Water Risks
The Daiichi Sankyo Group considers the ability to utilize adequate freshwater at all operating sites and throughout the value chain to be extremely important for promoting and continuing our business.
Water risks include physical, regulatory, reputation and other risks, which are an increasing concern throughout the world. At the Group, we ascertain the status of risks with the potential to impact our business at plants and research facilities.
Specifically, we carry out comprehensive risk evaluations based on the results of analyses of local water risks using the World Wide Fund for Nature (WWF)-DEG Water Risk Filter and the survey results on water risks emanating from plants and research facilities.
These evaluations indicate that operating sites with the highest water risks among our Group are one plant in China and one in Brazil (Table 1). Water withdrawal restrictions and other strengthened regulations are considered to be major risk factors. At present, these plants account for less than 5% of Group revenue. We are paying attention to regulatory trends and optimizing water usage. Specific measures include using rainwater for sanitary water and other daily usage at the plant in Brazil.
In Japan, surveys are conducted in an effort to understand impacts on business where physical, regulatory and reputational risks are a factor, such as the deterioration of water quality, water shortages, regulation of wastewater quality/volume, and the efficient use of water, with analyses and evaluations conducted on the basis of these results (Table 2). At plants in Japan, we are implementing measures that include reducing the utilization of industrial water. In addition, we have implemented countermeasures to deal with the increasing severity of climate disasters in recent years. Specifically in FY2022 we developed a flood risk assessment and countermeasures manual and formulated a plan to mitigate flooding of facilities at the Shinagawa R&D Center and Kasai R&D Center. Furthermore, we recognize the risk of flooding to be extremely low for Daiichi Sankyo Chemical Pharma’s Onahama Plant and our Daiichi Sankyo Biotech’s Kitamoto Site, and we have completed flood risk countermeasures in all research facilities and plants in Japan. In response to the physical risk of temporary suspension of operations at our own facilities due to flooding, we have set a target of “Flood disaster manual maintenance rate: 100% at research laboratories and production sites in Japan”. To address this issue, we have completed risk assessments and the creation of flood response manuals for each business site by the end of fiscal 2023.
Furthermore, our water usage and wastewater drainage are assured by a third party.
Water Use by Plants Located in High Water Risk Areas (FY2023) (Table 1)
Water Risk Factors and Main Impacts (Table 2)
| Water shortages |
Reduction in research and production activities when water supply is stopped or restricted |
| Water quality deterioration |
Impact on manufacturing water (increases in water purification costs, etc.)
|
Floods/storm surges/heavy rain:
flooding of facilities due to river flood |
Shutdown of operations due to flooding
Plant shutdown or decline in sales due to the inability to produce or ship |
| Mandating water efficiency, recycling, etc. |
Increased cost of equipment installation, etc., due to mandatory use of reclaimed water |
| Wastewater quality/volume enhanced regulations |
Cost increases due to rising sewerage fees and stricter wastewater quality regulations result in higher equipment installation costs |
| Drought |
Damage of agricultural products used as raw materials |
Changes in water supply season/
passage of time |
Impact on operational stability due to changes |
Appropriate Use of Water Resources
Water is an important resource which is essential for pharmaceutical production, and we recognize that it is one ecosystem service that should be used sustainably. In addition to understanding the risks and challenges associated with water consumption and the status of water resources in countries and regions where our operation sites are located, we also implement measures including consuming water reasonably and efficiently, promoting reuse with purification equipment, and reducing the amount of water used.
The water consumed per unit of net sales in FY2023 was 511m3/billion yen (down 40.7% from FY2020); while the total volume of water used by the entire Group was 8,191 million m3 (down 2.4% from FY2020).
Water consumed (Withdrawal) and Wastewater Discharged (Entire Group)
Data for each fiscal year is based on the company structure at that time
Waste Reduction Targets and Performance
The Daiichi Sankyo Group defines zero emissions for waste as the final disposal rate representing less than 1% of the total amount of waste.
At our plants and research centers, the Group has established waste reduction and resource efficiency as important issues. Consequently, we seek to save resources through efforts such as the streamlining of resources used in manufacturing and packaging processes, the comprehensive separation of unnecessary and waste materials, the reduction of the total volume of unnecessary and waste material, and resource recycling. Whenever possible, the Group chooses waste disposal firms that recycle thoroughly.
At each office, we promote the thorough separation of trash, double-sided printing of office paper, paperless operations and other measures.
In Japan, the Act on Promotion of Resource Circulation for Plastics was enforced on April 1, 2022. In the EU also, regulations under the directive on the reduction of the impact of certain plastic products on the environment were put into effect, and the importance of plastic waste control and resource recycling is increasing both in Japan and overseas. With regards to plastic waste, the Group is working to change the materials we ue for packaging materials and handouts, such as document bags used at briefing sessions and employee mobile cards.
Outsourced waste treatment, Recycled Waste, and Land fill Volume (Entire Group)
Data for each fiscal year is based on the company structure at that time
Promotion of Waste Compliance
Based on the 5-Year Business Plan, our environmental auditing at plants, research facilities, offices, and other operation sites focuses on verifying the level of compliance with the Waste Disposal Act as part of our efforts to prevent inappropriate waste disposal. Additionally each operation site regularly conducts on-site inspections for waste management contractors (in terms of their level of compliance with applicable laws and regulations, contract implementation, permits and licenses, actual waste disposal operations, etc.).
All operation sites of domestic Group companies have introduced electronic manifests since FY2016 with the goal of reducing risks pertaining to waste disposal.
Efforts to Reduce Waste
Reduction of office paper use
We are continuously promoting effective use of office paper through our efforts such as promoting double-sided printing and N-up printing, reducing distributions of printed documents (promoting paperless operations by using personal computers and projectors), putting up posters to encourage reductions in printing, and using IC card authentication to prevent printing errors.
Promotion of 3Rs (Reduce, Reuse, and Recycle)
Promotion of reuse within the office
We promote reuse of stationery by placing “stationery collecting trays” at the Headquarters area, the Shinagawa R&D Center, and the Kasai R&D Center. Both R&D centers collect not only stationeries but also reusable devices and equipment, and display them in the “Exhibition Room for Reuse” to encourage recycling. In addition to proactively making announcements on the new lineup of goods for exhibition, the R&D centers share and exchange their lineups.
Reuse of recovered organic solvents
At the Odawara Plant of Daiichi Sankyo Chemical Pharma Co., Ltd., we reuse collected organic solvents in manufacturing processes within the company after purifying them through an external contractor.
Promotion of recycling
At the Hiratsuka Plant of Daiichi Sankyo Propharma Co., Ltd., we recycle work clothes and latex gloves used in the pharmaceuticals manufacturing process.
Material recycling of used formulation work clothes and latex gloves
After use PTP Sheet Recycling Program
Daiichi Sankyo Healthcare has started Japan's first demonstration experiment of the “After use PTP Sheet Recycling Program” in the city of Yokoham in October 2022.
As of the end of September 2024, the collection sites were set up at 102 locations in pharmacies, drugstores, hospitals, and public facilities and a cumulative total of approximately 5 tons of used PTP sheets have been collected. The collected PTPs are recycled into new products. Collection boxes are also available at the Daiichi Sankyo Kusuri Museum on the first floor of its Tokyo headquarters,
Data for each fiscal year is based on the company structure at that time
Closed-loop Recycling Efforts
Our special subsidiary Daiichi Sankyo Happiness’s Hiratsuka site conducts closed-loop recycling*1 as a contribution to a recycling-oriented society through employing disabled people. Collected documents and other materials are sorted into reusable paper only and recycled into toilet paper by a partner company, which is then used at the site where the documents and other materials are collected. We contribute to solving social issues by horizontally spreading the program to other sites and introducing it as a good practice in our environmental e-learning program for all employees.
*1Materials recovered from used Daiichi Sankyo products are reused in Daiichi Sankyo.
