The Group has identified nine material issues to be resolved by 2030 so that it can achieve GLM VISION 2030. In our materiality assessment, we consider strengthening of the management foundation as necessary to realize GLM VISION 2030 and enhancing corporate value in 2030 and beyond, in addition to significant ESG issues for our stakeholders.
Materiality
Purpose and Process of Identifying Materiality
By linking GLM VISION 2030 with materiality, the Group aims to achieve sustainable growth and enhance corporate value, as well as resolve social issues through its businesses. To this end, we have set a Vision and Goal for 2030 and KGIs for 2030 for each material issue. The department in charge formulates KPIs and specific action plans to achieve KGIs, which are reflected in the management plan for each fiscal year.
Materiality Identification Process
-
Step1 Selection of
potential material issues -
Step2 Assessment of
material issues -
Step3 Review of validity
and finalization -
Step4 Identification of
materiality
Secretariat
Creation of broad list of issues in Japan and overseas
Identification of issues related to the real estate industry
Identification of issues consistent with the Group’s long-term concept
Assessment of short listed issues based on importance
Discussion with each business division
Establishment of Vision and Goal for 2030 as well as KGIs related to each material issue
Discussion by Executive Committee
Discussion by Board of Directors
Report
- Materiality
- Vision and Goal for 2030
- KGI’s for 2030
Deliberation and approval by the Executive Committee
Resolution by the Board of Directors
Identification of materiality
Reflection in management plan for each fiscal year
Materiality list (materiality, Vision for 2030, and KGIs)
| Materiality | Vision and Goal for 2030 | KGI’s for 2030 |
|---|---|---|
| Planning, development, and management of environmentally-friendly real estate | Development and ownership rate of environmentally friendly real estate: 100% |
|
| Promote human capital management | We will become the company of choice for human resources who are motivated to grow, and we will be a diverse organization. |
|
| Provision of safe and secure real estat | 100% ownership rate of properties developed with healthy, comfortable, safe and secure living that are resilient against natural disasters and offer advanced crime prevention | Ratio of properties developed in-house that feature disaster resilient, crime prevention, healthy, and comfortable designs (properties that have been certified by Res Real, CASBEE Wellness Office, etc.) |
| Promote combination of real estate and DX | Create services that integrate real estate and technology to resolve social issues | Contribution to top line |
| Honest and highly transparent corporate conduct |
|
|
| Contribution to mitigation of climate change | Greenhouse gas emissions from business operations consistent with international standards in order to help realize a carbon neutral society by 2050 | Reduction rate of greenhouse gas emissions (Scope 1, 2 and 3) |
| Optimization of revenue structure | Management is stable due to the enhancement of flow revenue through business expansion and the improvement of the ratio of stock revenue |
|
| Balancing optimized capital efficiency and financial soundness | Corporate value is increasing by optimizing capital efficiency and achieving financial soundness |
|
| Strengthening of monitoring functions in corporate governance | Supervision and executive management are separated, and directors and executive officers are diverse and highly skilled to realize GLM VISION 2030 |
|
Value Creation at GLM
Value Creation Story
Based on our Corporate Philosophy of "Mission," "Vision," and "Value," GLM aims to become a leader in the real estate industry by proactively addressing environmental and social issues through our real estate business, contributing to the prosperity of all stakeholders.
We formulated GLM VISION 2030 as our Long-Term Concept and Policies and used backcasting to select candidate material issues for achieving this vision as our materiality.
Members of the Executive Committee held repeated discussions in a workshop format and identified nine material issues from among the candidates.
By linking GLM VISION 2030 with materiality and addressing these material issues through our business, we will strive to achieve sustainable growth and enhance corporate value, while also realizing our Corporate Philosophy of "Realize a prosperous society through real estate."
