emission*1 Reductions Increased use of renewable energy:Reduce greenhouse gas emissions by 45%*2 Lower energy consumption with IOWN technologies:Reduce greenhouse gas emissions by 45%*3Illustration of NTT Group Greenhouse Gas Emission Reductions(Domestic+Overseas)Greenhouse Gas Emissions(

303、Millions of Tons)20132020202220302040OffsetsIOWNEnergy SavingsOutcome80%80%RenewableEnergies(Fiscal year)Introduction of InternalCarbon Pricing SystemMobile,Data Centersto be Carbon NeutralNTT Group to beCarbon Neutral10%45%Introduction ofRenewableEnergy,etc.45%(8.6 million tons)(8.6 million tons)Gr

304、eenhouseGas Emissions0.95 million tons4.0 million tons122Reduction ofEnergyConsumption55%FY2021/2022 Initiative HighlightsOf the total power consumption during fiscal 2021,switching to renewable energy sources for more than 1.8 billion kWh(approx.23%of power consumption,approx.150%compared year-on-y

305、ear)used by the entire Group resulted in greenhouse gas emissions of 2.90 million tons,a reduction.of 38%compared to FY2013 levels.To achieve carbon neutrality,a resolution was passed at the Executive Committee meeting in May 2022 to gradually implement an“Internal Carbon Pricing System”within Group

306、 compa-nies.This system encourages reducing our impact on the environment by virtually convert-ing CO2 emissions into costs.NTT GroupIntroduction of Internal Carbon Pricing SystemOverview of Internal Carbon Pricing System implemented by the NTT GroupInternalcarbon priceScope ofapplication/Method6,50

307、0/t-CO2In July 2022,NTT FACILITIES power engineering and other power-related operations,primarily design and maintenance of solar power plants and power supply facilities for telecommunications,were transferred and integrated into NTT ANODE ENERGY.Through this integration of power-relat-ed operation

308、s,NTT Anode Energy will promote four businesses:the green power generation busi-ness,regional grid business,consumer energy business,and construction and maintenance operations business.By linking these four busi-nesses into a single integrated value chain,the company will develop a smart energy bus

309、iness.Integrating Power-related Operations toAccelerate Expansion of Smart Energy Business4.65milliontons4.613.9938%2.9(27%year-on-year)2013Results 2019Results2020Results2021ResultsFiscal year(compared to FY2013)Amount of purchased electricityIncl.renewable energies1.8 billion kWh11.8 billion kWhCon

310、struction/MaintenanceOperations BusinessConsumer Energy BusinessRegional Grid BusinessGreen PowerGeneration BusinessOverview of NTT Anode Energys Post-integration Smart Energy BusinessAchieve carbon neutrality for society as a wholeNTT Anode Energy Groups Smart Energy BusinessCollaborate with partne

311、r companies based on technologiesand solutions possessed by NTT Group companies4.65 million tons4.65 million tonsFeature 1:Environment and Energy VisionAchieving carbon neutrality1*1 GHG Protocol:for Scope 1 and 2*2 Estimated Introduction of Renewable Energy(including actual renewable energy through

312、 Non-Fossil Fuel Certificates)FY2020,1.0 billion kWh;FY2030 to FY2040,around 7.0 billion kWh.The introduction of renewable energy will have the optimal types of energy determined on the basis of each countrys energy composition,etc.Approximately half of the domestic renewable energy usage is anticip

313、ated to be from energy sources owned by NTT(FY2030).*3 Estimated Reduction of Energy Consumption through the Introduction of IOWN(Comparison to Outcome).FY2030,(2.0)billion kWh(15)%);FY2040,(7.0)billion kWh(45)%)Percentage of Introduction of IOWN(Photonics-electronics Convergence Technologies,etc.)o

314、ut of Total Energy Volume FY2030,15%;FY2040,45%NTT GroupNTT Anode EnergyNTT GroupmilliontonsProvide new services through NTT Group to promote carbon neutrality among local governments,companies,and other entitiesPromote NTT Groups style for achieving carbon neutrality Green Power Generation Business

315、:Development of renewable energy power plants Regional Grid Business:Promote expansion of the use of NTT Groups assets to enhance local production and consumption of renewable energy and resilience Customer Energy Business:Promote carbon neutrality among customers by offering decarbonization solutio

316、ns Construction/Maintenance Operations Business:Aim to improve quality and efficiency by enhancing power engineering functions(construction,maintenance,and monitoring)When it comes to decarbonization-re-lated project decisions and procure-ment(product selection,etc.),decisions are made while taking

317、CO2 emission costs into consideration.Ensuring the positive coexistenceof nature and humanityCEO MessageImproving prosperity for all people and culturesMaximizing well-being for all033Sustainability Report 2022Ensuring the positive coexistenceof nature and humanityEnsuring the positive coexistence o

318、f nature and humanityIn addition to the“Green of ICT,”which will curb the environmental impact of NTT Group by introducing IOWN technologies and increasing the use of renewable energy,we will also work on“Green by ICT,”which will contribute to reducing the environmental impact of society as a whole.

319、Reduction of EnvironmentalImpact through Business ActivitiesCreation ofBreakthrough InnovationGreen byICTContributions toReducing SocietysEnvironmentalImpactGreen ofICTReducing NTTsOwn EnvironmentalImpactReducing societys environmental impactIntroduction of IOWN and Expansion of Renewable EnergyAchi

320、evement of Ultra-Low Power ConsumptionCreation of Decentralized TechnologyCreation of innovative environmental energy technologydocomo Denki Green*Renewable energy sources include the use of specified non-fossil fuel certificates.A service lineup that began supplying“docomo Denki”from March 2022 as

321、a distributor harnessing its partnership with NTT Anode Energy.One of the plans,“docomo Denki Green,”makes full use of renewable energy sources*for its supply,helping to achieve carbon neutrality throughout society as a whole.EnvironmentalValueData centerservicesNTTCommunicationsSpace,power,security

322、,connectivity,remote hands,etc.NTT Communications is the first in Japan to offer*1 a renewable energy menu that enables customers(sub-scribers who use cages or rooms)to select the electricity used by their ICT equipment*2 for largescale com-mercial data centers utilizing renewable energy supplied by

323、 NTT Anode Energy.In addition,information on the power plant and the amount of electricity used will be provided on an individual basis as a type of“envi-ronmental value”utilizing non-fossil certificates*3.Target Data Centers(as of April 2022)Yokohama Data Center No.1,Saitama Data Center No.1,Tokyo

324、Data Center No.5,Tokyo Data Center No.8,Tokyo Data Center No.11*1:Results of a survey of publicly available information about providing a menu that enables customers to select the type of renewable energy,and the provision of“environmental value”using non-fossil fuel certificates according to the ty

325、pe of renewable energy,at large commercial data centers in Japan that receive extra-high voltage while providing renewable energy(survey conducted by NTT Communications/NTT Anode Energy,March 2022)*2:Provision of the service may entail equipment modification costs,such as power supply installation.*

326、3:Certificates issued by separating the value from electricity originating from sources that do not emit CO.This will achieve actually 100%renewable energy.*4:FIT electricity refers to electricity generated from renewable energy sources and purchased by electric utilities under the feed-in tariff sy

327、stem established by the government(the Amended FIT Act).Because FIT electricity is financed by contributions imposed on electricity users(the public),its environmental value already belongs to the public.By contrast,non-FIT electricity that does not rely on the FIT system is viewed favorably because

328、 it contributes to the expansion of renewable energy implementation while reducing the burden on the public.*5:Electricity generated from solar energy,geothermal energy,or biomass can be specified.(as of April 2022)*6:Off-site PPA(Power Purchase Agreement)is a scheme in which electricity users concl

329、ude contracts with power generation business operators to procure renewable energy over the long term.Off-site PPA,an abbreviation of Off-site Corporate PPA,involves the use of power generation facilities in locations removed from users to supply them with electricity through the power grid.Renewabl

330、e Energy Menu for CustomersActual renewable energy utilizing non-fossil fuel certificates1342EnvironmentalValueElectricityClientsSupport clientsESG managementinitiativesCarbon-freeoperations(incl.via Non-fossilCertificates)Environmental ValueFIT,non-FIT,solar,wind,hydro,geothermal and biomass electr

331、ic power generationRenewable energyLNG,natural gas,thermal power,etc.NTTAnode Energy GroupFY2021/2022 Initiative Highlights*1 Energy,transportation,logistics,etc.*2 ITER:International Thermonuclear Experimental ReactorQST:National Institutes for Quantum Science and TechnologyFeature 1:Environment an

332、d Energy VisionAchieving carbon neutrality Further acceleration of DX and promotion of Remote World Promotion of regional urban development and the introduction of new social infrastructure development Reduction of greenhouse gases across the entire supply chain Provision of new services that contri

333、bute to carbon neutrality Contribute to local production and consumption of energy,through smart grids based on battery farms Increase in green electricity retail Reducing power consumption by introducing IOWN technologies Developing and expanding the use of renewable energy Introduction of internal carbon pricing system Issuance of green bonds Use of 4D digital platform for future predictions/opt