Statement from the CEO

As always, DOCOMO strives together with its stakeholders to enhance customer service and achieve sustainable social development. Kazuhiro Yoshizawa President and Chief Executive OfficerAs always, DOCOMO strives together with its stakeholders to enhance customer service and achieve sustainable social development. Kazuhiro Yoshizawa President and Chief Executive Officer

Message from Kazuhiro Yoshizawa, President and Chief Executive Officer

CSR is synonymous with our business activities.

In 2015, the Sustainable Development Goals (SDGs) were adopted at a UN summit and the Paris Agreement was adopted at COP21*1, sparking a growing global trend of confronting social and environmental issues and seeking solutions.

Extreme weather events associated with global warming have recently inflicted natural disasters around the world, while Japan's declining birthrate and aging population have gained momentum, giving rise to a number of issues, including a shrinking workforce. As these trends strengthen, companies are expected to place a higher priority on their contributions to the sustainable development of society through their business operations.

In this context, I have strengthened my conviction that CSR is indeed synonymous with our business activities. DOCOMO's business is guided by two major aspirations: to continuously provide stable and reliable telecommunication services for our customers, which is our mission as a telecommunication service provider, and to continuously deliver new value for our customers and society as a whole. CSR is therefore at the crux of all our business activities.

DOCOMO is carrying out its Medium-Term Strategy 2020 "Declaration beyond," which envisions the future beyond 2020. We intend to provide new value for society that exceeds expectations by promoting "+d," in which we seek to augment the strengths of a broad range of partners by adding DOCOMO's assets into the mix. We will deliver value and excitement in the form of benefits and convenience, enjoyment and surprise as well as satisfaction and peace of mind to individual customers while co-creating solutions for social issues with our partners.

In October 2018, we announced our concrete strategies and quantitative targets based on "Declaration beyond". This signals a shift toward re-centering our business operations on membership as well as rolling out 5G and creating new businesses.

DOCOMO pursues ESG management guided by its basic CSR policy, which consists of two key aspirations. One is "Innovative docomo," through which we seek to resolve social issues by providing new value, and the other is "Responsible docomo," with which we aim to create a trustworthy company that fulfills its social responsibilities.

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Innovative docomo (Contributing to Addressing Social Issues by Delivering New Value)

Launch of 5G Service and Co-Creation with Partners

In March 2020, we rolled out our commercial 5G services, which we had been offering on a pre-commercial basis since last autumn. At the same time, we began providing new services that leverage the advantages of 5G in the four areas of music, XR, gaming, and sports, such as Shintaikan Live CONNECT, cloud-based games, and multi-angle viewing. We also developed 22 solutions for business and society in the 5G era, including remote work support, high-resolution video transmission, and face recognition access control.

As of March 31, 2020, more than 3,400 partners from diverse sectors are participating in the DOCOMO 5G Open Partner Program to generate solutions through co-creation. We have also been developing the DOCOMO 5G Open Lab as a permanent verification environment for 5G technology and providing a cloud infrastructure, DOCOMO Open Innovation Cloud. These initiatives exemplify how we are directing resources into co-creating 5G solutions with our partners.

Furthermore, we are collaborating through our IoT×5G×SDGs Partner Co-Creation Project to address social issues in the three areas of rising medical costs and the burden of nursing care, the labor shortage and passing on technology in the manufacturing industry, and ensuring safety and security amid an increase in nuclear families and dual-income households.

Offering New Value by Utilizing AI and Other Technologies

In the area of voice and image recognition, we are actively co-creating AI-based solutions for social issues by making the docomo AI agent API available to our partners.

In April 2019, we began operating an AI-operated bus service. The system offers on-demand transportation in areas that are under-populated, under-served by public transport, or experiencing a rapidly aging population. It calculates the optimal ride-sharing circuit from real-time user requests to determine vehicle allocation and operation. In tourist spots, the service overcomes transportation challenges for visitors arriving by rail or cruise ship as well as event participants.

In addition, we began providing the Mieru Denwa service in March 2019, which caters to hearing impaired customers by converting the words spoken by a caller into text and displaying the results on a smartphone. The service was conceived and developed by an employee with a hearing impairment who had experienced the difficulty of handling phone calls.

We will continue to be a trustworthy company

Responsible docomo (Fulfills Social Responsibility)

<Providing Security, Safety and Comfort in Daily Life.>

DOCOMO is responsible for sustaining the social infrastructure of mobile networks, and we believe our mission is to continuously provide stable and reliable telecommunication services.

Even in times of emergency, we strive to provide telecommunication services that connect people by swiftly engaging in recovery work and responding in other necessary ways. To prepare against the increasing frequency of heavy rains and typhoons, we are securing uninterruptible power supplies to key base stations. In the event of a disaster, we work to swiftly recover telecommunications by dispatching mobile base station vehicles and power generation vehicles to affected areas, loaning satellite mobile phones to local governments, and setting up alternative routes for transmission.
During the Hokkaido Eastern Iburi Earthquake of 2018, we activated a large-area base station for the first time in part of Kushiro City to help restore communications over a wide area.

We support those in affected areas by providing a battery charging service at no cost and actively setting up Wi-Fi hotspots to maintain communications at emergency shelters, and we also opened a charity site for donating money and d POINTs.

DOCOMO is now implementing additional measures against disasters. These are worth 20 billion yen and include the installation of batteries and solar power generators at docomo Shops to prepare for wide-area, long-term power outages, increases in the number of emergency base stations, and multiple alternative transmission routes.

People of all ages are using mobile phones and smartphones, giving rise to a variety of issues, especially among young and elderly users. DOCOMO seeks to ensure safety, security, and comfort for customers through measures such as conducting smartphone and mobile phone safety classes by age group, from children to adults, and we will continue such efforts to reflect developments in society.

Corporate Governance

<Strengthening Governance to Enhance Corporate Value.>

I am aware that for DOCOMO to maximize its corporate value while meeting stakeholder expectations, the company must strengthen its systems in line with each principle of the Corporate Governance Code to ensure the effective functioning of its corporate governance. Accordingly, we have formulated the NTT DOCOMO Basic Policy on Corporate Governance towards achieving sustainable growth for the Group and enhancing corporate value over the medium to long term. Last year, we responded to revisions in the Corporate Governance Code, and we will work to strengthen our governance consistently.

Thorough compliance is the foundation for executing sound business. We conduct employee awareness surveys twice a year to ascertain the current status and issues and prevent problems from arising. I have repeatedly conveyed to all employees that if we had to choose between corporate profit and corporate ethics, we would choose corporate ethics.

Meanwhile, as a company that possesses information from over 78 million customers, DOCOMO places the highest priority on information security. We pay the utmost care when handling customer information in the course of our operations, including at the docomo Shops, and implement security measures.

Furthermore, in August 2019 we released the NTT DOCOMO Personal Data Charter to achieve optimal privacy protection for the purpose of reassuring our customers using DOCOMO services. We realize that how we utilize data is unique to DOCOMO, which values harmony with society.

Environment

<Response to Climate Change>

We recognize global environmental issues, as represented by climate change, as a key management concern. As a countermeasure to global warming, DOCOMO strives to reduce the CO2 emissions of all society. In addition, we have established expert subcommittees on issues such as conserving and reducing electricity consumption and the effective use of resources. In these subcommittees we have also set targets and implemented action plans. Starting this fiscal year, we began disclosing information on climate change in line with recommendations by the TCFD*2, which is increasingly being required both in and outside of Japan.

To expand the use of renewable energy, we promote initiatives such as establishing "green" base stations that incorporate solar panels and large-capacity batteries into existing base stations and building solar power generation systems in unused areas on the grounds of our wireless stations.

Since climate change is a global issue, DOCOMO will pursue activities in step with the GSMA*3, of which it is a member.

<We promoted the "Tokyo 2020 Medal Project" to make effective use of resources.>

DOCOMO has been promoting the reuse and recycling of mobile phones as an ongoing effort to realize a sustainable society. As part of its activities as a Gold Partner of the Tokyo 2020 Olympic and Paralympic Games in the telecommunications service's category, DOCOMO applied its experience in the "Tokyo 2020 Medal Project: Towards an Innovative Future for All," sponsored by the Tokyo Organising Committee. We collected used mobile phones at nationwide docomo Shops and secured the amount of metal required to produce the medals. We are grateful to everyone who participated in the project.

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Conclusion

Through initiatives that equate CSR with business activities, DOCOMO will fully consider and resolve the issues of each individual person and society at large to deliver new value for society continuously while also striving to improve customer service and achieve sustainable social development.

  1. 21st Conference of the Parties (COP) to the United Nations Framework Convention on Climate Change
  2. Financial Stability Board's Task Force on Climate-related Financial Disclosures
  3. The GSM Association is a global industry group representing mobile network
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