Sustainability Report 2016 - Fuji Xerox Xerox...Our green practices cover all business processes,...

Sustainability Report 2016Fuji Xerox (Hong Kong) Limited

http://www.fujixerox.com.hk

Date of Issue: October 2016

© Fuji Xerox (Hong Kong) Limited 2016

Printed on Fuji Xerox DocuColor Production Printing System

Xerox, Xerox and Design, as well as Fuji Xerox and Design are registered trademarks or trademarks of Xerox Corporation in Japan and/or other countries.

Create, Change andInnovate for a Sustainable FutureCreate, Change andInnovate for a Sustainable Future

Fuji Xerox (Hong Kong) Limited

Sustainability Report 2016

01B

Chapter 1 | Top Commitment

54

Chapter 10 | VerificationCover Story

Contents

Michael NgSon of Edmond Ng,Customer Training Officer

Vanessa Cheung Daughter of Simpson Cheung,Business Consultant

Elton LamSon of Man Wong,Systems Analyst

Jasmine WongDaughter of Nelson Wong,Senior Account Consultant

Samuel IpSolutions Consulting Trainee

Photographer:

The cover of this report features four lovely children belonging to employees of Fuji Xerox (Hong Kong) Limited. The children wear bright smiles and are holding hands and walking confidently together, symbolizing our determination to enhance our services and transform ourselves so that we may inspire and meet the needs of all our stakeholders. By thoughtfully considering the impacts of our every action on the environment and the community – especially the next generations – we are proactively seeking ways to engage our youngsters and help them develop a sustainable mindset. We believe that it is vitally important to include the next generations as we move forward together and build a sustainable environment.

As a responsible corporate citizen, Fuji Xerox (Hong Kong) is committed to creating value for society by addressing important social issues. We believe that through upholding our commitments and providing innovative solutions and services, we can create a bright and sustainable future for everyone from all walks of life.

Top Commitment

P. 01

Report Scope and Approach

P. 04

Company Profile

P. 10

Glossary

StrongAddressing Business Challenges Alongside

Our Customers throughSmart Technologies and Solutions

P. 20

KindIgniting Visible Green Initiatives to

Build a Sustainable Future

P. 30

InterestingAn Engaged Workforce Demonstrates Cares

and Brings Value to Society

P. 40

Corporate GovernanceIntegrated Systems for Compliance

and Risk Management

P. 14

CSR Indicators

P. 49

GRI Content Index

P. 51

Verification

P. 54

Feedback

[email protected]

01BSustainability Report 2016 01

Our Top Priority Fuji Xerox (Hong Kong) Limited is dedicated to enhancing our customers’ business productivity and improving their capabilities in Information and Communications Technology (ICT). As a trusted ICT partner specializing in document services and communication, Fuji Xerox (Hong Kong) provides numerous solutions and services to help our customers build smart and sustainable green offices.

Over the past year, Fuji Xerox (Hong Kong) has continued to maintain our leading market position. According to the International Data Group, Fuji Xerox (Hong Kong) has been ranked first in the Hong Kong A3 multi-function device market for five consecutive years. Throughout this fiscal year, our company successfully maintained business growth momentum in spite of the economic environment, which became more challenging beginning in the latter half of 2015. Our customer-oriented culture has contributed enormously to this robust growth – this is evidenced by the fact that Fuji Xerox (Hong Kong) has maintained a number one ranking in the industry’s Customer Satisfaction Loyalty Index for six consecutive years, according to information drawn from the annual Competitive Benchmarking Survey conducted by the international market research firms Market Probe (2010-2014) and TNS (2015).

I am also pleased to report that this year, Fuji Xerox (Hong Kong) was the first company in Hong Kong to obtain the new ISO 14001:2015 standard, the latest international standard for Environmental Management Systems. Our company was certified by the Hong Kong Quality Assurance Agency (HKQAA) and accredited by the Hong Kong Accreditation Service (HKAS) and the United Kingdom Accreditation Service (UKAS) soon after the release of the standard on 15 September 2015.


Herbert HuiManaging DirectorFuji Xerox (Hong Kong) Limited

0302Sustainability Report 201602

Looking BackwardHong Kong is gradually moving toward becoming a low carbon city and economy. This movement has been highlighted by recent government initiatives such as the establishment of a waste electrical and electronic equipment treatment and recycling facility at the Eco Park in Tuen Mun and other initiatives. Since 2004, Fuji Xerox (Hong Kong) has been an industry leader in sustainable business practices. Our “Zero Landfill” initiative is one example. We collect used multi-function devices, spare parts and consumables which are then shipped to the Fuji Xerox Eco-Manufacturing Co., Ltd. in Thailand for recycling. This eco-friendly initiative has achieved a material recycling rate of over 99%. Today, more and more companies are realizing the importance of investing in sustainability. The amendment of the Environmental, Social and Governance (ESG) disclosure requirements by the Stock Exchange of Hong Kong Limited in December 2015 is just one example of how business sustainability is becoming mainstream.

We attribute our strong performance and our longevity to Fuji Xerox’s “Good Company” concept, embodying the concepts of being “strong”, “kind”, and “interesting” – these form part of our commitment to corporate social responsibility (CSR). We are delighted to report that this year, we not only achieved steady growth but also the continued expansion of our year-on-year “triple bottom line” CSR rating. Specific examples of policies or practices that have contributed to this trend include a 2.9% five-year compounded annual growth rate (CAGR) in revenue (though this was a 2.1% points lower than the previous year due to the challenging economic situation), a 10.2% reduction in carbon dioxide (CO2) emissions thanks to our low carbon operations, and a 4.4% increase in the number of staff volunteering hours, reflecting the fact that our employees are more engaged and involved in social contribution activities than ever before.

Moving Forward Supporting the United Nations’ Sustainable Development Goals, Fuji Xerox (Hong Kong) is committed to providing solutions and services which help companies achieve low carbon operations and aids customers to combat climate change, such as managed print services and energy tracking systems. Since 2014, Fuji Xerox (Hong Kong) has provided our customers with an efficient channel through which they can recycle Fuji Xerox multi-function devices, by building the industry’s first ever drop-in service and recycling center in Tsuen Wan. Our green practices cover all business processes, from materials procurement to the “3Rs” (reduce, reuse, recycle), to disposal. These sustainability initiatives are aligned with our parent company Fuji Xerox’s value proposition: “delivering value to society at every stage of the value chain”.

The launch of Environmental, Social and Governance (ESG) Reporting Guide in the Main Board Listing Rules Appendix 27 by the Stock Exchange of Hong Kong Limited indicates a tightening trend in corporates’ sustainability performance and rising demand in sustainability reporting. With a wealth of experience and knowledge in sustainability, Fuji Xerox (Hong Kong) is dedicated to helping Hong Kong businesses to improve their sustainability performance. The launch of our sustainability management services (SMS) is a testament to the company’s commitment to local sustainability. SMS is designed to help listed or interested companies

0 200 400 600 800 1000

Economic

Environmental

SocialVolunteering Hours

CAGR

FY2013

FY2014

FY2015

FY2015

FY2015

0 1 2 3 4 5Percent

Tonnes CO2-e

Hours0 2000 40001000 3000

FY2013

FY2014

FY2013

FY2014

CO2 Emissions

3,4463,446

3,8393,839

4,0074,007

5.05.0

4.74.7

2.92.9

1,0091,009

993993

892

0302Sustainability Report 2016 03


our robust BPO solutions, allowing them to enhance their document management and business processes.

In 2016, our business will focus on a new initiative called “spend to save” which is aimed at helping customers capture more business opportunities and enhance their competitiveness in an uncertain economy. These newly-launched services and solutions encourage companies to move to the next stage of their green journey through BPO and sustainability management, maximizing their returns on ICT investments by enhancing productivity and efficiency.

In closing, I would like to take this opportunity to thank all of Fuji Xerox (Hong Kong)’s stakeholders for supporting and sharing our values and our vision to develop innovative and sustainable ICT document management solutions and services which meet the ever-changing needs of this dynamic market. This report, themed “Create, Change and Innovate for a Sustainable Future”, brings together the children of our employees, helping to underline the message that we are committed to bringing these values to society and to being a responsible corporate citizen that addresses important social issues. After all, it is only by upholding our commitments and by providing innovative solutions and services that we can create a sustainable future for the next generations. As this report is one of our key stakeholder engagement methods, we appreciate any feedback or comments you may have on this report – these will help us create continuous improvements as we move into the future.

assess and strengthen their ESG reporting strategies. Fuji Xerox (Hong Kong)’s multidisciplinary team combines their expertise in ICT and document management with sustainability knowledge to offer customized sustainability services. A “dashboard” on energy and paper monitoring accompanied by an analysis is provided to companies, helping them reduce their carbon footprint. This dashboard is supported by an innovative 7x24 cloud-based intelligent environmental, social and governance (iESG) platform which streamlines the ESG reporting process, resulting in operation cost savings and improvements in energy efficiency and waste reduction. Through our SMS energy tracking solutions, companies can reduce their energy consumption. SMS allows companies to oversee their performance across various time intervals, allowing them to develop better internal controls and manage risks as required by Appendix 14 of the Main Board Listing Rules.

Nowadays, corporate social responsibility activities are increasingly important to companies as they strive to achieve business sustainability. In FY2016, we will deepen our bonds with society by strengthening our community engagement activities; these will include green tours and volunteering activities. Through active collaboration with local education institutes and non-governmental organizations, we will continue to actively reach out to stakeholders by introducing them to our sustainability concepts and collecting their valuable opinions. In turn, this will allow us to gain their trust, better cater to their needs and create mutual benefits for all parties.

In addition to sustainability, business process efficiency is critical to the success of any company. Fuji Xerox (Hong Kong) provides services which help companies navigate the challenging global business environment. According to a 2014 Gartner report called Competitive Landscape: The Next Frontier for Business Process Optimization (BPO) Services, the overall BPO market in Asia-Pacific is forecasted to grow to USD 23.4 billion by 2018, reflecting continued strong growth in demand. With our newly-launched managed account payable services (MAPS), companies will be able to streamline the invoicing process and reduce administrative time significantly, by as much as 66%. Industries which have document-intensive practices will benefit from

Yours sincerely,

Herbert HuiManaging DirectorFuji Xerox (Hong Kong) Limited


Chapter 2 | Report Scope and Approach

Reporting ObjectivesStriving to adhere to the best international standards, Fuji Xerox (Hong Kong) is both motivated and compelled to report our sustainability performance with greater transparency. As such, we have continued to adopt the stringent requirements of our “Plan-Do-Check-Act” (PDCA) improvement cycle in order to ensure the accuracy of the qualitative and quantitative information in this report. To facilitate better understanding of our company, this report will also share our business development plans and the latest company goals and initiatives. While responding to the sustainability issues which are of greatest important to our stakeholders, we will explain our philosophy so as to demonstrate how we embed CSR into our management approach at every level.

This is our seventh sustainability report. These reports are published annually and follow the Japanese financial year which ends on 31 March. As such, the information contained in this report may be still in progress, may have been completed within the reporting period or may be scheduled to roll out in the following fiscal year (FY).

Reporting ScopeThis report contains information on significant economic, environmental and social impacts arising

from our operations which took place between 1 April 2015 and 31 March 2016 (i.e. FY2015) and covers the following locations:

• Hong Kong Island’s offices

• Tsuen Wan’s Recycling Centre

• Kwai Hing’s Document Technology Centre

• Macau office

Please note that not all Macau office performance information has been included, the reason being that this office uses different data collection systems.

Reporting PrinciplesThis Fuji Xerox (Hong Kong) Sustainability Report complies with:

• Internationally recognized Global Reporting Initiative (GRI) G4 Sustainability Reporting Guidelines on Core Level, ISO 26000:2010 Guidance on Social Responsibility, United Nations (UN) Global Compact Initiatives, United Nations Sustainable Development Goals, and Business Environment Council (BEC) Handbook of Understanding Materiality for Environmental, Social and Governance Reporting

• Stakeholder concerns

• Benchmarking against other industry players



External Assurance This report has been compiled in accordance with the GRI G4 Guidelines on Core Level with respect to the extent of coverage and the information provided. It has been independently assured by the Hong Kong Quality Assurance Agency (HKQAA) in accordance with the Institute of Social and Ethical AccountAbility’s AA1000 Standards, the GRI G4 Guidelines and ISO 26000:2010 Guidance on Social Responsibility. For details of the assurance statement, please refer to the Verification section of this report.

CSR ManagementFollowing at all times our parent company’s principle that “CSR is synonymous with corporate management”, Fuji Xerox (Hong Kong) consistently tries to respond to the expectations of our stakeholders in every aspect, strives to solve issues for our customers and shares value with our stakeholders by demonstrating Fuji Xerox’s “unity of words and deeds” (i.e. Genko-Itchi in Japanese) principle in all our business processes.

Fuji Xerox (Hong Kong) is happy to share CSR management and performance figures with our stakeholders by reporting ESG-related information through this sustainability report, even though Fuji Xerox (Hong Kong) is not a listed company and is not required to publish this report. We believe that the publication of this report is a viable stakeholder engagement method and an important part of the stakeholder engagement process. Through this report’s active disclosure of topics about Fuji Xerox (Hong Kong), we can enhance the integrity of our decision-making processes, perfect our CSR management and comply with the international, local and industry requirements outlined in the GRI. We ultimately hope to create positive impacts for our stakeholders by further increasing awareness of local issues and ideas, and by creating stronger bonds with the community. Our parent company Fuji Xerox began publishing its “Fuji Xerox Environmental Progress Report 1998” in 1999, then “Environmental Report” for the years 2000 to 2002 and “Sustainability Report” from 2003

onwards. A copy of Fuji Xerox Sustainability Report can be obtained here: http://www.fujixerox.co.jp/eng/.

Material Aspects and Stakeholder EngagementTo address the interests and concerns of Fuji Xerox (Hong Kong)’s stakeholders, we reported the material matters identified in this sustainability report in accordance with the GRI G4 Core requirements. We also referenced other applicable guidelines and principles such as AccountAbility’s AA1000 Standards.

Beginning with the first Fuji Xerox (Hong Kong) Sustainability Report published in 2010, we have identified the report’s material aspects by reviewing the results of and comments obtained from the Fuji Xerox Annual CSR Survey which was developed based on international and Japanese standards and guidelines, including – but not limited to – the UN Global Compact’s 10 Principles and the Japan Association of Corporate Executives’ New Corporate Assessment Standards. Fuji Xerox (Hong Kong) has further conducted the materiality assessment by considering local benchmarking platforms, including the voices and opinions of both internal and external customers and feedback obtained during our unique “Green Tour”. First introduced in 2010, the “Green Tour” is an innovative two-way communication platform by inviting various stakeholders to visit our recycling and low-carbon operation. In FY2015, ten tours were organized, welcoming over 140 visitors. We then categorize this feedback to produce a materiality matrix based on the frequency with which a matter is referenced in the various stakeholder sources.

After the results of the materiality assessment are finalized, we then consider material matters in the “High-High” area of the materiality matrix diagram to be essential to our report. Other matters indicated are touched on in the reports, but to a lesser extent; but we then share more granular details with our associated stakeholders through further, more tailored, communications.


Core

Bus

ines

s Processes

Mid-range M

anagement Plans

Fuji Xerox(Hong Kong)

Value Provided

Two-wayCommunication

withStakeholders

Repo

rt to

management re

flecting survey results in mid-range strategy

Examination and progress management atFuji Xerox (Hong Kong) Sustainability Committee

Fuji Xerox(Hong Kong)CSR Review

Fuji XeroxCSR Survey

Fuji Xerox(Hong Kong)

SustainabilityReport

Check whether information is provided to and

received from stakeholders in an effective manner

Customers

LocalCommunities

Shareholders /Investors

GlobalEnvironment

Employees

Suppliers

Stakeholders• Mission Statement

• Shared Values

Check degree of meeting stakeholders’ requirements every year

Governance andRisk Management

Economic

Importance to Fuji Xerox (Hong Kong) LimitedMedium

Med

ium

WaterManagement

BiodiversityConservation

End of LifeResources Recovery

EnvironmentalEducation Waste Management

Eco Product

CarbonManagement

EnergyManagement

SustainableProcurement

Chemical Risk

Green Achievements

CultureInclusion

Employment andWage Management

Occupational Health and Safety

Social

Documenting Culturesand Precious Information

Value Chain

Customer Satisfaction

BusinessContinuity

Equal Opportunities

Volunteering

CommunityInvestment

Supply Chain Management

Employee Satisfaction

Manpower Development

Product Safety

InformationSecurity

Environmental

• Fuji Xerox (Hong Kong) Materiality Matrix

• Fuji Xerox (Hong Kong) CSR Improving Mechanism



Stakeholders Concerns Fuji Xerox (Hong Kong)’s Engagements

Customers • Quality of Products and Services• User-friendly Design• Cost Effectiveness of Services• Responsiveness of Services• Information Security • Safe Working Environment• Fair Working Conditions• Benefits and Welfare• Career Development• Employee Satisfaction • Economic Stability• CSR Performance Management• Business Ethics• Fair Trade

• Staff Communication Meetings• Managers’ Gathering Sessions• Newsletters• Employee Relation Activities

• Customer Satisfaction Survey• Website• Press Release• ISO 27001 Information Security Management System

Employees

Suppliers

• Irregular Meetings• Letters• Code of Conduct

Global Environment

• Various Audits (ISO 14001 Environmental Management System, ISO 50001 Energy Management System, FSCTM Chain of Custody, 5S, etc.)• Ad-hoc Meetings and Visits

• Low Carbon Office• Eco Product Life Cycle• CSR Recognition• Sustainable Procurement

• Social Contribution• Employment Opportunities• Mentoring• Employing Vulnerable Individuals

Local Communities

• Charity Functions• Fund Raising Campaigns• Ad-hoc Meetings

Shareholders/ Investors

• Economic Sustainability• Workforce Stability• Governance and Risk Management• Legal Compliance

• ISO 22301 Business Continuity Management System Audits• Regular Meetings• Reports• Internal Audits• CSR Review

• Fuji Xerox (Hong Kong)’s Response to Stakeholders’ Needs

Management ApproachTo ensure alignment with our parent company’s mission and responsibilities as a corporate citizen, Fuji Xerox (Hong Kong) strives to create value for our six defined stakeholder groups through our CSR management practices and processes. A summary of management approaches through which Fuji Xerox (Hong Kong) has been building trust and engaging with our stakeholders, particularly during uncertain market situations, appears below.

Engaging with Customers

To facilitate and enhance our customers’ business efficiency and quality, Fuji Xerox (Hong Kong) strives to develop and deliver innovative products and services. Backed by our parent company, Fuji Xerox Customer Co-creation Laboratory enables high-level collaboration with our customers and business partners and helps to identify the challenges they face in their day-to-day operations. Locally, through active customer contact, Fuji Xerox (Hong Kong) has successfully identified and anticipated a number of our customers’ management problems and thus helped to create new solutions which tackle these issues in advance. This year, we can further support to our customers by launching our new sustainability management services (SMS) delivered on the latest Intelligent Environmental, Social and Governance (iESG) platform. SMS allows our customers to optimize their sustainability performance through an easy and effective approach. By partnering with our customers and providing them with holistic solutions, we strive to gain the satisfaction and trust of our valued customers.


Engaging with Employees

Fuji Xerox (Hong Kong) considers human resources to be one of our most valuable assets. We believe that by creating an environment which provokes inspiration and cherishes innovative ideas from our talents and professionals, we can sustain our business and generate mutual benefits for both society and our company. To motivate and empower our employees, we have invested and engaged in a wide range of initiatives to improve employee satisfaction, increase their sense of belonging, raise diversity and provide personal learning and development in the hopes that all our employees can reach their full potential, grow to cope with different challenges, and achieve success in both their personal and professional lives.

Engaging with Suppliers

Fuji Xerox (Hong Kong) recognizes the importance of promoting sustainability, not only within our own operations but also across our entire supply chain. Above and beyond requiring that our suppliers comply with all laws and regulations concerning the environment, ethics, information security and other critical issues which concern us, Fuji Xerox (Hong Kong) views our suppliers as business partners and aims to grow continuously with them and adjust hand in hand to the ever-changing needs of the market. With this guiding principle in mind, we frequently engage with our suppliers and share our CSR philosophy and management approach with them. The result is that we have cultivated a group of suppliers that adopt green and sustainable procurement strategies in tandem with us. We have built up strong relationships with our suppliers and will continue to nurture a green and competitive supply chain which creates mutual benefits for all parties.

Engaging with Global Environment

Fuji Xerox (Hong Kong) first established an Environmental Protection Policy in 1985 and upgraded to a Sustainability Policy in 2010. Ever since the adoption of ISO 14001 Environmental Management System since the second half of 2002, we started to incorporate sustainability into our core business activities and promoted continuous improvement through the use of our PDCA improvement cycle. We firmly support the regional efforts of our parent company to embed sustainability into all steps of the product lifecycle, namely the sourcing of parts and materials, assembly, processing, logistics and end-user power consumption, as well as product recycling and disposal. Fuji Xerox (Hong Kong) embraces every action we can to support the regional 360º of Sustainability™ initiative, aiming to minimize the negative impacts caused by our business operations in Hong Kong. To support the next generation, we are also partnering with universities and academic institutes to organize “Green Tours” for students. We believe that through face-to-face interaction, we can trigger their interest in integrating innovative ICT applications into their daily lives and ultimately help them create a sustainable future environment for themselves and the generations which come after them.

Engaging with Local Communities

As a solid corporate citizen in Hong Kong, we do our utmost to recognize and address local social issues. We utilize our core competencies to create a better society and cultivate a strong, loving and caring “Volunteer Network” which serves the communities, particularly those in need. We initiate a number of volunteering programs, ranging from environmental conservation to child welfare and cultural preservation and more. To grow our involvement further, we actively seek opportunities to collaborate with non-governmental organizations (NGOs) and institutes to create synergistic effects. Although a great deal has been achieved, we understand that more action is still required



to sustain positive changes in the community. Fuji Xerox (Hong Kong) will continue to make the best possible use of our resources, like our professionals and ICT technologies, to tackle social problems and contribute to society.

Engaging with Shareholders/Investors

Fuji Xerox (Hong Kong) is committed to embracing innovation, dynamism and vitality, and following our parent company’s direction to keep pace with changes in the market and evolve to meet new challenges. Deepening collaboration and bonding with our counterparts in China, we are committed to achieving our CSR targets in what has become a rapidly-changing and unfavorable economic environment. Striving for continual improvement, we benchmark ourselves with pioneers in the industry in order to cement Fuji Xerox (Hong Kong)’s status as a trusted ICT partner which provides leading document services and communication. Ultimately, we endeavor remain a key revenue generating operating company which delivers good results to our parent company Fuji Xerox and, naturally, to the shareholders/investors of the FUJIFILM Holdings Corporation and the Xerox Corporation.

Employees

Customers

Suppliers

GlobalEnvironment

LocalCommunitiesShareholders/

Investors


Chapter 3 | Company Profile

Xerox’s Philosophy

The CSR concept followed by Fuji Xerox (Hong Kong) originates with our parent company, Fuji Xerox. In turn, this concept has its origins in the business philosophy of Joseph C. Wilson, founder of the Xerox Corporation.

“Our business goal is to achieve better understanding among men through better communications.”

– Joseph C. Wilson

Fuji Xerox (Hong Kong) was established in Hong Kong in 1964. Today, the company has over 900 employees* and is a trusted ICT partner which provides leading document services and communication to a broad range of customers. Formerly known as Rank Xerox (Hong Kong) Limited, in 2000 we became a subsidiary of Fuji Xerox Co. Ltd. under a 75/25 joint venture between FUJIFILM Holdings Corporation of Japan and the Xerox Corporation of the United States.

Fuji Xerox (Hong Kong) is committed to providing cutting-edge information and communications technologies (ICT). We specialize in delivering document management consultancy to every industry through a full range of solutions and services which covers the entire spectrum of our customers’ needs in both Hong Kong and Macau.

* This figure excludes contractors who perform certain logistics tasks in our workshop and warehouse.



Contribute to theadvancement of theglobal community by

continuously fosteringmutual trust andenriching diverse

cultures.

Build an environmentfor the creation andeffective utilization

of knowledge.

Achieve growth andfulfillment in both

our professional andpersonal lives.

Mission StatementThe mission statement sets out common goals for Fuji Xerox and its affiliates. As one of the corporation’s operating companies, Fuji Xerox (Hong Kong) faithfully and sincerely follows these missions.

Shared Values All employees of Fuji Xerox (Hong Kong) are encouraged to keep the ten “Shared Values” set out by Fuji Xerox at the top of their minds. Each of the ten values emphasizes our responsibility and sets forth how we should approach business as members of society and as individuals based on a fundamental respect for humanity.

Shared Values

Customer Satisfaction

Team Spirit

Environmental Consciousness

High Ethical Standards

Scientific Thinking

Professionalism

Trust and Consideration

Joy and Fulfillment

Adventurous/Pioneer Spirit

Cultural Diversity


The “Good Company” Concept The “Good Company” concept was announced by Fuji Xerox in 1992 as both a business philosophy and a cornerstone of Fuji Xerox’s management approach. This concept has been a fundamental part of our way of doing business since then, although Fuji Xerox (Hong Kong) only became part of Fuji Xerox in 2000.

A “strong” company delivers consistent excellent products and services that satisfy customers and is able to reward its shareholders continuously. A “kind” company contributes to local and global communities in terms of environmental conservation, ethical behavior, and social contribution. Employees find their life and work fulfilling at an “interesting” company. Like our parent company, Fuji Xerox (Hong Kong) operates as a responsible corporate citizen as we strive to balance these three attributes.

Creating Value for Society Fuji Xerox (Hong Kong) plays a critical role in providing innovative document consultancy solutions and services to a wide array of customers, from small and medium enterprises to multinational organizations.

We help businesses work smarter and more efficiently. Our multi-function devices, printers and copiers reduce printing costs, streamline business processes and automate common tasks.

• Office Multi-function Devices

• Production Printing Systems

• Production Workflow Software

• Office Printers

• Wide Format Printers and Copiers

• Paper and Supplies

Solutions

Products

We provide customized solutions which employ advanced technology, equipment and implementation services. Our solutions help customers increase efficiencies in their workplaces and achieve cost reductions.

• Office Solutions: Streamline and centralize document management process

• Digital Workflow Solutions: Boost productivity, reduces costs and enables new applications

• Industry Solutions: Focus on the specific business which enhance competitiveness and create greener offices

ServicesOur outsourcing services focus on the document and business processes of customers that conduct global business activities. We manage all document processes from production and storage to output and usage, to achieve cost reductions and higher productivity.

• Enterprise Print Services:Make printing easy so that companies can concentrate on core operations

• Document Supply Chain Management:Integrate document management to increase the value of documents

• Business Process Services: Streamline business processes with fast, accurate, and secure access to information

Contribution to customers and shareholders

Consideration for the environment

Contribution to local and globalcommunities

Workplaces that can demonstrate creativity

Employees who experience asense of growth

Strong

Kind Interesting

“Good Company” Conceptsince 1992

“Good Company” Conceptsince 1992



Reg. No.登記號碼:

Multifunction Device(多功能辦公室設備)

M15-0048

ISO 50001 : 2011Certificate No.: CC 5473

We help businesses work smarter and more efficiently. Our multi-function devices, printers and copiers reduce printing costs, streamline business processes and automate common tasks.

• Office Multi-function Devices

• Production Printing Systems

• Production Workflow Software

• Office Printers

• Wide Format Printers and Copiers

• Paper and Supplies

Solutions

Products

We provide customized solutions which employ advanced technology, equipment and implementation services. Our solutions help customers increase efficiencies in their workplaces and achieve cost reductions.

• Office Solutions: Streamline and centralize document management process

• Digital Workflow Solutions: Boost productivity, reduces costs and enables new applications

• Industry Solutions: Focus on the specific business which enhance competitiveness and create greener offices

ServicesOur outsourcing services focus on the document and business processes of customers that conduct global business activities. We manage all document processes from production and storage to output and usage, to achieve cost reductions and higher productivity.

• Enterprise Print Services:Make printing easy so that companies can concentrate on core operations

• Document Supply Chain Management:Integrate document management to increase the value of documents

• Business Process Services: Streamline business processes with fast, accurate, and secure access to information

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材調達

Global Environment

Supp l i e r s

Employees

Local CommunitiesGlobal Environ m ent

Local Communities

S u p p l i e r s

Employees

Use by Custom

ers

Reduce, Reuse,Recycle, Disposal

R&D, Manufacturing, SalesM

ater

ials

Proc

urem

ent

Fuji Xerox BusinessActivities

In pursuit of the principle of “the unity of words and deeds” – known as “Genko-Itchi” in Japanese – Fuji Xerox (Hong Kong) works hand in hand with all stakeholders in all our business processes along our 360º of Sustainability™ value chain. Far from initial parts procurement to manufacturing operations from Fuji Xerox and other affiliates, Fuji Xerox (Hong Kong) optimizes value across several local stages in the value chain: “sales”, “use by customers” and “reduce, reuse, recycle, disposal”.

Striving for ExcellenceFuji Xerox (Hong Kong) strives to achieve outstanding performance in all our solutions and services. We are grateful to have received over 20 recognitions in FY2015 alone from a number of institutions – both in the local industry and the global market. These recognitions underscore our company’s commitment to high standards in all our processes, products, solutions and services.


Chapter 4 | Corporate Governance Integrated Systems for Compliance and Risk Management

Corporate governance broadly refers to “the mechanisms, processes and relations by which corporations are controlled and directed”*. At Fuji Xerox (Hong Kong), robust management systems, processes and mechanisms have been adopted to govern our business operations and give a greater voice to our stakeholders.

* Source: Wikipedia

Material Issues Addressed by Fuji Xerox (Hong Kong)

・Business Continuity・Customer Satisfaction・Governance and Risk Management

・Carbon Management・Energy Management・Sustainable Procurement

・Eco Product・Environmental Education・Waste Management

Remarks: Includes material matters identified in the “High-High” area of the Materiality Matrix diagram.

・Employee Satisfaction・Manpower Development・Product Safety ・Volunteering

・Information Security・Occupational Health and Safety・Supply Chain Management

Economic

Social

Environmental


Chapter 4 | Corporate Governance Integrated Systems for Compliance and Risk Management

Governance and OrganizationStrengthening corporate governance and enforcing transparency is fundamental to any successful organization.

Managed as part of Fuji Xerox Greater China Operations (GCO), Fuji Xerox (Hong Kong) has been operating in Hong Kong for 52 years. Our continuing success is due to our consistently high customer satisfaction and loyalty levels. By adopting an effective PDCA-oriented management approach to sustainable business growth, we have created continuous improvements and gained the respect of our stakeholders.

In accordance with GCO operational guidelines, the General Management Office – chaired by Fuji Xerox (Hong Kong)’s Managing Director and supported by our Senior Management Committee (SMC) – develops strategic plans on a three-year medium range timeline which links operational planning, execution, feedback and improvements to create sustainable and repeatable business success for Fuji Xerox (Hong Kong).

These operating plans and objectives are shared via annual meetings to ensure that all employees understand the latest operational direction and are able to change to meet new challenges. At the same time, to ensure an agile operation which can quickly respond to dynamic market situations, the Managing Director and the SMC hold monthly meetings to discuss topics which include customer opinions, policy deployment, business performance, key marketing campaigns, social responsibility, staff engagement and others. At the department level, managers and staff will hold regular meetings on business performance progress, operational quality, environmental health and safety and human- and community-related matters.

China

Indonesia

Australia New Zealand

ThailandMyanmar

Laos

Malaysia

Singapore

Japan

South KoreaTaiwan

Cambodia

The PhilippinesVietnam

Hong Kong

FUJIFILM HoldingsCorporation(Japan based)

Fuji Xerox Co., Ltd.(Japan based)

Fuji Xerox Greater China Operations(China based)

Fuji Xerox (Hong Kong) Limited(Hong Kong based)

75% 25%

XeroxCorporation(U.S.A. based)


Mechanism

Planning (A) Basic Ideas and

Approaches

Monitoring (B) Setting Goals and Identifying

Results

Learning (C)

Evaluations and Areas for Improvement

Systems OperationsDirection and Driving Force Results

Activity Results [400]

Strategy Planning and Deployment [60]

Improving Employee and Organizational Capabilities [100]

Customer Value Creation Processes

[120]

Leadership of Senior Leaders [120]

Social Responsibility of Management [50]

Information Management [50]

Understanding and Responding to Customer and Market Needs [100]

14

5 8

6

3

7

2

Japan Quality Program A Plan-Do-Check-Act cycle for Higher Customer Values

Risk Management and Legal ComplianceFuji Xerox (Hong Kong) views sustainability and risk management as top priorities for developing its business. To ensure that all these concepts are incorporated into every aspect of our operations, the senior management team regularly holds meetings to identify, discuss and make decisions on high-priority risk management items.

As we strive to create continual process enhancements under the PDCA cycle, Fuji Xerox (Hong Kong) has embedded the Japan Quality Program into its management framework. The program consists of eight criteria, each of which is given a different weighted score, with the total score being 1,000 points.

This not only helps us better assess our current situation from an organizational perspective, but also clarifies the effectiveness of our management objectives and identifies key areas for sustainable development. Currently, the Japan Quality Program functions with the Japanese Sarbanes Oxley (J-SOX) model, which has introduced strict rules for the internal control of financial reporting to protect investors by improving the accuracy and reliability of corporate disclosures, as well as other standards and guidelines which allow Fuji Xerox (Hong Kong) to excel in risk management.

Our general legal and financial policies lay down the ways in which compliance and internal controls should be maintained. We conduct self-assessments, external management systems audits and rigorously benchmark legal compliance and the integrity of our general business processes annually. We also conduct an annual self-evaluation of our code of conduct for all employees to ensure that we achieve an even higher standard of ethics in accordance with our parent company, Fuji Xerox. This code covers respect for basic human rights as well as open, fair and clear corporate activities. Specific areas include, but are not limited to, human rights, the prevention of discrimination and harassment, privacy, labour rights, forced and child labour, workplace health and safety, communication, information disclosure, fair competition, sales activities and procurement, prevention of corruption and the rejection of antisocial forces.


Chapter 4 | Corporate Governance

PDCA Based Japan Quality Program

A Sustainable and Risk Managed Operation

Environmental

5S ISO 14001 ISO 50001ISO 14064 FSCTM CoC

Social

ISO 26000

Governance

Internal Audit J-SOX AEO

ISO 22301

ISO 27001

In 2015, we became the first company in Hong Kong to upgrade our ISO 14001 Environmental Management System. In addition to the original framework, which helps organizations set up an effective environmental management system that complies with environmental regulations; the newest edition requires a combination of approaches, as interrelated processes that function as a coherent system and thus deliver more consistent and predictable results can be achieved more effectively and efficiently through this combination. The new standard also emphasizes stronger management including risk-based thinking which places prevention at the heart of the management system and the PDCA cycle at all organizational levels.

In 2013, Fuji Xerox (Hong Kong) attained ISO 22301 Business Continuity Management System certification. This certification specifies requirements to plan, establish, implement, operate, monitor, review, maintain and continually improve a documented management system to protect against, reduce the likelihood of occurrence, prepare for, respond to, and recover from disruptive incidents whenever they arise. The system helps us to minimize the risk to personnel, protect property and the company reputation, as well as swiftly implement all necessary recovery plans.

This year, we reassessed the required elements and added significant subjects in excess of those required by Fuji Xerox (Hong Kong)’s certified ISO systems and localized policies and procedures. We did this in order to extend the comprehensiveness of the coverage and create a high standard of ESG compliance aspects in spite of the fact that we are not a listed company in Hong Kong.


We further manage our information security-related risks through the ISO 27001 Information Security Management System. This system utilizes a risk management approach to the security of sensitive company information, such as financial information, intellectual property, employee details and information entrusted to us by third parties. Our Document Technology Center is the first arm of our company to be certified to ISO 27001:2013 standards, and we are planning to obtain a new certification of our head office in 2016. This accreditation demonstrates our commitment to treasuring the intellectual property and private information of our customers.

Moreover, to enhance employee awareness and understanding of the importance of information security, Fuji Xerox (Hong Kong) organized e-learning sessions for all employees in FY2015, and will provide refresher training every year thereafter. This e-learning course, focusing on information security threats like information leaks, has been integrated into the mandatory training curriculum for all new joiners. To further enhance employee knowledge of information security, we produced an animated video introducing the document classification process. The video was designed to provide easy understanding of the process and give reminder messages which improved the learning outcomes.

Following the three-year audit cycle of the Hong Kong Authorized Economic Operator (AEO), a full compliance audit schedule has to be completed by September 2016. This system is a voluntary Customs-to-Business Partnership program which secures and facilitates global trade. The system is in compliance with the requirements stipulated under the World Customs Organization SAFE Framework of Standards to Secure and Facilitate Global Trade and was developed with reference to ISO 9001 Quality Management System, ISO 27001 Information Security Management System and ISO 28001 Security Management System for Supply Chains. We were invited by the Customs and Excise Department to join the pilot scheme in 2010 and Fuji Xerox (Hong Kong) was the seventh company certified in Hong Kong. We successfully achieved a tier-two compliance level, which covers all 12 processes in general criteria and security & safety criteria.



a. Customs Compliance

b. Maintenance of Commercial Records

c. Financial Soundness

General Criteria

d. Premises Security and Access Control

e. Personnel Security

f. Cargo Security

g. Conveyance Security

h. Business Partner Security

i. Security Education and Training

j. Information Exchange, Access and Confidentiality

k. Crisis Management and Incident Recovery

l. Measurement, Analysis and Improvement

Security & Safety Criteria

Through integrated systems of rules, practices and processes, Fuji Xerox (Hong Kong) has consistently achieved a high level of governance for compliance and risk management, bringing value to our stakeholders and helping to create a sustainable future for all of us.



Chapter 5 | Strong Addressing Business Challenges Alongside Our Customers through Smart Technologies and Solutions

We maintain the highest standards of excellence in all our endeavors and build smarter offices for our customers through enhanced business efficiency, productivity and sustainability.


In today’s volatile economic times where operating costs are skyrocketing, companies in all industries are experiencing a pressing need to develop new strategies to remain competitive.


Economic

Environment・Carbon Management・Energy Management・Sustainable Procurement



Social・Employee Satisfaction・Manpower Development・Product Safety ・Volunteering


Economic

Social

Environmental


Chapter 5 | Strong Addressing Business Challenges Alongside Our Customers through Smart Technologies and Solutions

Sustainable, Green and Ethical Procurement Global market trends to favor companies that make an effort to become sustainable. As such, companies adopting green standards and exercising sustainable procurement policies often gain a competitive advantage. According to the United Nations Environment Program (UNEP), sustainable procurement is a “process whereby public organizations meet their needs for goods, services, works and utilities in a way that achieves value for money on a whole life cycle basis in terms of generating benefits not only to the organization, but also to society and the economy, whilst significantly reducing negative impacts on the environment.” This definition is equally applicable to the private sector. Companies can incorporate extrinsic cost considerations into their decisions alongside the conventional procurement criteria of price and quality – although in practice, the sustainable impacts of a supplier’s approach are often assessed as quality considerations. These considerations are typically divided into the “triple bottom line” concept, with these elements being economic, environmental and social aspects.

Sustainable procurement involves a higher degree of collaboration and engagement between all parties along a given supply chain. Our parent company Fuji Xerox has adopted a broader interpretation of sustainable procurement which we call “ethical procurement”. This process sees Fuji Xerox provide support for highly satisfactory and effective improvements made by its suppliers through a number of means: holding informational meetings and executive seminars, providing management guidelines and ethical procurement checklists and conducting on-site checks at suppliers’ premises.

Other than applying sustainable procurement practices within Fuji Xerox (Hong Kong), we are also proactively trying to address the growing sustainability concerns of our customers. We are continuing to transform and create new green solutions and services such as cloud computing, mobile workplaces and document management solutions to drive greater productivity and enhance our customers’ performance.

Smart Technologies: Changing How We Do BusinessIn November 2015, Fuji Xerox (Hong Kong) launched our new “4S” solutions – four smart solutions that are dedicated to building smarter offices for our customers under the company’s innovative three pillar offerings: iWorkplace, Business Process Optimization (BPO) and Customer Communications Management (CCM).

Smart Device - A self-setup, server-less portal providing digitalization and information standardization with built in applications, dedicated to helping businesses simplify workflow through Xpress Follow-U-Print, Xpress e-Filing, Xpress Report and Smart WelcomEyes Advance.

Smart Connect - A capturing automation solution helps all kinds of industries and enterprises to streamline and standardize operations by digitizing paper documents and business processing into digital workflow while reducing administrative burdens.

Smart Share - A Cloud-based Next Generation Enterprise Content Management solution that is ready to deploy, easy to use and well integrated with advance document management technology, enabling enterprises, particularly small and medium-sized enterprises (SMEs), to achieve effective collaboration and business continuity.

Smart Analytics - A single comprehensive platform provides detailed real-time analysis on paper and electricity usage and then transforms the data into actionable insights for enterprises to make smart decisions to improve business performance.

Analyt

ics

Device

Share Conn

ect


Bio-based Plastic Material Technology

The conventional plastic materials in multi-function devices are produced from petroleum – posing a number of environmental challenges, not least of which is the production of a large amount of CO2

emissions. To reduce the environmental impacts of our products, in 2004 our parent company Fuji Xerox actively began conducting research which resulted in the development of a bio-based plastic made from plants. This bio-based plastic slashes CO2 emissions, as photosynthesis takes place while the harvested plants are being grown, thus offsetting CO2 emissions. The bio-based plastic material contains 50%or more by weight of a plant-derived constituent, with the ratio of petro-derived constituents being reduced to less than 10%.

▲ Parts made from this newly developed bio-based plastic are labeled with the BiomassPla50 mark, which is given to plastic parts containing 50% or more by weight of plant-derived constituents.

These new bio-based plastic materials are already being used in our products, helping our customers reduce the negative environmental impacts of their office operations.

Through these 4S solutions, our customers can manage their business processes effectively by digitizing and streamlining documents and information. This allows them to enhance their office efficiency by 80% and reduces costs greatly.

The First-ever Digital Color Printer with Gold/Silver Dry Ink Technology

To enhance productivity, reduce the costs of conventional commercial printing and achieve diversified and customized digital production, we launched the Color 1000i Press, a groundbreaking digital printing system with gold/silver dry ink technology in May 2015.

The biggest breakthrough of Color 1000i Press is the adoption of Fuji Xerox’s exclusive Low Gloss Dry Ink formulation. Along with Fuji Xerox’s latest gold/silver dry ink technology, the direct output of gold/silver color by digital printing devices can now be achieved for the first time, exhibiting the results of Pantone 877C and 871C. It allows for an output of gold foil stamping and metallic effect that could only be achieved in the past by traditional offset printing. This greatly expands the scope of customized application in the industry.

▼ Accredited with more than 100 patents, Color 1000i Press offers ultimate productivity with color print quality rivaling offset printing. It provides 2400 x 2400 dpi resolution, which is the maximum resolution of printing services throughout the industry. It also reduces the manual workload in color management, contributing to a better ease of use and consistency in color.


Chapter 5 | Strong

Innovative Solutions to Drive SustainabilityNot only are we engaged in providing sustainable products that minimize the environmental impacts of our customers’ operations, we are also focused on developing smart solutions which cater to the needs of customers in different industries, further enhancing their operational efficiency and boosting their productivity to allow them to better serve society.

Bringing Innovation to the Medical Industry

Fuji Xerox (Hong Kong) developed an innovative Medical Report Output System (MROS) solution which supports the Digital Imaging and Communications in Medicine (DICOM) format for hospitals. This solution aims to enhance performance when delivering medical services, while reducing costs and helping hospitals maintain green initiatives.

Our solution provides comprehensive services which include the handling, storing, printing and transmission of information in multiple radiology system scans, improving the efficiency of hospital diagnostics and streamlining the workflow process. As MROS eliminates manual processes, medical organizations are able to minimize the chance of human error. Catering to the different types of scans performed in hospitals, these modalities produce numerous films generated from reports, radiology images and results. With the ability to integrate documents and DICOM images into full medical report booklets and self-labeled compact discs (CDs), MROS also enables patients to bring their report booklets and CDs home with them, allowing them to print items on demand and reduce paper consumption.

Through our MROS solution, Baptist Hospital has been able to reduce their traditional film usage by more than 50% – an amount equating to thousands of films every month. They have reduced the use of associated chemicals, and as such the hospital has not only achieved a cost saving goal but also enhanced its green image.

“ We believe that Fuji Xerox (Hong Kong)’s MROS DICOM solution is well aligned with Hong Kong Baptist Hospital’s mission of providing holistic and high quality hospital services to the community and rendering high quality medical facilities and hospital environment. With MROS, patients no longer need to bring along different and bulky medical films and report to the hospital for consultation. ”

Ms. Grace Wong Yuen-ling General Manager

Hong Kong Baptist Hospital


Enhancing Value with the EduBox Travel Book

Our Edubox solution has been a great success in the education sector. This digital print-on-demand teaching material management solution allows schools, teachers and parents to design and produce teaching materials in a flexible way, resulting in a significant reduction in the printing of unnecessary teaching materials and a subsequent schoolbook cost reduction of between 10% and 30%. In the latter half of 2015, we expanded EduBox into the travel book printing industry. This is the first time a service like this has been offered in Hong Kong – EduBox allows readers to select chapters in which they are interested, add additional chapters from publications in the same series and even arrange the sequence of the travel book before it proceeds to production. This service offers readers the flexibility of selecting chapters that are useful to them and reduces the printing of unnecessary content. Not only is this solution cost effective, it also enables substantial cuts in paper usage while giving travelers a personalized book with up-to-date content that best fits their needs. Most importantly, the EduBox solution solves a weighty problem for travelers – they no longer need to carry bulky travel books with them when travelling overseas.

Increasing Business Efficiency in the Engineering and Construction Industry

As a leading company handling local façade design and engineering projects in Hong Kong, YKK AP FAÇADE HONG KONG handles a large number of incoming documents, samples and materials submission requests on a daily basis. Not long ago, the company’s practices depended heavily on paper records and involved a tremendous amount of manual processes. This meant that human error could easily occur, records were untraceable and response times were slow.

Fuji Xerox (Hong Kong) provides solutions to help our customers integrate new processes and technologies with their existing systems, allowing them to consolidate customer communications arriving through multiple channels, sift through information using complex business rules, and identify and distribute the right information to the right people at the right time – speeding up communication while minimizing costs.

The company was receiving an average of 400 incoming documents per month, with the relevant information inputted manually by different parties. With such a high volume of documents and a high dependence on manual inputs, it had become increasingly difficult for the company to track and monitor the progress of each case. Handling these paper documents was also time consuming and required a large amount of storage space; making it difficult to maintain an acceptable response time. Ultimately, this would have affected customer satisfaction and eventually the company’s competitiveness.

Weekend Weekly is the first company in Hong Kong to use this solution in its industry.

▲


Chapter 5 | Strong

To improve and enhance the company’s workflow, Fuji Xerox (Hong Kong) provided the company with an Electronic Document Management Solution called ParaDM. After adopting ParaDM, the company successfully converted their paper-based incoming documents into digital copies with the support of web-based core module. This solution helped YKK AP FAÇADE HONG KONG achieve its target of reducing their storage space by 30%. This revolutionized workflow also allowed the company to manage their documents more easily – providing them with enhanced document traceability and improving response times. By gaining a thorough understanding of the company’s traditional workflow, we eliminated unnecessary procedures and enhanced their workflow, increasing the efficiency of the incoming document registration process by 77% and reducing the time to retrieve documents by 83%. The ParaDM solution allows for better document flow control, as it allows soft copies with comments to be shared with multiple parties without location restrictions and gives these documents traceable histories. Overall, this solution led to better resource utilization, as the company can now proactively monitor the document handling process with less manpower. The additional improvements in document control and security have created significant improvements; so much so that the company was able to fulfil the requirements of the ISO 27001 Information Security Management System.

With the full deployment of our solutions in FY2015, we are delighted to announce that YKK AP FAÇADE HONG KONG has successfully released office space, improved data security and enhanced its business efficiency.

Providing Safe and High Quality ProductsIn alignment with our parent company’s direction, Fuji Xerox (Hong Kong) places a high priority on providing excellent customer service and high quality and safe products in order to achieve a Number One customer satisfaction rating in our industry.

Fuji Xerox expends every effort to provide products designed with “Safety First” in mind at every stage of production, beginning with the Fuji Xerox Research and Development team, through to the production of multi-function devices until final Quality Control. From our full compliance with laws and regulations regarding product safety, service information and labeling, Fuji Xerox and its affiliates make every effort to foster a culture of “Customer First” and “Product Safety Ensuring”, as guided by our Product Safety Management System.

After passing through stringent quality control tests, Fuji Xerox multi-function devices are then delivered to the various operating companies in Asia-Pacific. As soon as Fuji Xerox (Hong Kong) receives information about upcoming products, we carry out tight control processes throughout the product lifecycle: from product launch through to sales and service to final product disposal. Fuji Xerox (Hong Kong) also provides on-the-job training and education regarding corporate regulatory compliance procedures, preventive measures against product safety incidents and continual product safety improvements for our employees. We strive to gain and sustain greater loyalty from our customers through these quality assurance activities.


The Fuji Xerox (Hong Kong) Academy: An Industry FirstFuji Xerox (Hong Kong) is currently undergoing a transformation from being a traditional hardware-oriented product provider to a major player in the ICT sector. During this process, our human resource knowledge is enormously important capital in our drive to sustain business growth. In 2015, we established the Fuji Xerox (Hong Kong) Academy, aiming to upgrade the ICT knowledge, skills and competencies of our internal employees and offer a one-stop-shop training solution for external ICT professionals.

Partnering with international ICT institutes including CompTIA, PMI, Pearson VUE, AXELOS and PEOPLECERT, the Fuji Xerox (Hong Kong) Academy provides a series of training courses which lead to professional certification, such as the ICT/ Security/ Networking/ Best Practice Professional certification and the IT Governance and Service Management certification. Fuji Xerox (Hong Kong) has been the only authorized partner in Hong Kong to provide CompTIA training and a Pearson VUE Authorized Test Center since 2015. Professional courses such as Cloud+, Network+, Security+, Project+ and ITIL are delivered by a professional training team with relevant ICT qualifications and ample training experience. We also offer tailor-made training courses that best fit the needs of our corporate clients, helping to enhance their operational efficiency.

“ ICT is increasingly important to corporates nowadays and it’s becoming a trend in getting professional qualifications. We will reach out for more collaboration partners and provide a larger variety of professional courses. At the same time, we actively collect the opinions from corporates and our participants to improve the course content in order to keep up with market trend. ” Eliza Ng

Director, Human ResourcesFuji Xerox (Hong Kong) Limited

To date, we have successfully trained up more than a hundred professionals, facilitating their career growth and helping the ICT industry move forward. We believe that these professionals can further enhance their companies’ productivity by applying the best ICT solutions to suit their business needs – in turn, this will allow them to enhance their organization’s competitive edge.


Chapter 5 | Strong

Achieving Service Excellence through Customer Satisfaction InitiativesStriving to provide holistic services that deliver great experiences to our customers, Fuji Xerox (Hong Kong) is committed to following the tradition of service excellence of the Xerox Corporation which began with its Customer First Strategy in the 1990s and continued the customer satisfaction commitment from Fuji Xerox with the launch of its Customer Satisfaction Guidelines in 2001. Our employees have always considered customer satisfaction to be the top priority and constantly strive to resolve customer issues to the best of our ability.

Our Customer First Strategy

Aiming to achieve a 100% customer loyalty, Fuji Xerox (Hong Kong) is determined to become a high-value company that is reliable and caring. We define our customer experience as being the consistent, intentional delivery of the “3R+V” (Reliability, Responsiveness, Relationship, and Value) through every experience our customers have with our people, our processes and our products and services. Individual 3R+V factors can be illustrated by looking at representative customer statements for each.

Customer Satisfaction Guidelines

Fuji Xerox (Hong Kong) become a Fuji Xerox operating company in 2000, and we began adopting their Customer Satisfaction Guidelines after they were launched in 2001. These guidelines are provided to employees of the company that interact with customers – both inside and outside of Japan – including those in the sales and maintenance service fields and those taking calls at customer support centers. The guidelines enhance employees’ abilities to understand the needs of customers and allow them to concentrate on focusing the energies of the entire company into finding solutions to our customers’ problems.

“I can count on you.”

“You are quick to help.”

“You are easy to do business with.”“I trust you.”

“You give me solutions that fit my needs.”

Reliability

Responsiveness

Relationship

Value

1. Listening to the “Customer’s Voice” is the beginning of our job.

2. Thinking of the “Customer’s Viewpoint” is the basis of our job.

3. Meeting the “Customer’s Expectation” is the responsibility of our job.

4. Earning the “Customer’s Deep Trust” is the joy of our job.

5. Receiving the “Customer’s Evaluation” is the measurement of our job.


Achievements in Service Pledge

Keeping these customer satisfaction factors in mind, we have continued to uphold the terms of our Service Pledge. We are grateful to have remained in first place in terms of customer loyalty* in the industry for six consecutive years.

• Service recovery in 4 hours reached at average 99.9% uptime assurance**

• Availability of 7x24 iSupport Service reached at 99.9%

• Fulfilment of backup centre for handling customer urgent request reached at 99.9%

• Exclusive Total Satisfaction Guarantee pledge reached at 100%***

Remarks:

* Information from Annual Competitive Benchmarking Survey chartered by Market Probe (2010-2014) and TNS (2015)

** Customer offices along MTR city routes

*** Offer full confidence to our customer with our products

To continue to fulfill our Service Pledge commitments, Fuji Xerox (Hong Kong) deploys different interactions, systems and processes to measure the customer experience. Taking our Initial Customer Care Program as an example, a dedicated Fuji Xerox (Hong Kong)’s client consultant performs follow-up calls or on-site service visits to our customers on days 1, 7, 30, 60 and 90 after installation. These calls or visits continue on a quarterly basis, allowing us to fully capture our “customer’s voice”. Their opinions are then logged using our unique Customer Feedback System to ensure instant responses until closure through follow up actions, analysis of customer feedback and anticipation of future customer requirements.

“ Fuji Xerox is one of the most innovative technology firms available in the market today. My company and I have always appreciated their efficient documentation solutions. Their highly responsive customer service has served us very well. Their solution consultants are proactive in providing recommendations to us which helped to improve our green procurement practices significantly. ” Dr. Vincent Chow

Managing DirectorEn-trak (Hong Kong) Limited


Chapter 5 | Strong

We are delighted to have received over 15,000 compliments from our customers in FY2015 alone. These compliments have given us both confidence and motivation by recognizing the effort and dedication we put into driving service excellence forward. These compliments are also helping to directly improve the environment, as they are linked to a carbon offset initiative. Fuji Xerox (Hong Kong) purchases no less than 50 kg of carbon offsets for every compliment received in support of a hydro project which promotes water conservation. In total, Fuji Xerox (Hong Kong) has purchased 892 tonnes of carbon credits by making a donation of HK$71,000 under this “Visible Green Initiatives” program in FY2015. We will continue this initiative in FY2016, as we strive to create long-term carbon neutral operations.


Chapter 6 | Kind Igniting Visible Green Initiatives to Build a Sustainable Future

With society becoming increasing concerned about the sustainability performance of the business sector, we actively seek new insights and grasp all available opportunities to launch innovative green services which cater to our customers’ requirements.



Economic






Economic

Social

Environmental

Bringing New Insights into Our Business OperationsFollowing our parent company Fuji Xerox’s announcement of its “Good Company” concept in 1992, being a signatory member of the UN Global Compact in 2002 and beginning initiatives as a UN Global Compact LEAD company in 2010, Fuji Xerox (Hong Kong) has been doing our utmost to help our customers and stakeholders create and transform knowledge and achieve corporate sustainability. The aim of the “Good Company” concept is to remain “strong”, “kind” and “interesting” and ensure the right balance of each of these three attributes. Being a “kind” company, we thoroughly consider the impact of our every action on the environment and the community; giving particular consideration to the impacts on the next generations. Fuji Xerox (Hong Kong) goes above and beyond these commitments by actively reaching out and staying up to date with the latest environmental trends and by bringing inspiration to our business operations. In FY2015, we sought out collaboration with several green pioneers in Hong Kong. In February 2016, a number of staff visited Hong Kong Science Park to learn about the latest green technologies and green building design features.


Chapter 6 | Kind Igniting Visible Green Initiatives to Build a Sustainable Future

Our company also believes in the importance of obtaining the input of future generations regarding environmental conservation concepts. To deepen engagement with this group, since 2011 we have been organizing our “Green Tour” initiative, a key stakeholder engagement channel which promotes CSR concepts to stakeholders and promotes the discussion of CSR issues during visits to our recycling facilities. To date, over 70 tours have been held, with over half of the participants being from the younger generation. Through this platform, Fuji Xerox (Hong Kong) continues to learn more about our stakeholder expectations and raise visitors’ awareness of environmental protection issues; hopefully triggering them to integrate innovative ICT applications into their daily lives.

Fuji Xerox (Hong Kong) also introduces our leading sustainability ideas to the market through continuous knowledge upgrades and rigorous benchmarking; we do this by competing for various prestigious green awards and labeling schemes in Hong Kong. This methodology has resulted in our company receiving over 100 sustainability and CSR awards over the past decade, not only demonstrating that Fuji Xerox (Hong Kong) performs well in environmental conservation, but also giving us the opportunity to continuously learn from the environmental assessment programs and giving us new insights to help perfect our operations.

The first company in Hong Kong to obtain the new ISO 14001:2015 certificate issued by the Hong Kong Quality Assurance Agency (HKQAA) and accredited by the Hong Kong Accreditation Service (HKAS) and the United Kingdom Accreditation Service (UKAS)

Recognized as a Hong Kong Green Organization by the Environmental Campaign Committee for our high level of commitment to improving different aspects of our environmental performance

Awarded with a United Nations Sustainable Development Goals - Green Office Awards Labelling Scheme certificate and a Better World Company label from the

World Green Organisation (WGO)upon meeting the required greenoffice best practices criteria as a pilot organization

Registered as a Companion of HKQAA Hong Kong Registration –Recycling Services, demonstrating our commitment to supporting and using eco-friendly products, and our support of source separation and recycling initiatives

Received a Productwi$e Certificate – Class of Excellence from the Hong Kong Green Organization Certification, reflecting improvements made in four out of six product life-cycle stages, when compared to competing products or previous generations products with similar purposes and/or functions

Awarded the HKQAA CSR Plus Mark in recognition of our efforts in corporate social responsibility. Our scores were much higher than the average – we obtained best performance in the Fair Operating Practices category


Fuji Xerox (Hong Kong) Sustainability Journey

Creating New Value for Customers by Pioneering Environmental Considerations Fuji Xerox (Hong Kong) strives to give back to the communities that sustain our business by being an environmentally-conscious organization. In addition to our commitment to add value to society by fully considering the impact of all our operations on the environment, we consistently reinforce our efforts by adopting new initiatives and by providing new green ICT solutions to help our customers on their sustainability journeys.

Sustainability Management Services

Since the release of the Environmental, Social and Governance (ESG) reporting requirements by the Stock Exchange of Hong Kong Limited (SEHK), Hong Kong companies are expected to act with greater responsibility with regard to sustainability issues. Not only is sustainability performance a key concern to businesses, smart strategies are needed to cope with increasingly stringent requirements.

Even though Fuji Xerox (Hong Kong) is not a listed company in Hong Kong, we are nevertheless dedicated to enhancing our sustainability performance by adopting various international standards. We are eager to share our experience and provide innovative green solutions and services to our customers. Demonstrating our commitment to green innovation, we recently launched our innovative Sustainability Management Services (SMS). These services help businesses fulfill their ESG reporting requirements, optimize resource utilization to reduce costs and enhance their industrial competitiveness.

SMS not only allows access to and analysis of data, it also helps companies set sustainability performance targets using the “Lean Six Sigma” approach. We provide tools which generate dashboards and reports, which a company’s management can then use to evaluate and revise green strategies, enabling companies to qualify for industry awards and certifications and further enhance their corporate image.

2010

Certified with theISO 14001 EnvironmentalManagement System

2003

Began utilizing energyefficient lightingequipment, such asT5 light tubes and LEDs

2011

2004

Implemented green logisticsflow processes at our RecyclingCenter in Tsuen Wan

Began practising “Earth Hour” every day by turning off lights in all our offices during lunch hours to avoid the unnecessary wastage of energy; began “computer-off” checks to remind colleagues to turn off electrical equipment after work

2014

Established Hong Kong’s first Drop-in Service and Recycling Center in Tsuen Wan to collect and recycle unwantedFuji Xerox printers from small offices and home users

2016

Used iESG platform to manage data for preparing ESG or Sustainability Report

Published our first local Sustainability Report in compliance with the GRI standard

2015

Conducted environmental assessments and practiced sustainable procurement on a larger scale during the relocation of our head office

2013

Adopted a 7x24 cloud-based system with an instant alert Energy Management System to drive systematic improvements in energy consumption and to increase energy efficiency


Chapter 6 | Kind

2010

Certified with theISO 14001 EnvironmentalManagement System

2003

Began utilizing energyefficient lightingequipment, such asT5 light tubes and LEDs

2011

2004

Implemented green logisticsflow processes at our RecyclingCenter in Tsuen Wan

Began practising “Earth Hour” every day by turning off lights in all our offices during lunch hours to avoid the unnecessary wastage of energy; began “computer-off” checks to remind colleagues to turn off electrical equipment after work

2014

Established Hong Kong’s first Drop-in Service and Recycling Center in Tsuen Wan to collect and recycle unwantedFuji Xerox printers from small offices and home users

2016

Used iESG platform to manage data for preparing ESG or Sustainability Report

Published our first local Sustainability Report in compliance with the GRI standard

2015

Conducted environmental assessments and practiced sustainable procurement on a larger scale during the relocation of our head office

2013

Adopted a 7x24 cloud-based system with an instant alert Energy Management System to drive systematic improvements in energy consumption and to increase energy efficiency

SMS helps companies to kick-start their sustainability journeys with a holistic three-stage roadmap. The solution also provides flexibility to customers, allowing them to use any stage of SMS that suits their specific needs.

SustainabilityAssessment

Sustainability Policy &Implementation

Compliance & Awards

1 2 3

CO2ECO

Baseline Tracking andInstant Response

Process andInfrastructure

iESG

ECOECO


Stage 1 - Sustainability Assessment

Through conducting sustainability assessments derived from ISO 14064 (greenhouse gas quantification and reporting) criteria and the 360° of Sustainability™ lifecycle concept, we measure the carbon footprint of an organization from four perspectives – People, Technology, Process and Organization. These assessments allow our customers to understand their current sustainability performance, confirm their baseline performance levels, and set sustainability key performance indicators (KPIs) for future improvements.

Stage 2 – Sustainability Policy and Implementation

By observing and analyzing sustainability performance and leveraging our state-of-the-art technologies and professional teams, we can improve our customers’ productivity and efficiency. We have a wide range of services and solutions in place to help our customers manage and improve their ESG performance. Our new Intelligent Environmental, Social and Governance (iESG) platform and our Energy Tracking and Paper Tracking solutions are key services that help companies fulfill their SEHK ESG requirements.

• iESG Platform

iESG is an innovative environmental and social data management and benchmarking platform which streamlines the ESG reporting process. It provides a simple, user-friendly, secure and affordable approach to managing a company’s sustainability performance from a single 7x24 cloud-based platform. The platform is based on SEHK ESG requirements and can be customized to meet diverse reporting requirements. On 11 October 2016, it is further opined by HKQAA that “the iESG output complies with the recommended disclosures of the ESG Reporting Guide and the calculation outputs between iESG and HKQAA Verifier are consistent”.

Orga

nizatio

n

Lean Six Sigma

ISO 14064

People

TechnologyProcess

• Fire Extinguishers

• Refrigerant

• Fuel Usage

• Water Supply

• Sewage

• Green Procurement

• Electricity

• Gas

• Business Trip

• Print Architecture

• Energy Tracking

• Green IT


Chapter 6 | Kind

• Energy Tracking Solutions

Fuji Xerox (Hong Kong)’s energy tracking solutions are delivered by a proven, real-time energy monitoring system which has been specially designed to help organizations reduce operating costs and improve energy efficiency. Real-time energy meters are installed in the main switchboards of each floor or building. Our proprietary energy tracking analytical software continually monitors, reports on and improves an organization’s energy efficiency through real-time analysis and performance reporting, thus increasing energy accountability and awareness among all stakeholders within an organization, reducing energy wastage and improving productivity.

• Paper Tracking Solutions

Our ApeosWare My Document Portal (AMDP) print management solution brings sustainability, flexibility and security to the next level. Through the Green Report application, reports can be produced to monitor parameters such as power consumption, paper consumption and the CO2 emission profile of each Fuji Xerox multi-function device installed in an organization. These reports contain data that will help an organization fulfill its SEHK ESG requirements. More importantly, the data is kept and updated automatically on a monthly basis, thus saving time and effort and reducing errors.

• Green Server Room Cooling Solutions

Cooling infrastructure is an integral part of all server architecture and the electricity consumption of server room cooling infrastructure can significantly contribute to an organization’s CO2 emissions. Given this fact, Fuji Xerox (Hong Kong) provides innovative Green Server Room Cooling Solutions to companies, featuring water cooling technology that generates tangible economic and environmental benefits.

Fuji Xerox (Hong Kong) is now using iESG for data collection purposes and for tracking the progress of our sustainability performance. This easy-to-use cloud-based platform incorporates a scan-and-capture function, and multiple environmental and social data entries can be combined and stored automatically, reducing both effort and human error. iESG has been immensely helpful in preparing monthly environmental reports, identifying improvement areas through sustainability action checklists and keeping track of information for audit purposes.

Green Report

The water cooling system transfers heat from the air in the server room into water. This water is then released into a drain line or recycled for cooling purposes. The use of water cooling technology can significantly reduce the consumption of energy through a direct reduction in the air temperature.

▲


In FY2015, we partnered with Pui Ching Middle School in Macau, helping them adopt this technology to solve the school’s urgent needs: to minimize lost data and reduce electricity consumption. Since the 1980s, the school has used computer-based education to stimulate students’ interest in learning. With several small air-conditioners tasked with cooling down the server room, these units eventually became insufficient and failed to cool the servers, causing the school’s computer systems to overheat. The school was in need of a cost-effective and efficient cooling system to prevent data loss due to server malfunction. After coming to understand the challenges faced by the school, Fuji Xerox (Hong Kong) provided them with our Green Server Room Cooling Solution, helping the school achieve its energy saving goals and allowing them to fulfill their temperature regulating needs while minimizing modifications to the original system. We also rearranged the servers and rerouted the school’s cable clutter to simplify future maintenance work. Today, only one air conditioner is required to cool down the school’s servers, adhering to their core value of being environmentally friendly. In addition, the solution has freed up more space in the server room, allowing for device advancement and facilitating the school’s future development.

Excelling in Environmental PerformanceTo do our part to address global environmental challenges, Fuji Xerox (Hong Kong) is continuously investing in enhancing our own environmental management systems and actively seeking ways to further improve our sustainability performance.

“ I’m grateful to have Fuji Xerox (Hong Kong)’s innovative solutions and consistent services to help us in tackling the problem of server overheating and supporting e-learning in the future. ” Mr. Kuok Keng Man

Vice PrincipalPui Ching Middle School, Macau

Stage 3 - Compliance and Awards

Given our success at obtaining environmental certifications and awards, we are both passionate about sharing and happy to share our experiences with the wider business community. By providing advice to our customers, we can help them work towards attaining various awards which will improve their company image and increase staff cohesiveness, since the process of working towards winning awards is an excellent team building exercise.


Chapter 6 | Kind

Strengthening Our Environmental Management Systems

At Fuji Xerox (Hong Kong), we strive to bolster the level and efficiency of all our environmental activities by adopting integrated environmental management standards, including ISO 14001 Environmental Management System, ISO 50001 Energy Management System, FSC™ Chain of Custody and the “5S” (Seiri, Seiton, Seiso, Seiketsu, Shitsuke).

In FY2015, we further upgraded our environmental management system by adopting the newly-released ISO 14001:2015 standard. We are proud to be the first company in Hong Kong to obtain this ISO standard, which was certified by the Hong Kong Quality Assurance Agency (HKQAA) and accredited by two accreditation bodies – the Hong Kong Accreditation Service (HKAS) and the United Kingdom Accreditation Service (UKAS) soon after the release of the standard.

Environmental Management

Carbon Management

Energy Management

• ISO 14001 Environmental Management System • FSC™ Chain of Custody • 5S

• CO2 Emissions • Paper Usage

• Energy Audit • ISO 50001 Energy Management System

ISO 14001 is the world’s first international standard for environmental management systems. In addition to maintaining an effective environmental management system and keeping up with the best practices of our 360° of Sustainability™ Value Chain, we have also adopted the lifecycle concept at all levels of the organization and strengthened risk management practices in our daily operations to fulfill these new requirements.

▲ Katherine Lau, Fuji Xerox (Hong Kong)’s General Manager of Corporate Quality & Sustainability, receives the Hong Kong first ISO 14001:2015 certificate from Dr. Michael Lam, CEO of HKQAA.


Joining Hands with Our Suppliers to Create Sustainable Procurement

Fuji Xerox (Hong Kong) treasures the natural environment and as such we actively engage our suppliers, requesting that they join us and help reduce our collective burden on the environment during our procurement, sales and logistics processes. We provide services and share information in order to create value for our customers and preserve the environment. Lately, we have expanded our sustainable procurement considerations to cover equipment, supplies and consumables.

Environmentally friendly products used at Fuji Xerox (Hong Kong) offices include:

Use of paper made from 100% post-consumer fiber

Use exclusively own energy- and eco-friendly multi-function devices

Switch from desktop computers to more energy efficient laptops

Adopt energy efficient lighting equipment e.g. T5 fluorescent lighting tubes and LED lights

Use of energy efficient electrical appliances in offices e.g. microwaves, refrigerators and air conditioners

Use of carpet with recycled content

Use of 100% recycled paper towels in washrooms

Building a Carbon Neutral Operation

We are highly conscious of the significant influence we have as a corporate citizen in Hong Kong. Given this fact, we are determined to enhance our knowledge of climate change-related risks and opportunities. Since our parent company Fuji Xerox set an ambitious target to reduce the whole lifecycle CO2 emissions of our products by 30% from the FY2005 level by FY2020, we at Fuji Xerox (Hong Kong) have diligently worked towards this goal, achieving a 10.2% year-on-year absolute carbon reduction in FY2015. Contributing to this encouraging result were our efforts to use energy efficient lighting and upgrade our server systems. Continuing our quest to achieve carbon neutral operations and building on our efforts from last year, this year we invested in carbon offsets in hydro projects in the Asia-Pacific region again. We further extended this initiative to our customers this year, as we purchased carbon offsets of no less than 50 kg for every compliment received to express our gratitude to our customers for providing their opinions. In FY2015, a total of 892 tonnes of carbon credits were purchased.

Zero Landfill Waste: Our Corporate Responsibility

Having foreseen the Hong Kong government’s initiative to tighten controls over waste electrical and electronic equipment (WEEE) – which were realized with the mandatory WEEE producer responsibility scheme launched in March 2016 – Fuji Xerox (Hong Kong) proactively invested in and developed strategies to reduce the impacts of our products far in advance of the scheme’s launch.

892

Fuji Xerox (Hong Kong)Limitedhas offset 892 tonnes of greenhouse gas emissions for FinancialYear 2015/16.

Climate Friendly commits to retiring the equivalent in VCS carbon credits from the Rural China SmallHydro Grouped Project in China to offset emissions associated with operations.

24/06/2016#00013873


Chapter 6 | Kind

Individual Customers

Commercial Customers

Recycling CenterFuji Xerox (Hong Kong)

in Tsuen Wan

Asia-Pacific Remanufacturing

Factory in Thailand

Ship directly

Ship directly

Refurbish / Change

components

In Good Condition

In Bad Condition

Separate into 88 categories

Check

Raw Materials

Separate into 15 categories and ship

MFDs

Printers

Waste toners, etc.

Recycled MFDs Return used MFDs,

waste toners, etc.(Arrange collection by us)

Return used printers

(Drop-in by customers)

▲ A closed loop collection and recycling system within the Fuji Xerox Integrated Recycling System. The waste management and materials productivity enabled us to receive the regional prestigious Sustainable Business Awards 2015.

Beginning in 2004, we innovatively turned our warehouse into a local recycling center. Since then, we have used the center to launch various environmentally friendly initiatives to engage our customers, such as a proactive collection process and a drop-in service to ensure the return of used equipment, spare parts and consumables. After their return, our professional team checks the multi-function devices (MFDs) that are in good condition and refurbishes the usable parts and replaces essential components. If the MFDs are not in good condition, they are then separated into 15 categories and shipped along with other collected consumables to our Asia-Pacific remanufacturing factory in Thailand. Once there, the MFDs are further separated into 88 categories and turned into raw materials for recycling. To date, around 9,500 tonnes of used products have been shipped to Thailand. The material recycling rate of this cross-border integrated recycling system has been over 99% for some years. Regardless of these excellent results, we will continue to seek ways to further improve our waste management and stay up to date with the government’s mandatory WEEE producer responsibility scheme.


Firmly believing that quality employee engagement creates a sense of belonging and fosters innovation, we strive to create an “interesting” workplace which boosts both employee satisfaction and organizational development.


At Fuji Xerox (Hong Kong), we treasure equal opportunities and offer employment irrespective of gender, marital status, pregnancy, disability, race, color, religious belief, age, national origin or sexual orientation. In doing so, we comply fully with all employment-related legislation including freedom of association and the right to collective bargaining. We also prohibit inhumane treatment, child and forced labor, discrimination, interference and other forms of abuse. To protect our employees, we have detailed harassment communication policies and easy-to-understand complaint and grievance guidelines in place.


Economic






Economic

Social

Environmental

Chapter 7 | Interesting An Engaged Workforce Demonstrates Care and Brings Value to Society


Chapter 7 | Interesting An Engaged Workforce Demonstrates Care and Brings Value to Society

As highlighted in Fuji Xerox (Hong Kong) Sustainability Policy, we are committed to providing a safe and healthy environment for our employees. We strive to foster a green, healthy, safe and kind workplace by adopting robust occupational risk management policies and taking every precaution to prevent occupational injuries. Through providing optimal working conditions, we believe that our employees can work safer and with enhanced morale. Above and beyond issuing codes of conduct and conducting e-learning sessions for all our employees covering occupational health and safety issues, we ensure that our working conditions are up to international standards through various certifications, including the ISO 14001 Environmental Management System, ISO 50001 Energy Management System and the 5S (Seiri, Seiton, Seiso, Seiketsu, Shitsuke).

▲ Fuji Xerox (Hong Kong) Sustainability Policy states that compliance with legal regulations and other

requirements is necessary for sustainable development.

Engaging with Our EmployeesFuji Xerox treasures employee wellness, believing that it is vital to our sustained success. In order to develop a positive working culture and environment for our employees, we created a “3C” (Creativity, Champion, Caring) employee engagement framework which included various “interesting” staff programs that encourage active participation, boost staff morale and increase their sense of belonging.


We are committed to providing a harmonious environment that allows our employees to enjoy their personal and professional lives to the fullest. Working towards this goal, we promoted “work-life balance” weeks and devised a continuous series of events to make our employees’ lives both interesting and fruitful. For five consecutive Fridays starting in late October 2015, we provided sponsorship and encouraged colleagues to enjoy cultural and sporting activities with their families and friends.

We are constantly looking for ways to enrich our colleagues’ lives and help them maintain a healthy mind and body by creating a stimulating working environment. Each year, we recruit employee engagement leaders who provide opportunities for staff to share their talents through the formation of different interest groups like our “Smart Parent Corner” and “Women’s Interest Network”. We also organize a series of wellness talks on such subjects as stress management and eczema treatment to deliver health-related knowledge to our staff.

We also hired professional coaches to deliver football, basketball and dragon boat training to help our employees improve their sports knowledge and skills. On 21 November 2015, the Fuji Xerox (Hong Kong) football team managed to advance into the semi-finals of the Fuji Xerox Soccer League, playing in a tournament in Yokohama, Japan. Fun and exhilarating interactions and exchanges like these are vital to creating employee engagement and developing a sense of belonging.

We provide seasonal drinks like honey ginger tea and hot chocolate to our office staff. We also arrange for a professional coffee firm to provide exquisite coffee to our office staff at a Friday, helping them enjoy a pleasant and relaxing day.

▲

With support from Herbert Hui, Managing Director (4th from right, back row) and Alan Wong, Senior Director of Client Consulting Business (3rd from right, back row), the Fuji Xerox (Hong Kong) football team is ready to win the competition!

▲

To develop and support a breastfeeding-friendly workplace, we established a dedicated room for breast milk expression. An exclusive breast milk storage area was also set up in the freezer. We hope this room helps to further prove our commitment to employee wellness, helping our staff pursue both their career and their personal goals.

▲


Chapter 7 | Interesting

Despite the economic downturn of the last year, we remained committed to holding our annual dinner for all 900 employees. With a “Color of Life” theme, the dinner was held on 16 January 2016. All participants enjoyed themselves, participating in singing and costume competitions, winning prizes and receiving a phone charging set as a souvenir.

▲ Presenting … our live band!

In recognition of our unfailing efforts to a create and positive work culture, our dedication to the wellbeing of our colleagues and our drive to sustain a healthy workforce, Fuji Xerox (Hong Kong) has received several prestigious awards in the past year, including the “Best Companies to Work for in Asia 2016”, “Best Places to Work in Hong Kong 2016”, “Employer of Choice Award 2015” and “Graduate Recruitment Award 2015”. We believe that building an employee-friendly working environment and promoting a healthy work-life balance are the keys to enhancing staff motivation and satisfaction. Moving forward, Fuji Xerox (Hong Kong) will continue to foster this type of culture in order to achieve organizational effectiveness and full employee engagement.

Ensuring Constant Communication and LearningEffective two-way and open communication channels are essential to companies that want their employees to express their ideas and employment expectations. In addition to holding a variety of communication meetings and informal gatherings, this year we continued to distribute our annual anonymous Employee Motivation and Satisfaction (EM&S) survey to collect staff thoughts and insights. Conducted annually, the survey’s corresponding EM&S report is generated for the company as a whole and for departments and teams, providing easy identification of good practices and areas for improvement. Our workgroup managers then review the results, identify the root causes of any gaps and develop action plans with appropriate initiatives in accordance with our PDCA improvement cycle.

Encouragingly, in FY2015 the survey once again attained an excellent participation rate of over 99%. In terms of the actual results, the “Direction/Communication” module retained its ranking as the highest of the 10 modules, at 94%; followed by the “Trust” and “Feedback” modules. This shows that our efforts to provide an open and honest working environment which actualizes the “trust and consideration” of our Shared Values is working. As expected, the module with the lowest score was “Recognition”, though this area saw a 4% points improvement over the previous year. We freely admit that there is always room for improvement, and we believe that it is essential to provide a stimulating and encouraging working culture and environment if we wish to become a truly excellent company.


“ The Thailand journey broadened my horizons. I had the opportunity to understand the operation of large-scale high speed production equipment, which I had never seen in Hong Kong. The most interesting part of the trip was the visit to Fuji Xerox Eco-Manufacturing Co., Ltd. They have an extensive logistics team which recycles used machines from different operating companies, which dismantles, refurbishes and remanufactures these machines. “Zero Landfill” is not merely a slogan but a commitment which involves a large professional support team. I had a wonderful and precious experience. ”

John ShumCustomer Engineer of Client Services Operations


By participating, the trainees could obtain solid field experience in different ICT operations, while being required to complete group projects, give presentations and pass professional ICT qualification examinations. We also organized a mentorship program which encouraged the trainees to seek advice and mutual support. After completing the program, we organized an overseas study tour for the graduates to Fuji Xerox Eco-Manufacturing Co., Ltd. in Thailand. This visit helped the trainees learn about the product production process and provided them with environmental education, giving them a thorough understanding of Fuji Xerox’s recycling value chain and our used material logistics management.

Given our company’s transformative move into the ICT field, we are keen to upgrade the knowledge and skills of our people by providing them with various seminars and training opportunities. This year, our employees enjoyed a wide range of ICT training courses at the Fuji Xerox (Hong Kong) Academy. Staff also took part in a number of other training programs on topics such as the Adversity Quotient (AQ), the Emotional Quotient (EQ) and Stress Management, the ChangJie Chinese Input Method and a Management Course for Understanding Generations Y and Z.

Over the past year, we implemented a 12-month Customer Service Engineer Trainee Program which youngsters with technical background were encouraged to join.

▲ Accompanied by members of senior management, Fuji Xerox (Hong Kong)’s customer service engineer trainees visit Fuji Xerox Eco-Manufacturing Co. Ltd. enjoying a cross-border technology and knowledge exchange.



Creating Value through Our “Genko-Itchi” InitiativesFor years, Fuji Xerox (Hong Kong) has been creating value and strengthening the effectiveness of our employees by leveraging the principle of “unity of words and deeds” – known as “Genko-Itchi” in Japanese. We encourage our employees to form “Genko-Itchi” teams to raise questions, investigate issues and develop countermeasures to improve productivity and transform their work by revising their practices or creating new strategies.

As stated in the Fuji Xerox (Hong Kong) Quality Policy, quality remains our basic business principle, and quality improvement is the job of every employee at Fuji Xerox (Hong Kong). Achieving quality improvement is our ultimate goal, and we believe that change and innovation are essential components to sustain business success and the development of our company. In FY2015, 60 “Genko-Itchi” teams were formed, involving over 620 employees. Through initiatives to tackle a number of identified issues, we saw significant improvements made in customer satisfaction and company productivity; and we managed to generate HK$11.7 million tangible benefits to the company.

Taking the Best “Genko-Itchi” Team of FY2015 as an example, their project provided tremendous tangible and intangible benefits to the company. This particular project arose in response to the length of time it takes for a new sales consultant joining Fuji Xerox (Hong Kong) to be trained – over 40 working days. The team’s “Newly Hired Sales Program Revamp” project was established in April 2015, aiming to streamline the new hire sales training content by shortening classroom training but complementing it with e-learning, developing a mechanism to training “joint points” and shorten the intervals between the two batches of training sessions. Ultimately, the project delivered all-round improvements in the following areas:

• Average Training Time: Reduced from over 40 days to 35 days (a time saving of 12.5%)

• Revenue Generation: +8.4% in one trimester

• Cost Saving: Reduced from non-productive man days by over HK$250,000

• Learning Hours: Increased by 100 e-learning hours

• Learning Effectiveness: 80% agreement on the increase of their confidence in presenting our solutions

Serving the CommunityAligned with our parent company’s community initiative, Love Earth Action Fuji Xerox (Leafx), Fuji Xerox (Hong Kong) focuses on addressing issues related to environmental conservation and providing support for our future generations. We seek to cultivate a number of community-minded characteristics in our employees, including influencing their friends and families to give back to society, developing “charitable hearts” and learning to respect different cultures.

This year, we engaged in a wide range of community activities like bazaars, visiting the underprivileged and charity walking/running/cycling. Cultivating more and more enthusiastic volunteers, our Volunteer Network has grown bigger and stronger over the years, and in FY2015 we amassed over 4,000 volunteering hours from various community engagement activities.


Major Community Engagement Programs in FY2015

The largest event in FY2015 was our Charity Walk at the Peak held on 1 November 2015, in which over 400 volunteers participated. This charity walk was organized by the Children’s Heart Foundation, an organization which we have supported for eight consecutive years. Apart from being the event’s printing sponsor, we are hopeful that the funds raised will provide the right support to this non-governmental organization (NGO), and our active participation can enhance public awareness of children’s congenital heart disease.

▲ Fuji Xerox (Hong Kong)’s volunteers participate in a Charity Walk at the Peak, walking from Harlech Road to Lugard Road to raise funds for children with congenital heart disease.

Flag selling to support wildlife conservation

Organic farming to promote healthy green living

Beach cleaning to promote marine conservation

Cycling to support children suffering from cancer

Charity walk to support children suffering from

congenital heart disease

Arts and crafts with used glass bottles to promote green messages to children

Charity run to support children suffering from AIDS

EnvironmentalConservation Future Generations



Through active community engagement, we also help deliver eco-friendly messages to society. We believe that the wider community can contribute to environmental protection by adopting green practices in their daily lives. In FY2015, we organized environmental arts and crafts booths at the Caritas Bazaar Kowloon on 8 November 2015 and the Salesian School’s anniversary event on 30 and 31 January 2016. Thanks to the support of our volunteers who guided students as they drew patterns on used glass bottles collected from our colleagues and our property management company, we spread messages about the importance of recycling and protecting the environment in a fun and interactive way. Moving forward, we will remain committed to bringing interesting experiences to both volunteers and participants at these events, helping everyone develop green and caring values.

▲ Finished products from the recycled glass art volunteering events at Caritas Bazaar and the Salesian School

To attract even greater participation, we began sending beautifully-designed invitation emails to staff regarding our latest community engagement activities and setting pop-up screens to catch staff members’ attention whenever they turn on their notebooks. To show our appreciation of their involvement, after they have contributed a certain number of service hours, volunteers are entitled to receive one day of volunteering leave and a ticket to a leading Hong Kong theme park. To facilitate the management of employee volunteering hours, we created an e-system whereby staff can check and redeem their rewards at any time.

“ The idea of turning used glass bottles into beautiful decorations is amazing and meaningful. I felt that the students and my daughter enjoyed drawing on the recycled bottles and using their imaginations so much. This activity also encouraged us to be more environmental-friendly and get involved in building a sustainable future.”

Belinda Chan and her daughterVolunteers



Whereas to further support and influence the next generation, we provide Fuji Xerox (Hong Kong)‘s scholarships to universities and higher education institutes such as the City University of Hong Kong, the Hong Kong Polytechnic University, Hang Seng Management College and the Hong Kong Institute of Education. We were especially excited to learn that one of these recipient institutions was recently promoted to an official university. This news is especially encouraging for us, as it provides recognition of our continuous efforts to aid the growth of local education institutes.

▲ Katherine Lau (4th from left, front row), Fuji Xerox (Hong Kong)’s General Manager of Corporate Quality & Sustainability, joins a scholarship ceremony with Professor Stephen Cheung Yan-leung (5th from left, front row), President of the Education University of Hong Kong and other donors, awarding students and sharing in their joy.

In addition, this year we united with our property management company to promote reading culture in a green and affordable way. In the first quarter of 2016, we organized a book collection at various property locations. As a tenant, Fuji Xerox (Hong Kong) helped to promote the event to our colleagues. Our volunteers, together with 500 other ambassadors, gave their full support to the program, devoting their personal time and effort to sort over 100,000 books into different categories for a large-scale charity book sale. As the event created more education opportunities and helped get people into the habit of reading, our volunteers found it both meaningful and interesting.

▲ Our volunteers, wearing light blue T-shirts on the right, take part in the book sorting charity event.

Chapter 8 | CSR Indicators



Chapter 8 | CSR Indicators

Environmental

Item Data Summary FY2013 FY2014 FY2015

1 Gasoline Consumption by Vehicle (Litres) 40,951 39,570 36,704

2 Energy Consumption Equivalent to Gasoline Consumption (GJ) 1,352 1,307 1,212

3 Electricity Consumption (kWh) 1,303,331 1,284,583 1,150,025

4 Energy Consumption Equivalent to Electricity Consumption (GJ) 4,692 4,624 4,140

5 1,009 993 892

6 A3 Paper Consumption (Sheets/No. of Staff) *2 139 143 146

7 A4 Paper Consumption (Sheets/No. of Staff) *2 2,469 2,458 2,328

8 Recycled Paper/ Environmental Paper Consumption (Sheets/No. of Staff)*2

2,608 2,605 2,480

9 Total Water Discharges (Tonnes) *3 2 2 2

10 Other Relevant Indirect CO2 Emissions (Tonnes CO2-e) *2,4 61 63 61

11 Toner Consumption (Pcs) *5 406 425 476

12 Paper Recycled (Tonnes) *5 26.46 26.02 31.43

13 Aluminum Recycled (Tonnes) *5 0.24 0.14 0.05

14 Plastic Recycled (Tonnes) *5 0.26 0.18 0.17

15 Waste to Landfill or Incineration (Tonnes) *5 49.43 48.92 44.92

16 Total Number of Spills 0 0 0

17 Total Volume of Spills (m3) 0 0 0

18 Chemical Waste Produced (Tonnes) *6 0.09 0 0.26

19 Waste Electrical and Electronic Equipment (WEEE) Recycled (Tonnes)

1,163 1,202 1,503

20 Environmental Convictions Per 100,000 Man-hours 0 0 0

21 Major Non-conformance in Integrated Management System Audits 0 0 0

Remarks: * 1 Includes both Electricity and Gasoline Consumption but excludes CO2 emissions from logistics management activities carried

out by on-site contractors. CO2 is the major Greenhouse Gas in Fuji Xerox (Hong Kong). *2 A3 and A4 paper consumption is recorded in terms of document management system rather than internal order. *3 Consumption in our main Hong Kong Island office is only an estimate as the amount of water consumed is included in the

building management fee. *4 Includes CO2 emissions resulting from paper and water consumption. *5 Includes Macau office data from November 2013 onwards. *6 Chemical waste excludes amount generated by activities of off*7 The increase in chemical waste is due to increased staff awareness; staff members are bringing batteries from their homes to our

offices for disposal.

-site contractors.

*7

CO2 Emissions (Tonnes CO2-e) *1

As a non-listed private organization, we endeavor to publish as much information as we can to increase the transparency of our “Triple Bottom Line” performance. Some of the data below has been reorganized and regrouped for easy understanding.


Social


1 Number of Staff *8 904 945 953

2 Male : Female 628 : 276 660 : 285 667 : 286

3 Local : Non-local *9 901 : 3 943 : 2 951 : 2

4 Manager (Male : Female) 61 : 25 67 : 26 72 : 27

5 Non-Manager (Male : Female) 567 : 251 593 : 259 595 : 259

6 Voluntary Staff Turnover 19.80% 21.22% 23.50%

7 Retention Rates After Parental Leave 100% 100% 100%

8 Staff Injuries 2 4 4

9 Staff Fatalities 0 0 0

10 Total Training Hours *10 39,820 39,893 40,240

11 Cost of Staff Training Year-On-Year Growth *11 55% 45% -24%

12 Convicted Cases of Corruption 0 0 0

13 Code of Conduct e-Learning Participation Rate 100% 100% 100%

14 Volunteering Hours 3,446 3,839 4,007

15 Number of Volunteer 653 647 695

16 Monetary Value of Significant Fines and Total Number of Non-Monetary Sanctions for Non-compliance with Laws and Regulations (HK$)

0 0 0

17 Human Rights Review *13 100% 100% 100%

18 Number of Grievances Related to Human Rights 0 0 0

Economic


1 Compounded Annual Growth Rate (CAGR) Revenue in 5 Years *11 4.7% 5% 2.95%

2 Revenue/Selling General & Administrative Expense 4.98 4.89 5.34

3 Human Resources Productivity (Revenue/Total HR cost) 4.87 4.99 4.86

4 Debt to Equity Ratio 31% 36% 38%

5 Environmental Expenditure Year-On-Year Growth *14 1% 4% -2%

Remarks: *8 Includes all permanent and contract staff. *9 “Local” employees are those whose employment terms and conditions meet the labour requirements of the Hong Kong Special

Administrative Region (HKSAR). *10 From 2014 report onwards all relevant self-learning data will be included. *11 The consolidated results in terms of Year-On-Year Growth Rate (%) from Fuji Xerox (Hong Kong)’s income statement include relevant

data for the Fuji Xerox Printer Channel.

*13 All new staff members joining Fuji Xerox (Hong Kong) are required to complete “Code of Conduct” learning three months after initially starting work. In the case of current staff, regular reviews will be carried out and per review of scope and content annually.

*14 Includes end-of-life management costs only.

*12 The drop in staff training cost is due to increased training activities conducted by competent internal trainers.

*12

Chapter 9 | GRI Content Index




This report was prepared in accordance with the Core requirements of Global Reporting Initiative (GRI) G4 Guidelines. The General Standard Disclosures and material Specific Standard Disclosures are presented below with either linkage to the reported section(s) or direct answer.

General Standard Disclosures

General Standard Disclosures Cross-referenceSEHK ESG Guide Reference

Page

Strategy and Analysis

G4-1 Statement from the most senior decision maker of the organization Top Commitment 1-3

Organizational Profile

G4-3 Name of the organization Company Profile 10

G4-4 Primary brands, products and services Company Profile 10-13

G4-5 Location headquarters of organization's Company Profile 10

G4-6 Number of countries where the organization operates Report Scope and Approach - Reporting Scope 4

G4-7 Nature of ownership and legal form Corporate Governance - Governance and Organization 15

G4-8 Markets served Company Profile 10

G4-9 Scale of the organization Company Profile 10

G4-10 Number of Employees CSR Indicators KPI B1.1 50

G4-11 Percentage of employees covered collective bargaining agreements

While none of our employees are covered by collective bargaining agreements, our “Managing Director’s Mailbox” serves as a direct channel offering formal opportunities for two-way communications between senior management and regular employees.

NA

G4-12 Organization's supply chain

Company Profile- Creating Value for SocietyKind - Joining Hands with Our Suppliers to Create Sustainable Procurement

KPI B5.1 13, 38

G4-13 Significant changes during the reporting period regarding size, structure, ownership or organization's supply chain

There is no significant change during the reporting period regarding size, structure, ownership or organization's supply chain. NA

G4-14 Explanation of whether and how the precautionary approach or principle is addressed by the organization Corporate Governance 14-19

G4-15 Externally developed economic, environmental, and social charters, principles, or other initiatives to which the organization subscribes or endorses

No such initiatives are subscribed or endorsed by Fuji Xerox (Hong Kong). NA

G4-16 Memberships in associations and/or national/international advocacy organizations

- American Chamber of Commerce in Hong Kong- American Club - Business Environment Council- Caring Company's Patron Club- Hong Kong General Chamber of Commerce- Hong Kong Management Association- Institute of Print Media Professional - Macau American Chamber of Commerce- Japanese Chamber of Commerce- The Chinese Manufacturers' Association of Hong Kong- The Community Chest of Hong Kong's Greening for the Chest

Organizing Committee- The Hong Kong Japanese Club- The Hong Kong Printers Association

NA

G4-17 Entities included in the organization's consolidated financial statements or equivalent documents Top Commitment 1-3

G4-18 Process for defining report content and the aspect boundariesReport Scope and Approach - Reporting Scope - Reporting Principles

4

G4-19 Material aspects identified in the process for defining report content Report Scope and Approach - Material Aspects and Stakeholder Engagement 5-7

G4-20 Aspect boundary within the organization for each material aspect Report Scope and Approach - Material Aspects and Stakeholder Engagement 5-7


G4-21 Aspect boundary outside the organization for each material aspectReport Scope and Approach - Reporting Scope - Reporting Principles

4

G4-22 Explanation of the effect of any re-statements of information provided in earlier reports, and the reasons for such re-statement

There is no re-statement of information provided in earlier reports, and the reasons for such re-statement. NA

G4-23 Significant changes from previous reporting periods in the scope and boundary

There is no significant change from previous reporting periods in the scope and boundary. NA

Stakeholder Engagement

G4-24 List of stakeholder groups engaged by the organizationGenerally, our defined stakeholders include our customers, employees, suppliers, global environment, local communities, and shareholders/investors.

7

G4-25 Basis for identification and selection of stakeholders with whom to engage

The identification and selection of stakeholders is based on Fuji Xerox’s value chain approach as trademarked, developed and reported as 360º of Sustainability™ since 2010.

NA

G4-26 Approaches to stakeholder engagement, including frequency of engagement by type and by stakeholder group Report Scope and Approach 4-9

G4-27 Key topics and concerns that have been raised through stakeholder engagement, and how the organization has responded to those key topics and concerns, including through its reporting

Report Scope and Approach 4-9

Report Profile

G4-28 Reporting period Report Scope and Approach 4

G4-29 Date of most recent previous report Report Scope and Approach 4

G4-30 Reporting cycle Report Scope and Approach - Reporting Scope 4

G4-31 Contact point for questions regarding the report or its contents Email: [email protected]; Feedback Form NA

G4-32 GRI Content Index, the "in accordance" option the organization has chosen and the reference to the External Assurance Report if any GRI Content Index 51-53

G4-33 Policy and current practice with regard to seeking external assurance for the report

Report Scope and Approach - External Assurance; Verification

5, 54

G4-34 Governance structure of the organization Corporate Governance - Governance and Organization 15

G4-56 Organization's values, principles, standards and norms of behavior Company Profile 10-13 v

General Standard Disclosures Cross-referenceSEHK ESG Guide Reference

Page

Material Aspects Disclosure Management Approach (DMA) and Indicators Cross-reference

SEHK ESG Guide Reference

Page

Energy DMA Top Commitment; Kind

A2 KPI A2.3

1-3,30-39

Energy G4-EN3 Energy consumption within the organization CSR Indicators KPI A2.1 49

Energy G4-EN6 Reduction of energy consumption CSR Indicators KPI A2.3 49

Energy G4-EN7 Reductions in energy requirements of products and services CSR Indicators KPI A2.2 49

Emissions DMA

Top Commitment;Strong - Achievements in Service Pledge;Kind - Building a Carbon Neutral Operation

A1KPI A1.5

1-3,28-29,

38

Emissions G4-EN15 Direct Greenhouse Gas* (GHG) emissions (Scope 1) CSR Indicators KPI A1.1KPI A1.2 49

Emissions G4-EN16 Energy indirect GHG* emissions (Scope 2) CSR Indicators KPI A1.1KPI A1.2 49

Emissions G4-EN17 Other indirect GHG* emissions (Scope 3) CSR Indicators KPI A1.1KPI A1.2 49

Emissions G4-EN19 Reduction of GHG* emissions CSR Indicators KPI A1.5 49

Effluents and Waste DMA Kind

- Zero Landfill Waste: Our Corporate ResponsibilityA1

KPI A1.6 38-39

Effluents and Waste G4-EN23 Total weight of waste by type and disposal method CSR Indicators

KPI A1.3KPI A1.4KPI A1.6

49

Effluents and Waste G4-EN24 Total number and volume of significant spills CSR Indicators KPI A3.1 49

Products and Services DMA Top Commitment;

Kind B6,

KPI A3.11-3,

30-39

Specific Standard Disclosures



Material Aspects Disclosure Management Approach (DMA) and Indicators Cross-reference

SEHK ESG Guide Reference

Page

Products and Services

G4-EN27 Extent of impact mitigation of environmental impacts of products and services

Strong - Smart Technologies: Changing How We Do Business- Innovative Solutions to Drive Sustainability- Achievements in Service Pledge;Kind - Building a Carbon Neutral Operation

KPI A3.1

21-22,23-25, 28-29,

38

Compliance DMA Corporate Governance- Risk Management and Legal Compliance 16-19

ComplianceG4-EN29 Monetary value of significant fines and total

number of non-monetary sanctions for non-compliance with laws and regulations

CSR Indicators A1 50

Supplier Environmental Assessment

DMA Kind B5KPI B5.2 30-39

Supplier Environmental Assessment

G4-EN32 Percentage of new suppliers that were screened using environmental criteria

We included environmental criteria in all supplier preferred vendors’ assessments. KPI B5.2 NA

Employment DMA Interesting 40-48

Employment G4-LA1 Total number and rates of new employee hires and employee turnover by age group, gender and region CSR Indicators KPI B1.2 50

Employment G4-LA3 Return to work and retention rates after parental leave, by gender CSR Indicators 50


DMA Corporate Governance- Risk Management and Legal Compliance

B2 KPI B2.3 16-19


G4-LA6 Type of injury and rates of injury, occupational diseases, lost days, and absenteeism, and total number of work-related fatalities, by region and by gender

CSR Indicators KPI B2.1KPI B2.2 50

Training and Education DMA Interesting

- Ensuring Constant Communication and Learning 43-44

Training and Education

G4-LA9 Average hours of training per year per employee by gender, and by employee category CSR Indicators KPI B3.2 50

Investment

G4-HR2 Total hours of employee training on human rights policies or procedures concerning aspects of human rights that are relevant to operations, including the percentage of employees trained

CSR Indicators 50

Local Communities

G4-SO1 Percentage of operations with implemented local community engagement, impact assessments, and development programs

Interesting - Serving the Community 46-48

Anti-corruption DMA Code of Conduct B7

KPI B7.2 NA

Anti-corruption G4-SO5 Confirmed incidents of corruption and actions taken CSR Indicators B7

KPI B7.1 50

Compliance DMA Corporate Governance - Risk Assessment and Legal Compliance 16-19

ComplianceG4-SO8 Monetary value of significant fines and total number

of non-monetary sanctions for non-compliance with laws and regulations

No fines and/or non-monetary sanctions for non-compliance with laws and regulations were recorded in FY2015.

B1B2B4B7

NA

Product and Service Labelling

DMA Kind- Zero Landfill Waste: Our Corporate Responsibility 38-39


G4-PR4 Total number of incidents of non-compliance with regulations and voluntary codes concerning product and service information and labeling, by type of outcomes

There is no incident of non-compliance with regulations and voluntary codes concerning product and service information and labeling, by type of outcomes.

B6 NA


G4-PR5 Results of surveys measuring customer satisfaction Strong- Achievements in Service Pledge KPI B6.2 28-29

Customer Privacy DMA Corporate Governance B6

KPI B6.5 14-19

Customer Privacy

G4-PR8 Total number of substantiated complaints regarding breaches of customer privacy and losses of customer data

No complaints regarding breaches of customer privacy and losses of customer data were recorded in FY2015.

B6KPI B6.2 NA

* The main Greenhouse Gas emitted by Fuji Xerox (Hong Kong) is carbon dioxide (CO2). In this context, "Greenhouse Gas" refers to CO2.


Scope and Objective

Hong Kong Quality Assurance Agency (HKQAA) has been commissioned by Fuji Xerox (Hong Kong) Limited to conduct an independent verification of its Sustainability Report 2016 (herein referred to as “the Report”). The Report stated Fuji Xerox (Hong Kong)’s sustainability performance and efforts towards sustainable development for the period from 1 April 2015 to 31 March 2016.

The aim of this verification was to provide assurance on the completeness and accuracy of the information stated in the Report. The Report covers the standard disclosures defined in the Global Reporting Initiative (GRI) Sustainability Reporting Guidelines Version 4 (G4) with “Core” option and the Key Performance Indicators that defined in the Environmental, Social and Governance (ESG) Reporting Guide of the Stock Exchange of Hong Kong Limited (SEHK).

Methodology

The process used in this verification was based on current best practices. The Report was reviewed against the following criteria:

• The principles of completeness, accuracy, neutrality, comparability and responsiveness ;

• The Global Reporting Initiative (GRI) G4 Guidelines;

• ISO 26000:2010 Guidance on Social Responsibility; and

• ESG Reporting Guide

The verification procedure included reviewing relevant documentation, interviewing responsible personnel with accountability for preparing the Report and verifying the selected representative sample of data and information consolidated in the Report. Raw data and supporting evidence of the selected samples were thoroughly examined.

Conclusion

Based on the outcome of the verification process, it is opined that the Report is “in accordance” with the GRI G4 Guidelines – Core option and covers the Key Performance Indicators of the ESG Reporting Guide.

The information presented in the Report provided a structured, balanced and consistent representation of Fuji Xerox (Hong Kong)’s sustainability performance in the context of sustainable development. We are satisfied that the Report includes factual statements and the data contained within the Report is accurate and reliable. It is a fair and honest representation of Fuji Xerox (Hong Kong)’s initiatives, targets, progress and performance on its sustainable development achievements.

Bryan PengAssistant Director, Manufacturing & Service Business DivisionSeptember 2016

Signed on behalf of Hong Kong Quality Assurance Agency

Chapter 10 | Verification

5554

Chapter 10 | Verification

3C Creativity, Champion, Caring

3R+V Reliability, Responsiveness, Relationship and Value

3Rs Reduce, Reuse, Recycle

4S Smart Device, Smart Connect, Smart Share, Smart Analytics

5S Seiri, Seiton, Seiso, Seiketsu, Shitsuke

AEO Authorized Economic Operator

AMDP ApeosWare My Document Portal

AQ Adversity Quotient

BEC Business Environment Council

BPO Business Process Optimization

CAGR Compounded Annual Growth Rate

CCM Customer Communications Management

CDs Compact Discs

CO2 Carbon Dioxide

CoC Chain of Custody

CSR Corporate Social Responsibility

DICOM Digital Imaging and Communications in Medicine

DMA Disclosure Management Approach

EM&S Employee Motivation and Satisfaction

EQ Emotional Quotient

ESG Environmental, Social and Governance

FSC™ Forest Stewardship Council ®

Fuji Xerox Fuji Xerox Co., Ltd.

FY Fiscal Year

GCO Greater China Operations

GHG Greenhouse Gas

GRI Global Reporting Initiative

HKAS Hong Kong Accreditation Service

HKQAA Hong Kong Quality Assurance Agency

HKSAR Hong Kong Special Administrative Region

HR Human Resources

iESG Intelligent Environmental, Social and Governance

ICT Information and Communications Technology

ISO International Organization for Standardization

IT Information Technology

JQP Japan Quality Program

J-SOX Japanese Sarbanes-Oxley Act

KPIs Key Performance Indicators

LeafX Love Earth Action Fuji Xerox

MAPS Managed Account Payable Services

MFDs Multi-function Devices

MROS Medical Report Output System

MTR Mass Transit Railway

NGOs Non-governmental Organizations

PDCA Plan-Do-Check-Act

R&D Research and Development

SEHK Stock Exchange of Hong Kong Limited

SMC Senior Management Committee

SMEs Small and Medium-sized Enterprises

SMS Sustainability Management Services

UKAS United Kingdom Accreditation Service

UN United Nations

UNEP United Nations Environment Program

WEEE Waste Electrical and Electronic Equipment

WGO World Green Organisation

YOY Year-On-Year

Glossary

Sustainability Report 2016Fuji Xerox (Hong Kong) Limited

http://www.fujixerox.com.hk

Date of Issue: October 2016

© Fuji Xerox (Hong Kong) Limited 2016

Printed on Fuji Xerox DocuColor Production Printing System

Xerox, Xerox and Design, as well as Fuji Xerox and Design are registered trademarks or trademarks of Xerox Corporation in Japan and/or other countries.

Create, Change andInnovate for a Sustainable FutureCreate, Change andInnovate for a Sustainable Future


Sustainability Report 2016

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