We manage compliance and the environment and implement social contribution activities and other initiatives related to sustainability. In this process, the responsible departments act as administrative offices for these initiatives.

Matters which require decisions to be made and which are determined to be important in terms of impact on our business and other aspects of the matters, including risks and opportunities related to sustainability, are reported by department in charge to the Management Meeting chaired by Representative Director, President and Chief Executive Officer in accordance with our regulations. The Management Meeting deliberates the reported matters.

Additionally, it is prescribed that important matters be reported to the Board of Directors which performs a supervisory role and provides instructions regarding the matters.

In our initiatives for sustainability, working-level staff and management closely cooperate in the planning and implementation of individual activities, the management of these activities and the consideration of risk. The objectivity of these processes are ensured.

• (1) We defined climate change as a medium- and long-term risk to study strategies and the resilience of the organization in view of the related risks and opportunities, we explored their long-term impact on our company up to 2050 referencing the climate change scenarios developed by the International Energy Agency (IEA) and the Intergovernmental Panel on Climate Change (IPCC), specifically the 1.5℃ scenario and the 4℃ scenario. We then carried out scenario analyses.

  Below 1.5°C scenario:

  A scenario in which the regulations for minimizing the temperature rise, measures for changing markets and other matters are implemented

  4℃ scenario:

  A scenario in which the temperature rise results in extreme weather and other matters that physically impact on the globe

• (2) We identified risks and opportunities related to our company and assessed their impact on two axes, the scale of the impact and the likelihood of occurrence, to organize our measures to address priority issues.

  Regarding the financial impact of climate change on our business, since the business model we have established is unique and we do not own any large facilities or similar assets, we understand that the risks that we are exposed to from climate change are limited.

• (3) We will continue to increase the resilience of our entire business and endeavor to realize a decarbonized society in connection with our business plans and other activities.

We have defined our stance on and initiatives regarding sustainability as a companywide activity target in the cognavi Vision 2026 medium-term management plan. We will review the initiatives to achieve this target and will have internal meeting bodies monitor them.

We also prioritize actions to address sustainability-related risks and opportunities of high importance. The Management Meeting and other organizations examine significant risks and opportunities related to our business activities and incorporate their findings into management strategies and risk management activities.

The Forum Engineering Group has set the long-term target of achieving carbon neutrality in 2050.
In FY2024, we calculated our GHG emissions. The results are as shown below.
We will continue our efforts to accelerate the introduction of renewable energy and to minimize the CO2 emissions of our business activities.