Sustainable resource use
Contribute to development of a circular economy focused on the value of assets
The leasing business Tokyo Century has developed since its founding is built on the 3Rs (reduce, reuse, and recycle), meaning that the Company has been contributing to the realization of an environmentally sound, sustainable economy and society since its inception. Leasing businesses necessarily involve assets, and focusing on the value of assets and their effective utilization is thus of crucial importance to such businesses. By further honing the propensity for judging the value of the assets we have refined throughout our history, we look to broaden the scope of assets we handle to branch out from traditional financing and leasing to engage in life-cycle management operations related to automobiles and aircraft. At the same time, we will work together with our partners to combine our specialties and areas of expertise to address social issues. In this manner, Tokyo Century will seek to evolve business models in fields where it can contribute to the realization of an environmentally sound, sustainable economy and society and in which it is possible to achieve economic growth while using resources efficiently.
Information and communications equipment is a major offering of our leasing business. In recent years, greater importance has been placed on the environment and on information management with regard to the disposal of end-of-lease IT equipment. This trend is anticipated to spur rapid growth in demand for IT asset disposition (ITAD) services such as data erasing and disposal for IT equipment, which can be used to ensure the safe and appropriate disposal of these IT assets. We anticipate that this demand will be seen centered on global companies seeking to provide services that are standardized on a worldwide basis. In this regard, U.S.-based IT leasing subsidiary CSI Leasing, Inc., is a major source of strength. The company is able to supply high-quality global-standard services through its IT equipment leasing and ITAD service operations in more than 50 countries across the globe. CSI Leasing has been acquiring companies in various countries and taking other steps to establish local bases in markets around the world for propelling the development of its IT equipment life-cycle management service businesses.
- Contribution to the SDGs
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Opportunities
- Increased range of business opportunities related to a circular economy focused on the value of assets
Risks
- Higher costs related to waste processing
- Damage to reputation due to environmental pollution
Logic Model and Impact KPI
Goals and Progress
Output KPIs
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| KPI | Applicable companies | Unit | Target year | Target | Fiscal 2022 | Fiscal 2023 | Fiscal 2024 |
|---|---|---|---|---|---|---|---|
| Transaction volume (leases, financing, investments, etc.) | Tokyo Century Corporation and 15 major subsidiaries | Billions of yen |
|
|
396.5 | 473.0 | 481.9 |
| Refurbishment business (annual secondhand computer sales volume) | Tokyo Century Corporation, EPC Japan K.K., and FLCS Co., Ltd. | Computers | Fiscal 2025 | 508,777 computers or more | 327,017 | 350,813 | 425,066 |
| ITAD data erasure services (number of units processed with ITAD services) | EPC, Inc. (U.S. subsidiary of CSI Leasing, Inc.) and 11 other companies | Units | Fiscal 2025 | 1,700,000 units | 1,713,011 | 1,694,606 | 1,648,242 |
| Rate of reduction of use of plastic office supplies (recycling rate for clear plastic files) | Tokyo Century Corporation | % | Fiscal 2025 | Reduce purchases of clear plastic files by 50% (compared with fiscal 2022) | 100.0 | 105.4 | 110.8 |
Impact KPI
Scrollable horizontally
| KPI | Applicable companies | Unit | Target year | Target | Fiscal 2022 | Fiscal 2023 | Fiscal 2024 |
|---|---|---|---|---|---|---|---|
| Recycling rate for plastic-containing products and other industrial waste | Tokyo Century Corporation | % | Fiscal 2026 | Maintain average recycling rate of at least 90% for five fiscal years starting in fiscal 2022 | 93.9 | 95.8 | 96.2 |
| Re-leasing rate (renewal rate) | Tokyo Century Corporation | % |
|
|
78.6 | 78.7 | 78.8 |
Initiative Example
In fiscal 2021, Tokyo Century concluded a capital and business alliance with MIRAI-LABO Co., Ltd., which develops businesses in the field of EV battery diagnosis, evaluation, and reuse, in order to further accelerate the Group’s EV leasing and rental business.
MIRAI-LABO boasts proprietary technology that evaluates EV battery deterioration on a module-by-module basis. It is also working to increase the value of batteries that can no longer be used in EVs by repurposing them into stationary storage batteries and autonomous street lights, depending on the level of deterioration. We intend to improve the competitiveness of our EV leases by developing with MIRAI-LABO an effective use model of batteries based on diagnostic evaluations. We will also work with MIRAI-LABO, a GX platform advocate, and its partners to bolster and supply environmentally sound mobility services related to the reuse, repurpose, and recycling of EV batteries.
In cooperation with the wholly owned ITOCHU subsidiary Belong Inc., Tokyo Century operates Belong One, a service for corporate users requiring rental of secondhand smartphones and tablets.
Belong One was launched in response to growing demand from corporations for these devices. The service increases the reuse of smartphones and tablets, as they can be maintained and reused after the end of their rental service life.
As a result, this initiative contributes to the realization of circular economies.