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  • Sustainability
  • Sustainability Management of LIFULL
  • Sustainability Issues and Goals

Sustainability Issues and Goals

Focal Points and Sustainability Issues
（Materiality）

We have selected the following eight primary topics (materiality) from a number of different issues based on the sustainability policy of the LIFULL Group. By working towards these goals, we will continue to sustainably improve our corporate value.
notes: Completion dates for mid-term targets are the end of September 2025 unless otherwise specified.

Find Solutions to Social Issues Through Our Businesses

  • Residential
    Life

    • Creating communities where people can live in comfort and safety
    • Eliminate underprivileged individuals in the housing market

  • Revitalization
    of rural Japan

    • Promote the repurposing of abandoned homes and buildings in rural areas of Japan
    • Increase involved individuals
    • Establish a new investment system for rural areas

  • Rapidly-aging
    society

    • Eliminate people's concerns about elderly care

Business Foundations

  • Human
    Resources

    • Train leaders for social innovation
    • DEI (Diversity, Equity and Inclusion)
    • Employee well-being

  • Information
    Security

    • Take action for the protection of personal data as legally required in each country
    • Improve our technical and organizational responses to cyber attacks
    • Maintain a Secure Environment for the Organization

  • Governance

    • Foster employees and an organization taking the lead in fair business practices
    • Strengthen governance mechanisms
    • Improve risk management

Actions on Global Issues

  • Environment

    • Reducing Environmental Impact

  • Human Rights

    • Respecting Human Rights and Promoting DEI

Process for Defining Sustainability Issues

  1. Finding Connections to Social Issues

    1. 1.Take inventory of all businesses
    2. 2.Connect business initiatives with social issues

  2. Mapping Social Issues

    1. 1.Prioritize and mapping social issues
    2. 2.Discuss proposals for mapping of sustainability issues at Management Meetings

  3. Exchanging Views

    Organize Management Meetings with involved individuals and exchange views

  4. Defining Sustainability Issues

    Discuss focal points and sustainability issues at Management Meetings

  5. Setting Company-wide KPIs

    Set company-wide goals and KPIs for each sustainability issue

Finding Solutions to Social Issues Through Our Businesses

Residential Life

Creating communities where people can live in comfort and safety

Issue

Improve users' freedom of choice and ease of moving to a new home

We believe that our homes make up the foundation of our lives.Therefore, the LIFULL Group is supporting all kinds of people to find a home that will make them happy through LIFULL HOME'S and its other businesses. By providing a database with expansive housing information, we are offering users more choices and pairing this data with details on housing quality, livability and safety of the surrounding area to give an even more positive moving experience.

Mid-Term Target

－Grow Our Housing Information Database: Database with 30 mil. properties (*Covering about 50% of the 60 mil. properties in Japan.)
－Expansive new data for a more reliable experience

Progress

  • 29th(FY2023)

    Property Listings in Database:28,352,687 (As of Sep. 30, 2023)

    Main Actions
    • Released a checklist for real estate professionals listing on LIFULL HOME'S to use when assisting international residents of Japan
    • Released a checklist for real estate professionals listing on LIFULL HOME'S to use when assisting senior citizens
    • Started sharing data with 5 new real estate management companies to help eliminate false ads
    • Added "Young People who cannot Rely on their Families" and "Freelancers" search categories to LIFULL HOME'S FIRNEDLY DOOR
    • Launched AI chat bot geared for helping real estate agents assist underpriviledged home-seekers

  • 28th(FY2022)

    Property Listings in Database:28,059,988(As of Sep. 30, 2022)

    Main Actions
    • Added Handicapped search category to LIFULL HOME'S FRIENDLY
    • Added Flood Hazard Map with Drawing Tool to the map search on the LIFULL HOME'S iPhone app
    • Released a checklist to improve services real estate professionals listing on LIFULL HOME'S when assisting handicapped individuals
    • Launched Housing Support Service for Refugees and Evacuees page on LIFULL HOME'S
    • Collaboration with Itandi and Misawa Homes Real Estate to eliminate inaccurate listings
    • Released a checklist to improve services real estate professionals listing on LIFULL HOME'S when assisting international residents of Japan

Issue

Eliminate underprivileged individuals in the housing market

LIFULL HOME'S is advocating for housing equality for everyone. In November 2019, we started the FRIENDLY DOOR initiative to assist underprivileged groups in the rental property market, such as international residents of Japan, senior citizens and individuals with disabilities, to find places to live. To solve this issue, we are working together real estate agencies with experience with individuals from diverse backgrounds and have created a way for people to search for trustworthy real estate professionals. Moving forward, we will continue to expand our network of FRIENDLY DOOR real estate professionals to eliminate the issues underprivileged individuals face in real estate.

Mid-Term Target

－Expanding to 6,000 real estate offices participating in FRIENDLY DOOR

Progress

  • 29th(FY2023)

    Paricipating Offices: 5,096(As of Sep. 30, 2023)

  • 28th(FY2022)

    Paricipating Offices:4,049(As of Sep. 30, 2022)

Regional Revitalization

Creating stronger connections in rural areas of Japan for more vibrant communities

Issue

Promote the repurposing of abandoned homes and buildings in rural areas of Japan

As the population of Japan begins to decline, vacant houses (Akiya) are increasingly becoming a social issue. The LIFULL Regional Revitalization initiatives aim to solve this issue and bring in new opportunities for rural areas by repurposing Akiya. We will continue to bring more visibility to Akiya and assist with their repurposing to further enrich peoples' lives in rural areas of Japan.

Mid-Term Target

－100 thousand properties listed on LIFULL HOME'S Akiya Bank
Create innovative examples for the repurposing of vacant buildings

Progress

  • 29th(FY2023)

    Total Property Listings:23,000

    Main Actions
    • Project to increase the number of properties in the national version of the Akiya Bank and promote matching through as a model project as presented in the countermeasures for akiya by the Ministry of Land, Infrastructure, Transport and Tourism (2022)
    • Survey of the amount of work and current usage of Akiya Banks by local municipalities

  • 28th(FY2022)

    Total Property Listings:20,000

    Main Actions
    • Collaborations with local governments and increasing site traffic
      　　└Conducted seminars and distributed flyers for local
    • governments as part of our model business project selected by the Ministry of Land, Infrastructure, Transport and Tourism in 2021
      　　└Introduced a new search feature into the Akiya Bank site to allow users to search by their preferred lifestyle
    Main Actions
    • Launched proof of concept for using digital technology to rennovate abandoned villas into rental vacation homes (October 2022)
      Release (in Japanese) ：https://lifull.com/news/24570/

Issue

Increase involved individuals

Increase involved individuals
The source of the revitalization of rural areas of Japan comes from the variety of individuals involved in the efforts. Therefore, the LIFULL Group is looking for solutions to issues in rural areas by increasing the number of involved individuals through its initiatives such as LIFULL Regional Revitalization School training the next generation of local leaders, LIFULL FaM, LIFULL LOCAL MATCH helping people relocate to different regions or LivingAnywhere Commons - a network of facilities for workations and multi-location living.

Mid-Term Target

－Increase involved individuals to 300 thousand (gross)
* Total people involved in regional revitalization efforts of the LIFULL Group including relocation to or communication with rural areas.

Progress

  • 29th(FY2023)

    Involved Individuals:76,000

  • 28th(FY2022)

    Involved Individuals:46,000

Issue

Establish a new investment system for rural areas

Financing is one of the key factors to promote the repurposing of abandoned houses in Japan. Therefore, the LIFULL Group is combining its the enormous amount of data it has collected over the years in the real estate industry and cutting-edge technology to develop new investment products and a transaction platform. With these real estate investment and financial opportunities, the LIFULL Group will contribute to the overall stimulation of the market for re-sale properties accelerate the revitalization of rural Japan.

Mid-Term Target

－Increase invested capital in financial products and services offered by the LIFULL Group for regional revitalization activities

Progress

  • 29th(FY2023)

    Capital Invested during FY 2023:Currently being calculated中

  • 28th(FY2022)

    Capital Invested during FY 2022: JPY 25 mil.　*Bought, renovated and sold 5 properties

Rapidly-Aging Society

Offering more options for people to live their lives their way

Issue

Eliminate people's concerns about elderly care

Since starting LIFULL Kaigo, the largest website for searching for and comparing elderly care facilities in Japan, we have assisted a large number of individuals. Moving forward, as the leader in the market, we want to make the process of finding the right care facilities even smoother using the internet and will continue to make updates to our websites.

Mid-Term Target

－30% share of internet users considering elderly care facilities

Progress

  • 28th(FY2022)

    18.3%

  • *As a result the review of our business strategy, we have removed "Rapidly-Aging Society: Offering more options for people to live their lives their way" from the scope of our sustainability issues and goals (As of July 2023.)

Business Foundations

Human Resources

Supporting diverse individuals to challenge themselves based on their own intrinsic motivations

Issue

Train leaders for social innovation

The LIFULL Group is focused on finding solutions to social issues through our businesses. By creating businesses that are both profitable and helping to solve social issues, we believe we are contributing to the sustainable development of society. We are creating a corporate culture where anyone can take on the challenge of starting new ventures with the goal of bringing more smiles to people's faces. Therefore, we are focused on training leaders to start these new ventures and services.

Mid-Term Target

－Increase the number of employees making business proposals related to finding solutions to social issues

Progress

  • 29th(FY2023)

    Newly Founded Start-ups:1

  • 28th(FY2022)

    Newly Founded Start-ups: 1

Issue

DEI (Diversity, Equity and Inclusion)

Innovation stems from the thinking beyond traditional authority and actions. We want to ensure fairness throughout our organization and innovation by fostering an organizational culture in which employees welcome each other's diverse personalities and backgrounds while reaching their true potential. At the same time, we want to work towards a society where anyone can be themselves.

Mid-Term Target

－Create an open environment where anyone can reach their potential regardless of gender, age or race etc.
－Reduce number of employees who do not pursue management positions or specialists* due to gender biases

  • *"Specialist" refers to employees who exhibit high-level expertise in a particular field and make highly valuable contributions to the Company. For LIFULL, Specialists are valued as key employees and are expected to make similar contributions as management-level staff through their professional expertise.
Progress

  • 29th(FY2023)

    Positive evaluation on internal inclusion survey*:78%

    • *Participants were asked to rank whether or not the company environment was XX to allowing everyone to exercise their full potential. The result is the total number of positive responses ("4: I think everyone can mostly exercise their full potential." and "5: I think everyone can exercise their full potential.")

    Results of the Employee Career Orientation Survey :
    - Employees who want to pursue management positions (*1) : Men:43%,Women:19%
    - Employees who want to pursue careers as specialists (*2) : Men:38%,Women:30%

    • *1 Percentage of employees who answered "yes" to the question "Do you want to pursue a management position at LIFULL in the future?"
    • *2 Ppercentage of employees who answered "yes" to the question "Do you want to pursue a career as a specialist?"
    Main Actions
    • Seminars for female employees
    • List of female candidates for managerial positions

  • 28th(FY2022)

    Positive evaluation on internal inclusion survey*:72%

    • *Participants were asked to rank whether or not the company environment was XX to allowing everyone to exercise their full potential. The result is the total number of positive responses ("4: I think everyone can mostly exercise their full potential." and "5: I think everyone can exercise their full potential.")
    Main Actions
    • Corporate culture trainings for emoloyees
    • Lunches to foster communcation

    Results of the Employee Career Orientation Survey :
    └Employees who want to pursue management positions (*1) : Men:39%,Women:24%
    └Employees who want to pursue careers as specialists (*2) : Men:44%,Women:27%

    • *1 Percentage of employees who answered "yes" to the question "Do you want to pursue a management position at LIFULL in the future?"
    • *2 Ppercentage of employees who answered "yes" to the question "Do you want to pursue a career as a specialist?"

Issue

Employee well-being

Well-being is the idea of both physical and spiritual happiness. Our employees at the source of how we create value, so the well-being of our employees is an important indicator for our management. We support each employee of the LIFULL Group to instill them with passion and live a spiritually and physically fulfilling life.

Mid-Term Target

－Increase employee engagement
－100% of employees receiving annual health checks
－Increase the percentage of employees taking stress checks

Progress

  • 29th(FY2023)

    • Organizational Survey：Total Score3.8 points of 5 points
    • Employees Receiving Annual Health Checks：100.00%
    • Employees Taking Stress Checks：94.30%

  • 28th(FY2022)

    • Organizational Survey：Total Score 3.8 points of 5 points
    • Employees Receiving Annual Health Checks：99.74%
    • Employees Taking Stress Checks：92.07%

Information Security

Constructing a modern system for the protection of personal information

Issue

Take action for the protection of personal data as legally required in each country

As technology develops at a rapid pace, there have been a number of issues related to personal information have arisen, and laws and regulations are adjusting quickly. The LIFULL Group offers information services globally and is, therefore, monitoring new laws, revisions and abolitions of related laws in each country. We will continue to respond promptly and appropriately for each region and business.

Mid-Term Target

－Strengthen our methods for adjusting to laws concerning personal data protection in each country
－Perform semi-annual checks through the information management committee in our headquarters

Progress

  • 29th(FY2023)

    • Conducted checks on the response systems and status of LIFULL CONNECT, which operates in more than 60 countries and regions, and LIFULL Tech Vietnam and LIFULL Tech Malaysia, functional subsidiaries of LIFULL
    • Check cleared (confirmed that information collection systems have been established in LIFULL CONNECT's countries of operation)
    • Tasks requiring action were monitored by the Confidential Information Management Committee at the head office

  • 28th(FY2022)

    • Developing a system for all 63 countries and regions where LIFULL CONNECT is active
    • Completed Check

Issue

Improve our technical and organizational responses to cyber attacks

In recent years, cyber attacks that steal network information and destroy systems through have become increasingly more sophisticated. For this reason, we will continue to improve our mechanisms to protect information and minimize damage in the unlikely event of a breach.

Mid-Term Target

－100% passing rate on the information security test
－Regular cyber BCP training

Progress

  • 29th(FY2023)

    • Passing Rate:100%
    • Reviewed the criteria for establishing a crisis task force, response manuals, etc., and addressed issues that arose during the previous year's drills
    • Drills are scheduled to be conducted in the 30th period in conjunction with the transition from a cyber-only BCP to an all-hazard BCP.

  • 28th(FY2022)

    • Passing Rate: 100%
    • Conducted 8 training sessions based on the cyber BCP Address issues that came up during training sessions

Issue

Maintain a Secure Environment for the Organization

As a provider of online services, LIFULL places special importance on information security and is constantly expanding and renewing systems. In recent years, as the number of acquired subsidiaries has increased, we will continue to incorporate security measures into the integration process and build a solid information infrastructure for the entire group.

Mid-Term Target

－100% compliance with group security standards within half a year for acquired subsidiaries
－Execution of in-house IT system digital transformation plan

Progress

  • 29th(FY2023)

    • 97.5% compliance rate with security standards
    • All three companies that joined the group in FY 2022/9 are compliant.
    • The two companies that joined the group in FY 2023/9 are in the process of complying with some items.
    • The internal anti-fraud system, which was planned as a security enhancement measure in the DX Promotion Plan for internal IT systems, is now in operation as planned.

  • 28th(FY2022)

    • There were 0 subsidiaries subject to the compliance ratio as of September 30, 2022.
    • Compliance with security standards is underway for 3 new subsidiaries acquired during FY 2022/9.
    • Completed implementation of the Cloud Access Security Broker (CASB) to improve security on schedule in accordance with our In-House IT System Digital Transformation Plan

Governance

Strengthening foundations as a trustworthy company

Issue

Foster employees and an organization taking the lead in fair business practices

"Act with Highest Integrity" is one of the Guidelines of the LIFULL Group and stipulates that we should make the best choices in every situation. In order for each of our employees to internalize this ideal, we provide opportunities for continued education and strengthen our organizational efforts to promote sincere and fair business activities.

Mid-Term Target

－Implement training on compliance and internal auditing
－0 serious compliance violations

Progress

  • 29th(FY2023)

    • Conducted 3 compliance training sessions (on complex topics)
    • Supported implementation of compliance training at subsidiaries
    • Serious compliance violations: 0

  • 28th(FY2022)

    • 6 Compliance Traning Sessions (Social Media, Harassment, Protection of Personal Information x4)
    • Serious Compliance Violations:0

Issue

Strengthen governance mechanisms

We have developed a system of corporate governance in order to ensure that we uphold our most important management goal - our responsibility to our stakeholders (Shachu). We continue to strengthen these mechanisms by appropriately responding to items expressed during the evaluation of the effectiveness of the Board of Directors and promoting diversity of the Board.

Mid-Term Target

－Address items expressed in the evaluation of the effectiveness of the Board of Directors
－50% female Board of Directors

Progress

  • 29th(FY2023)

    • Conducted evaluation of the effectiveness of the Board of Directors
    • Female Executive: 17%(For the 12 members of the Board of Directors: Female Directors: 0, Female Auditors: 2) (As of Sep. 30, 2023)

  • 28th(FY2022)

    • Conducted evaluation of the effectiveness of the Board of Directors
    • Based on the results, we have developed a skill matrix in addtion other actions.
    • Female Executive: 18%(For the 11 members of the Board of Directors: Female Directors: 0, Female Auditors: 2) (As of Sep. 30, 2022)

Issue

Improve risk management

As our business ventures continue to expand around the world, our risks are becoming more complex and diversified. We will respond to the trust of our stakeholders (Shachu) while maintaining and increasing our corporate value by understanding the risks of the Group in a timely manner and strengthening risk management.

Mid-Term Target

－Promote risk management for all group companies

Progress

  • 29th(FY2023)

    Implemented enterprise risk management (ERM) for all subsidiaries (domestic: 1, overseas: 1)

  • 28th(FY2022)

    Implemented enterprise risk management (ERM) for all domestic subsidiaries

Actions on Global Issues

Environment

Issue

Reducing our Effects on the Environment

Living in the present world, we have the responsibility to protect our world for future generations. For this reason, the LIFULL Group is focusing on reducing greenhouse gases emitted during the production of electricity to contribute to the realization of a sustainable society with our stakeholders.

Progress

  • 29th(FY2023)

    • Assessed the current status of GHG emissions across the entire LIFULL Group
    • Formulated an environmental policy
    • Endorsed the TCFD and organized and disclosed information based on the final recommendations of the TCF
    • Implemented paperless invoice

  • 28th(FY2022)

    • Assessment completed for Scope 1, Scope 2 and Scope 3 GHG emissions for LIFULL Co., Ltd. headquarters
    • Beginning actions for the Carbon Disclosure Project (CDP)
    • Continuing to work towards paperless contracts and invoices

Human Rights

Issue

Human Rights and DEI (Diversity, Equity and Inclusion)

Since our founding, we have paid special consideration to all of our stakeholders (Shachu) in our business initiatives based on our credo "Altruism." Moving forward, we will maintain this stance and continue to promote respect for human rights and diversity in cooperation with our partners according to the "Guiding Principles on Business and Human Rights" of the United Nations.

Mid-Term Target

Progress

  • 29th(FY2023)

    • Completed human rights due diligence for LIFULL CONNECT
    • Completed human rights survey for all suppliers of LIFULL Co., Ltd.
    • Established a whistleblower channel for business partners
    • Developed a labor policy

  • 28th(FY2022)

    • Established a human rights policy
    • Conducted first human rights due diligence on key business processes at headquarters and addressing key issues identified
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