Overview
The 4S model
We strive to fulfill our responsibilities to our valued consumers,
shareholders, employees and the wider society. Carefully considering the respective interests of these
four key stakeholder groups, and exceeding their expectations wherever we can.
Consumers, shareholders, employees, and society - these are the four stakeholder groups
(4S) at the heart of everything we do at JT. Our commitment to serving these groups is represented in
the 4S model.
We always try to exceed the expectations of our four stakeholder groups wherever we can, based on the
principles of the 4S model. For our consumers, this means offering superior products that meet or go
beyond their evolving needs. For our shareholders, we aim to enhance returns based on our profit growth
outlook and strike a balance between providing shareholder returns and investing in the business for
future profit growth. For our employees, we will work to ensure that we maintain our reputation as a
respected member of the community and a company that they can feel proud to be a part of. And we will
continue to contribute to society as a whole, recognizing that our growth benefits from a sustainable
society, and in doing so enhance our corporate value.
Our vision, based on the 4S model, is to achieve global growth by providing value unique to our Group.
Our mission - our concrete action plan to achieve our vision - is to create, develop, and nurture our
brands to meet consumers' needs while understanding and respecting the environment and the diversity
present in society.
Materiality
In order for our Group to grow and build a sustainable future with our stakeholders, we have selected a list of material issues or key issues with high priorities. The list was compiled for the first time in 2015, by engaging internal and external stakeholders, including employees, suppliers, investors, trade unions, non-governmental organizations (NGOs) and industry organizations. We are committed to carrying out materiality reviews on a regular basis in order to update issues that are important to us.
Since the first materiality assessment was performed, we have noted the increasing concern about the adverse effects on our environment. We share this concern and have therefore repositioned ‘Environment’ from Mid-Mid to High-High. We will continue with our strive to reduce environmental impacts on our planet.
For more details, go to Environment management>
The foundations of the JT Group sustainability strategy
Our sustainability strategy is based on our Group’s materiality assessment and underpinned by our 4S model. It
encourages us to look beyond our usual planning cycle period and think about the longevity of our business, the
future of our planet, and the society we live in.
The foundations of our sustainability strategy, applying across the Group, are our ‘Three absolute requirements
for sustainability’:
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Respect for human rights
We are committed to respecting human rights across our global operations and value chains, as expressed in
the JT Group Human Rights Policy.
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An improved social and environmental impact
We are committed to protecting the environment and making a positive difference wherever we operate.
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Good governance and business standards
We are committed to promoting transparent, fair, and timely decision-making that carefully considers the
respective interests of consumers, shareholders, employees, and the wider society.
Tobacco business sustainability strategy
We formulated and introduced our tobacco business sustainability strategy in 2017. It illustrates the important
choices we have been making for years – and will continue to make – across all of our markets and business
functions to drive sustainability throughout the entire organization. We have chosen four focus areas which we
consider to be essential for the sustainability of our tobacco business and for our stakeholders.
In 2018, our sustainability strategy evolved further, with eleven specific targets set for each of the four focus
areas. These will provide a solid basis for measuring and benchmarking our sustainability performance, and support
the sustainability of the JT Group. We will be updating our progress regularly, as we strive to contribute and
fulfill our commitments that we have made to our stakeholders and to ourselves.
The four strategic focus areas
Committed to the UN Sustainable Development Goals
Our commitment
In order for our Group to achieve sustainable growth, it is essential for our business to contribute to the sustainable development of our society. We maintain ongoing dialogues with our stakeholders and work continuously on a variety of sustainability issues to fulfill our responsibilities.
Our Group supports the United Nations’ Sustainable Development Goals (SDGs) and their related targets in the context of its own business and operational environments. Our commercial strategies and business practices support the global goals, and we have developed specific targets and initiatives that contribute to the SDGs’ global agenda. We take our responsibility to manage our business sustainability very seriously. Our Group’s three businesses – tobacco, processed food and pharmaceutical – differ by sector, scope and size, and therefore each one contributes to the SDGs in different ways.
Prioritization process
In 2018, we determined how our approach to sustainable business is aligned with the SDGs. We mapped the activities of our tobacco business against all 17 SDGs and concluded that our tobacco business contributes most significantly to the following nine goals. We intend to undertake the same process for the other two businesses in the Group.
The SDGs provides a shared blueprint for peace and prosperity for people and the planet, now and into the future. The goals recognize that ending poverty and other deprivations must go hand-in-hand with strategies that improve health and education, reduce inequality, and spur economic growth – all while tackling climate change and working to preserve our oceans and forests. That makes sense to us at the JT Group. We share and support these goals and here are the specific ways in which we believe, we can contribute to achieving some of the goals.
To find out more, please see our targets and SDGs.
