Kumagai Gumi

No leading practices were identified for the company in the governance and strategy area.

No leading practices were identified for the company in the ecosystems and biodiversity area.

No leading practices were identified for the company in the social inclusion and community impact area.

Sustainability strategy and accountability
Although Kumagai Gumi discloses the results of the materiality assessment, the process does not include double materiality. While the company discloses some sustainability targets such as GHG emissions and solid waste and reports consistently against its targets, no evidence that the company has group wide targets on key sustainability topics for the most material parts of its value chain based on the SBTN Sectoral Materiality Tool such as non-GHG air pollutants, water use and soil pollutants.
Kumagai Gumi does not disclose having individuals, teams or committees within the company responsible for the implementation of its sustainability strategy. The company does not report whether it assigns decision-making and oversight responsibility for its sustainability strategy to the highest governance body. No evidence was found that the company links performance criteria in senior executives’ remuneration policies to targets and objectives which cover nature, including biodiversity, and social issues. The company does not disclose whether its highest governance body has expertise regarding nature-related topics.

Stakeholder engagement
Kumagai Gumi discloses an overview of the issues raised during its stakeholder engagement activities. The company discloses how often and through which channels it engages with various stakeholder groups.

Lobbying
Kumagai Gumi does not report on its lobbying and advocacy practices on nature-related issues, nor whether these activities align with its sustainability strategy.

Impact and dependencies assessment
Kumagai Gumi has not holistically assessed its impacts or how it depends on nature, including biodiversity. It has an opportunity to start such an assessment across its value chains, focused on quantification of its impacts or dependencies.

Key areas and species
Kumagai Gumi does not disclose key species or areas important for biodiversity affected by its operations or suppliers. It has an opportunity to increase its transparency.

Ecosystem conversion and restoration
No evidence was found regarding Kumagai Gumi’s efforts to avoid ecosystem conversion, including deforestation, or promote restoration. While the company discloses its practice of forest conservation projects, no evidence that the company discloses details and outcomes of ecosystem restoration projects in areas affected by its own operations or upstream business relationships could be found in the public domain. The company has an opportunity to develop a strategy and publicly report on specific, time-bound targets.

Resource exploitation and circularity
While Kumagai Gumi discloses its principal materials, including the volume of steel rods, cement, wet concrete and steel frames, it should disclose more inputs as well as its recycled input materials. The company does not report quantitatively on its group-wide circularity performance. The company does not disclose efforts to improve soil health.

Water
Kumagai Gumi does not disclose relevant information related to water, in its operations or supply chains.

Solid and air pollution
No evidence that Kumagai Gumi is reducing the production of hazardous waste was found. No evidence that the company reduces plastic use and waste in its own operations was found. The company does not report on the amount of plastic waste generated and proportions directed from or to disposal. The company reports regularly on NOx and SOx as its air quality parameters of emissions of harmful air pollutants. The company does not report time-bound targets to reduce air pollutants across the most material parts of its value chain.

GHG emissions
Kumagai Gumi is reducing its scope 1 and 2 greenhouse gas emissions. The company sets a target to reduce scope 1 and 2 emissions by 25% by 2030 and by 100% by 2050 compared to the baseline year in 2019 and reports progress against the target. No evidence that the company’s scope 1 and 2 emissions target is aligned with a 1.5-degree trajectory was found.
No evidence that Kumagai Gumi reduces its scope 3 emissions was found. The company sets a target to reduce scope 3 emissions by 13% by 2030 and by 37% by 2050 compared to its baseline year 2019, but no evidence that the company reports progress against the target and that the target is aligned with a 1.5-degree trajectory.

Invasive species
Kumagai Gumi has not identified any activities that could lead to the introduction of invasive alien species in its own operations.

Safe, clean, healthy and sustainable environment
Kumagai Gumi does not disclose a commitment to respecting local communities’ right to a safe, clean, healthy and sustainable environment or to zero tolerance for acts of violence, threats, intimidation or judicial harassment committed against land and environmental rights defenders.

Indigenous peoples’ and land rights
Kumagai Gumi does not disclose a commitment to respecting Indigenous Peoples’ rights or land rights of local communities.

While Kumagai Gumi discloses that it conducts a materiality/risk assessment to identify the main risks to the business, it has an opportunity to specify that it conducts human rights due diligence that includes a process for identifying human rights risks and impacts through its business relationships. The company has an opportunity to describe a process for assessing the human rights risks it has identified and to disclose what it considers to be its salient human rights issues. A description of this process would include how relevant factors are considered, such as geographical, economic and social factors. No evidence was found that the company has a global system to act on its salient human rights issues.
While Kumagai Gumi discloses the categories of stakeholders it engages with generally on sustainability issues, it is not clear if these stakeholders are those whose human rights have been or may be affected by its activities. No evidence that the company provides examples of its engagement with stakeholders whose human rights have been or may be affected by its activities was found.

While Kumagai Gumi indicates the importance of healthy and safe workplaces, it does not provide publicly available policy statement committing it to respect the health and safety of workers. No evidence that the company has a publicly available statement of policy that expects its suppliers to commit to respecting the health and safety of their workers was found. The company has an opportunity to disclose a time-bound target for paying all workers a living wage or that it has achieved paying all workers a living wage. The company has an opportunity to describe how it determines a living wage for the regions where it operates.
Kumagai Gumi has an opportunity to disclose the coverage of collective bargaining agreements. The company has an opportunity to describe how it works to support the practices of its suppliers in relation to freedom of association and collective bargaining.

Kumagai Gumi discloses a global tax strategy. The company has an opportunity to disclose a policy on bribery and corruption and its processes for identifying and addressing bribery and corruption.  The company does not disclose its approach to lobbying and political engagement in a public policy document.