Environment and Community Report 2006 Toyota Motor Corporation Australia Limited ACN 009 686 097 01 i n t r o d u c t i o n Toyota in Australia Key Facts Contents Page 2003 2004 2005 Toyota Australia (Toyota Motor Corporation Sales revenue $7.13b $7.30b $7.62b 01 Introduction Australia Limited) is one of Toyota’s Total assets $1.83b $1.74b $2.05b i n t r o d u c t i o n (Toyota Motor Corporation) global Environment and Community manufacturing centres. Employees 4,700 4,463 4,512 Highlights 3 The corporate headquarters, manufacturing Vehicle production 113,614 109,862 109,222 and engineering activities are in Melbourne, Engine production 86,673 85,037 85,769 02 Principles, values and and sales and marketing operations are Local component suppliers 97 89 84 people Message from the President We have adopted global projects which located in Woolooware Bay, Sydney. will have a positive affect on our Australian There are also regional offices and parts Purchase value $1.6b $1.03b $1.01b Throughout 2005 and now into 2006, the Guiding Principles 5 environmental activities of Toyota across operations and we are regularly seeking distribution centres in Victoria, New South Vehicle sales, domestic the globe have been unified with the opportunities to engage with our Wales, Queensland, and the Northern Health and Safety 6 communities. Toyota 186,370 201,737 202,817 phrase ‘Think and Act’. It is a phrase that Territory. Lexus 4,490 5,009 6,005 Compliance 7 is consistent with the pillar of the Toyota The environmental and community Toyota Australia has a long-term Way that encourages continuous engagement programs operate across the commitment to both its domestic and Daihatsu 4,845 5,016 3,007 Stakeholder Engagement 8 improvement in everything we do. company, and I am proud of the efforts export markets. Apart from the locally built Exports One great strength of this approach is that Toyota Australia people have made to Camry, Toyota Australia imports a wide Vehicles exported 66,200 65,400 68,989 03 Environment it recognises the ability of individuals to act adopt the ‘Think and Act’ approach in range of passenger, 4WD and commercial everything they do. I am also pleased with vehicles. These include the Yaris, Corolla, Export countries 24 24 23 and generate change. The actions of one Environment Plan 9 person can create a ripple effect that the relationships we have developed Avensis, Tarago, RAV4, LandCruiser, Export revenue (incl. parts) $1.4b $1.2b $1.3b ultimately can touch on people at our across the country and we look forward to Prado, HiLux and HiAce, as well as the future opportunities to engage and to Dealers Environmental Awareness Survey 11 workplace, in our homes or in our hybrid-model, Prius. In addition the luxury learn. Lexus range of vehicles is also sold and Toyota 218 217 218 community. Vehicle Life-Cycle 12 distributed. Sales of Daihatsu vehicles Lexus 17 18 18 Toyota Australia knows that a decision to As an automotive company, we are well aware of the great responsibility we have within Australia ended on 31 March 2006. Daihatsu 83 79 Product 13 change a process in the manufacturing plant in a bid to reduce energy use, or to work with the environment to create a Toyota Australia is the largest Australian Dealer employees 11,400 Supply Chain and Purchasing 15 steps to engage with specific stakeholder better place to live and work. We look vehicle exporter. In 2005, 68,989 cars groups can have a ripple effect on people forward to continuing our journey in 2006. were exported to 23 export destinations, * All figures relate to calendar years Manufacturing 17 supplying Camry vehicles to the Middle in other parts of the business or community. Our efforts must be focused on managing East, South Africa and several South Export and Distribution 21 these effects and channelling them in a Pacific countries. Toyota Australia - Historical Facts Sales and Marketing 23 way that promotes benefits for everyone 1958 First 13 Landcruisers imported for use on Snowy Mountains Scheme concerned. 1962 Toyota passenger vehicle franchise acquired by Australian Motor Industries(AMI) 04 Community involvement During the past year, Toyota Australia has Ted Okada, Thiess (Sales) appointed to distribute Toyota commercial vehicles developed a five year environment plan Toyota Community Spirit 25 President and CEO, Toyota Australia 1963 Tiara assembly begins at AMI Port Melbourne plant and revised its governance structure in an effort to streamline information flows and 1964 Corona assembly begins at Port Melbourne Support of Major Community consultation regarding environmental and 1967 Crown assembly begins at Port Melbourne Events 30 community engagement issues. 1968 Corolla assembly begins at Port Melbourne Toyota acquires 51% of AMI, and 40% of Thiess sales and changes name to Thiess Toyota 1978 First engines built at Altona 1980 Toyota acquires 100% of Thiess Toyota 1985 First Corona wagons exported to New Zealand 1987 Camry replaces Corona at Port Melbourne Toyota acquires 100% of AMI and York Motors 1988 Toyota Motor Corporation Australia formed Front cover: Andy Dudok has worked in the Body Shop 1990 Lexus LS400 launched in Australia in Altona manufacturing and then in Rectifications since 1997. He decided to use scrap metal from a Toyota 1991 Toyota Australia becomes Australian overall market leader Camry to create this accurate replica of a southern 1992 One millionth locally built Toyota produced rock lobster. This sculpture was displayed as part of the Toyota Community Spirit gallery exhibition, ‘Natural 1995 Altona assembly plant officially opened. Camry enters production at Altona Selection’, from December 2005 to February 2006. 1998 Altona plant achieves ISO14001 Environmental Management System certification Scope of the 2006 Report energy use and 91% of local water use. Additional Important notice 2000 National Sales and Marketing headquarters opened in Woolooware Bay, Sydney The 2005 Environment and Community Report used a operations in Port Melbourne included the Toyota Australia has made every reasonable effort to calendar year for reporting purposes. In this transition manufacture of fuel tanks, metal stamping and ensure that this report is correct at the time of 2001 Launch of Prius hybrid petrol/electric vehicle onto the Australian market year, manufacturing data is used from the Japanese bumper bar painting. Relocation of the bumper bar publication. However, as vehicle specifications and fiscal year (April 1 to March 31), the key facts table painting operations was completed in March 2006 business processes may vary, the details in this report 2003 Toyota Australia overall Australian market leader with industry record sales of 186,370 vehicles uses calendar year data, and all other information covers with the commissioning of a new facility at Altona. may change over time. To the extent allowed by law, the period from 1 January 2005 to 31 March 2006. From June 2006 all manufacturing operations will be Toyota Australia will not be liable for any reliance which 2004 Toyota Australia overall Australian market leader with industry record sales of 201,737 vehicles All manufacturing data refers to the Altona located at Altona. may be placed on this report. 2005 Toyota Australia overall Australian market leader with industry record sales of 202,817 vehicles manufacturing site, which accounts for 92% of local 1 Toyota Australia Environment and Community Report 2006 2 01 e n v i r o n m e n t & c o m m u n i t y h i g h l i g h t s Toyota Australia Environment & Community highlights Key focus areas for 2005 Performance 2005 Products 1. Finalise long-term industry and corporate fuel consumption targets for all new light passenger and commercial vehicles 1. Industry agreed to a target of 222g CO2/km at 2010 for all light vehicles 2. All vehicles certified to Euro 3 (ADR 79/01) from January 2006. A number of models certified to Euro 4 or beyond 2. Complete the development of local and imported vehicles to comply with Euro 3 3. New model HiAce incorporating sequential vapour injection LPG system available as an option with the petrol engine model and Euro 4 emissions standards 4. Product development awareness initiatives not progressed due to changes in organisational responsibilities 3. Launch new model incorporating direct injection LPG system 4. Continue initiatives to raise awareness of environmental issues among product development staff 1. Continue to support cross divisional environmental projects with an increased Supply chain and emphasis on in-plant substances of concern procurement 1. Established a program to remove four substances of concern from the supply chain 2. Environment Policy updated and distributed to suppliers purchasing 2. Develop Supplier Environmental Management System policy beyond 2005 3. Toyota Australia supplier conference held 3. Support information sharing between manufacturing and the supply chain 4. Toyota Australia signed up as founding member of ECO-Buy 1. Recertified EMS to ISO14001 with no non-conformances. ‘Per vehicle’ reductions achieved in overall energy use, water Manufacturing 1. 2. Maintain ISO 14001 certification and achieve 2005 performance targets Home focus training & awareness program consumption and waste disposal 2. Increased participation in home focus and awareness activities with over 200 staff attending the Phillip Island Nature Park 3. Assist with new project targets (water 70%, and electricity 10% - reductions) 3. Manufacturing Environment Group assisted TEMS work groups to implement 16 documented environmental improvement 4. Establish Work Group Leaders for Action Learning Teams projects, saving approximately $775,000 per year 5. Release TEMS guide (for use by work group members) 4. Launch of TEMS work group leader Action Learning Team 6. Support environment graduate rotation into manufacturing shops 5. Design and launch of the ‘Green Guide’ to assist in TEMS development and implementation 7. Increase parts & accessories monthly review of environment activity 6. Successful graduate rotation undertaken in Powertrain plant 8. Establish training-gap analysis system 7. Parts & accessories review not undertaken 9. Support & identify training requirements 8. Training gap analysis system not implemented 10. Utilise the introduction of a new waste contract to focus on waste minimisation 9. Environmental awareness training expanded to non manufacturing areas including Brisbane Parts Distribution Centre 11. Determine the most appropriate replacement for afterburners in the paint shop 10. Additional recycling opportunities identified through new waste contract, such as windscreen glass recycling 11. Major energy saving project implemented in Paint Shop with the decommissioning of the Topcoat A afterburner 12. Commissioning of new bumper resin plant featuring water borne painting technology 1. Review environmental compliance in the dealership network Sales and after sales, 2. Waste audits and colour-coded waste segregation will be extended across all 1. 61.6% of dealers completed TSM environmental management self-assessment 2. Colour-coded waste segregation implemented in Sydney and extended across other parts distribution centres marketing and parts parts distribution centres in 2005 3. Confirmed strategy and schedule for the implementation of returnable modules from Japan 3. Start the use of returnable packaging modules from Japan in February 2005 distribution 4. Provide environmental practice coaching and support, coordinated with the 4. Environmental practice coaching deferred 5. Export and Distribution Division completed review of CO2 emissions for vehicle distribution Environmental Policy Department, to field representatives and district sales operations managers, as well as dealers who complete the self assessment and 6. Waste reporting system to be implemented as part of 5 year environment plan register with Toyota Australia’s national database 7. Staged reductions in cardboard packaging resulting in significant reductions in cardboard packaging waste throughout supply chain 8. Brisbane Parts Distribution Centre installed plastic baler 9. Environmental Management System (EMS) Co-ordinator appointed to implement EMS into the five parts distribution centres Community 1. Increase dealer participation in Toyota Community Spirit activities 1. Dealer participation statistics developed for each state 2. Increase employee participation in Toyota Community Spirit 2. Full roll-out of Toyota Community Spirit to each state and regional offices. Employee participation in Project Penguin Homes and stakeholder 3. Foster links between the Toyota Community Spirit partnerships and partners 3. Toyota Community Spirit still investigating ways to foster links between partners engagement 3 Toyota Australia Environment and Community Report 2006 4 02 p r i n c i p l e s , v a l u e s a n d p e o p l e Contribution to sustainable Toyota Way training in Australia development The Toyota Way Foundations is a one day Health and Safety SafetyMAP The Safety Management Achievement President’s Safety Shield The Toyota Australia President’s Safety As Toyota’s business operations have training course, based on The Toyota Way The Health and Safety system within Program (SafetyMAP) is an audit tool, Shield was introduced to manufacturing become global, society’s expectation of 2001. It is an education and development Toyota Australia is structured around the managed by the Victorian Workcover operations in Victoria in 2001. Since then the company’s contribution towards starting point, designed to give employees Plan-Do-Check-Act continuous Authority. Use of SafetyMAP makes an it has evolved into a national program that sustainable development has increased a firm grasp of the terminology and improvement process. independent audit and review of an has increased awareness of health and and the scope of these expectations has concepts of the Toyota Way, as well as organisation's health and safety safety and encouraged enhancements to Toyota Australia ‘Plans’ using risk expanded. Toyota has prepared an the basic history and heritage of Toyota. management systems possible. safety systems. The objectives of the Guiding Principles explanation paper called ‘Contribution to By 30 March 2006, 1,891 employees in assessments, undertakes the ‘Do and Check’ by performing regular workplace SafetyMAP helps to establish safer President’s Safety Shield are: Sustainable Development’ which interprets Australia had received Toyota Way working environments consistent with the 1. To reward and recognise outstanding safety checks and ‘Acts’ by addressing Toyota’s seven Guiding Principles serve as the ‘Guiding Principles’ from the Foundations training. requirements of health and safety health and safety management; and hazards immediately when they become the fundamental management policy for all perspective of how Toyota can work Human resources development legislation, and protects people by apparent. 2. To implement regular monthly auditing operations. The principles reflect Toyota’s toward sustainable development in eliminating, or better managing, any health interactions with stakeholders. The full Toyota Australia is committed to improving and safety hazards. The SafetyMAP audit of safety management systems to ensure commitment to providing clean, safe and text version of this paper is available at: the performance of the entire organisation criteria allow an organisation to: compliance with corporate policy and innovative products, while respecting the through improving the abilities of each procedures. environment and culture of the local • measure the performance of its health employee and maintaining and improving To be eligible to receive the award a communities. The Guiding Principles form http://www.toyota.co.jp/en/sustainability/index.html and safety program the morale of employees by providing department must: a foundation for Toyota’s Earth Charter, • implement a cycle of continuous them with the opportunity for growth adopted in April 2000. improvement • Report, investigate and effectively through work. Toyota Way • compare health and safety performance countermeasure every accident/incident Workplace agreement (WPA) systems to a recognised benchmark occurring for that month, including near- 1. Honour the language and spirit of the Toyota has stated its corporate values and The Toyota Australia 2005 WPA was • gain recognition for the standards miss incidents law of every nation and undertake open methods in The Toyota Way 2001. certified in the Australian Industrial achieved by management of health and and fair corporate activities to be a These are shared throughout the Toyota • Support and facilitate successful Relations Commission in July 2005. safety. good corporate citizen of the world. group as an aid to realising the Guiding rehabilitation of any injured team This agreement is There are two levels of SafetyMAP member as a result of an accident in Principles. The Toyota Way defines how binding for a period 2. Respect the culture and customs of certification, an initial and an advanced that month employees should perform and behave in of three years, with every nation and contribute to economic level, with Toyota Australia at present supporting the Guiding Principles. a commitment for a • Share accident report details with other and social development through holding the initial level certification. corporate activities in the communities. The Toyota Way is supported by two main fourth year. departments to prevent a repeat of the The overall purpose Toyota Australia first achieved SafetyMAP accident pillars: continuous improvement, and 3. Dedicate ourselves to providing clean of the WPA is to certification in August 2003. Since then respect for people. • Update and maintain accurate visual and safe products and to enhancing express the auditors from Lloyds have audited various control boards (these display inspection the quality of life everywhere through all commitment of departments every six months to make results, managers audit results, hazard our activities. the parties sure safety systems are operating identification and countermeasure) towards Toyota effectively. In 2006 all Victorian sites will be 4. Create and develop advanced Continuous Respect Australia achieving audited for recertification (certification is • Display near-miss reports on visual technologies and provide outstanding Improvement for People valid for three years). control boards. sustainable products and services that fulfil the success in a Recipients of the award are presented needs of customers worldwide. global company. with a trophy each month, with a major 5. Foster a corporate culture that This agreement prize being awarded annually to a enhances individual creativity and Challenge Respect also assists Toyota Australia in business department for the achievement of teamwork value, while honouring mutual Form a long term vision, Respect others, make planning, maintaining competitiveness on outstanding health and safety meeting challenges with every effort to understand a local and global scale, and in ensuring performance. trust and respect between labour and courage and creativity to each other, take management. realise our dreams. responsibility and do our consistency and fairness of work best to build mutual trust. conditions. Kaizen 6. Pursue growth in harmony with the We improve our business Teamwork Workplace diversity global community through innovative operations continuously, Stimulate personal and management. always driving for professional growth, Toyota Australia is proud that there is a innovation and evolution. share opportunities of dynamic mix of cultures, ages, religions 7. Work with business partners in Genchi Genbutsu development and and beliefs represented amongst 4,512 research and creation to achieve stable, Practice Genchi maximise individual and team performance. employees. There are approximately 60 long-term growth and mutual benefits, Genbutsu… go to the source to find the facts to nationalities, with ages ranging from 18 to while keeping ourselves open to new make correct decisions, 80. The workforce is 13% female and partnerships. build consensus and 87% male, the average length of service is achieve goals at our 10.3 years, and the longest length of best speed. service is 51 years. Two pillars. Five Principles. Brisbane Customer Services Division won the 2005 President’s Safety Shield. The award was presented to Philippe Faydherbe, Corporate Manager Operations (right), by Executive Vice-President of Manufacturing, Shoji Baba. 5 Toyota Australia Environment and Community Report 2006 6 02 p r i n c i p l e s , v a l u e s a n d p e o p l e 02 p r i n c i p l e s , v a l u e s a n d p e o p l e Compliance Balanced scorecard Toyota Australia’s company-wide strategy Stakeholder Toyota Australia’s ratings for 2004 were: Corporate Strategy: Gold Toyota Australia has established a management system is based on the Kaplan & Norton Balanced Scorecard. engagement Integration: Silver Corporate Compliance Committee to Management practice: Gold This system translates long term provide a strong and consistent Toyota Australia engages with a range of corporate goals into specific annual Performance and impact: Gold commitment to the highest standards of stakeholders. The following is a list of commitments that then cascade to all corporate governance and to maintain a Toyota Australia is committed to ensuring all employees environment-specific interactions. Assurance and disclosure: Gold divisions, and departments. Performance culture of compliance at all levels. are provided with opportunities to build positive Toyota Australia is a member of: monitoring is assisted by the intranet- relationships both within and outside the workplace. In Toyota Australia’s ratings for 2005 were: The Corporate Compliance Committee based Balanced Scorecard reporting this photo are some of the 18 Melbourne-based • The PACIA Automotive Plastics Steering meets every two months and addresses system, using the Plan-Do-Check-Act employees who participated in the 2006 Melbourne Corporate Strategy: Gold Committee Toyota Australia’s key compliance areas: cycle. Corporate BRW Triathlon. Integration: Gold • The Australian Industry Group • Trade Practices Act Environment Working Group Management practice: Gold • National Privacy Principles • The ECO-Buy Business Advisory Group Performance and impact: Gold • Occupational Health & Safety • The Commonwealth Games Assurance and disclosure: Gold • Environment Environment Stakeholder Forum. Toyota’s survey response and feedback • Australian Design Rules. In addition to the above Toyota Australia report are published on: Compliance is a fundamental requirement has also participated in the: Toyota Australia’s Manager Environmental Policy, for fulfiling Toyota’s Guiding Principles and • Victorian EPA Greenhouse Gas http://www.toyota.com.au James Holgate (left), is congratulated by Origin business objectives. It is also included in Emissions Reporting and Disclosure Energy’s Executive General Manager of Development Projects, Andrew Stock, on winning the annual Balanced Scorecard for each Pilot the 2005 Banksia Award for Business division. • Federal Government Energy Efficiencies Environmental Responsibility and Leadership. Reputation Quotient Toyota Australia Board members have Opportunities Pilot responsibility for different corporate issues. Toyota Australia participates in the RQ Toyota Australia wins 2005 • Australian Research Institute in This is confirmed by membership of survey conducted by Harris Interactive Banksia Award Education for Sustainability (ARIES), different committees, such as the Australia. The RQ study is based on Industry Sustainability Project This Award recognised Toyota Environment Committee, Human national research and specifically • Victorian Planning and Environmental measures a respondent’s perceptions in Australia’s continuous improvement in Resources Committee and Corporate Lawyers Association Conference relation to six measures: Emotional its environmental performance. Compliance Committee. • Australian Greenhouse Office Appeal, Products and Services, Social Judges commended Toyota Australia Greenhouse Challenge Plus Conference Responsibility, Workplace Environment, for broadening its environmental Code of ethics Financial Performance, and Vision and strategies beyond manufacturing to • 6th Asia Pacific Roundtable on Leadership back office functions, suppliers and Toyota Australia’s Code of Ethics is Sustainable Consumption and dealers, and to other parts of the distributed to all employees. Employees, Production Toyota Australia has been ranked as number 1 in the 2005 RQ study released distribution chain. contractors and agents of Toyota • 5th National Environment and Energy Australia are expected to: in August 2005. It is the first time that an The Banksia Awards have earned a Conference. automotive company has achieved the top reputation for being the most • obey the law ranking in the survey. prestigious in recognition of • be honest in word and deed In 2005, Toyota Australia achieved top environmental excellence and Corporate Responsibility Index (CRI) ranking in the Products & Services and innovation in Australia for individuals, • respect community values The Australian CRI is based on a United community groups, businesses and Workplace Environment categories, and • be responsible Kingdom reputation tool and administered government organisations. number two in all other categories. by the St James Ethics Centre in • perform their duties consistent with the The tables below provide 2005 rankings Toyota Australia was also a finalist in consultation with Australian business. Code of Ethics. and Toyota Australia’s results since 2000. the Banksia Award for Environmental Participating companies use this tool to Leadership in Media Communications. • use good judgement in avoiding any better understand how corporate social 2005 Results Toyota Results This recognised Conservation Connect, action that could create a conflict responsibility applies to their business. 2000-05 1. Toyota Australia a key element of the Toyota Community between personal, company and The CRI provides a benchmark for Rank 2. Microsoft Spirit partnership with Conservation community interests. companies to compare their management 2005 1 3. Sony Volunteers Australia. practice across the four areas of 2004 3 community, environment, marketplace and 4. Virgin Blue 5. Woolworths 2003 3 workplace, as well as their performance 6. Holden 2002 4/5 across a range of environmental and 7. Harvey Norman 2001 3/4 social impact areas. 8. David Jones 2000 9 Ernst and Young verifies and audits all 9. NRMA survey responses. Results are published in 10. Coles Myer ‘The Age’ and ‘The Sydney Morning Herald’. In 2005 Toyota Australia moved from fourth to second position with a score of 95.7%. 7 Toyota Australia Environment and Community Report 2006 8 e n v i r o n m e n t 03 e n v i r o n m e n t Guiding principles for contribution This is in response to Toyota’s Guiding Toyota Australia Environmental Policy: Management and coordination of Australia’s five parts distribution centres. to sustainable development Principle No 6: To pursue growth in • Pollution prevention Toyota Australia’s Environment Plan These activities are supported by The 4th Toyota Environmental Action Plan harmony with the global community The Environmental Policy Department plays management environment committees in • Waste minimisation is a statement of the activities that Toyota through innovative management. The plan a key role in the development of strategy and the Manufacturing and Sales and contributes to sustainable development by • Compliance with legislation must undertake in order to realise the initiatives which are deployed to divisions. Marketing operating arms and workplace reducing environmental impact throughout • Continuous improvement corporate objective it is striving to achieve: The Manufacturing Environment Group is teams across manufacturing and non- – to become a leader and driving force in all areas of business activities. This enables These four key aspects of Toyota responsible for environmental management manufacturing functions. global regeneration by implementing the environmental and economic sustainability Australia’s Environmental Policy guide at the Altona manufacturing site. and helps build close and co-operative every stage of Toyota Australia’s activities The management environment committees most advanced environmental technologies An Environmental Management Systems report to the Toyota Australia Environment and processes. relationships with a wide spectrum of in achieving the objectives of the individuals and organisations involved in Environment Plan. Coordinator oversees the environmental Committee which is chaired by Toyota environmental preservation. management in the network of Toyota Australia President and CEO, Ted Okada. Toyota’s 4th global environmental action plan* Toyota Australia 5 year environment plan Action items 2006 Targets 2010 Targets 1. Energy/Global Warming 1. Reduce CO2 emissions • Five year CO2 reduction targets will be set for office sites • Manufacturing will achieve a 13% CO2 reduction per unit of 2. Promote the development of technologies to achieve the fuel efficiency performance in each • A complete review of environmental product and environmental brand strategies production compared with 2001 data country and region will be undertaken • Logistics operations, parts distribution centres and offices, will 3. Promote the development of clean energy vehicles, encourage their effective introduction and • Manufacturing will achieve a 10% reduction in CO2 emissions using 2001 achieve reduction targets to be established following further ensure wider market acceptance baseline data analysis of current usage 4. Develop technologies to respond to the diversification of energy and fuel sources • A complete inventory of logistics CO2 data will be undertaken and action plans 5. Promote initiatives to improve traffic flows using a variety of networking technologies for CO2 reduction will be developed 6. Reduce CO2 emissions in production and logistics activities 2. Recycling of Resources 7. Promote effective use of resources to contribute to the realisation of a recycling-based society • Manufacturing will achieve an 8% reduction in waste generated per unit from • Manufacturing will achieve a 25% reduction in waste per unit of 2005/06 baseline data production compared with 2005/06 data • Two returnable parts delivery modules will be introduced at the parts distribution • Parts distribution centres will achieve reduction targets to be centres established following further analysis of current processes. • Five year waste reduction targets will be set for offices and parts distribution centres • Offices will achieve zero waste to landfill 8. Reduce water consumption • Manufacturing will achieve a 12% reduction in water consumption per unit from • Manufacturing will achieve a 25% reduction in water consumption 2005/06 baseline data per unit of production based on 2005/06 data • Five year water consumption reduction targets will be set for offices and parts • Reduction targets will be established for parts distribution centres distribution centres and offices following further analysis of current usage • The installation of rainwater collection tanks at Sydney Parts Distribution Centre and Corporate Headquarters Company Fleet will be completed 3. Substances of Concern 11. Promote management and further reductions in the use of substances of concern (SOC). • Processes and plans will be developed to eliminate four substances of concern • Toyota Australia will eliminate the four SOC (lead, mercury, cadmium Eliminate use of four SOCs (lead, mercury, cadmium and hexavalent chromium) globally from vehicles, service parts and accessories and hexavalent chromium) from all vehicles, parts and accessories supplied to Australian and overseas markets 4. Atmospheric Quality 13. Reduce emissions to improve air quality in urban areas in all countries and regions • Manufacturing will achieve a 1% reduction per unit in volatile organic compound • Manufacturing will achieve a 5% volatile organic compound (VOC) manufacturing emissions based on 2005/06 baseline data reduction per unit of production compared with 2005/06 data Toyota Australia will strive to further reduce VOC emissions to 30g/m2 5. Environmental Management 15. Strengthen consolidated environmental management • Manufacturing will maintain ISO14001 certification with zero non-compliance • Altona manufacturing site will maintain the Environmental and zero complaints Management System and achieve a target of zero complaints and • Plans for expansion of Environmental Management Systems to all Toyota zero non-compliances Australia sites will be developed • Complete a rollout of EMS across the remainder of the Company, • Sydney Parts Distribution Centre will be certified to ISO 14001 including ISO 14001 certification where required 16. Further promotion of environmental management at business partners • 80% of major dealers will be compliant with the Dealer Environment Risk Audit • All suppliers are asked to comply with Toyota Australia’s Supplier Program Environmental Policy • Implement an ECO-Buy action plan to increase the purchase of more • Implement an ECO-Buy action plan to increase the purchase of more environmentally sensitive supplies environmentally sensitive supplies • Assist all dealers to comply with Dealer Environmental Risk Audit requirements and introduce coordinated reporting of environmental performance indicators across the network 17. Enhance environmental education • Continue initiatives to achieve quantifiable improvements in staff awareness of, • Continue initiatives to achieve quantifiable improvements in staff and involvement in, environmental activities awareness of, and involvement in, environmental activities 20. Contribute to the development of a recycling-based society • Develop jointly with the Community Liaison Committee, a new Environmental • Develop jointly with the Community Liaison Committee, a new Improvement Plan for the manufacturing plant Environmental Improvement Plan for the manufacturing plant • Toyota Community Spirit partnerships and employee volunteering activities will • Toyota Community Spirit partnerships and employee volunteering be maintained activities will be maintained 21. Improve disclosures of environmental information and two-way communications • Produce the Toyota Australia Sustainability Report • Improve disclosures of environmental information through regular reporting *4th Action Plan items 9, 10, 12, 14, 18, 19, and 22 relate to issues that are not relevant to Australian operations. 9 Toyota Australia Environment and Community Report 2006 10 03 e n v i r o n m e n t 03 e n v i r o n m e n t Environmental awareness survey Vehicle life-cycle In December 2005 a Toyota Australia From the results of the initial survey, Employee Environmental Awareness priority is being given to achieving Survey was conducted. Approximately improvements in staff awareness. 810 employees responded to the survey. Toyota Australia hopes to achieve 85% The survey was developed to measure of staff reporting significant increases in environmental awareness and, over time, awareness over the next year. to determine success in improving performance. Target Toyota Australia total Parts and materials suppliers Q1 How would you rate your awareness of environmental issues facing the world today? Percentage of respondents rating a positive score of 4 or 5 Procurement on a 5 point scale. Recycling 100% Q7 Q2 80% I have a good understanding Logistics Has your environmental awareness at work of how my activity at Toyota 60% can impact the environment. Global warming (CO2) changed over Waste (packaging the last 12 months? materials, etc) 40% Substances of concern Extraction of resources 20% Disposal Re-use. Toyota production Waste (shredder Q6 Q3 residue, used parts Toyota Everyone in the Management are including batteries) development Raw Fuel Energy Water office copies and committed to and design materials prints double sided implementing and re-uses single responsible Global warming (CO2) sided paper. environmental Substances released into practices. the atmosphere and discharged to waterways, noise, odour, waste etc. Customer use Q5 Q4 Toyota logistics Do you think paper waste I'm aware of my role in ensuring is minimal in your area? Toyota's environmental obligations Global warming (CO2 HFC) are met. released into the atmosphere (HC, CO, NOx, etc.) Toyota dealerships Waste (waste oil, used parts, etc. resulting from maintenance) 11 Toyota Australia Environment and Community Report 2006 12 03 e n v i r o n m e n t 03 e n v i r o n m e n t P r o d u c t P r o d u c t Vehicle emissions Yaris RAV4 Prius Camry With the introduction of ADR 79/01, all Product models have been certified to the more stringent emissions standards, equivalent to international Euro 3 requirements. In addition, Toyota Prius, Corolla, RAV4, Tarago and Avensis models and Lexus Corporate average carbon dioxide LS430, SC430, IS250 and RX350 were all emissions certified to Euro 4 or above. In 2005 the new Yaris hatchback replaced TSOP and Toyota Plastic Olefin materials The Australian Government has revised its The Camry four cylinder achieves a Previous reported average fuel consumption the Echo. It features an efficient, easy-to- are used throughout the interior and environmental rating of the Prius. Prius certified fuel efficiency of 9.9 litres/100km figures have been discontinued due to dismantle structure which greatly exterior of the new RAV4. The currently has top ranking in the Green (auto) and 8.9 litres/100km (manual). Green Vehicle Guide improves the recyclability of this vehicle. manufacture of RAV4 also uses water- Vehicle Guide and is the only car to gain a Some of the environmental features of the changes in mandated test procedures. The Australian motor industry is now reporting Toyota Australia continues to provide This has been achieved by: based paints. Polyvinyl chloride-free five-star environmental rating using regular Camry are: carbon dioxide vehicle emissions in information to the Federal Government • Easy to dismantle marks are stamped to materials are used for the roof mouldings, unleaded petrol (ULP), as opposed to Variable valve Timing (VVT-i) Technology accordance with Australian Design Rule Department of Transport and Regional indicate where dismantling can best be the surfaces of the tonneau cover, and the more expensive premium unleaded Services for the Green Vehicle Guide. floor tunnel silencer. The clutch lining has (PULP). Sales of the Prius continue to By adjusting the overlap time between the (ADR) 81/01. The graph below shows commenced exhaust valve closing and intake valve sales weighted average of carbon dioxide For more information on the Green Vehicle been manufactured without the use of increase despite extremely short supply Guide please visit: • The front and rear door trim, deck side organic solvents. The use of halogen-free due to high global demand. Sales in 2005 opening, the engine characteristics can be emissions of all Toyota, Lexus and trim, back door trim, and the front changed to provide instant engine torque Daihatsu vehicles sold in each calendar insulation for the cabin wire harnesses and were 1,423 vehicles, compared to 201 bumper are also stamped with for all protective materials also reduces vehicles in 2002. across the entire rev range. This gives year. Industry averages have not yet been http://www.greenvehicleguide.gov.au dismantling marks both powerful acceleration and superior compiled. environmental impact Overall cumulative worldwide sales of • Screw fastening points have been fuel economy. In addition, more complete During 2005 the Australian motor industry Toyota (including Lexus) hybrid vehicles fuel burn at a higher combustion Participation in industry forums reduced, and replaced with clip passed the 600,000 mark at the end of agreed with the Federal Government to a fastenings temperature leads to fewer emissions. target of 222gCO2/km by 2010 for all light March 2006. As part of the Federal Chamber of Styling modifications vehicles. Automotive Industry, Toyota Australia is • The structure has been engineered so involved with all relevant committees, that no separating or sorting is required By embedding the radio aerial in the glass 250 of the rear window and modifying styling including the Fuels Committee, and the • Recycled materials have been used in Transport Emissions Liaison Group. the dash insulator, floor silencer and to optimise airflow over the bonnet, front Toyota Australia also participates in the deck box bumper, headlamps, roof and A-pillars, the 200 Government Policy Advisory Committee, Camry’s aerodynamic drag coefficient was • The main parts of the instrument panel improved from 0.30 to 0.29. handling such issues as tyre stewardship are constructed with polypropylene and the recycling of refrigerants. materials such as Toyota Super Olefin Reduced rolling resistance 150 Polymer (TSOP) The Camry is supplied with silica/carbon- • An alignment mark for the fuel removal based tyres initially developed by Toyota Vehicle recyclability and reduction and Dunlop to improve fuel efficiency and 100 of harmful materials device is provided on the bottom of the fuel tank. This ensures all fuel is safely durability, while maintaining safe levels of CO2 g/km Toyota continues to use material removed during dismantling. grip in wet and dry conditions. 50 identification marking to enable parts separation for recycling and uses the The use of VOCs in the vehicle painting 100% recyclable Toyota Olefin polymer for and coating processes has been various parts including bumpers, controlled and reduced by using water- 0 based paint for the top coat of the outer 2004 2005 2010 dashboards and door trims. body panel base paint. The undercoat Ethanol Vehicle painting and coating processes consists of an acrylic material that is potentially release harmful chemicals such applied to the back surface of the During 2005, Toyota Australia, in concert as trichloroethylene. Toyota continues to with other industry members, undertook underbody floor, while the use of polyvinyl control and reduce these by setting strict chloride has been eliminated. further work to help improve consumer VOC emission reduction targets for all confidence in the use of appropriate global manufacturing plants. ethanol blended petrol. In addition to the vehicles previously As the following information shows, the publicised as suitable for use with fuel new model Yaris and recently upgraded with up to 10% ethanol, additional RAV4 are examples of expanding use of vehicles able to operate at up to 5% technologies to reduce the impact of ethanol were identified. Also, agreement vehicle manufacture. was reached among manufacturers and the Federal Government to provide vehicle labelling on locally manufactured models to declare their suitability with fuel containing up to 10% ethanol. The new Camry, released in August 2006 is the only four cylinder car manufactured in Australia. 13 Toyota Australia Environment and Community Report 2006 14 03 e n v i r o n m e n t 03 e n v i r o n m e n t S u p p l y c h a i n & P u r c h a s i n g S u p p l y c h a i n & P u r c h a s i n g Supplier Environment Policy SOC The ECO-Buy green purchasing 2005 Supplier Environmental Toyota Australia waste management Supply chain The three key requirements of suppliers are: The 4th Toyota Environmental Action Plan goal has been set to eliminate the use of program ECO-Buy is an initiative to increase Excellence Award The annual Supplier Environmental service provider Toyota Australia Purchasing Division the four SOC: lead, cadmium, mercury purchasing of environmentally sensitive Excellence Achievement Award encourages finalised its tender process for waste & Purchasing 1. Environmental Management Systems (EMS): and hexavalent chromium. This decision was made in response to supplies. It is a joint initiative of the Municipal Association of Victoria and environmental improvement and innovation in Toyota Australia’s supply management services in 2005 with Collex the successful tenderer. The Toyota Australia requests all first tier EcoRecycle Victoria (now known as chain. The winner of the 2005 Achievement services agreement covers all Victorian Directive 2000/53/EC of the European The 4th Toyota Environmental Action Plan suppliers who provide components, direct Sustainability Victoria). ECO-Buy started Award for Environmental Excellence was operations and includes the following Parliament to prevent waste from end-of- includes a commitment to further promote raw materials (for use either on the vehicle as a local government program and is Autoliv Australia. This was announced at life vehicles. This directive stipulates that key performance indicators: environmental management to our or in accessories), indirect raw materials now being launched to business. the Supplier Conference in April 2005. vehicle manufacturers and material • Achieve ISO14001, ISO9001, business partners, through increased (supplied to Toyota Australia facilities, but manufacturers in Europe must ensure that As a member of ECO-Buy Toyota Australia SafetyMAP and Waste Wise cooperation with suppliers. not to become part of the vehicle), and components of vehicles placed on the will: accreditation for Toyota Australia sites services to develop an ISO14001 certified Key focus areas include: market after 1 July 2003 do not contain • Manage risks in the supply chain that within 12 months EMS. • Management of Substances of Concern mercury, hexavalent chromium, cadmium may arise from using potentially harmful 2. Elimination of SOC: or lead. • Zero non-compliance with legal and (SOC) contained in parts, raw materials, or socially unacceptable products statutory requirements production facilities and other items Toyota Australia expects all first tier Toyota Australia aims to eliminate these • Minimise impact on the environment by • Zero non-compliance with all Toyota supplied to Toyota Australia suppliers providing components and/or four substances from all vehicles, parts integrating environmental considerations Australia site procedures direct raw materials to eliminate the and accessories by the end of 2007. • Voluntary initiatives by suppliers to into business operations substances of environmental concern This voluntary objective exceeds all • Zero general waste to landfill by 2010 improve environmental performance. • Publicise practical and measurable contained in those components and national and state regulatory requirements materials. Toyota’s goal for all vehicles is environmental initiatives • Zero prescribed waste to landfill by 2010 in Australia. to be SOC-free by the end of 2007. • Become part of a network of councils • Active participation in Toyota Australia SOC Heavy Limit Exemptions and businesses who will share knowledge, waste management meetings, waste 3. Supplier Reporting: Metals experiences and achievements. audits, Environment Improvement Plan, Suppliers must maintain close Lead MAX • Car batteries damaged material transfer, and communication with Toyota Australia 1000 ppm • Solder development of objectives and findings Purchasing Division on status with respect http://www.ecobuy.org.au/ • Electronic and prioritising of improvement plans as to the Supplier Environment Policy. circuit boards scheduled Mercury MAX • Discharge • 2% annual reduction in volume of waste 1000 ppm lamps products arriving at Toyota Australia Supplier Applicability • Instrument sites panel displays Key requirement: Supplier Category Applicability • Develop inventory of equipment Hexavalent MAX • NIL producing CO2 emissions. 1ST Tier O.E. Direct Indirect Service Chromium 1000 ppm Raw Material Raw Material Suppliers Cadmium MAX • Nickel cadmium The services agreement requires weekly, 1. Implement EMS ✓ ✓ ✓ ✓ 100 ppm batteries monthly and quarterly waste reports that include recommendations for 2. Eliminate SOC’S ✓ ✓ Select Not improvements. Also, annual waste reports Suppliers Only Applicable are required that detail environmental 3. Communicate with TMCA ✓ ✓ ✓ ✓ impacts of services provided to Toyota Australia. Toyota Australia Senior Management with the 2005 Toyota Australia Supplier Award winners. Back row (left to right): Yoshiaki Numata, Ted Okada, Mitsuo Kinoshita (TMC Senior Managing Director), Shoji Baba, Mike Harvie, Rob Jakobi. Front row (left to right): Bob Franklin (Autoliv Australia), Ron Kirwan (Kirwan Group Services), Mark Dwyer (OzPress), Kan Ito (Australian Arrow), Brian Freeborn (Schefenacker Vision Systems), Manny Larre (Pilkington (Australia), Alan Stevens (PBR Automotive) On Wednesday 2 November 2005, Toyota Australia President and CEO Ted Okada (front) committed the company to the ECO-Buy program as the founding member of ECO-Buy Business. Also present were Deputy Premier of Victoria and Minister for Environment, Water and Victorian Communities, John Thwaites, and Commonwealth Games Environment Ambassador, Rob Gell (far right). 15 Toyota Australia Environment and Community Report 2006 16 03 e n v i r o n m e n t 03 e n v i r o n m e n t M a n u f a c t u r i n g M a n u f a c t u r i n g Environmental performance 2005-2006 Manufacturing Energy Overall energy use from stationary energy In terms of gas reduction activities, it has Gas per vehicle Electricity per vehicle sources per vehicle was 8.54GJ in 05/06 been possible to turn off one of the gas Target Actual Target Actual versus 8.77GJ in 04/05. This represented fired afterburners in the Paint Shop. This 7.5 1000 During 2005 new manufacturing targets a 2.6% reduction, but remained above the project has saved 52,000 GJ per annum were set based on directives from the 4th energy target of 8.34 GJ/veh. While natural and was made possible through continued 7.0 Environmental Action Plan. This has been gas supplies the majority of energy, electricity improvement in paint technology and done in conjunction with preparation for performance lagged against the target. efficiencies in line sequencing. 6.5 introduction of the new model Camry and Greenhouse gas emissions increased from In terms of electricity usage, Toyota 900 Aurion at the Altona manufacturing plant. 168,590 tonnes CO2 equivalents in 04/05 to Australia has introduced several initiatives 6.0 This project has required the investment of 179,990 tonnes CO2 equivalents in 05/06 in- in 05/06 which will reduce consumption. more than $400 million in new facilities line with a 7% increase in overall production The new unit parts and bumper resin 5.5 kWh/veh volume. Details of Toyota Australia’s plants have been equipped with ‘Goldway GJ/veh and equipment. greenhouse gas emissions can be found Enersave’ units. These units manage to 5.0 The subsequent construction and as part of Toyota Australia’s submission to balance out peaks in electricity demand 800 commissioning activities have resulted in 1 2 3 4 5 6 1 2 3 4 5 6 /0 /0 /0 /0 /0 /0 the Australian Greenhouse Challenge: and are expected to return an 8% /0 /0 /0 /0 /0 /0 00 01 02 03 04 05 00 01 02 03 04 05 additional resource use at Altona. The 20 20 20 20 20 20 20 20 20 20 20 20 improvement in electricity consumption in upgrade involved the relocation of several http://www.greenhouse.gov.au/challenge/ these plants. processes from the Port Melbourne site. Toyota Australia commissioned a new bumper bar painting and moulding facility, a new unit parts assembly operation, a Waste new fuel tank assembly and painting An emphasis on identifying recycling Toyota Australia continues to pursue operation, a new main jig line in the weld opportunities has resulted in a reduction of recycling and reuse opportunities for all General waste per vehicle Prescribed waste per vehicle shop and a new logistics centre. general waste from 9.43 kg/veh to 9.06 waste streams. During 2005/06, Toyota 20 4 kg/veh. For example, it is now possible for Australia managed to recycle or reuse 96% Target Actual Target Actual As a result of this activity, the achievement of internal environmental targets for the Toyota Australia to recycle its laminated of all waste material flows and only 4% of Altona site represented a challenge for the glass waste from the assembly process, waste had to be disposed to landfill. manufacturing operations in 2005/06. diverting 11,000 kg of waste per annum The majority of recycled material is the 15 Despite this, all additional processes have from landfill. steel off cuts which occur during the been introduced without any required There has been an increase in the yearly pressing of the complex shapes that make 3 increases to existing licence limits for the result for prescribed waste from 3.13 kg/veh up a vehicle body. Last year 24,000 Altona site. to 3.45 kg /veh. The majority of this tonnes of steel was recycled by Simsmetal. 10 increase is due to prescribed waste at the Other waste streams to benefit from Paint Shop. Improvements in waste recycling were: kg/veh kg/veh separation have led to an increase in the • Aluminium dross and turnings number of chemical drums and liners - 1,800 tonnes 5 2 being disposed. Installation of robots into • Casting sand - 1,500 tonnes 1 2 3 4 05 6 1 2 3 4 5 6 /0 /0 /0 /0 /0 /0 /0 /0 /0 /0 /0 / 00 01 02 03 04 05 the primer spraybooth have however 00 01 02 03 04 05 • Windscreen glass - 11 tonnes 20 20 20 20 20 20 20 20 20 20 20 20 saved 23,000 kg of sludge disposal per • Cardboard - 797 tonnes year. • Timber - 770 tonnes Overall, waste performance has improved • Paper - 18 tonnes from 12.56 kg/veh to 12.51 kg/veh. • Plastic - 83 tonnes. Water per vehicle VOC g/m² per vehicle Water 6 Volatile Organic Compounds (VOC) Overall, recovered solvent 70 Water use at Toyota Australia Target Actual VOC emissions from Paint Shop increased dropped from 126,000 litres in Target Actual has declined marginally from slightly from 37.2 g/m2 to 37.6 g/m2. 04/05 to 105,000 litres in 05/06. 3.88 m3/veh to 3.87m3/veh. While reducing the amount of solvent used The recycled solvent prevented 60 There was extensive use of is a positive outcome and reduces emissions approximately 80 tonnes of 5 water as part of the of VOCs, a side effect of this reduction has VOCs from being emitted into commissioning process for been that the used solvent contains a higher the atmosphere. 50 the new unit parts and concentration of paint solids than before. The installation of new articulated bumper resin facilities. During 4 This higher concentration has reduced robots in the Paint Shop primer the construction and solvent recovery. Maintenance area has contributed to a 40 commissioning of these improvements during the Christmas reduction of VOC emissions, plants, up to 700m3 per shutdown resulted in an increase in solvent from 6.38 g/m2 to 5.48 g/m2, m3 /veh g/m² month was used by these recovery and a consequent drop in VOC and also reduced paint sites to test the integrity of 3 emissions. consumption by 17,700 litres. 30 1 2 3 4 5 6 1 2 3 4 5 6 the processes and to run /0 /0 /0 /0 /0 /0 /0 /0 /0 /0 /0 /0 00 01 02 03 04 05 00 01 02 03 04 05 initial production trials. 20 20 20 20 20 20 20 20 20 20 20 20 17 Toyota Australia Environment and Community Report 2006 18 03 e n v i r o n m e n t 03 e n v i r o n m e n t M a n u f a c t u r i n g M a n u f a c t u r i n g Environmental incidents • An Environmental Audit Program improvement opportunities. Toyota Australia Manufacturing Environment Group and awareness and understanding of The Toyota Australia Environmental • An Environment Improvement Plan. met or exceeded all required standards. TEMS work groups environmental issues. Management risk matrix rates Toyota Australia continues to operate The Manufacturing Environment Group A range of activities were also organised environmental incidents as high, under its accredited licence. The Toyota Environmental Management coordinates the TEMS and the at Altona to celebrate World Environment significant, moderate, or low. Toyota accredited licence was fundamental in the System (TEMS) Green Guide environmental programs and initiatives in Day, and National Tree Day. Australia has a system for identifying approval of recent plant improvements the manufacturing operations. The group solutions and countermeasures for This Green Guide is a practical manual on supports the seven shop floor such as the unit parts and bumper resin managing the TEMS system for new 2005 TEMS awards incidents which have an environmental operations. Both of these developments environmental teams (TEMS work groups); impact called Environmental Action workgroup members and/or experienced Weld, Assembly, Paint, Press, Powertrain, Awards are given each year to both offer a net benefit to the environment as Work Group leaders. The Guide is an aid Requests (EAR).The total EARs for they replace older and less efficient Production Control, and Port Melbourne. groups and individuals in recognition of 2005/06 were as follows: to understanding environmental policy, their hard work and efforts to: facilities at the Port Melbourne site. They aspects and impacts, controlling With the consolidation of manufacturing Bumper bar production High = 6 were approved by EPA Victoria under the operations, and learning how Toyota operations from Port Melbourne to Altona, • Reduce costs through resource saving conditions of the accredited licence a new Bumper/Resin workgroup will be projects The new bumper bar, unit parts and fuel Significant = 3 Australia manages its environmental without the need for a Works Approval. set up in the second half of 2006 together tank operations replace existing Moderate = 14 activities. It is also a reference guide for • TEMS maintenance and commitment. with a Unit Parts workgroup. operations at the Port Melbourne site developing TEMS skills, auditing and Low = 3 The winners this year were: and have enabled Toyota Australia to Community Liaison Committee (CLC) operational knowledge. There are regular cross-functional embark on air quality improvement There has been an increase in High and workshops where these groups address Most Effective Work Group – Powertrain Toyota’s CLC meets every two months to initiatives. Significant incidents since 04/05. The High environmental issues such as: Best Individual Effort – and Significant EARs in 05/06 can be split review progress on Toyota’s Environment Toyota Australia and other For example: • Internal and external audits findings Phat Huynh (Body Shop) into two categories: Improvement Plan. It comprises environmental reporting initiatives. • The solvent-borne, hand painted representatives from local government, the • New environmental improvement Most Supportive Work Group Member - 1. Spills to stormwater In addition to the Environment and bumper bar process was replaced by EPA, City West Water and the local projects Manjit Sidhu and David Mifsud (3 High, 2 Significant) Community Report, Toyota Australia reports a new waterborne robotic process community. (Powertrain), Peter Holt (Assembly Shop), publicly on its environmental performance • Training and awareness. that is expected to reduce the amount 2. High trade waste discharge Phil Vella (Paint Shop) During the next year, Toyota Australia and through a variety of methods. During 2005 the TEMS work groups of solvent and VOCs emitted from (3 High, 1 Significant) the CLC will revise the Environment Most Supportive Manager - 205 tonnes per annum (tpa) to 155 tpa. These include reports to: implemented 16 documented environmental Toyota Australia experienced a number of Improvement Plan in line with the Malcolm Tucker (Paint Shop) • The National Pollutant Inventory improvement projects, saving spills during the delivery of bulk chemicals. requirements of the accredited licence. • The new fuel tank painting approximately $775,000 for the year. Best Project for Water - These events have led to an increased For more information on the Toyota showercoat process is a closed loop http://www.npi.gov.au Paul Maranelli (Paint Shop) – Sludge pool focus on contractor education to ensure Australia Environment Improvement Plan system, with a transfer efficiency of optimisation saving 19,000 m3 and that all delivery drivers are familiar with visit: Environmental shop floor training and almost 100%, virtually eliminating the $28,000 per year. Toyota Australia’s equipment, procedures awareness overspray waste of the previous spray http://www.environment.toyota.com.au/ • The Australian Greenhouse Challenge Plus Best Project for Waste - and emergency response. painting process. This process is TWP/Upload/Media/299.pdf In 2005 Toyota Australia continued to Clint Harrison (Production Engineering) – expected to halve VOC emissions The incidents associated with high trade http://www.greenhouse.gov.au/challenge/ present an environmental unit as part of Primer robots introduction saving 17,700 from 14.35 tpa to 7.72 tpa. waste discharge were linked to increased the curriculum of the Success in litres of paint, 23,000 kg of sludge and metal levels, and high pH levels in the Global ISO 14001 TEMS annual Automotive Manufacturing (SAM) course it $390,000 per year. trade waste. These were identified by the surveillance audit • The State Environment Protection Policy conducts for team member development. on Air quality Management. Best Project for Energy - ongoing monitoring regime and addressed This audit was conducted by SAI Global Over 90 employees from Altona Matthew Allan & Malcolm Tucker (Paint as required through: and held from 7 April to 14 April 2005 in manufacturing and the Brisbane Parts Shop) – Decommissioning of afterburners, • Improvements to the engine trade waste selected shops/departments at the Altona http://www.epa.vic.gov.au Distribution Centre attended a practical saving 52,000GJ and $195,000 per year. TEMS work group members at the 2005 treatment plant to allow mechanical site. The findings highlighted minor training session aimed at improving Awards Ceremony isolation • Improved maintenance of polymer dosing lines in the Port Melbourne unit parts area • A redesign of the phosphate press bund and transfer system to provide an earlier alarm and system shut down. A small number of spills were also attributed to the malfunction of new equipment during commissioning of new facilities. Accredited licence To be an accredited licensee, the overriding requirement is to demonstrate a high level of environmental performance and an ongoing capacity to maintain and improve this performance. This is demonstrated through the following cornerstones: • An Environmental Management System 19 Toyota Australia Environment and Community Report 2006 20 03 e n v i r o n m e n t 03 e n v i r o n m e n t E x p o r t a n d D i s t r i b u t i o n E x p o r t a n d D i s t r i b u t i o n Environmental impact and activities Key suppliers are Patrick Autocare Key environmental initiatives to date Export and As a result of Toyota Australia’s continuous improvement philosophy (processing and transport), Prixcar (processing), Toll (transport), TNT (transport), NYK (shipping), and K-Line Action Year Result Benefit (Kaizen), this report contains a new Distribution section on the impact of export and distribution activities. (shipping). Currently, environmental data is only being collected from one key logistics supplier, Patrick Autocare. Port Dealer Direct facilities - on wharf processing 2001 Eliminated transport from wharf to processing site by creating on-wharf processing facilities. C02 emissions The Export and Distribution Division Eliminated over 60,000 truck transport loads since 2001 consists of three key areas: export, The following table summarises the main logistics and order systems. Departmental environmental impacts from Export and Improved trailer configuration 2003 Trailer capacity lifted from six passenger cars to seven C02 emissions activities primarily cover vehicle Distribution activities. created additional efficiency gains through less distribution (via suppliers), and ordering. truck movements Electronic Port Fitment Instruction (PFI) distribution 2003 Distribute all PFI documentation by email Paper usage Area Activity Environmental aspects Impact Export Electronic kanban email system for PFI parts 2003 Eliminated need to mail kanban cards for parts orders. Paper usage Transit yard operations Emissions - vehicle handling, yard/ferry vehicle, truck loading Replaced with email process Altona Energy consumption - tunnel lighting, office operation Medium Introduction of Autotainer (Rail) transport on domestic 2003/04 26% of interstate deliveries are now handled by rail - C02 emissions Paper - Vehicle Survey Report (VSR), case marking, interstate deliveries to dealers replacing 2,434 trucks loads. protective floor covers, key number Rail (approximately 21.7g C02/ton-km) v. Truck (approximately 177.3g C02/ton-km) Transport of export vehicles Emissions - truck, vehicle unloading, vehicle handling to wharf Paper – VSR paperwork High Improved Autotainer efficiency 2004 Double stacking of Autotainer boxes in South Australia C02 emissions has resulted in greater Autotainer efficiency Introduction of a paperless delivery system 2005 Eliminated four sheets of paper for every vehicle Paper usage Export wharf operations Emissions - truck unloading, vehicle handling – Electronic Proof of Delivery – in August 2005 transported. Since August 2005 implementation of Energy consumption - site lighting, office operation Low paper saving initiatives has saved 1,600 reams of paper per year. Shipping of export vehicles Emissions - vessel loading, vessel sailing Energy consumption - site lighting, office operation High Key environmental focus areas for 2006 The key focus for Toyota Australia is to activities specifically focused on reducing establish a complete inventory of logistics environmental impact. C02 emissions. This will form the This will be done according to the Logistics foundation for a number of Kaizen following process: Transit yard operations Emissions - vehicle handling, yard/ferry vehicle, truck loading Altona Energy consumption - tunnel lighting, office operation Medium Reporting: Awareness: Partnership: Planning: Paper - VSR, case marking, protective floor covers In conjunction with suppliers Raise awareness of environmental In conjunction with suppliers Develop annual Environment develop C02 emissions impact of operations identify key environment Plan with key suppliers Transport of vehicles to Emissions - truck, vehicle unloading, vehicle handling reporting initiatives dealers (local and interstate) Paper - VSR Very High Processing facility operations Emissions - vehicle handling, forklift, yard/ferry vehicle (VIC, NSW, QLD, NT and SA) Energy consumption - tools, lighting, hoists, office operation Medium Paper - VSR, case marking, protective floor covers Vehicle storage operations Emissions - vehicle handling, yard/ferry vehicle (including vehicle repairs) Paper – Ready For Transport (RFT) reporting Medium Order systems Compliance plate Energy consumption - compliance plate printing machine Low printing and distribution All areas Office administration Energy consumption - PCs, printers, lighting Medium Paper - printing, stationary, publications 21 Toyota Australia Environment and Community Report 2006 22 03 e n v i r o n m e n t 03 e n v i r o n m e n t S a l e s a n d M a r k e t i n g S a l e s a n d M a r k e t i n g Below is a summary of the findings: Parts distribution centres Pulpmaster Improving waste management processes • The pulp slurry taken from Pulpmaster is Sales and • Overall, the materials efficiency of the parts and accessories investigated was Environmental Management Systems An Environmental Management System The Australian designed and manufactured Pulpmaster 3000 converts all types of and implementing the Pulpmaster has resulted in some significant benefits: turned into renewable electricity at a biogas-digester and this power is sold into the electricity grid for distribution to 75%. That is, 75% of the total materials food waste into a pulp slurry, then pumps • A reduction in the use of black plastic Marketing (including packaging) delivered for parts and accessories ends up as saleable (EMS) Coordinator was appointed in February 2006 to implement EMS into the five national parts distribution centres. it into a holding tank. Pulpmaster vacuum tankers extract the pulp from the tank and bin liners by 5,000 a year • A saving of up to $14,700 a year in end users in the domestic, commercial and industrial sectors. product, but the remainder enters the transport it to a biogas-digester. Methane disposal costs with all foods, fats and The Department of Environment, The Sydney Parts Distribution Centre will Reducing the impact of our waste stream be first to implement and certify an EMS, gas generated by the pulped food waste cooking oils now being disposed of Conservation and Heritage has granted sales and marketing operations • Oil filters had the lowest materials is extracted and burned to produce through the Pulpmaster Toyota Australia $15,000 for the final and the system will later expand to all implementation into the Woolooware Bay efficiency, but they generate a relatively centres. The EMS will: electricity and organic fertiliser pellets are Toyota Australia has 927 employees • Co-mingled bins for plastic, glass and site. Plans are being developed to small amount of waste produced as a by-product. based in Woolooware Bay, Sydney who • Deliver awareness training for ongoing metals, and the introduction of cardboard implement this recycling system at Toyota work in the Sales and Marketing operating • Bull bars and air-conditioning units are implementation of environmentally sound cages have reduced waste to landfill Australia’s other catering facilities. <None> Development, Domestic Sales, the two largest sources of packaging work practices in day to day operations Customer Service, and Export and waste, producing an estimated 220 tonnes and 105 tonnes respectively in a year • Build on current environmental initiatives Distribution. Prius trialled by Sydney taxi company such as colour-coded waste segregation • Proportions of each waste type and returnable modules. A Sydney taxi company is running a hybrid minimising running costs and downtime. If know more about the car. Another surprise generated are roughly consistent across petrol-electric Toyota Prius in a bid to there’s an alternative to the traditional has been the storage capacity. For a car Returnable Modules Dealer environment strategy dealerships of differing sizes. evaluate alternative fuel systems. Legion vehicles that may benefit us, we’re obliged that isn’t large externally, it can Based on these findings, the report The returnable modules project is a global Cabs, with the approval of the NSW to investigate it. If everything adds up, accommodate a huge amount of luggage. Toyota Australia is broadening identified opportunities to improve Toyota initiative to reduce packaging Government, is conducting a two-year there’s the possibility we could switch to This is obviously useful when picking up environmental management programs to packaging efficiency and reduce waste waste by implementing four returnable study in a bid to assess more economically hybrid technology. passengers from the airport. It’s only very include dealers. As part of a regular self- generation: steel modules which can carry all Toyota sustainable fuel systems for the taxis of early into the trial, but I’ve not had one auditing program called Toyota Service The Prius has been excellent fuel-wise. parts and accessories. Australian tomorrow. negative comment about the Prius to date.” Marketing (TSM) dealers are required to • By using more returnable packaging or We’re achieving fuel consumption of less implementation is the third phase, “We are researching how the hybrid answer a series of environmental stillages/skids than six litres per 100 kilometres,” said Mr During the two year trial period Legion following on from the United States and technology of the Prius stands up questions dealing with: McPherson. “Everybody thinks it’s Cabs expects the vehicle to travel up to • By eliminating or recycling avoidable Europe. During 2005 the strategy for economically,” said John McPherson, fantastic. Our driver loves it because every 400,000 kilometres. • A public commitment to environmental waste streams, like polypropylene implementation of returnable delivery general manager, Legion Cabs. “Vehicle passenger is really interested and wants to improvement bumper covers and steel rims modules, including module styles and choice in the taxi industry is all about • Legislative compliance with environmental return routes, was confirmed. These • By encouraging the use of reusable seat regulations modules will allow a significant reduction covers during servicing. in cardboard packaging and waste • Resourcing for environmental initiatives Bumper bar recycling from dealerships throughout our supply chain. Initial and the appointment of an implementation of returnable modules environmental representative The EcoRecycle Materials Efficiency project confirmed anecdotal data from District from Japan is to commence in April 2006 • Appropriate disposal of wastes and air Sales Operation Managers and dealerships and expanded to full rollout in March conditioning gases. that the removal and disposal to landfill of 2007. In conjunction with full rollout, polypropylene bumper covers to allow the Toyota Australia also plans to implement In addition to this the following activities fitting of bull bars was the cause of domestic returnable modules. This will will be undertaken: substantial waste generation. Services for further reduce cardboard packaging. • Best practice case studies have been the collecting and recycling of polypropylene Waste Minimisation prepared and will be distributed to bumper covers exist in Australia, provided provide demonstrative assistance to A review of solid waste management data material types are known and they are other dealers will be completed for the Sydney Parts relatively free of contaminants. Toyota Distribution Centre and reduction targets • The Dealer Environment Guidelines will Australia, in partnership with Nunawading for solid waste to landfill will be be promoted to dealers Toyota and Sims Plastics, has commenced established and reported as part of the • Bumper bar recycling will be expanded the collection and recycling of bumper Environmental Management System. to as many dealerships as possible. bars from this dealership. This trial will be expanded to include other dealerships in The Environmental Policy Department will metropolitan Melbourne. continue to be a source of advice to dealers through a web portal, and a series Bumper bar recycling at Nunawading Toyota. of dealer site visits. EcoRecycle Materials Efficiency project As part of a joint funding partnership with EcoRecycle Victoria (Sustainability Victoria), URS Australia was commissioned by Toyota Australia in February 2005 to establish materials efficiency indicators for selected parts and accessories. The report provided insights into the logistics of parts and accessories delivery and associated waste issues at Victorian dealerships. 23 Toyota Australia Environment and Community Report 2006 24 c o m m u n i t y i n v o l v e m e n t 04 c o m m u n i t y i n v o l v e m e n t Partnership with Conservation Conservation Connect enables volunteers Partnership Outcomes to select from more than 2,000 Volunteers Australia Objective Activity Outcomes environmental projects Australia-wide and immediately book their place. Volunteers Establish volunteer referral Develop and maintain In 2004 CVA and Toyota Australia launched the only online booking service for receive a booking confirmation and service to match volunteers Conservation Connect – online volunteers, and since then the results have been impressive: instructions on where to meet and what to with conservation projects in matching service for volunteers • 8,026 online registrations in 12 months bring to their chosen project. local communities across • 4,504 online bookings in 12 months Conservation Volunteers Australia (CVA) Australia 2. Certificate 1 in Active Volunteering – • More than 35,000 unique visitors to the CVA website a month with Conservation and Toyota Community Spirit are working Connect the most popular page on the site together to connect more volunteers to A formal qualification that details the environmental projects across the country. competencies volunteers achieve through Recognise the skills gained Develop and deliver Certificate • 500 volunteers enrolled in the Certificate in Active Volunteering Toyota Australia provides promotional volunteering on CVA projects. by volunteers when working 1 in Active Volunteering to CVA • CVA commenced providing the Certificate in Active Volunteering in late 2004 support, technical skills, expertise on CVA projects volunteers Through the • CVA continues to be the only volunteer involving organisation in Australia to offer whenever possible, and financial support. partnership with Develop a Logbook to support this qualification Toyota Australia, Certificate delivery. Update as The partnership aims to increase the • Logbook updated in April 2005. Currently reviewing logbook as part of annual required number of Australians participating in local CVA is the first review process environmental projects by making organisation in Australia to offer Promote Conservation Develop and implement • CVA has distributed the Conservation Connect flyer, poster and display to more Toyota Community Spirit, a volunteering easy and accessible. It also Certificate 1 in Connect and Certificate 1 in communication plan and local than 2,500 community organisations including schools, tertiary campuses, aims to recognise the skills volunteers gain corporate citizenship program, Active Active Volunteering to target media campaign volunteer resource centres and local councils on CVA projects. audiences develops partnerships that Volunteering to • CVA had identified 93 local media opportunities and generated more than 61 The partnership has two key elements: share Toyota Australia’s skills, participants, pieces of media coverage networks, expertise and other 1. Conservation Connect – thereby • CVA and Toyota Australia highlighted as best practice partnership by the ‘Our An on-line registration and booking facility recognising skills Community Business Intelligence Report’, October 2005 resources within the and experiences. for volunteers. • CVA provided InterCapital with more than 20 media opportunities and a media community. spokesperson resulting in coverage in the Saturday ‘Age’ and ‘The Geelong Volunteers can register for environmental Advertiser’ The program provides opportunities for projects online through the CVA website Toyota Australia to participate in the issues and then simply click on the Conservation • Conservation Connect with CVA and Toyota Australia a finalist in the 2005 and activities that benefit the Australian Banksia Awards Connect button to select the project in community, and so build corporate their neighbourhood. • CVA and Toyota Australia delivered paper on the Certificate in Active Volunteering reputation and relationships. at the International Conference on Volunteering in Melbourne and at the Corporate Social Responsibility Conference in Sydney in March 2006 The program provides financial and in-kind http://www.conservationvolunteers.com.au support for national and state community • CVA and Toyota Australia highlighted as a best practice partnership by the partnerships and local community Department of Victorian Communities programs. These partnerships deliver Develop and implement plan to • Handbook for dealers prepared and distributed with letter from Toyota Australia Encourage dealer benefits to the community, and to participation in partnership increase dealer awareness of President and CEO, Ted Okada community partners, and to the Company activities opportunities to participate in • 77 dealers have expressed interest in participating in partnership itself. The national program engages partnership activities employees from Toyota Australia dealers • 42 of these dealers have actively participated in partnership activities such as Support dealers to participate presentation of Certificate 1 to graduating volunteers or displaying Conservation as well as direct employees of Toyota in partnership activities Connect promotional materials Australia. Increase Toyota employee Seek and implement • Presentations to employees at Altona, Port Melbourne and Sydney on awareness of the partnership opportunities to communicate Conservation Connect and activities with Toyota employees Toyota Australia dealers are helping CVA to reach new • CVA display at Toyota World Environment Day activities at Altona, Port Melbourne volunteers and recognise current volunteers in their and Woolooware Bay local communities. Some dealerships have also • CVA display at Toyota Australia Family and Friends Open Day participated in events to recognise local graduates of Certificate 1 in Active Volunteering. • Articles about partnership published in Toyota Today • Toyota Australia hosted capacity building workshops in Melbourne and Sydney • Toyota Australia representatives presented on generating local media coverage to CVA staff workshops in each state between February to April 2006 • Toyota Australia staff involved in production of 2006 Conservation Calendar • Toyota Australia staff involved in developing CVA Driver Safety Awards • CVA expanded fleet of Toyota vehicles to more than 40 25 Toyota Australia Environment and Community Report 2006 26 04 c o m m u n i t y i n v o l v e m e n t 04 c o m m u n i t y i n v o l v e m e n t Partnership with Australia In this partnership, Toyota Australia is Dealer and employee Partnership with Phillip Island 2. Conservation: 3. Research: providing promotional support, technical participation in AbaF Project Penguin Homes Penguin tracking study Business Arts Foundation Nature Parks skills, expertise where possible, employee This project allows Toyota Australia This three year research project will help volunteers and financial support. partnership employees to work alongside senior to determine factors affecting the long Toyota Australia is also an AbaF Councillor Toyota Australia is helping AbaF to rangers and the research team to improve term population levels of penguin colonies. company. The AbaF Council comprises promote the business benefits of arts the homes and habitat of Phillip Island It will be the first time such a study will senior Australian business leaders at the partnerships to local businesses across Nature Park’s little penguin colony. It have been undertaken and will focus on President/CEO level, including the Toyota Australia. involves building penguin homes from four separate penguin colonies living on Australia President and CEO, Ted Okada. For each local program, a Toyota Australia timber materials, installing them into the Direction Islands off the east coast of Councillors meet annually to discuss ways representative speaks to arts and selected penguin habitat and assisting in Wilsons Promontory, Victoria. Using Toyota Community Spirit and AbaF are In this partnership, Toyota Australia is to encourage more support for the arts in business participants on the advantages the re-vegetation of that area. satellite technology, researchers will track working together to foster new providing technical expertise where Australia, and to share ideas on ways in that arts partnerships have delivered to The penguin homes provide an improved individual penguins to gain data on their partnerships between local arts possible, employee volunteers, career role which their own companies are engaging Toyota Australia. Dealers are participating environment for the penguins to breed, foraging distances for food, and to organisations and local businesses across models and funding. with, and gaining benefits from, their arts in the partnership by helping AbaF reach hatch and raise their chicks adding a determine to what extent food zones and Australia. The partnership comprises three areas: partnerships. potential business participants in their significant benefit to the overall health of food sources are a limiting factor in The partnership focuses on two main communities, by showcasing their own 1. Education: penguin colony size. the penguin colony. activities: http://www.abaf.org.au local arts partnership programs, and by Coastal Ambassadors Program attending the business seminar to learn Toyota Australia employees have 1. A 12 month training program to assist This is an environmental education more about the business benefits of arts participated in the project from 2003 to local Councils foster partnerships program for secondary and primary partnerships. 2005. between local businesses and local arts schools students. organisations, to encourage arts donations. Collingwood Community Cook Island Dance Group The Coastal Ambassadors Program In this third year, 242 Toyota Australia employees and their families volunteered to help at the launch of the AbaF and Toyota Australia encourages Year 9 students to become build 110 penguin boxes. The event runs over a weekend. 2. Encouraging Toyota Australia ambassadors of the ocean environment in partnership. employees to participate in AbaF’s their local communities. Participants learn volunteering programs: adviceBank and about environmental issues, as well as boardBank. AdviceBank provides pro leadership and teamwork, by working bono volunteering opportunities with alongside marine biologists and scientists arts organisations nationally, while at the Phillip Island Nature Park. boardBank connects volunteers interested in gaining Board experience Representatives from Toyota Australia’s with arts organisations looking for Environmental Policy Department give a Board members. presentation to the students on how Toyota Australia encourages improved environmental performance in its products and operations. Partnership Outcomes Partnership Outcomes Objective Activity Outcomes Objective Activity Outcomes To enable councils to develop Development and AbaF is currently working with 19 councils in New South Wales, Queensland, To increase primary and Hold Coastal Ambassadors Coastal Ambassador Camps were held from May 23-27 and November 7-11 in the capacity to facilitate management of the Arts Victoria and Western Australia. Four councils have completed the program secondary students Camps on Phillip Island 2005. A total of 90 secondary students attended these camps business arts partnerships Connecting Communities awareness of ocean A Toyota Australia representative gave three presentations to a total of 90 primary To encourage and equip local (ACC) program environments in their local students taking part in the Coastal Club Program arts organisations and Target: ten councils communities businesses to develop To increase Toyota Australia Provide employee volunteering On November 5-6, 242 Toyota staff and their families came to Phillip Island and successful partnerships employee awareness of opportunities at Phillip Island constructed and installed 110 penguin homes as well as planting 500 plants To increase awareness that Deliver report to AbaF AbaF Councillors’ report included coverage of Toyota Australia and the ACC ocean environments Nature Parks Toyota Australia is the National Councillor Forum program Principal Partner of the ACC Toyota Community Award Naming rights secured – Toyota Community Award presented by David Greenhalgh, program Determine factors that affect Track penguin movements Satellite devices were attached to 24 penguins from Phillip Island, 20 penguins from Divisional Manager, Corporate Planning and Environment, Toyota Australia long term population levels of during chick rearing and chick Rabbit Island, and 13 penguins from Kanowna Island. These devices have proved To demonstrate Toyota penguin colonies feeding stages successful in tracking penguin movements Australia’s commitment to the Arts To strengthen Toyota’s status as a Councillor company To increase dealer participation Undertake the program and Dealer handbook produced in Toyota Community Spirit encourage Toyota dealer Five dealers participating in program participation 27 Toyota Australia Environment and Community Report 2006 28 04 c o m m u n i t y i n v o l v e m e n t 04 c o m m u n i t y i n v o l v e m e n t Partnership with Hobsons Bay Toyota Community Spirit gallery Reverse Garbage and Junk Love Support of major City Council The gallery, located in Toyota Australia’s Junk Love is an art and design competition Toyota Community Spirit was originally Corporate Headquarters in Port run by the not-for-profit cooperative, community events. developed and piloted during 2001 in Melbourne, provides exhibition space for Reverse Garbage. It was created to partnership with the City of Hobsons Bay, artists, especially emerging artists from the provide an opportunity for artists and Toyota Australia is committed to being home of Toyota Australia’s manufacturing City of Hobsons Bay and the City of Port designers working with reusable materials a major corporate citizen by supporting plant. The principles piloted in Hobsons Phillip. The space is provided free of to showcase their work, while promoting and sponsoring an array of Bay now form the basis of this national charge, no commission is charged on an awareness of waste avoidance and community-based groups and sporting program. sales, and Toyota Australia provides a reuse issues. Many of the exhibitors are at organisations. launch and develops a catalogue for each the cutting edge of contemporary art and In July 2004, Toyota Australia announced exhibition. To date, the gallery has shown design, although there is also a children’s Melbourne 2006 a landmark strategic alliance agreement works by more than 100 artists. Toyota section. Almost 90 exhibits have been Commonwealth Games with Hobsons Bay City Council. This Australia is currently working with shown in total, including clothing, document now provides the framework for Hobsons Bay City Council, the City of Port sculpture, painting and jewellery. the ongoing development and Phillip and the Contemporary Sculptors’ implementation of community-building Association on this project. The Toyota initiatives between Hobsons Bay and Community Spirit gallery opening hours Toyota Australia. are Thursday and Friday 1pm – 6pm, or by appointment with the Curator. During Community training workshops 2005/06, five exhibitions were held: Toyota Australia is working in partnership • Neomillenium, an exhibition exploring the As an Official Partner, Toyota Australia with the Hobsons Bay City Council to path to the future: February to end May provided up to 1,350 vehicles for use by Toyota Australia’s marketing team with Toyota ambassadors: L-R (back row) Paralympian Michael Milton, 2005 Lee Kerrigan, Melinda Schneider, and Kerrie Anne Kennerley (front centre). deliver a series of training workshops that athletes, Games officials and staff. The address the training needs and priorities of • Urbantide, 20 emerging artists from the locally manufactured Camry was the National Tree Day, World Expo Aichi Japan 2005 local groups. communities of Hobsons Bay, Port signature vehicle for the Melbourne Games fleet. Toyota Australia employees Sunday 31 July 2005 The World Expo Aichi Japan 2005 took Originally piloted in 2002, the workshops Phillip and beyond: June to end August 2005 also supported the training of volunteer place from 25 March to 25 September have continued to be delivered during Toyota Australia celebrated its sixth year Scrap metal Emu sculpture, exhibited at drivers. 2005. The Aichi prefecture in Japan is the 2003, 2004 and 2005 due to community • Metaphysics, an exhibition of indoor and as major sponsor of National Tree Day, Woolooware Bay, Sydney. Toyota Australia was also a Presenting home of Toyota’s headquarters and most demand. During 2005/06 training outdoor sculpture exploring time, place with employees and dealers across Partner of the Games Volunteer program, of its car manufacturing plants. It is also workshops targeting the specific needs of and the human condition: September to In this partnership, Toyota Australia Australia participating. Environment program, hockey and the sister prefecture to the state of environmental groups and kindergarten early December 2005 provides event management expertise, basketball. The Altona manufacturing plant ran a Victoria. Toyota Australia was an official committees were delivered. An evaluation logistics support, administration and • Natural Selection, an exhibition by family tree planting day at Kororoit Creek partner, along with the Federal of the long term community benefits of the funding. Toyota Australia employees from Altona (located in Melbourne’s west). More than Government, for Australia’s participation in workshops was undertaken during 2005. and Port Melbourne: December 2005 to Reverse Garbage collects more than Australian Football League 200 people, including Toyota Australia the Expo. February 2006 8,000 cubic metres of industry off-cuts Premiership season employees, their families and the Friends Both Toyota Motor Corporation and • Post-Mod, an exploration in post- and waste every year to create a supply of of Lower Kororoit Creek joined in and Toyota Australia made significant Toyota Australia has been the naming modernism: February to end May 2006. art materials. For 30 years, Reverse planted over 1,500 trees. contributions to the Expo. As part of this rights sponsor of the Australian Football Garbage has provided teachers, artists, contribution, from April to June 2005, League since 2004. This sponsorship is in 167 Toyota Australia dealers actively home renovators and the general public Toyota Australia ran an Environment addition to Toyota Australia’s sponsorship participated in National Tree Day events, with high quality industrial discards, off- Improvement Ideas competition. Ten of the Adelaide Camry Crows. hosting planting sites everywhere around cuts and over-runs for creative community prizes of a trip to Japan and Aichi Expo use. Lexus sponsors The Lexus Centre, the the country from Sydney to Alice Springs were awarded. Its purpose was to: official home of the Collingwood Football in the Northern Territory. After its public exhibition at the Addison • Increase employees’ awareness of Club. The centre also houses the Victorian Road gallery in Marrickville, a number of Overall one million trees were planted by environmental issues and the Expo Institute of Sport. the Junk Love exhibition items were 320,000 volunteers at 3,800 different sites. • Allow recognition of individuals’ selected for a separate exhibition at commitment to the environment Toyota Australia’s Sales and Marketing 2006 Clean Up Fraser Island offices in Woolooware Bay, Sydney. Australian Paralympic Winter • Facilitate environmental improvements Toyota Australia again partnered with and awareness through both the Queensland Parks and Wildlife Service Team competition entries themselves and the (QPWS) and the Queensland 4x4 As a major sponsor of the Australian sharing of these ideas. Association to initiate the annual clean up Paralympic Team, Australian athletes gain World Expo Aichi Japan 2005 emphasised of Fraser Island over the Australia Day opportunities to train and compete at a the close links binding humanity to nature long weekend in 2006. global level. The sponsorship also assists in the 21st century through its theme of Volunteers collected nearly 40 cubic metres in the development of young talent. Nature’s Wisdom. The Expo gave visitors of rubbish, with nine cubic metres suitable a chance to experience first-hand the for recycling. The clean up effort also leading-edge technologies, new social focussed on the awareness and removal systems and future lifestyles that may of over 1,500 square metres of Easter provide solutions to the many serious Metaphysics was the first sculpture show at the Toyota Community Spirit gallery. Toyota Australia worked with the Contemporary Sculptors’ Association, Hobsons Bay City Cassia weed from the Happy Valley area. issues now facing the world. Council and the City of Port Phillip on this exhibition. Pictured is Konstantin Dimopoulos and his work ‘Firebird’. A similar work by Dimopoulos has been commissioned for Melbourne Federation Square. 29 Toyota Australia Environment and Community Report 2006 30 s t a t e m e n t o f a s s u r a n c e Toyota Australia is striving to continuously improve its reporting and actively seeks feedback from all stakeholders. Feedback to the 2005 Environment and Community Report has been incorporated Assurance Statement in this report and we welcome further URS Australia Pty Ltd (URS) was commissioned by Toyota Motor Corporation Australia Limited comments or suggestions. (Toyota Australia) to provide independent assurance of its Environment and Community Report 2006 (the Report). URS is a leading engineering and environmental consultancy with approximately To provide feedback please email: 29,000 personnel in 300 offices around the world, including specialists in the assurance of public environment and sustainability reports. firstname.lastname@example.org Scope The independent assurance was undertaken during April-June 2006. Based on the three principles of the Assurance Standard, AA1000, namely materiality, completeness and responsiveness, and the URS Assurance Principles, the following elements were assessed: • Data accuracy via data trails, back to original records where possible; • Relevance of key statements made in the Report; • Robustness of data collation systems including the integrity of processes, mechanisms and controls in place for data capture, transcription and report preparation. Personnel (office-based and operational) were interviewed and records reviewed; • Transparency of performance reporting, that is the extent to which the Report reflects what is happening on the ground at Toyota Australia, via site inspection, interviews with relevant personnel and review of records. In addition, a senior manager was interviewed regarding his level of commitment, understanding and involvement in sustainability; and • Responsiveness to stakeholder needs via review of data and statements relating to Toyota Australia’s partners (stakeholder groups), including interviews where needed. URS Independence URS has not been involved in the design or compilation of the Report or decisions regarding its content (except by way of this assurance). URS, its parent companies and related companies have previously been engaged by Toyota Australia. The average value of work carried out by URS Australia on behalf of Toyota Australia over the three year period to the date of the statement was less than 1% of annual URS Corporation gross revenue, based on our 2005 reporting year. Opinion On the basis of this independent assurance, URS is of the opinion that the Report truthfully and fairly presents the performance of Toyota Australia with respect to sustainability for the reporting period. Toyota Australia recognises that work remains to be done to achieve a complete sustainability report covering all material issues, however progress is being made. Data accuracy remains high and responsiveness to stakeholder needs again emerged as a strength in the Report. Findings Inconsistencies were noted for a proportion of the data audited. These inconsistencies were conveyed to, and corrected by, Toyota Australia’s Environmental Policy Department prior to finalisation of the Report. In addition, where statements could not be verified with appropriate evidence, they were subsequently removed from the Report. URS will also provide a management report to Toyota Australia with more detail on the assurance findings. The Report satisfies the principles of AA1000, in particular the Report is more complete than in previous years, with new coverage of company philosophy, Corporate Responsibility Index (CRI), environmental performance, human resources and safety. The Report also demonstrates that Toyota Community Spirit continues to deliver responsiveness via strong partnerships between stakeholders and Toyota Australia. However, the following areas for improvement are highlighted: • Report development process – inconsistencies could be avoided by increased internal verification checks and better involvement of featured departments in drafting the Report; • Data collation system – a framework outlining the source and responsibility for each data item would improve the reporting process; • Coverage of sustainability issues – work remains to achieve completeness via coverage of all material sustainability issues, in particular health & safety data; and • Reporting period – this Report represents a departure from calendar year to fiscal year reporting, bringing specific challenges; greater clarity of the reporting period is expected in next year’s Report. On behalf of the assurance team - 5 July 2006 - Melbourne, Australia Jo Cain, Senior Principal - Sustainability Strategy, URS Printed with This report is printed with vegetable Disclaimer. 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