Stakeholders

Approaches to Stakeholders

- 1.Provide safe and reliable vehicles that inspire enthusiasm at affordable prices.
- 2.Listen sincerely to customer voices and continue to reinvent ourselves through sufficient information disclosure and dialogue.
- 3.Create working environments for various employees to work proudly and with loyalty and confidence in fulfilling their potential, which realize their self-growth.
- 4.Contribute for economic development of local communities with open stance to new suppliers and dealers and through sustainable growth based on mutually beneficial business relationships with dealers/distributors and suppliers.
- 8.Ensure sustainable growth by fostering the virtuous circle, Always better cars → Enriching lives of communities → Stable base of business.

"Global Vision for Those We Serve"

Defining the Ideal Form of the Company for Each Stakeholder and the Outline for the Future It Should Take in Order to Realize the Global Vision

The Toyota Global Vision defines the ideal form of the company and a path it should take. The "Global Vision for Those We Serve" is a written statement of what kind of company Toyota wants to be for each stakeholder in an effort to realize it. Stakeholders supported the company when we faced a sequence of challenges including the global financial crisis and quality issues as well as the Great East Japan Earthquake disaster that occurred in March this year.

In order to appreciate and recompense them for their support, and also continue to grow together with such supporters, Toyota will constantly reform itself to achieve higher goals.

Defining the Ideal Form of the Company

"We aim to exceed expectations and be rewarded with a smile. We will meet challenging goals by engaging the talent and passion of people, who believe there is always a better way" as we set out in the Global Vision. That means, we will sincerely listen to the voices of every stakeholder — customers, employees, business partners, shareholders, and global society/local communities, and respond to those expectations. The expression "Global Vision for Those We Serve" is our way of organizing and explaining the thoughts constituting the Global Vision in relation to stakeholders. It is Toyota's resolve to meet challenging goals step by step to see the smiles and happiness of everyone including customers and beyond.

Stakeholder-Focused Management and Communication

In the CSR Policy's preface, Toyota has declared "In order to contribute to sustainable development, we believe that management interacting with our stakeholders is of considerable importance," and "we will endeavor to build and maintain sound relationships with our stakeholders through open and fair communication."

In striving to achieve sustainable development, Toyota seeks all our stakeholders' smile. It is important to earn the smile without sacrificing anyone for something and anything for someone. This is what Toyota believes should be the spirit of gratefulness having been carried on from the Toyoda Principles, or the start point of stakeholder-focus management.

Management and Communication

The "Global Vision for Those We Serve" provides the ideal form of Toyota from the stakeholders' viewpoints. It is also a manifestation of our resolve to carry out everlasting self-reform based on a recognition of the company's adverse effects, which does not allow it to sacrifice anyone or anything.

What was learned from the series of quality issues includes the importance of going back to the roots of management shar- ing perspective with customers, the fact that expectations of customers and society are always changing, and the truth that customer trust begins with a sincere explanation of the company's stance never to trade off customer safety or confidence.

This remains true for other stakeholders, too. Toyota will make efforts to be responsive to changing expectations at higher levels, sincerely listening to their voices.

Stakeholder briefing on specific action plans for realizing the "Global Vision for Those We Serve" consisting of eight resolves will still continue, utilizing such occasions as the Sustainability Report. That is the first step for obtaining stakeholder trust as well as the first step for establishing a company that leads to their happiness.

Promoting Improvement Initiatives to Realize the "Global Vision for Those We Serve"

Toyota has been checking our activities based on the company's unique CSR Indices since 2007. Our aim is to ensure that CSR activities are carried out in a way that represents our corporate culture. The CSR Indices consists of nearly 100 check items, with which lead divisions set up their activity goals respectively at the start of every fiscal year. Inspections are voluntarily carried out at an interim stage and at the end of each period, leading to corporate improvement activities.

At the 2010 period-end check, 14 items were self-assessed as "yet to achieve the goal" and corrective actions were accordingly incorporated into the 2011 activity policies of each department. The CSR Indices check items have been constantly revised to reflect changes in expectations by society and, for this year, "contributions for realization of new mobility society" manifested in the Global Vision have been added to enhance activities.

Promoting Improvement Initiatives

Hereafter, Toyota plans to initiate actions in view of long-term goals toward the realization of the "Global Vision for Those We Serve" and work out process KPI, Key Performance Indicators, for achieving those goals.

We will also set up more ambitious goals based on expectations and requests from society, and make these approaches step by step.

Listening to Experts for Qualitative Rendering Our Ideal for Toyota

In working out the "Global Vision for Those We Serve," a Stakeholder Dialogue was held in January 2011 to listen to external expert voices on various social issues and expectations of Toyota.

The session provided a favorable opportunity to hear opinions from diverse angles on Toyota's "CSR Goal toward 2020" which was presented based on the Global Vision prepared in a preliminary form.

While the internal study had been intended to depict the corporate form in 2020, it became clear that there were some gaps in perspective between the attendees and Toyota itself, some of which issues were too distant future to foresee while some others were nearer future than external people were expecting. Remarks such as "it is hard to see if the numerical targets are adequate, or "it is unnecessary to cling to numerical values" were expressed.

Toyota Stakeholder Dialogue

Also, during the discussion, it became apparent that Toyota's explanation had so far been insufficient. Based on these and other similar comments we grasped the importance of adequately explaining our corporate philosophy and approach. We saw that it is vital to present the ideal form of the company that Toyota is pursuing in the long run, rather than just an argument on numerical values, if the company's policies are to be broadly understood.