Environment: Environmentally Conscious Products · including a hot water tank to ......

Daikin Industries (Thailand) Ltd. FY2016 Site Report

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Location Chonburi, Thailand

Site area 212,800 m2

Established February 1990

No. of employees 5,085

Major products Residential and commercial air conditioners (residential air conditioners, packaged air conditioners)

ISO 14001 certified February 1998

ISO 9001 certified November 1996

OHSAS 18001 certified November 2002

Green Heart Factory certified December 2016 (Super Green Heart Factory certified)

Prime Minister award for energy management

July 2016

Environment: Environmentally Conscious Products

■Disseminating HFC-32 air conditioners In order to promote the dissemination of HFC-32 products in Thailand, Daikin and Daikin

Industries (Thailand) utilizes the Multilateral Fund of the World Bank to assist the manufacturing of air conditioners. As part of this effort, we visited a regional air conditioner production plant that conducts best practices for HFC-32 air conditioner production.

We also developed a new heat pump product with a low environmental impact for ASEAN called “VRV4 Hot Water Heat Recovery.” This product uses a spiral multi-connection system including a hot water tank to increase hot water capacity and supply the maximum hot water capacity with 11.8 kW.

In order to provide a stable supply of air conditioners, Daikin cooperated with the Department of Skill Development of the Thai Ministry of Labour to create a national skill test for HFC-32 refrigerant. Siam Daikin Sales was certified by the Department of Skill Development of the Thai Ministry of Labour as the first national skill testing center for commercial air conditioner equipment in Thailand.

Daikin Industries (Thailand) Ltd. Site Report2016


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Environment: Major Efforts to Reduce Environmental Impact

■Prime Minister award for energy management On July 26, 2016 Daikin Industries (Thailand) received an energy

management award from Prime Minister of Thailand, Prayut Chan-o-cha.

This is awarded for company efforts to produce products and services and it rewards innovative technologies, energy-saving, continuous energy usage reduction in development and production processes, and activities to reduce environmental impact.

Prime Minister award for energy management trophy

Our president receiving a trophy from Prime Minister of Thailand, Prayut Chan-o-cha

Six awardees of the PM award

Energy management and activities to reduce environmental impact

■Solar panels installed in new R&D building We installed solar panels capable of generating 30

kW at our new R&D building, based on the green building concept. This enabled us to reduce annual energy consumption by 64,800 kWh and CO2 emissions by 45 tons, and reduce our environmental impact and conserve the environment by utilizing renewable energy.


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30 kW solar power generation at new R&D building

Solar power monitoring screen

■100％ LED lighting project Since 2010, we have been switching to LED lighting for our street lamps and indoor

lighting, and have achieved a 100% switchover rate. As a result of the entire project, we have reduced our annual energy consumption by 2.16 MWh and annual CO2 emissions by 1,300 tons.

A plan to switch all areas to LED lighting within seven years


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■100％ reused and recycled water used for sprinklers Daikin Industries (Thailand)

strives to efficiently reduce our water usage. By using reused and recycled water for our sprinklers, which account for 12% of our water consumption, we are able to reduce our annual water usage by 12,000 m3

Some of the greenery at Daikin Industries (Thailand)


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Environment: Examples of Environmental Communications

■Environmental Month In Environmental Month in June, we conduct various activities to promote the education,

awareness building, and communication of our employees. Message to employees from our president Training Environmentally themed drawing and slogan-making events, an energy-use chart,

and contests in the employee break area Exhibition of environmentally themed case studies Erection of an eco-message banner along the walking path near the factory

(1) Environmental activities board (2) 3R matching (3) Separating waste

■Environmental practice hall Daikin Industries (Thailand) conducts education to improve the environmental

awareness of our employees.

Environmental training hall used for managers and all employees of Daikin Industries (Thailand)

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Environment: Emergency Response

■Emergency environmental training program Each year, we conduct training programs for

preventing and responding to emergencies.

Example of emergency environmental training

Environment: Environmental Performance Data

■Greenhouse gas emissions

■Energy-induced CO2

■Waste ■Water used


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■ VOC emissions


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Human Resources: Training for Employees

■Training new employees We conducted “Fresh Day” training for our 79 new employees between March and

August. This involves giving small seminars, information sharing sessions, and group meals to

teach our new employees about principles, ethics, and culture to enable them to understand the company and learn about working as a team.

“Fresh Day” for new employees held on March 4, 2017

■Air conditioner installation and service training for dealers and sub-dealers Between June and November, we conducted air conditioner installation and service

training for our dealers and sub-dealers, which were attended by 223 people from all over Thailand.

Customer satisfaction is extremely important in the current competitive environment. This training helps dealers and sub-dealers learn more about the installation and service standards for air conditioners.

Air conditioner service training for dealers

■Supplier training We held training for 223 people from 54 suppliers between June and November. This training enables us to convey the PDS (Daikin Production System), increases quality,

reduces costs, and identifies possibilities for delivery and safety to raise competitiveness.


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PDS training for suppliers at the training center

Human Resources: Promoting Diversity

■Hiring more people with disabilities The Daikin Group promotes employment of people with disabilities to enable self-growth

through production activities and to provide an opportunity to contribute to society. As of March 2017, 23 people with disabilities work at the offices and plants of Daikin Industries (Thailand). We strive to create a workplace environment where the handicapped can work comfortably.

Disabled workers working at our R4 production line (leak test process)


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Human Resources: Occupational Safety and Health

■Occupational safety and health training for employees Employees take occupational safety and health training on the following topics. • KYT (danger prediction training): To raise awareness of potential dangers • Training for suppliers: To help suppliers work safely and learn how to report accidents• Safe driving: For employees taking their car or motorcycle to work • Hearing protection: To avoid hearing damage for employees working in high-noise areas (using ear-plugs)

• First aid for employees: To learn how to respond to or treat injuries or other physical emergencies

• Prenatal preparation: Education for expectant mothers • Cooking hygiene: Education on hygiene in food preparation • Drug use prevention: Education on the dangers of drug use • Basic chemical substances: Education on using chemical substances safely • Safety legislation: Education on new legal problems • Risk assessment: Learning how to identify corrective measures for problems • Good nutrition: Managing employee health in daily life • Fire prevention: Responding to unexpected emergency situations

Example safety and health activities


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■Safety Month events In September, our employees hold a safety exhibition that includes activities and

contests to improve safety awareness.

2017 Safety Month safety exhibition

■3D safety conference Daikin Industries (Thailand), Daikin Airconditioning (Thailand), and Daikin Compressor

Industries (Daikin Compressors) conduct safety training to improve safety levels and assist the promotion of regional safety conferences.

3D conference in 2016


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Quality, Customer Satisfaction: Quality Improvement

■Assisting advice and sharing of quality improvement activities We provide our suppliers with advice and support, rather than simply requesting them to

improve quality. We also share information on the corrective measures for past quality problems to assist prevention.

These concepts are implemented in the following activities. 1）Quality control managed by Daikin Industries (Thailand): A process for giving advice

with visual patrol and the PDCA cycle to support continuous improvements 2）Monthly Q-meeting activities: Sharing the quality performance of suppliers and

providing follow-up on the progress of quality improvement plans. Focuses on teaching the knowledge and skills required to analyze the fundamental causes of deficiencies in the production line.

3）Eliminating quality risks with POKAYOKE: Supporting the analysis of quality risks and POKAYOKE (mistake proofing) activities for preventing errors. Implemented from fiscal year 2016 to eliminate risks caused by human error.

Supplier meeting at Daikin Industries (Thailand)

Social Contribution: Environmental Protection

■Ninth year of tree-planting activities On July 23, 2016 we continued our forestry activities at Kock Poa Temple in Chonburi

Province, and planted a total of 1,600 trees. This was conducted with the cooperation of 140 people including employees, their families, students, and local residents. This is our ninth year of this program, and we have now planted a total of 9,322 trees.


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Planting trees for the ninth consecutive year on July 23, 2016 at Kock Poa Temple

■Beach clean-up For seven years, we have been volunteering to clean-up Bangsaen beach. This is an open

event joined by our employees and their family and friends, and the number of volunteers has been steadily increasing, with approximately 430 in fiscal year 2016 (up 42 people since 2015).

Beach clean-up activities at Bangsaen Beach in Chonburi Province

Social Contribution: Support for Educational Activities

■Improving schools with the regional community Foremen, leaders, and employees of Daikin Industries (Thailand) conduct surveys of the

local community and Thai mainland to assist building renovations at least twice a year. In 2016, we decided to assist schools in the Chonburi Province (in the region where

Daikin Industries (Thailand) is established) and Pichitr Province. More than 100 of our employees participated in these activities, which included improving building construction and cafeteria kitchens, etc.


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Chonburi Province, Baan Khong Pra Doo School

Employees of Daikin Industries (Thailand) renovated the cafeteria floor and fixed the fence

Pichitr Province、Wat Pa Ma Kaup School

New roof donated by employees of Daikin Industries (Thailand)

Social Contribution: Other Regional Activities

■Regional contribution In March and September 2016, we conducted a blood donation program that was joined

by 456 of our employees to donate to the Red Cross Society.

Blood donor day at the employee cafeteria of Daikin Industries (Thailand)

Daikin Industries (Thailand) conducted activities for the children of Chonburi Province on National Childrenʼs Day. In 2017, we will hold activities in the public area and also at schools in the neighborhood of our company.

Booth at the public area on Childrenʼs Day

Environment: Environmentally Conscious Products · including a hot water tank to ......

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