We support the TCFD recommendations to realize a decarbonized society.

Joined the TCFD Consortium

Daiwabo Holdings Co., Ltd. supports the TCFD (Task Force on Climate-related Financial Disclosures) recommendations*1 and is a member of the TCFD Consortium*2, which is a forum for discussions among supporting companies and financial institutions.

Recognizing global warming and climate change as important management issues, our Group’s basic environmental philosophy calls for protecting the global environment, which is essential for healthy and cultured living, through "Friendly to People and the Environment" corporate activities.By announcing our support for the TCFD recommendations and joining the TCFD Consortium, the Group will actively disclose information based on the TCFD recommendations, and promote its business activities to contribute to sustainable development by reducing the burden on the global environment.


Daiwabo Holdings Sustainability Site “Environmental Activities”


  • 1: The Financial Stability Board (FSB) was established in 2015 at the request of the Group of 20 countries and regions (G20). It assesses the financial impact of the risks and opportunities posed by climate change, and recommends information disclosure on “governance,” “strategy,” “risk management,” and “indicators and targets.”

(TCFD website:https://www.fsb-tcfd.org/


  • 2: The TCFD Consortium was established in 2019 as a forum to discuss effective corporate information disclosure and initiatives to translate the disclosed information into appropriate investment decisions by financial institutions, etc.

(The TCFD Consortium website:https://tcfd-consortium.jp/en




In April 2020, our group established the ESG Promotion Committee, chaired by the Representative Director, as an advisory body to the Board of Directors to deliberate on environmental, social, and governance issues.
The ESG Promotion Meeting has been established as a subordinate organization of the ESG Promotion Committee for practical discussions about and promotion of activities. Items discussed by the ESG Promotion Committee are reported to the Board of Directors.

The Board of Directors resolves matters reported by the ESG Promotion Committee, and gives relevant instructions and supervision.

As one of the key environmental issues in our group’s materiality (important challenges), climate change issues are discussed, deliberated, and resolved in this system, to make progress in the issues. If necessary, we report the impact of climate change as a company-wide risk to the Risk Management Committee, and make recommendations.


●Climate Change Risk Management System


Our group recognizes climate change as a medium- to long-term challenge. Therefore, we make analysis using multiple future scenarios based on the 1.5–2°C and 4°C scenarios, to account for risks and opportunities under a variety of circumstances.

In a world of +1.5–2°C, regulations to reduce greenhouse gas emissions will be tightened, and the risk of transition will increase due to the progress of low and decarbonization. 
On the other hand, in a world of +4°C, physical risks, such as abnormal weather, are expected to increase, although the impact of transition risks, such as regulations, are small.
The scenario for FY2030 is based on “RCP-2.6” and “RCP-8.5” from the IPCC, and “NZE2050, SDS” and “STEPS” from World Energy Outlook.

Assumptions for Scenario Analysis


1.5°C–2°C scenario, 4°C scenario

Target business

IT infrastructure distribution business, Fiber business (Japan), Industrial machinery business (Japan)

Target year

Impact as of FY2030



▼Transition risk (assumed to be most evident in the 1.5–2°C scenario)
Key Risks Significantly
high-impact item
Key Expected Initiatives
Risk of policies and laws and regulations Increased costs of regulatory compliance, such as carbon prices Transition to low-carbon energy
Thorough efficiency improvement and transition to low-carbon energy to achieve FY2030 CO2 emission targets
Technical risk Increased investment and R&D costs for environmentally conscious technologies Collaboration with research institutions, utilization of development tools, and collaboration with external research institutions
Development and early commercialization of energy-saving, hydraulic-free, and automated products
Market risk Rising commodity prices due to tightening of supply-demand relations for renewable energy Securing inventory by having large warehouses and proposing alternative products utilizing multi-vendor functions
Rising raw material costs for products with low environmental impact Review sales strategies as appropriate, including passing of higher costs on to product prices
Reputational risk Loss of corporate brand due to delayed response Timely disclosure of information via websites, etc.
▼Physical risk (assumed to be most evident in the 4°C scenario, etc.)
Key Risks Significantly
high-impact item
Key Expected Initiatives
Acute risk Stagnation of operations at business sites due to disasters Continuation of business through teleworking and correspondence to different locations through multi-base network, strengthening of BCP measures
Strengthening of BCP measures at production sites against wind, flood, and other disasters
Stagnation of supply chain operations due to the regions affected by disaster Leveraging the strengths of multi-vendors to secure multiple purchasing routes, and securing inventory thanks to having large warehouses
Strengthening of BCP measures between production and distribution bases (in Japan and overseas)
Spread of infectious disease Timely use of teleworking
Chronic risk Deterioration of the working environment due to rising temperatures Development of a comfortable work environment at logistics centers
Implementation of measures against heatstroke at logistics centers and plants
Unstable upstream supply chain Leveraging the strengths of multi-vendors to secure multiple purchasing routes, and securing inventory thanks to having large warehouses
Increased air conditioning costs due to rising temperatures Consideration of investment in automation of logistics centers and utilization of robots under adverse conditions
Opportunity Significantly
high-impact item
Key Expected Initiatives
Resource efficiency Reduction of energy costs by improving production and transportation efficiency More efficiency in transportation and delivery by extending current conditions and utilizing nearest, bulk, and charter shipments
Further promotion of energy conservation and shift to renewable energy
Reducing operation costs by introducing energy-saving equipment
Products and Services Growth of earnings by providing products and services that contribute to climate change mitigation and adaptation Drawing up purchase plans in anticipation of future demand
Expanding sales opportunities of environmentally conscious products, such as biodegradable materials, and of disaster-prevention/reduction products
Development of energy-saving, hydraulic-free, and automated products
Increase in demand for materials, parts, and solutions required for environmentally conscious equipment (renewable energy, batteries, fuel cells, etc.) Deployment of products that meet the potential for increased demand for products with low environmental impact
Expanding sales opportunities to industries that produce environmentally conscious equipment such as for wind power generation, gas turbines, and nuclear power generation
Market Better corporate image by promoting disclosure of climate-related information Timely information disclosure based on the TCFD recommendations



Risk management

Mechanism for assessing the risks and opportunities of climate change

The ESG Promotion Meeting, which promotes issues related to climate change, assesses risks and opportunities related to the impact of climate change, in cooperation with each office of Daiwabo Holdings and Group companies, and monitors the status. Risk assessment is conducted at least once a year and as necessary, and the ESG Promotion Meeting reports and makes recommendations to the ESG Promotion Committee.

The ESG Promotion Committee deliberates on risk assessment, relevant proposed countermeasures, and related indicators and targets at least once a year, followed by reports to the Board of Directors. The Board of Directors resolves matters reported by the ESG Promotion Committee, and gives relevant instructions and supervision.
In the first fiscal year of TCFD disclosure, only risks and opportunities are disclosed. The Group will consider further disclosure of the financial impact.

Indicators and Targets

Recognizing global warming and climate change as important management issues, we have established Group-wide CO_{2} reduction targets to realize a decarbonized society.


IT infrastructure distribution business: Daiwabo Information System Co., Ltd. (consolidated)
Fiber business: Daiwabo Co., Ltd. (consolidated in Japan)
Industrial Machinery Business: O-M Ltd. (consolidated in Japan) 
Daiwabo Holdings Co., Ltd. (non-consolidated)


Major CO_{2} emissions factors in our Group
Scope 1: Direct emissions from fuel combustion in factories and other manufacturing processes
Scope 2: Indirect emissions from the use of electricity supplied by other companies