Green-Minded Business

Beyond profit and edging out competition, the business of being green— and ever greener—  has become the main driving force behind one of the world’s most innovative companies.

Hitachi, both a household name and a familiar brand in technologies for business, is leading a green revolution in a way that could only match the giant of an enterprise it has become. Recently host of an Eco-Conference in Singapore, Hitachi has mainstreamed the environmental cause in its business processes from production to consumption.

“Our goal is to achieve a more sustainable society by promoting production that reduces the environmental burden of products throughout their life cycle,” says Yasunori Taga, Hitachi Chief Executive and Chief Innovation Officer for Asia. At the heart of Hitachi’s corporate social responsibility programme are projects pushing for greater environmental awareness and what the company calls “social innovation,” a guiding philosophy of “making the best use of technology for a safe, comfort¬able, convenient and sustainable society.”

“Long before CSR became the buzzword, Hitachi was founded on the philosophy of contributing to society through technology and innovation and we remain firmly committed to our philosophy,” Taga says, calling CSR the foundation of Hitachi’s global operations.

“It relates directly to the course we ought to take in serving social needs and cultivating the markets through which we deliver the products and services that customers want,” he says. Hitachi, an industry giant whose broad product spectrum commands a chunk of the world’s household and business markets in a product, is known for continuing innovations in information technology, biotechnology, na¬notechnology and power generation, among others.

One overarching theme, however, is Hitachi’s Environmental Vision 2025, an ambitious action plan that aims to cut consumers’ carbon dioxide emissions by some 100 million tons through earth-friendly Hitachi products.
Such advocacy is critical as the world continues to grapple with striking a balance between environmental conservation and development amid continuing urbanization and population growth in Asia.

“We are working to cut greenhouse gases emitted at each of the three stages: manufacturing, transporting, and using products. We are also employing our technologies and know-how to provide customers with energy-saving products in the information, transport, industrial, and consumer sectors,” Taga says.

The plan is in line with international efforts to cut the world’s carbon footprint and arrest the effects of climate change, already felt globally in recent incidence of weird weather. The program stands on three pillars, says Taga: prevention of global warming, conservation of resources, and preservation of the ecosystem.

“For example, in rail technology, we leverage on advanced technologies and expertise to provide environmentally-conscious and safe transportation. We also fuse technologies to create smart energy solutions harnessing our strengths in electric power and information technology to create smart grids that transform energy use,” Taga explains.

Hitachi also keeps in constant touch with its users and stakeholders to get their pulse on where the firm should focus its product research and development efforts.

“We also engage with stakeholders, reflecting social feedback in our strategy, product development, and operations to help resolve the social, economic and environmental issues facing society,” Taga says.

In manufacturing, Hitachi continues to conserve resources.“We are consuming fewer resources during product manufacturing. We are also boosting resource recycling by cutting emissions during production and converting waste into raw materials and energy, as well as reusing end-of-life products,” Taga says.

Hitachi’s line of eco-products have been gaining following every year. Taga says these products accounted for around 53 percent of the company’s revenues, exceeding the 50 percent target. Hitachi is aiming to raise this to 55 percent this year.

Targetting a comprehensive adoption of environmental responsibility, Hitachi also helps protect the global ecosystem and biodiversity through: supplying products and services that protect the ecosystem through air, water, and soil purification, aiding environmental management by measuring and reducing the ecosystem burden from corporate activities and helping in ecosystem recovery through reforestation efforts.

The firm is also exploring partnerships with private and public institutions to promote a sustainable society.“I think we can overcome or mitigate challenges such as climate change through public and private partnerships that leverage knowledge-based and technology-based business innovation," Taga says.