In recent years, global warming has accelerated, and as multiple environmental indicators exceed the safe range of the planetary boundaries, companies are being strongly urged to take environmentally friendly actions towards sustainable coexistence with the Earth.

NEC has positioned the environment as an important theme in its “NEC 2030 VISION,” and is strengthening its efforts in both reducing its own environmental impact and contributing to the creation of a sustainable environment through its products and services. We are focusing our efforts on the Client Zero initiative, which involves leveraging the latest technologies for practical use within our own company and then using the knowledge gained from this to create solutions. These solutions will then be employed in NEC BluStellar.

1. Introduction

In recent years, the planet has been experiencing an increase in average temperature, which has begun to impact our daily lives in a variety of ways. This phenomenon extends beyond rising temperatures. According to the most recent update to the Planetary Boundaries framework (September 13, 2023),¹⁾ of the nine areas of impact on the global environment, safe levels have been exceeded in six areas (climate change, freshwater change, land use, biosphere integrity, nitrogen and phosphorus biogeochemical cycles, and new chemicals), meaning the planet is considered to be in a critical state (Fig. 1). It is imperative that we act with more accountability towards the environment if we are to sustainably coexist with the Earth.

2. Trends in Environmental Management

In the corporate context, environmental responsibility has become a core component of management strategy. In recent years, the focus of many companies’ environmental management has centered on reducing CO₂ and other greenhouse gas emissions. However, in response to growing concern about global environmental issues and stricter regulations, the scope of management is expanding to now include aspects such as adapting to climate change, restoring biodiversity and other natural capital, and achieving a circular economy through resource recycling (Fig. 2). Stakeholders have expressed a keen interest in companies' activities in these areas and expect an increasing amount of disclosure of non-financial information.

3. NEC Group’s Environmental Management Vision

As part of its NEC 2030VISION, the NEC Group has embraced the concept, "Living harmoniously with the earth to secure the future." This vision acknowledges the environment as the essential foundation for all life on Earth. The NEC Group is committed to protecting the environment through its business activities and to actively addressing and contributing to the resolution of environmental and social challenges (Fig. 3). Recognizing the complexity of environmental challenges, the NEC Group emphasizes the importance of collaboration with a diverse range of stakeholders, including supply chain partners. While also being conscious of collaboration that transcends the boundaries of individual organizations, the NEC Group is strengthening and promoting environmental management from two perspectives: the NEC Group's initiatives to reduce its environmental impact, and initiatives to contribute to reducing environmental impact by encouraging customers to use NEC Group products and services.

4. Implementation of Environmental Management by the NEC Group

The NEC Group is committed to minimizing its environmental impact through various initiatives, including group-wide efforts to reduce CO₂ emissions throughout the supply chain, expanding the use of renewable energy, reducing water consumption and waste emissions, promoting resource recycling, preserving endangered species, and complying with environmental laws and regulations. In addition to its internal sustainability measures, the NEC Group collaborates with industry, government, and academia to shape environmental policies and regulatory frameworks. The NEC Group makes efforts to enhance transparency by publicly sharing its environmental initiatives through ESG reports, the TNFD report, and its corporate websites. These efforts have earned international recognition, with NEC being selected for the CDP “A List” for six consecutive years²⁾ and ranking second in TIME Magazine's World's Most Sustainable Companies of 2024³⁾(Fig. 4).

5. NEC Group’s Environmental Business Creation Initiatives

The NEC Group is making significant progress in reducing its environmental impact through its products and services. A key focus area for the company is the Client Zero initiative, which started in fiscal year 2024. This initiative will be integrated into solutions of NEC BluStellar, further enhancing the company's environmental commitment. The Client Zero initiative positions the NEC Group itself as the initial customer field, applying the latest technologies to its own field, and then promotes internal transformation using the "living" knowledge and experience gained through these efforts as a reference to create solutions that contribute to solving customers' environmental problems. NEC BluStellar aims to contribute to solving customer issues by providing value based on a business model that originates with customer issues. However, addressing all the environmental concerns of a customer with a single solution or technology is often challenging. To ensure optimal outcomes, it is essential to implement a combination of solutions and technologies that align with the specific needs of each customer. Alternatively, a phased upgrade approach may be employed to address customer issues in a systematic and incremental manner.

The Client Zero initiative has yielded several notable solutions, including the Carbon Footprint Calculation Support Service⁴⁾ which capitalizes on the NEC Group's manufacturing proficiency, the CO₂ Reduction Service⁵⁾ that utilizes quantum computing to enhance delivery efficiency, and TNFD (Taskforce on Nature-related Financial Disclosures) compliance support, offered as part of the NEC Group's environmental consulting services. These solutions, whose development started with the NEC Group's internal environmental initiatives, are now being offered to customers. In the future, these solutions will be integrated into solutions of NEC BluStellar, as structured offerings (Fig. 5).

6. Conclusion

Ensuring business continuity and pursuing sustainable growth while minimizing our impact on the global environment is a critical and difficult challenge that we are dedicated to addressing. The NEC Group is committed to this goal and is leveraging cutting-edge ICT technologies in collaboration with our customers and partners. We are intent on fostering a more sustainable society and a brighter future, and we appreciate your continued trust and support as we advance these efforts.

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