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ABOUT THE REPORT

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Transparency and dialogue with stakeholders are values of great importance to Toyota. Thus, for another year, the company releases its Sustainability Report, produced based on the guidelines of the Global Reporting Initiative (GRI), Standards version (Core option). This material contains the main data on the company’s performance during the last fiscal year, which covers the period from April 1, 2017 to March 31, 20191, and covers all company units in operation in the country, as well as its social component, the Toyota Foundation.

In order to identify the relevance of economic, environmental, and social topics to the business, and to report results, Toyota carries out its materiality process every two years. During the 2017/2018 cycle, an update was conducted in order to align material topics with topics relevant to the sector.

The process adopted to define the content of the report included, in addition to the Global Vision, an initial consultation with RepRisk2 , SASB3 e RobecoSAM4 , the analysis of materiality results from the previous cycle, and the benchmarking of material topics published by companies in the sector, in order to map potentially material topics. This year, Toyota also took its first step towards the Sustainable Development Goals. The results are presented in the following table.

1 GRI indicators refer to the fiscal year 2017/2019 period, but eventually extend beyond this period.

2 RepRisk (www.reprisk.com), tool that provides information about environmental and social issues that represent financial and reputational risks to a company.

3 Sustainability Accounting Standards Board (www.sasb.org) which defines specific standards for the reporting of corporate sustainability, ensuring that disclosure is material, comparable, and useful to investors.

4 Corporate Sustainability Assessment Methodology

Engagement

Material Topic Approach Vision 2020
Pillars
Stakeholders Correlation
with SDG
Innovation and cutting-edge technology Be a leader in new technologies for the automotive industry 1. Show the way
2. The future
of mobility
6. Constant Innovation
7. Respect for the planet
Employees
Customers
Dealerships
Suppliers
Trade Association
ODS ODS ODS
Customer satisfaction Ensure the best experience and the smile of our customers 5. Commitment to quality
8. Exceed expectations
9. Rewarded with a smile
Customers Dealerships ODS
Solutions for urban mobility Work toward mobility in cities where our vehicles travel 1. Show the way
2. The future of mobility
Customers
Dealerships
Communities
ODS
Vehicle safety and quality Ensure the quality of components, parts, and vehicles, and protect the integrity of our customers 4. Safer and more responsible ways to transport people Customers Dealerships
Suppliers
Trade Association
ODS ODS ODS
Life cycle management Evaluate raw materials, technologies, and processes in order to control the life cycle of the vehicle 7. Respect for the planet Customers Dealerships Suppliers ODS ODS
Low-carbon strategy Make emissions control of pollutants and greenhouse gases a competitive advantage and a management requirement at Toyota 6. Constant Innovation
7. Respect for the planet
Employees Customers ODS ODS
Labor relations Invest in training, talent retention, and employee well-being 11. Employing the talent and passion of people Employees Unions ODS ODS ODS
Post-sales strategies Provide excellent services and assistance to those who purchase a Toyota vehicle 1. Show the way
5. Commitment to quality
8. Exceed expectations
9. Rewarded with a smile
Customers Dealerships ODS ODS
Social and environmental responsibility in communities Create and share value in communities within our radius of influence 3. Enriching lives around the world Customers
Communities
Dealerships
ODS ODS ODS ODS ODS
Occupational Health and Safety Management for the safety, health, and quality of life of people on their job 4. Safer and more responsible ways to transport people
5. Commitment to quality
Employees Unions ODS ODS
Supply Chain Strengthening the relationship with the supply chain, ensuring compliance and quality 11. Employing the talent and passion of people Suppliers ODS ODS ODS
Economic Performance Effective management to ensure financial health and growth 10. Challenging Goals
12. There is always a better way
Employees
Dealerships
Trade Associations
ODS ODS
Human rights Ensuring ethics, integrity, and individual freedoms 3. Enriching lives around the world
7. Respect for the planet
11. Employing the talent and passion of people
Employees
Communities
Unions
ODS ODS ODS
Environmental performance Respect for the environment and contribution to the sustainable development of the planet 7. Respect for the planet Employees Communities Dealerships ODS ODS ODS ODS ODS