Environmental Governance

Environmental Governance Structure ｜ Environmental / Occupational Health and Safety Management Systems ｜ Audits ｜ Emergency Preparedness ｜ Education

Environmental Governance Structure

To further strengthen the supervisory function of the Board of Directors over executive management and to focus on mid- to long-term company-wide strategies that balance stakeholder interests, SHIONOGI has decided to establish a company with an Audit and Supervisory Committee to bolster the oversight of executive management and focus discussions on critical mid- to long-term corporate strategies that balance stakeholder interests.

For details, see the Corporate Governance page

The Environmental, Health, and Safety (EHS) initiatives of the SHIONOGI Group are overseen by the Chief EHS Officer, appointed as the Senior Executive Officer of Sustainability Management. The SHIONOGI Group Companywide EHS Committee, chaired by the Chief EHS Officer, includes representatives from each operating site and the presidents of the group companies, all of whom serve as EHS officers. The committee discusses environmental materiality, sets annual EHS action targets, and reviews progress and activities through management reviews. Additionally, the Energy Conservation Committee, chaired by the Chief EHS Officer, develops draft targets for energy conservation and global warming countermeasures, oversees progress toward climate change goals, and assesses compliance with legal regulations.

The EHS Group of the Corporate Governance Department oversees the operation of these committees and the practical implementation of EHS activities in cooperation with the group operating sites. Matters of significant impact on management are deliberated at the Corporate Executive Meeting and decided by the Board of Directors, with advice sought from the Board as necessary.

Environmental/Occupational Health and Safety Management Systems (EHSMSs)

The SHIONOGI Group considers the proper daily management and operation of overall EHS activities to be essential for protecting the global environment and securing the health and safety of all individuals working within the SHIONOGI Group as well as the safety and hygiene of local communities. For energy-intensive factory-based manufacturing sites, we have obtained ISO 14001 and ISO 45001 certifications, which are the international standards for environmental and occupational health and safety management systems. Other sites also operate their own management systems that conform to ISO 14001 and ISO 45001, maintaining a consistently high management level across all sites and group companies.

ISO 14001 and ISO 45001 Certified Sites and Initial Registration

	Settsu Plant	Kanegasaki Plant	Tokushima Plant	Itami Plant
ISO 14001	Mar. 2021	Oct. 2022	Nov.2001	Apr. 2006
ISO 45001	Mar. 2018	Jul. 2015	Feb.2022	Apr. 2025

Certification Rate for Factories (Based on Energy Consumption)

	Japan	Global
ISO 14001	97.9%	92.3%
ISO 45001	97.9%	92.3%

Audits

SHIONOGI Group conducts audits of operating sites and suppliers based on various standards (as shown in the table), confirming the suitability of management systems, EHS promotion status, and antimicrobial discharge management, among other aspects. Through corrective actions to address identified issues, efforts are made to enhance EHS levels throughout the group.

Audit Standard	Audit Organization	Audited Organization
ISO 14001/ISO 45001 Requirements	External audit body or own site	Pharmaceutical manufacturing sites with ISO certification
PSCI Principles	SHIONOGI Group or external audit company	Pharmaceutical manufacturing sites (SHIONOGI Group and suppliers)
AMRIA Antibiotic Manufacturing Standard	SHIONOGI Group or external audit company	Antimicrobial manufacturing sites (SHIONOGI Group and suppliers)
SHIONOGI Group EHS Management Regulations	SHIONOGI Group or own site	SHIONOGI Group sites (excluding ISO-certified sites)

Furthermore, by using EcoVadis, SHIONOGI evaluates key suppliers based on global standards by reviewing the EHS-related components of the EcoVadis assessments.

For details, see the Supply Chain Management page.

Emergency Preparedness

SHIONOGI Group Enterprise Risk Management Policy prioritizes the protection of human life and the assurance of safety. The policy includes swiftly minimizing damage and effectively preventing the recurrence of incidents. To address risks such as earthquakes, pandemics, and corporate scandals, SHIONOGI has developed specific guidelines and response manuals focused on respect for human life, community contribution, and business continuity. To ensure ongoing preparedness, communication and reporting systems are specifically established, along with regular emergency drills and procedure reviews. In FY2024, disaster drills simulating emergencies such as tsunamis caused by earthquakes and fires were conducted based on the circumstances of each site.

A detailed business continuity plan is in place to ensure stable product supply and continuous service provision to medical institutions even during emergencies.

For details, see the Risk Management page.

Comprehensive disaster drill (Shionogi Pharma Kanegasaki Plant)

Education

To promote EHS activities, each employee must recognize and actively address environmental, health, and safety issues in their work. Environmental education and preliminary training on waste management and chemical handling are provided at sites with relatively high environmental impact. Employees are informed of the CO₂ emission and waste reduction targets and achievements. In FY2024, e-learning was conducted for all employees. The implementation themes and completion rate, with a completion rate of 93% (4,234 of 4,549 employees), are summarized below.

Theme	Completion Rate	Period
SHIONOGI Group EHS Management, Environmental Materiality, EHS Action Targets	93% (4,234/4,549 employees)	July 10, 2024–August 20, 2024