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Sustainability Report2008-2010

Sustainability snapshot

Cover image – Pat Houlihan

‘River at dawn’ – Kris Prokopowicz

•To date all of our recycling programs combined have successfully divert 3534 tonnes of waste from landfill.

•Our result of 3836.1 tonnes of CO2e means we will have no mandatory reporting obligations in the foreseeable future. We will continue to independently conduct GHG assessments of our operations and actively seek to reduce emissions in line with global targets.

•Through a new video conferencing facility, Ricoh is saving $40,000 a year in travel costs, including airfares, car hire, taxis and accommodation. It is also reducing our carbon emissions.

•Staff are encouraged to participate in CSR activities which has led to a sharp increase in staff participation across the business from 350 volunteer hours in 2007 to 440 in 2009.

•Sunnyfield residents and staff joined us on Clean Up Australia Day, providing our staff an opportunity to meet and spend time with these incredible individuals and an opportunity for Sunnyfield clients to participate meaningfully in the community.

•Our community involvement program was recognised by the Ricoh Group, when we were awarded the Corporate Social Responsibility Best Practice Hikarimono Recognition award in 2008 and 2009. In 2009, the award was extended to include our Work Placement Program.

•A survey conducted by Research International on customer satisfaction found that out of 700 businesses surveyed, Ricoh’s satisfaction level is above the market average in the top three important drivers of satisfaction.

•Over 560 primary school students have undertaken the Earthkeepers™ earth education program, helping them to undertake a lifelong behavioural change to reduce their environmental impact.

About our report 1

Message from the Managing Director 3

AA Who are we? 5A1 Part of a global corporation 5

Ricoh Australia 5

Ricoh Australia’s Executive Team 6

Structure and governance 8

Our framework for doing business 9

Our business strategy 10

Managing risk 13

Recognition as a sustainable organisation 14

A2 Our values and commitments 15

Our mission 15

Our values 15

Our environmental vision and mission 15

Our commitments 17

Our climate change commitments 17

How we ensure our legal and ethical behaviour 18

How we comply with relevant laws and regulations 19

BB How are we performing against our priorities? 20B1 How do we help customers print and manage documents for less? 20

What’s the issue? 20

What are we doing about it? 20

Consulting and suggesting better solutions 20

Green products and smart software 22

Future plans 22

B2 How do we provide reliable products and services to our customers? 24What’s the issue? 24


Making sure our products are reliable 24

Ensuring efficient customer service 24

Future plans 24

Call to action! 24

B3 How are we acting on climate change? 25What is the issue? 25


Future plans 26

Call to action! 26

B4 How are we harmonising with the environment? 27What is the issue? 27


Product design 27

Strategic sourcing 27

Manufacturing 27

Transportation 27

Contents

Contents continued

BB4 How are we harmonising with the environment? continued

Better product use 28

Recycling 28

In the workplace 28

Future plans 28

Call to action! 28

B5 How do we contribute positively to society? 29


What we are doing about it? 29

Future plans 31

Call to action! 31

B6 How do we ensure Ricoh is a great place to work? 32



Our Space intranet 32

Kaizen program 34

OH&S programs 34

Community initiatives 34

Future plans 34

B7 Performance snapshot 35

CC What are our programs and achievements? 38C1 How do we help customers embed sustainability and cut printing costs? 38

Better product use benefits customers’ triple bottom line 38

@Remote Green Reports 38

Green Calculator 38

Case study: Printing securely at Hawthorn Football Club 42

C2 How are we providing reliable products and services to our customers? 43

Ricoh highly ranked in customer satisfaction survey 43

Technical service network 47

Service quality index scores 47

How well our technicians performed 48

Case study: Helping technicians locate machines faster 50

Customer service from branch to international level 51

Global knowledge management system 51

C3 How are we harmonising with the environment? 52

How are we implementing our environmental leadership strategy? 52

How we are reducing our environmental impact and encouraging others to act? 53

How do our recycling programs approach our zero-waste-to-landfill goal? 54

Recycling in-house 55

How are we cutting our greenhouse gas emissions? 56Case study: Video conferencing cuts travel costs 57

Contents continued

CC4 How are we contributing to the community? 58

Sponsoring Sunnyfield 58

Volunteering at Arranounbai School 59

Contributing to education in sustainability 60

Sustainable Schools Art Competition 61

Raising employees’ environmental awareness 61

Eco Action Day 61

Clean Up Australia Day 62

C5 How do we ensure Ricoh is a great place to work? 64

How do we measure our employee engagement? 64

How do we act on our technician benchmarking survey? 65

How do we promote performance excellence? 66

How do Kaizen teams improve our workplace? 67

Kaizen teams formed in the reporting period 67

Case study: Garden composting solution from Team Midori 68

Talent Manager program 69

Learning and development 69

Staff training results 69

Business compliance training 69

Technicians’ field service training 71

Technical development plan 71

Occupational health and safety 72

Customers’ occupational health and safety 72

Industry benchmarking 72

Why? Whilst the Ricoh Group publishes sustainability reports covering the entire group’s environmental and corporate social responsibility performance, we feel it’s important to report to our customers, staff and other stakeholders how Ricoh Australia aims to achieve continuous improvement across economic, environmental and social boundaries. ScopeThis report covers the performance of Ricoh Australia from 2008 through to 2010 in the wider context of sustainability. That is, how we contribute to the improvement of economic, environmental and social conditions, in the local community as well as regionally and globally.

The content includes Ricoh’s organisational strategy, customer relationship strategy, workforce plans, environmental and CSR plans and actions, management systems and its approach to continuous improvement.

Information in this report is current as of September 2010.

AudienceThe audiences for this report include sustainability experts and practitioners, government and non-government organisations, Ricoh customers, employees and potential employees. Other audiences include local community groups, students, suppliers, and sustainability reporters.

About our report

Structure of reportOur report is divided into three main sections:

Sustainability report structure

Section Purpose

AWe present:

• Ricoh structure and governance

• Ricoh mission, values and ethics

• Management for excellence

• Environmental leadership statement

B

Identifies priorities and gives a snapshot of key achievements:

We raise six key issues and identify the actions we have taken to address them to date plus our future plans. They are:

• Helping our customers manage and print documents for less

• Providing reliable products and services

• Addressing climate change

• Harmonising with the environment

• Developing our social and environmental contribution

• Improving the Ricoh workplace

We give a snapshot of data that we believe is critical to support our claims

C We present more detailed information on specific programs and give some more data to show what we have achieved

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7

Approach

This report was compiled by members of the Business Excellence Team, with input provided by Ricoh staff and management.

Many of the photographs used in this report were taken by Ricoh employees, and have been attributed accordingly.

Balance This report provides a balanced representation of the sustainability and corporate social responsibility performance of Ricoh Australia. It includes both positive and negative results.

Assurance and verificationAll the data and information in this report has been internally verified.

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About our report continued

External verification of Ricoh Australia’s CO2 consumption was obtained in 2008 where Ricoh Australia engaged Carbon Planet to undertake an assessment of the Greenhouse Gas (GHG) Emissions from our entire operation. This review was in line with the Greenhouse Gas Protocol: A Corporate Accounting and Reporting Standard and the international standard ISO 14064-1.

Disclosure methodThe Ricoh Australia Sustainability Report 2008-10 is available online and in PDF format. You can download the PDF version of Sustainability Report 2008-10 from the Ricoh Australia website www.ricoh.com.au

ContactFor further information or to comment on this report please contact Pam Merlo at [email protected]

Many of the photographs used in this report were taken by Ricoh employees

http://www.ricoh.com.au

mailto:pmerlo%40ricoh.com.au?subject=Ricoh%20Sustainability%20Report%202008-2010

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Message from the Managing Director It is my pleasure to present this sustainability report which provides an unfettered window into the sustainability activities of our organisation and hopefully demonstrates our passion for people, planet and performance.

The past few years have seen unprecedented change.

Events such as the global financial crisis, the swine flu pandemic, the Copenhagen Accord, and the eruption of a little known Icelandic volcano have served to highlight the complex, interconnected world in which we all live.

For me, these events have underlined the need to build sustainable practices into the heart of our operation. At times like these, the call to contribute to struggling communities and to find better ways to safeguard our environment must not give way to a single focus on economic recovery.

At the same time, these global events have highlighted the need for organisations to operate more efficiently and mindfully. We continually work within ourselves as an organisation and with our customers to develop ways to use less CO2, waste, cost and complexity.

At Ricoh we made a deliberate decision to not only continue our sustainability programs, but to invest in them during these turbulent times. I am pleased to report that over the two-year period, we invested $2.1 million in environmental management and corporate social responsibility projects (an increase of 32 percent), whilst simultaneously growing our business by $49 million in a market which contracted by 20 percent.

As the ninth largest global IT organisation, we are also on track to realise our vision of reducing our environmental footprint collectively to one-eighth of our year 2000 level by 2050.

Looking forward our sustainability mission is clear: ‘Use less, no waste’. This mission is driven through strategy and sustainable economics, though centred on empowering individuals to act to deliver immediate positive change.

We will leverage our Kaizen continuous improvement program to constantly explore our own workplace behaviours and practices and find ways of eliminating all forms of waste to maximise our commitment to people, planet and performance.

This Sustainability Report is written and produced by Ricoh employees. I hope you find the content of the report informative and useful in judging for yourself how well we ‘walk the talk’.

Les Richardson, Managing Director

“At Ricoh we made a deliberate decision to not only continue our sustainability programs, but to invest in them during these turbulent times...”

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Ricoh Australia has 551 staff. Our corporate headquarters are located at Frenchs Forest in Sydney and we have branch offices in all state capitals.

‘Reflection of Sydney Harbour Bridge’ – Bryan Dalli

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A. Who are we?A1 Part of a global corporationRicoh Australia is part of the Ricoh Group, a global leader in tailoring sophisticated office solutions.

Ricoh Co. Ltd was established by Kiyoshi Ichimura in February 1936, producing the world’s first mass-produced twin-lens reflex camera in 1950.

Today, the company operates in five regions around the globe (Americas, Europe, Asia Pacific, China and Japan) with 272 consolidated subsidiaries together employing around 108,525 people.

We believe that environmental, social and economic objectives need to be balanced to ensure sustainable growth. Ricoh is committed to making meaningful contributions to the creation of a sustainable society.

Ricoh AustraliaOur core business includes the sale, distribution, service and technical support for multifunction and stand alone printers. In addition we provided managed printing services and develop business solutions software for optimising customer utilisastion of our products.

Ricoh Australia has 551 staff. Our corporate headquarters are located at Frenchs Forest in Sydney and we have branch offices in all state capitals. In addition, we have a dealer network and service agents to provide sales, service and support in major metropolitan and regional areas.

Environment

Economic

Corporatesocial

responsibility

6

Ricoh Australia’s Executive Team

General Manager – OperationsRobi George

National HR ManagerKim Reade

Finance DirectorPeter Bennell

National Technical ManagerPhil Shambler

Acting Chief Information OfficerLes Richardson

General Manager – Marketing and Product ManagementPhilip Henry

Director Sales and Marketing StrategyHide Takamura

Director of SalesMark Ewington

General Manager – Business Solutionsand ProductionKathy Wilson

Managing DirectorLes Richardson

A. Who are we? continued

‘Red and Green Macaw’ – Bree Krause

We believe that environmental, social and economic objectives need to be balanced to ensure sustainable growth. Ricoh is committed to making meaningful contributions to the creation of a sustainable society.

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8

Structure and governanceRicoh Australia Pty Ltd is a wholly owned subsidiary of Ricoh Asia Pacific, the regional head office for the Asia-Pacific region. The reporting structure, locations, and governance purposes are below.

Ricoh Australia’s structure

Sets 3 year plansfor all regions

Consolidates budgetsand consolidated reports

Ricoh Asia Pacific Singapore

Ricoh Australia

Sets regionalmid-term plan objectives

Repo

rts

to

Approves Ricoh Australia’smid-term plan and objectives

Approves Ricoh Australia’sannual plan and objectives

Reviews Ricoh Australia’sperformance against

mid-term and annual plans

Sets regionalmid-term plan and objectives

Approves Ricoh Australia’sannual plan and objectives

Reports monthlyagainst plan

Works within Australianregulatory environment

Sets organisation mission,vision and values

Repo

rts

to

Ricoh Co. Ltd Japan


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Our framework for doing businessRicoh Australia is guided by the values of customer service, achievement, performance, encouragement and being responsible. Our Vision, Mission and Values statement was formulated in 2008, with the input of the senior management and staff. It provides us with a framework for doing business. In addition, our CSR Charter and Code of Conduct sets out the social and business ethics we use to conduct our business, and our environmental leadership strategy focuses our resources and expertise. Communicating our vision, mission, values, Code of Conduct and environmental leadership strategy are a key part of orientation for new employees.

We use the Plan Do Check Act (PDCA) cycle to promote continuous improvement and performance excellence at strategic, tactical and operational levels. PDCA is a well established method for continuous improvement practiced by leading organisations worldwide. At the heart of each PDCA are the ideas of our talented staff. Our annual Performance Excellence report measures the overall performance of the company.

Strategic performance excellenceWe use the Baldrige Perfomance Excellence criteria to drive continuous improvement through the strategy development and deployment cycle. Opportunities for improvement identified during the self-assessment act as inputs into the strategy planning sessions and cascade down through the strategy deployment approach.

Tactical performance excellenceWe established the Ricoh Program Management office in 2007 to help manage major tactical projects. Ricoh Program Management uses the principles of PRINCE2 to provide a consistent approach to project management, including planning and prioritisation, risk management, resource management and exception handling.

Operational performance excellenceWe introduced a Kaizen program to encourage and assist staff to practice continuous improvement on a daily basis. Kaizen represents continuous improvement and 60+ years evidence of positive and measurable impact to organisations, their staff and customers. Engaging in Kaizen indicates this has a significant role to play in today’s competitive and global business market. Our staff are trained on the principles of Kaizen and organised into virtual teams that constantly examine all processes in an effort to identify and eliminate all forms of waste and deliver better value and benefits to our customers. All of our staff are actively encouraged to submit ideas for improvement with the best idea being recognised and rewarded by our Managing Director each month.


Kaizen is a very simple concept, formed from two Japanese characters:

Kai – meaning change + Zen – meaning good

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Our business strategyEvery three years Ricoh Group develops a Mid-Term Plan (MTP), which defines the company’s global strategy. This is cascaded down to Ricoh Australia and drives the creation of our MTP. We are currently using the 16th MTP, which spans April 2008 to March 2011.

The cornerstone of Ricoh’s strategic development process is an understanding of our strengths and weaknesses (SWOT), the voice of our customers (VOC) and our core competencies.

This understanding is then used to distil our strategic challenges and the corresponding objectives, goals, measures and performance indicators.

The corporate business plan is then used to capture the detail, and cascade down to an array of divisional business plans. These in turn form the basis for managing the performance and key performance indicators of individual staff.

We have identified nine key processes in how Ricoh Australia does business:

•Product Launch and Pricing Control

•Marketing and Opportunity Management

•Stock Forecasting to Receipt of Goods

•Customer Ordering to Installation

•Finance – Application to Contract Acceptance

•Finance – Lease Receivables Invoicing and Collections

•Customer Invoicing & Collections

•Customer Service Request to Resolution

•Product Stewardship

Each of these key processes has one or more goals. For example, for the Product Stewardship process, one goal is to maximise RAP recycling and another is to increase participation in CSR activities.

Our key business processes are the focus of annual ‘Discovery‘ audits performed by the Business Excellence Division. They use these audits to map value stream processes, collect relevant metrics, investigate strengths and weaknesses as well as compliance to the integrated management systems.

How we measure ourselvesOur management systems are pivotal in the management of our corporate governance, work practice knowledge, handling of customer complaints and the standardisation and reengineering of business processes.

Quality Management System and Environment Management SystemOur integrated management system was recertified in 2007 and upgraded to the latest version of ISO 9001 in 2009.

Information Security Management System (ISMS)Our Information Security Management System was formally certified to ISO 27001 in 2007 as part of Ricoh’s global certification program.

Baldrige Performance Management SystemIn 2008, Ricoh Australia adopted the Baldrige framework, an internationally recognised framework for performance excellence. We believe this approach provides us a structured method to measure our performance against best practice and to identify gaps in our performance against a blueprint for high performance businesses.

We established various teams to cover the Baldrige categories and as a result have redefined our Mission, Vision and Values.


Our key business processes are the focus of annual ‘Discovery‘ audits performed by the Business Excellence Division. They use these audits to map value stream processes, collect relevant metrics, investigate strengths and weaknesses as well as compliance to the integrated management systems.

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We established various teams to cover the Baldrige categories and as a result have redefined our mission, vision and values.

‘Surf Lifeboat Team’ – Natalie Hulford

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Research and developmentThe Ricoh Group has four primary research and development focus areas are:

•Printing: we develop technologies for multifunction devices and printers that maintain high quality, reliability and efficient output.

•Office solutions: we develop technologies to promote knowledge management and encourage innovation in today’s digital office environment.

• Imaging/Devices: we integrate technologies such as optical/image processing and electronic devices to create unique technologies with new value.

•Environment: We contribute to a sustainable society by developing technologies that minimise the environmental impacts of our products at every stage of life cycle.

We have invested a significant proportion of research and development in internal technology innovation. The Ricoh Institute of Sustainability and Business, which was established in Japan, will focus its research on four key areas: economy; environment, resources and energy; social structure and industry and businesses.

This focus is consistent with our strategy of building major in-house development capability and retaining intellectual capital in Australia. Some examples of projects that were developed in the reporting period:

•Sales order processing (SOP): We designed a streamlined sales order processing and tracking system and an associated online order entry system that would facilitate online ordering and improve processing to fulfillment and billing.

•ESA TransFormer: We designed and developed embedded software architecture-based products to enhance the capability and business process integration of Ricoh’s multifunction devices (MFDs).

•Salesforce.com customer relationship management system: We developed a single central repository for all customer information including presales, sales, post-sales and service.

Officesolutions

Environment

Imaging/Devices

Printing


http://www.ricoh.com.au/services-solutions/office-software-solutions/manage-your-documents/esa-transformer

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Managing riskRicoh operates a Total Risk Management system which provides a rigorous structure around the identification, analysis and prioritisation of risks. The concept of Total Risk Management provides for the alignment of all strategic and operational risk disciplines into a single management structure which ensures appropriate normalisation of risk classification and consistency in risk treatment.

Ricoh Australia’s Total Risk Management approach is based on and complies with the AS/NZS ISO 31000

Risk Management standard and has been in operation since 2007.

The scope of Total Risk Management covers all strategic and operational risk areas that Ricoh Australia is naturally exposed to. This includes the management of risk relating to quality, the environment, information security, product compliance, occupational health and safety, business continuity, internal change management, customer complaints and major customer implementation projects.

How Ricoh Australia proactively manages threats and risks

Threat or risk Impact Countermeasure

Pollution and waste Harm to environment and community Product Compliance (Blue Angel, European Union Restriction of Hazardous Substances [RoHS] )Environmental Management SystemMachine RecyclingToner Cartridge RecyclingParts RecyclingTrade Waste Recycling

Specific customer complaints Company reputation and poor customer outcome

Complaint Management System

Dangerous or hazardous product

Danger to community Restricted Electrician Licensing of techniciansElectro Magnetic Interface complianceTelecommunications complianceProduct Safety Incident Process

Unsafe work practice Harm or death Policies on OH&S Compliance IT and vehicle usage and mobile phone policies

Employee unaware of correct practice

Misrepresentation to customer resulting in litigation

Conditions of Employment Code of ConductTalent Manager ReviewWritten policies & procedures

Unplanned adverse business event affecting service delivery

Disruption to business continuity

Compliance with industry/legal standards

IT Disaster RecoveryInsuranceDistributed Buffer Inventory Family Group / Dealership NetworkInformation Security Management System

Regulatory non-compliance Fine, penalty and potential brand damage

SOX AuditAnti money laundering registration and compliance

Disclosure of private information

Harm or embarrassment to individual

Fine, penalty and potential brand damage

The Company Secretary has been appointed our Privacy Officer and our employees sign a Privacy Statement on entry.Information Security Management System

Pandemic Unavailability of staff Response proceduresPersonal Protective Equipment


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Recognition as a sustainable organisationRicoh is ranked as one of the Global 100 Most Sustainable Corporations in the World. We have been listed every year since the list’s inception in 2005. The Global 100 is an annual project initiated by Corporate Knights. The aim of the list is to highlight the global corporations which have been most proactive in managing environmental, social and governance issues.

Long before caring for the environment became a focus for most organisations, we began to examine our business through an environmental lens and embed environmental strategies as part of our core focus.

AwardsThe numerous international awards Ricoh and Ricoh products have received are testament to our environmental achievements and distinguished legacy in providing outstanding products.

Awards won by Ricoh in 2008 and 2009

Date Award Awarded by

August 2008 Received the ‘Pick of the Year’ award in three categories – printers, multifunctional printers (MFPs) and solutions.

Buyers Laboratory Inc. (BLI)

August – December 2008 The Ricoh Group ranked No. 1 in customer satisfaction (business users) in the 2008 Customer Satisfaction Study in two categories: colour copier/multifunctional copiers 1, and monochrome laser printers 2

J.D. Power Asia Pacific, Inc.

January 2009 Received the ‘Pick of the Year’ award in the multifunctional printer category

Buyers Laboratory Inc. (BLI)

January 2009 Selected as one of the Global 100 Most Sustainable Corporations in the World for the fifth consecutive year

Corporate Knights Inc.

March 2009 Won the Excellence Awards at the 12th Environmental Communication Awards

The Japanese Ministry of the Environment and the Global Environmental Forum

April 2009 Selected as one of the World’s 99 Most Ethical Companies for the first time

Ethisphere Institute

April 2009 The Ricoh Group was given the Grand Prize in the 12th Green Reporting Award

Toyo Keizai Inc.

April 2009 The Ricoh Group was given the Third Prize in the 12th Sustainability Reporting Award

Toyo Keizai Inc.

April 2009 Ricoh Europe receives the European Business Awards’ Ruban D’Honneur

European Business Awards

December 2009 Ricoh MP 6001 MFP recognised with a ‘5 star Exceptional’ award

BERTL, Inc.


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A2 Our values and commitments

Ricoh Australia’s vision, mission, values and commitments were created by our executive management team in consultation with staff and provides a framework for how we do business. They guide our business decisions and strategies ensuring we stay focussed on our objectives whilst remaining true to the values that have shaped our organisation.

Our missionWe work closely with our customers to create innovative, unique and tailored solutions that truly deliver business efficiencies to support their knowledge management. Our solutions simplify the life and work of our customers, allowing them to focus on their own business priorities.

Working together, we minimise our impact on the environment and take a leading role in contributing constructively to the needs of society whilst providing enrichment for our business partners, employees and shareholders.

Our values•Customer service – Understanding the needs,

wants and expectations of all customers (internal and external) and working intelligently to not only meet, but exceed their expectations and leave them with a feeling of delight.

•Achievement – Team work throughout the organisation working together towards agreed goals (a win /win attitude).

•Performance – Completing every task correctly the first time and in a superior manner and always looking for better ways of working – that is, working on continuous improvement.

•Encouragement – Helping each other to be great (a supportive attitude). Acceptance of change and genuine concern for others – that is, empowering our people.

•Responsibility – Taking ownership of our role as individuals in protecting the environment and supporting the needs of others.


We will achieve zero waste if every single employee takes personal responsibility in their workplace for reducing consumption of natural resources...

‘Fig tree – Botanic Gardens’ – Diego Pereira

Our environmental vision and missionOur ultimate goal is to reduce our environmental footprint to one eighth of our year 2000 level by 2050. To achieve this end we formulated our environmental vision, mission and targets.

Our environmental vision: Use less, no waste

Our Environmental Mission: We will achieve zero waste if every single employee takes personal responsibility in their workplace for reducing consumption of natural resources and thereby reducing emissions, reusing materials to extend their useful life and recycling materials to prevent disposal to landfill.

We will constantly explore our own workplace behaviours and practices as well as those of our colleagues, suppliers, partners and customers and use our influence and insight to assist them to do the same.

Our mission is urgent, driven through strategy and sustainable economics, though centred around individual action to deliver immediate positive change

Sustainability and business outcomes: Drawing from the questions we are asked in requests for tender it is obvious that social and environmental factors are being incorporated into decision making by more and more organisations.

Whilst it is difficult to draw a direct link from our corporate social responsibility activities and our sales success, we believe that a strong link exists. We know from feedback from our employees that they are enriched by our programs and feel proud to work for an organisation with values aligned to their own.

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Our ultimate goal is to reduce our environmental footprint to one eighth of our year 2000 level by 2050. To achieve this end we formulated our environmental vision, mission and targets.

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Jennifer Blackwell

Our commitmentsWe make the following commitments in order to realise our mission and values. Our aim is to strengthen Ricoh’s long-term business while contributing to the well-being of our staff, communities and the environment.

We will help our customers print and manage documents for less cost, less CO2, less waste and less complexity. This means we will:

•Leverage our skills and expertise in document management;

•Create solutions for our customers which allow them to achieve measurable savings – in $ spent, environmental impact, efficiency and complexity.

We will act against climate change. This means we will:

•Strive to reduce total CO2 emissions by 30 percent from fiscal 2000 levels in 2020;

•Strive to reduce resource use by 25 percent from fiscal 2007 levels in 2020.

We will harmonise with the environment. This means we will:

•Expand our efforts in our recycling programs to ensure efficient use of resources through the increase in re-use of parts;

•Promote reductions in energy usage by all areas of our operation;

•Promote activities to conserve the ecosystem.

We will contribute positively to society. This means we will:

•Expand our efforts to provide opportunities for people living with a disability;

•Expand our support of education for sustainability amongst Australia’s youth;

•Continue to support communities in need;

•Continually raise awareness amongst our staff of their role in creating a sustainable future.

We will ensure Ricoh is a great place to work. This means we will:

•Create a workplace which is safe, healthy, diverse, stimulating and rewarding;

•Promote autonomy and creativity in the workplace;

•Provide the leadership, tools, resources and opportunities for our staff to achieve their full potential;

•Promote a vital and motivated culture within the organisation.

Our climate change commitmentsRicoh became the second Japanese company to sign the UN Global Compact (GC) in April 2002. In June 2007, Ricoh also became a signatory to Caring for Climate: The Business Leadership Platform by GC.

The Ricoh Group is committed to the Poznari Communique, which was announced at the 14th Conference of the Parties (COP 14) of the United Nations Framework Convention on Climate Change held in Poznari, Poland in December 2008.


Natalie Hulford

Jerry Randall

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All Ricoh employees complete an introductory and annual on-line training program to ensure they are compliant with various legislation and standards. In 2008 training in the Anti-Money Laundering standard was introduced for our Finance department staff. See page 69

Legal and ethical behaviour controls

Process Description

Code of Conduct The CSR Code of Conduct is our statement of commitment to stakeholders.

Recruitment The HR Manager vets all internal/external recruitment advertising to ensure compliance with Code of Conduct, Equal Employment Opportunity Act (EEO) and other relevant legislation.

Senior Leaders and/or the HR Manager are involved in the selection of employees.

Candidate application forms ensure legal and medical disclosures and entitlement to work.

HR Manager/Senior Leaders select authorised recruitment suppliers.

All employees undergo screening to check references.

All employees and promotions into high trust roles (e.g. accountant) undergo high trust screening which examines their propensity to defraud.

Induction Every new employee is provided with a personalised and structured induction program which includes the Vision Mission and Values statements of the company.

Induction checklist requires new employees to fully understand and agree to the Code of Conduct.

New employees complete compliance training.

New employees are given information security awareness training and face to face OH&S induction by an OH&S officer.

Employee information Employees have access to review their personnel files on request.

Occupational Health & Safety Employees are made aware when employment is offered that OH&S is also their personal responsibility.

Ricoh has a smoke-free workplace policy and drug and alcohol policy in place.

Ricoh has appointed and trained safety personnel for all sites; OH&S reps, Fire Wardens, First Aid officers and conducts regular building evacuation training.

First Aid kits maintained and made aware to staff.

Emergency procedures for pandemic response are in place.

Grievance handling Ricoh’s Grievance Handling Policy addresses the action that an employee can take if they have a grievance about any decision, behaviour, act or omission – whether by management or other staff – that an employee feels is unfair, discriminatory or unjustified.

Physical and environmental security

Ricoh’s premises are regularly assessed for physical and environmental security risk exposure and the controls appropriate to risk profile are implemented and operational.

Senior executives role modelling

Senior leaders are personally involved in environmental and community activities and events.

How we ensure our legal and ethical behaviour

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Compliance with legal and regulatory environment

Domain Laws or regulations

Code of Conduct The CSR Code of Conduct is our statement of commitment to stakeholders.

Company Relevant state and federal laws of Australia

Corporate law

Trade Practices Act

Contract law

Intellectual property

Privacy

Employer Occupational health and safety

Industrial Relations Act

Electrical licensing of technicians

Superannuation

Anti-discrimination laws

Financial Insurance

Credit collection practices

Payroll

Record management

Accounting practices

Product Product Compliance:

•C Tick – for EMI1 compliance

•A Tick – for modules such as faxes that are connected to a telecommunications line

Standards ISO 27001 – Information Security Management system

ISO 9001 – Quality Management system

ISO 14001 – Environment Management system

1 Electro Magnetic Interference

How we comply with relevant laws and regulationsRicoh Australia complies to all relevant industry, state and Commonwealth laws, regulations and standards of best practice. Some of these laws and regulations are outlined in the table below.

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B. How are we performing against our priorities?

B1 How do we help customers print and manage documents for less?

What’s the issue?Many organisations are faced with the problem of trying to manage the increasing cost and complexity of their print and document management solutions and the expectation they must do so in a socially and environmentally responsible manner.

What are we doing about it?Ricoh helps our customers print and manage their documents with:

•Less cost

•Less CO2

•Less waste

•Less complexity

We have achieved this by unifying our collective experience in the provision of world-class products, services and solutions and combining these to tackle challenges faced by our customers.

This is combined with our accumulated knowledge derived, from more than 30 years of environmental management. We are able to transfer this knowledge to benefit our customers’ triple bottom line.

Consulting and suggesting better solutionsOne way in which we are actively assisting our customers print and manage documents for less is through our consultative approach. Our Office Consulting Analysts begin the process by conducting a detailed assessment of the current state of our customer’s document output environment. This entails identifying the company’s fleet information and security requirements, discovering any infrastructure or document bottlenecks and their associated impacts whilst understanding the intent and objectives of any existing print policy.

Using our Total Green Office Solution approach we provide our customers a current state baseline of the environmental impact, providing metrics such as total energy consumption, total paper consumption and their associated CO2 emissions.

By providing our customers with a full and complete ‘As Is’ picture they are able to see the total cost of ownership and any hidden costs.

Ricoh helps our customers print and manage their documents with:

•Lesscost

•LessCO2

•Lesswaste

•Lesscomplexity

Using our Total Green Office Solution approach we provide our customers a current state baseline of the environmental impact, providing metrics such as total energy consumption, total paper consumption and their associated CO2 emissions.

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Bryan Dalli

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Green products and smart softwareAll Ricoh models are Energy Star rated and their environmental benefits include energy saving modes and paper-saving duplex printing mode. Our products are manufactured from materials that are non-toxic.

Around 98 percent of all materials used in our devices can be recycled and we recycle 98 percent of the material directed into our toner cartridge recycling program.

A total of 3,239 machines, including peripherals were recycled between April 2008 and March 2010. See page 55

Our range of software helps customers reduce waste by simplifying existing business process workflow and reducing the volume of paper consumed.

One software solution, @Remote, helps many of our customers automatically read meters, order replacement toner, receive device support information and create detailed activity reports for all their devices.

As another example, Ricoh’s Green Calculator allows customers to compare the estimated energy consumption of their current devices with that of proposed new devices. The Green Calculator generates device specific data from ‘typical electricity consumption’ (TEC) values.

Future plans•Enhance Ricoh’s Green Calculator to show actual energy

consumption instead of TEC values, which will provide a more powerful reporting tool for helping customers to achieve both TCO and CO2 reduction.

•Work towards providing detailed reporting to account for recycled Ricoh machines and consumables collected from our customers and recycled through use of our recycling program.

Call to action!

Even the simplest changes can provide improvements in business workflow and outcomes. For example, set ‘duplex’ as your default preference for all your office printers and copiers.

By printing on both sides of a sheet you’ll reduce paper usage by as much as 50 percent.

Multi-copy and print can cut paper consumption down even further by printing two pages on the same side, therefore printing four pages onto one piece of paper.

B. How are we performing against our priorities? continued

http://www.ricoh.com.au/services-solutions/office-software-solutions/manage-your-devices/remote

http://www.ricoh.com.au/services-solutions/environmental/total-green-office-solutions

Around 98 percent of all materials used in our devices can be recycled. A total of 3239 machines, including peripherals, were recycled between April 2008 and March 2010.

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Call to action!

Continuous improvement through the Plan-Do-Check-Act cycle is a proven method for lowering costs and achieving operational excellence. When people share good ideas, the organisation and its customers can reap the rewards.

B2 How do we provide reliable products and services to our customers?

What’s the issue?Our customers need and expect us to deliver reliable document management products and services. As Ricoh products and solutions are inserted into critical business workflows, the impact of product downtime continues to increase in significance. Consequently, service level agreements around response times in the industry are constantly tightening.

What are we doing about it?Listening to what customers wantRicoh runs a Voice of Customer program to listen to and gain an understanding of the current and future requirements of our customers. Understanding what reliability means to our customers enables us to continuously improve our products, services and solutions in lockstep with their requirements.

Making sure our products are reliableGlobally, Ricoh invests heavily in research and development because continuous improvement is core to our company’s culture. We are at the forefront of developing fundamental technologies for product design and production techniques which contribute to high-quality product manufacturing and the continuous growth of the Ricoh group.

Ensuring efficient customer serviceWe use a multi-layered approach to customer service to underpin our promise of total reliability. Good customer service starts with our branch Customer Training Representatives and continues through an Online Service Centre, National Contact Centre and National Technical Support. If necessary, issues can be referred to the Regional Support Centre in Singapore or the Global Support Centre in Japan.

Each layer of service is continuously improved to ensure it remains world-class and delivers on our promise of reliability.

A customer satisfaction survey by Research International of 700 Ricoh customers and its main competitors found: •Ricoh users are extremely satisfied with technical support

and it is the area in which Ricoh has the highest score.

• In 38 percent of cases, it took less than an hour for Ricoh technical support to resolve an issue

Ricoh ranked first among competitors in the product and services areas. See page 44

Technical service results compiled by Ricoh show that we:• Improved technician first-time fix rates from 84.4 percent

in 2007 to 88.6 percent in 2009, bringing us close to our goal of 90 percent.

•Customer first call resolution improved from 8.6 percent in 2007 to 15 percent in 2009. See page 48

Future plans•Review online service centre procedures to make it easier

for the correct technician to attend a call and fix the problem the first time.

•Provide an improved maintenance ‘kit of parts’ for technicians. Currently technicians have to select from multiple parts with different serial numbers. In future, all parts will be placed in one kit, with a single serial number, enabling technicians to find parts more quickly.

• Implement new ITIL-based (Information Technology Infrastructure Library standard) service desk that improves case management by linking each case to a particular customer’s account records. This will allow cases to be visible throughout Ricoh.

•Migrate the Complaints Management System to Salesforce.com to make the complaints management system more visible to account managers and more responsive and accountable to the needs of customers.

•Reengineer future process mapping so that we can improve business processes that add value to our customers.

• Improve monitoring of business processes by applying key performance indicators (KPIs) to each process and measuring performance.


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Spreading the word about climate change

Ricoh provided our exclusive Let’s Do Lunch event in 2009 as a forum for The Australian Conservation Foundation (ACF) to deliver its latest Climate Project message. Randall Pearce, an Al Gore Climate Messenger, presented an updated climate change message, ‘Our Choice’, a follow up to ‘An Inconvenient Truth’. More than 400 people, representing hundreds of major organisations in Australia, experienced his thought-provoking presentation and the call to take action individually and collectively.

In addition, we asked representatives who attended the opportunity to host a Climate Project presentation

B3 How are we acting on climate change?


Robi George

Human activity is causing the climate to change.

James Lyons

for staff at their own organisation. Ricoh Australia offered to cover the travel cost of the Climate Messenger to such events.

Each guest at ‘Let’s Do Lunch’ received a copy of ‘Our Choice’ when it was released in Australia in November 2009.

Pam Merlo, Ricoh’s Environmental Manager arranged for Pearce to present ‘An Inconvenient Truth’ to Ricoh executive and middle managers on World Environment Day 5 June 2008 to spearhead discussions about the need to evaluate the actions Ricoh could take to reduce our carbon footprint.

What is the issue?Climate change is now widely accepted to be one of the most serious risks facing the planet. It affects everyone – individuals, businesses and governments – and collectively we need to work together to solve the problem.

Human activity is causing the climate to change. It is difficult to precisely predict what the impacts of climate change will be, as they vary with each region of Australia. Best estimates are that by 2030 Australia will face:

•Temperature increases of 1-2°C.

•Up to 20 percent more months of drought.

•Up to 25 percent increase in days of very high or extreme fire danger.

• Increases in storm surges and severe weather events.

The Carbon Disclosure Project Report 2009 Australia & New Zealand reveals that Australian and New Zealand companies, more than any other country, are recognising their susceptibility to the physical impacts from climate change.

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What are we doing about it?Our environmental leadership strategy focuses on our tools, resources and expertise in three areas:

1 Reducing the environmental impact of our operations. See page 53

2 Helping our customers reduce the environmental impact in their office environment. See page 38

3 Helping employees to act by providing education, products and services that reduce environmental impacts.

The following is a snapshot of some of our achievements in addressing climate change.

•We engaged Carbon Planet to perform a comprehensive assessment of the greenhouse gas (GHG) emissions for which our organisation was accountable in 2008.

•We deployed a video conferencing solution into our existing network with video conferencing units in standard meeting rooms at head office, the five regional branches and our Printing Innovation Centre, limiting travel required by Ricoh staff, reducing environmental impact.

•We formed an Environmental Strategy Team, led by Les Richardson, Managing Director, providing a top-down approach to strategy formulation.

•We formed a Kaizen team to look at ways of implementing small changes to the way we work which will reduce our environmental impact – forming a bottom-up approach.

•We purchased diesel vans and crew cabs for our service technicians resulting in reduced emissions from fuel usage.

•We launched Our Space, our new company intranet, in March 2010. The Environment Office uses Our Space to influence behavioural change in terms of reducing our environmental footprint – at work and at home. This can be seen in the use of regular blogs, news items and educational articles.

We launched the Ideas Drop Box through Our Space, where staff can put forward their ideas on how to reduce their environmental impact.

See section C3 for more on our environmental performance.

Future plans•Roll out a staff awareness campaign on climate

change using ACF’s Climate Messengers.

•Expand the number of diesel vehicles in our service fleet.

•Publish our carbon footprint via dashboards on Our Space.

Call to action!

It is up to each of us to take action against climate change. Every action counts, and when multiplied nationally becomes exponential in its impact. If you want to know more about what you can do personally to reduce your carbon footprint, use World Wildlife Fund’s Footprint Calculator wwf.org.au/footprint/.


We formed an Environmental Strategy Team, led by Les Richardson, Managing Director, providing a top-down approach to strategy formulation.

http://www.wwf.org.au/footprint/

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B4 How are we harmonising with the environment?


What is the issue?Ricoh is deeply passionate about contributing to our planet and to the people of Australia through reliable and high integrity programs that are focussed on providing meaningful and positive outcomes.

Our aim is simple: Use less. No waste.Sustainable environmental management is at the core of our efforts to harmonise with the environment.

Climate change, the depletion and price volatility of natural resources and the increasing need to ensure our products meet stringent environmental regulations are the driving forces behind Ricoh’s global environmental measures to improve environmental impact reduction.

What are we doing about it?We base our sustainable environmental management on three pillars:

•energy conservation and the prevention of global warming

• resource conservation and recycling

•pollution prevention.

Product design•We use Life Cycle Analysis (LCA) to identify the

environmental impact of our products.

•By developing environmental technologies, we can assist our customers in reducing the environmental impact from their business activities. See page 53

Strategic sourcing•We strictly manage environmentally-sensitive substances

within our products to reduce their impact on the global environment and enhance end-user comfort and safety levels.

•We have introduced environmental, social and governance aspects into our key requests for tender.

Manufacturing•We are working towards ‘low carbon manufacturing’

through innovation of the production process.

•Resource depletion is increasingly becoming a reality. Making products smaller and lighter whilst reusing and recycling used parts is one way we reduce our reliance on virgin resources.

•We have developed new colour PxP Toner which is designed to fuse at lower temperatures, resulting in lower energy consumption when in use.

Transportation•We have achieved a reduction in the environmental

impact of our logistics, by shipping products directly to our Perth distribution centre (where previously they would first come to our head office warehouse) for delivery to customers and dealers in Western Australia.

•We continue to reduce our fuel consumption and emissions from our vehicle fleet through the purchase of diesel vehicles for use by our service technicians with plans to expand this program.

•Through the use of reverse logistics for our service parts recycling program we are achieving productivity and environmental gains.

•We have significantly reduced our business travel through the introduction of video conferencing. See page 57

Bryan Dalli

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Better product useWe have trained our entire service team on our Green Service module, to ensure all products are set to default duplex and eco power mode at run-up.

We offer our customers performance reporting through our @RemoteTM Intelligent Management System, which tracks a variety of environmental metrics related to how much energy and paper each Ricoh device uses and the associated emissions. Customers view web-based real-time reports. See page 38

RecyclingWe recognise our responsibility for our products throughout their life cycle – from sourcing raw materials, through production, distribution, sales and servicing and on to collection and recycling at the end of their life.

Ten years prior to the introduction of the proposed National IT/TV e-Waste Recycling Program, Ricoh introduced free programs designed for our customers to recycle their Ricoh machines and consumables once they have reached the end of their life.

We have refined our Machine Recycling Program over its nine years of operation to achieve an increase in the resource recovery ratio from 70 percent to 98 percent. The integration of our machine, consumables and parts recycling programs offers great potential for further expansion of our environmental initiatives. See page 54

In the workplace The following initiatives have been undertaken to promote sustainability in the way we work:

•We commissioned Carbon Planet to conduct a Level 1 Energy Audit of our head office located in Frenchs Forest, NSW.

•We have adopted the 5 R’s philosophy: reduce, refuse, reuse, return or recycle.

•We have expanded our in-house trade waste recycling programs to include soft plastics such as plastic bags and shrink wrap. We have also introduced organic waste and compost bins in line with our No Waste aim.

•We have begun to measure our waste-to-landfill in order to set a baseline for improvement.

Future plans•Communicate our environmental strategy and policy

to all staff members.

•Appoint Kaizen Midori sustainable ambassadors throughout the organisation. They will mentor others to become more sustainable both at work and at home by empowering staff to ‘re-think’ and ‘re-act’.

•Set Key Performance Indicators for departments/branches to reduce paper and energy consumption.

•Publish a leader board of departments and branches that have significantly reduced their environmental footprint.

•Continue to use Our Space to educate and empower Ricoh staff to act to reduce their environmental footprint, to be done through regular blogs, news articles and videos.

Call to action!

Become a conscious consumer by incorporating social and environmental factors into your decision making. Adopt the 5 R’s.

You can learn more at the Australian Conservation Foundation GreenHome Challenge www.acfonline.org.au


1 Reduce

2 Refuse

3 Reuse

4 Return

5 Recycle

http://www.ricoh.com.au/services-solutions/environmental/machine-recycling-program

http://www.www.acfonline.org.au

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B5 How do we contribute positively to society?

What’s the issue?In Australia today, there are over 4.7 million people who are in some way affected by a serious or debilitating disability. Sadly, the trend in these figures is increasing.

We believe we have a role to play by helping to create opportunities for people with disabilities.

Another issue we are passionate about is educating and empowering the next generation on the path to sustainability.

The issue for us is how to develop programs which tackle the challenges these groups face. We also want to encourage the involvement of our staff to ensure these programs are sustainable over the long term and then embed them in the way we conduct our daily business.

What we are doing about it? Supporting people who have disabilitiesRicoh has been a long-term corporate partner of Sunnyfield, a professional and caring NSW-based organisation that supports people who have a disability. Our support is not merely philanthropic.

We support Sunnyfield in a number of ways. We contracted Sunnyfield Enterprises to handle the inventory control, and distribution of our marketing collateral on a national basis.

In early 2010, we engaged their services to handle the inventory control, packing and distribution of starter kits and their replenishment for our Consumables Recycling program.

We offer Sunnyfield many pro bono services, such as the design and printing of their marketing material.

Over the past 14 years Ricoh has contributed $990,000 to Sunnyfield’s Independence Fund. See page 58

We have expanded our staff volunteer program at Arranounbai School, a special needs school. We offered work placement positions to two of the senior students who were studying for their Higher School Certificate. See page 59

In 2008 and again in 2009 our volunteer program was awarded the CSR Best Practice ‘Hikarimono’ Recognition by the Ricoh Group. See page 59

Arranounbai volunteer program

Ricoh’s Financial Controller, Mike Sekulich was the inspiration behind the Ricoh staff volunteer program at Arranounbai School. This is a special needs school, catering for children from pre-school to year 12 with physical disabilities or medical conditions.

Mike began volunteering at Arranounbai during his lunchtime in 2007 and as a regular volunteer he experienced personally the impact of spending time with these very special children.

Wishing to ‘pay it forward’ Mike approached Pam Merlo, Ricoh’s Quality and Environment Manager to determine how to build an employee volunteer program which catered for the needs of the students

and staff at the school. The program was established in conjunction with Arranounbai School.

Building up from our core group of a dozen volunteers, we now have more than 30 volunteers who regularly assist at the school during their lunchtime. The program has been an overwhelming success for all involved. The students have gained confidence, self-esteem and have been challenged to become involved in group activities which extend their fine, gross motor and communication skills. Volunteers have experienced personal growth by giving back to community and knowing that their involvement has made a difference in the lives of these children.


Jin and Mel – Arranounbai School

http://www.ricoh.com.au/about/ricoh-australia/csr-enviro/sunnyfield

http://www.ricoh.com.au/about/ricoh-australia/csr-enviro/arranounbai

“ I have gained increased awareness of disabled issues, a strong sense of contribution to the community and it is fun working with the kids!”

Ben Thompson Business Process Analyst

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Call to action!

People living with disabilities have been excluded, forgotten and ignored in the past. They want the things everyone else in the community takes for granted – somewhere to live, a job, better health care, a good education and a chance to participate meaningfully in the community. We can be part of the solution. To learn more about disability and issues faced by disabled people, their families and carers and what you can do to help change this, read ‘SHUT OUT‘.

Sunnyfield volunteers

www.fahcsia.gov.au/sa/disability/pubs/policy/Documents/NDS_report_easy_english.pdf

Volunteering at Clean Up Australia DayWe invited Sunnyfield staff and residents to join us on Clean Up Australia Day 2009. The occasion provided us an opportunity to socialise and interact with Sunnyfield residents on a one-on-one basis, providing an insight into the lives and interests of these very special individuals. See page 62

Educating and empowering children in sustainabilityWe have continued to support earth education in Australian schools, through the sponsorship of the Earthkeepers™ program. By reconnecting children with the natural environment, we help them to learn that our environment is fragile and that everyone has a responsibility to take actions which lessen their impact on the environment on a daily basis. See page 60

We have continued our Sustainable Schools Art Competition, based on the theme ‘Our earth, Our tomorrow’. The competition gives students an opportunity to see their environmental concepts used in a large creative format and feel empowered through expressing their message. See page 61

Future plans

•Establish staff volunteer programs in our branches

•Continue to work with Sunnyfield on a Community Engagement program which will provide Ricoh staff the opportunity to meet and spend time with some of the incredible individuals they support and that the centre employs

•Expand our Sustainable School Art Competition nationally

•Encourage our customers to participate in our corporate social responsibility programs

•Expand our support of EarthkeepersTM into other states of Australia

•Establish a national Tree Planting Program

http://www.fahcsia.gov.au/sa/disability/pubs/policy/Documents/NDS_report_easy_english.pdf

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B6 How do we ensure Ricoh is a great place to work?What’s the issue?A fundamental issue for Ricoh Australia is how we gain, train, and retain productive and knowledgeable staff.

This issue cannot be divorced from:

•A tight employment market as Australia emerges from the Global Financial Crisis.

•The convergence of our technology with the IT market.

•The tyranny of distance, as Ricoh supplies and services every Australian state and territory.

•Changing generational motivational drivers. For example, the need to belong to an organisation and a belief in working smart, not hard.

What are we doing about it?These are some of the mechanisms Ricoh has used to identify or resolve key factors that affect workforce engagement:

•Talent Manager: Ricoh has integrated employees’ training development plans and salary reviews directly with the Talent Manager Performance System. See page 69

•Ricoh Workplace Survey: A Ricoh Workplace Survey was conducted in 2009 with the results benchmarked to external workplaces. A Net Promoter Score2 was applied that provided the percentage of people who are empowered and committed to change. See page 64

•Technician Engagement Survey: In 2008 Ricoh surveyed its technicians to identify gaps in the perceived importance and effectiveness of various elements that impacted the workforce. See page 65

Our Space intranet In March 2010, Ricoh Australia introduced its new corporate Intranet, ‘Our Space’.

The aim was to achieve better intranet patronage amongst staff and improve communication and content ownership, as well as to provide a single knowledge repository.

Our Space includes an Ideas Drop Box, news items, blogs, processes, policies, project- related activity and performance measures. The ‘How To’ (procedures) are written in wiki format, allowing staff to add, edit or comment on them. This allows for better collaboration and more up-to-date procedures.

The ‘Our Performance’ section incorporates graphs and descriptions of each performance measure in the balanced scorecard. The graphs are designed to illustrate:

•Actual performance: Where we are right now.

•Goal: Where we want to be.

•Historical comparison: Where we were at this point the previous year.

•Trend: Where we are likely to finish up in the current year.

2 A Net Promoter Score measures the number of advocates (those who would recommend) compared to the number of detractors (those who would not recommend) a brand or service.

In March 2010, Ricoh Australia introduced its new corporate Intranet, ‘Our Space’. The aim was to achieve better intranet patronage amongst staff and improve communication and content ownership, as well as to provide a single knowledge repository.

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‘Lavender fields - Tasmania’ – Diego Pereira

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Kaizen programOur Kaizen program encourages and assists staff to practice continuous improvement on a daily basis and promotes operational performance excellence.

Approximately 25 percent of Ricoh Australia staff received Kaizen training by FY 2009-10. Under the program, staff are trained in the principles of Kaizen and organised into virtual teams that constantly look for ways to improve business processes across the company and eliminate unnecessary waste of time as well as resources.

All Ricoh, employees are actively encouraged to submit ideas for improvement. The Managing Director recognises and rewards the best completed suggestion each month.

Occupation Health and Safety (OH&S) programsRicoh Australia recognises the need for each of its employees to be provided with a safe and healthy workplace environment. The company’s policy is to make every reasonable effort to prevent accidents, protect people from injury and promote the health, safety and welfare of all its employees.

Community initiativesRicoh Australia supports several community-based initiatives including Arranounbai school initiative; Sunnyfield – a NSW-based organisation that supports people who have a disability; EarthkeepersTM – an environmental education program for primary and high schools; and Eco Action Day (Melbourne Branch). We also support sporting activities such as the City-to-Surf Fun Run (Sydney), and City-to-Bay Run (Adelaide Branch).

Future plans•Double the percentage of staff trained in Kaizen from

the current 25 percent to 50 percent by 2010-11.

•Benchmark Kaizen with other Ricoh companies such as Ricoh New Zealand and Ricoh Hong Kong as well as comparable companies in the same industry.

•Form several new Kaizen teams, including a Knowledge and Training team and supplement this with additional Kaizen training. See page 67

• Implement an extensive mentoring program to equip managers with the skills required to effectively communicate to their staff how the organisation’s goals can be aligned with each employee’s priorities, KRAs and performance.

•Use Talent Manager, our online performance measurement program, to allow for divisional and personal mission statements.

•Launch an extensive series of rede2learn (our online education resource) desktop and business skills courses in June 2010 with snapshot versions provided for the ‘time-poor’. See page 69

•Provide additional development and training programs. See page 69

Our goal is to have a welcoming, inclusive workplace that staff will find rewarding and fulfilling. Each of us has a role to play to ensure this goal is realised.


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B7 Performance snapshot

This table is a snapshot of some of our key results indicators.

Key results indicators

Key results indicators Performance

▼▲■Target 2009 2008 2007 2006

Providing reliable products and services

First time fix – Service Calls ▲ 90% 88% 88% 87% 84%

Machine uptime ■ 95% 99.6% 99.6% 99.6% 99.5%

Average service call to response time ▲ 4 hours 2.7 2.6 3.4 2.8

Service Quality Index ▲ 0.52 .31 .4Not measured

Not measured

Customer retention ▲ 100% 95% 96% 89%Not measured

Continuous improvement

Projects raised ▲ Not set 11 6 3 N/A

Projects completed ■ Not set 12 – – N/A

Staff Ideas ▲ Not set 551 27 14 6

Acting on climate change

C02 emissions from electricity consumption and fuel usage (fCO2e/yr)

▲

Reduce emissions by 2% per head on 2007 levels

7.02 p/h 8.0 p/h 7.13 p/h 7.22 p/h

Emissions (tCO2e/yr) from employee air travel ▲ Not set 331 677

Not Measured

Not Measured

Waste to landfill – tonnes ▲Zero Waste to landfill

90.1 97.4Not Measured

Not Measured

Harmonising with the environment

MFP collection ratio ▼ 65% 37% 49% 48% 55%

MFP recycling ratio ▼ 90% 85% 86% 84% 92%

Toner cartridge collection ratio ▼ 53% 39% 35% 51% 46%

Toner bottle collection ratio ▲ 75% 74% 67% 71% 55%

Consumable recycling ratio ■ 98% 98% 98% 98% 98%

Tonnes of waste diverted from landfill ▲ Not set 602 629 551 520

■ Performance is stable ▲ Performance has improved since 2006 ▼ Performance has worsened since 2006

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Key results indicators

Key results indicators Performance

▼▲■Target 2009 2008 2007 2006

Contributing to society

Charitable expenditure ▲ Not set $110,000 $94,000 $95,000 $97,000

Volunteer activities – staff hours ▲ Not set 525 530 114 150

Number of children sponsored to undertake Earthkeepers™ earth education program.

▲ Not set 81 136 132 70

Being a great place to work

Employee Satisfaction Survey ■ Not set 73% – 73% –

Service Tenure Awards ▲ Not set 78 77 37 53

Staff engagement ■Australian average 25%

24.9%Not measured

Not measured

Not measured

Staff turnover ▲ Not set 11% 18% 21% 17%

■ Performance is stable ▲ Performance has improved since 2006 ▼ Performance has worsened since 2006

Our assessment of the impact of our products on global warming show that more greenhouse gases (GHG) are emitted from energy consumption and paper use as a result of product use by our customers than in any other step of the product’s entire lifecycle.

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‘Water view’ – Bryan Dalli

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C. What are our programs and achievements?

C1 How do we help customers embed sustainability and cut printing costs?

Continuing to improve the way we share and distribute information is part of how we help our customers manage their businesses using less waste, cost, complexity and CO2. As the global marketplace is constantly fluctuating, working towards sustainability will grow in importance. It’s not just better for the environment to reduce emissions, it makes good business sense. Ricoh therefore works hard to not just manage the environmental footprint of our products, but we also collaborate with customers to help them reduce their environmental footprint as well.

What is covered in this section:

•Better product use benefits customers’ triple bottom line

•Case study – Finance Express

•Case study – Printing securely at Hawthorn Football Club

Better product use benefits customers’ triple bottom lineOur assessment of the impact of our products on global warming show that more greenhouse gases (GHG) are emitted from energy consumption and paper use as a result of product use by our customers than in any other step of the product’s entire lifecycle.

Transferring the knowledge we have accumulated over the 30 years Ricoh has been undertaking environmental management, we are able to benefit our customers’ triple bottom line.

Our team of service technicians are actively engaging customers to switch to default duplex and using the energy-saving features of our range of products.

Our focus is on demonstrating how to utilise our products in their optimum energy-saving modes to reduce the associated CO2 emissions and introducing print rules and policies that reduce paper consumption.

By providing tools which can measure these aspects we assist our customers to manage the environmental impact associated with their use of our products.

Among key software tools that Ricoh uses to help customers cut costs are @Remote Green Reporting and Green Calculator.

@Remote Green Reports Ricoh’s remote device monitoring software @Remote, has already helped many of our customers automatically read meters, order replacement toner, receive device support information, and create detailed activity reports for all their devices.

You can’t manage what you don’t measure. To assist customers in measuring the environmental metrics related to how much energy and paper our products consume, we developed @Remote Green Reports.

Using @Remote Green Reports allows organisations to:

•Measure: compare against corporate goals or policies for reduction in energy and paper consumption

•Manage: set priorities for improving current environmental performance, raising existing benchmarks

•Plan reductions: translate energy and paper usage data into reports with detail paper and electricity cost savings and CO2 reduction trends

Our @RemoteTM Intelligent Management System monitors networked printers and MFPs, enabling customers to identify over and under utilised print devices, automate tasks and the minimise the total cost of ownership (TCO). @Remote Green Reports extends this capability to capture TCO from an environmental perspective.

@Remote collects select environmental data from our networked printers and MFPs at multiple locations and securely transmits the information to a Ricoh data centre where it is processed to create informative Green Reports.

Green Calculator The Green Calculator gives data for specific devices based on ‘typical electricity consumption’ (TEC) values. It also provides information on the number of trees that need to be planted to offset the carbon emissions for the devices.

http://www.ricoh.com.au/services-solutions/office-software-solutions/manage-your-devices/remote

http://www.ricoh.com.au/services-solutions/environmental/total-green-office-solutions

The Green Calculator gives data for specific devices based on ‘typical electricity consumption’ (TEC) values. It also provides information on the number of trees that need to be planted to offset the carbon emissions for the devices.

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Finance ExpressLocated near the border of Victoria and New South Wales, Albury-based Finance Express Home Loans is a locally owned business that has gained a strong reputation for high levels of client service in a competitive market. The company, which is owned and operated by two well-established brokers, is renowned throughout the region as being responsive and, above all, professional and reputable.

Challenge: A paperwork nightmare The world of finance is, by its very nature, one of a seemingly endless stream of paper. Contracts, building permits, plans, general correspondence – they’re just a handful of the myriad of documents that are accumulated daily by Finance Express.

For Marg Bevis, the company’s administration manager, maintaining a paper-based file system had reached almost nightmare proportions. It was taking up to half an hour to locate a client file. Add to that the time required for properly collating incoming documents then inserting them into the correct file, distributing them to brokers then refiling, and it was easily becoming the most labour intensive administration task within Finance Express.

Solution: A Ricoh Laserfiche solution It was a visit to the Finance Express offices by a representative from a Ricoh Business Partner that marked the opportunity to end the nightmare. “Our Ricoh Business Partner had already had discussions with one of the owners about our document management problems,” Marg said, “and when he came in and talked to me about what could be done with a Ricoh MFD [multifunction device] and Laserfiche solution, the benefits were immediately obvious.”

A solution for the past Where Finance Express offices and off-site storage were previously almost overflowing with filing cabinets and archive boxes, the Ricoh MFD and Laserfiche solution is the means by which the tide is being stemmed and pushed back. Archived files, which can easily have anything up to 300 pages, are now being scanned on the Ricoh MFD and stored in Laserfiche within a matter of minutes.

A solution for the present With the Ricoh solution resulting in much improved speed of file location, distribution and access, Finance Express is gaining more of one of business’s most critical commodities – time. Where it may have taken anything up to half-an-hour to locate a client file stored off-site and have it delivered to the partner, it’s now close enough to being considered immediate.

Contributing further to the time efficiency of Finance Express is the Ricoh solution’s fax management model. When it comes to outgoing faxes, a document required by a bank, for example, can now be faxed to the bank, emailed to one or both of the partners, and automatically stored to Laserfiche with nothing more than a few pressed buttons on the Ricoh MFD. It’s a case of a single operation invoking a sophisticated document workflow for multiple outcomes.

“Considering we often receive faxed contracts of up to 40 pages from financial institutions – and generally only two of those pages need to be in hard copy – the paper savings are continually increasing,” Marg said.

A solution for the future “As the business grows – and this is definitely occurring – improved efficiencies are crucial; and the Ricoh solution and partnership with the Ricoh Business Partner is enabling us to capitalise on that growth without the burden of having to employ additional personnel or purchase and implement additional support systems,” she concluded.

C. What are our programs and achievements? continued

Case Study

On 3 June 2010, Ricoh Australia partnered with Hawthorn Football Club and provided the Future Spark trailer.

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Printing securely at Hawthorn Football Club As one of the most successful AFL clubs with 10 Premierships, the Hawthorn Hawks is backed by a team that goes beyond coaches. From finance and IT through to membership and merchandise, each department contributes to the Club’s success on and off the field.

Part of Hawthorn Football Club’s five year business plan is to increase their financial strength by delivering sustainable annual profits of no less than $2 million. To improve document management, the Club needed to:

•Extend document security as many of their documents contain information relating to player contracts, reports about opposition and fitness reports

•Reduce waste derived from printing such as energy, paper and consumables

•Centralise document management to add accountability and simplify use

The solution The benefit

Reduction in printers, faxes, scanners and MFDs from 15 down to 5 MFDs

•Significant cost savings

•Reduced environmental impact

• Increased available floor space

• Improved functionality

Introduction of Equitrac’s Follow You Printing, where all print jobs are securely held on a central print server until released by user using their smartcard

•Reduced waste

• Improved security

•Ability to manage throughput down to user level

• Improved workload balance

Ricoh saw ample opportunity for the Club to improve office workflows and conducted an Office Consulting audit. As a result they have implemented hardware and software solutions across the Club’s head office that has added accountability, reduced environmental impact and improved information confidentiality.

“Instead of having the fifteen standalone printers scattered around the building, we now have five Ricoh multifunctional devices giving us the capabilities to print, copy, scan and fax. From an IT Manager’s perspective, we can now monitor the number of black and white, colour and even the ratio of single to double sided printing,” explained Michael Nelson, IT Manager of Hawthorn Football Club.

To add accountability, security and further cost reductions to document management, Ricoh implemented Equitrac Office with Follow You Printing, which ensured document security.

Follow You Printing also provides the ability to allocate costs back to business units, so the Club’s finance team can better manage budgets and reduce costs associated with printing.

“When it comes to paper and toner, we’re seeing a dramatic reduction in wastage by taking advantage of the ability to have the printers automatically enforce print and copy quotas. That same feature means also that we’ve almost totally eliminated unauthorised use of printers,” explained Terrey Dillon, Chief Operating Officer of Hawthorn Football Club.

“Add to that the 14 percent savings we’re gaining in power consumption and consolidation of consumable purchasing, we can clearly see how a more efficient print solution contributes to meeting one of our key business goals. That is, growing the Hawthorn Football Club’s financial strength by delivering sustainable annual profits of at least two million dollars,” Dillon added.


Case Study

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C2 How are we providing reliable products and services to our customers?

In order to pursue our mission of “working closely with our customers to create innovative, unique and tailored solutions that truly deliver business efficiencies to support knowledge management”, we need to ensure that we are actively listening to the marketplace in which we operate. Regular customer satisfaction surveys are conducted to gauge how we are perceived alongside our competitors. From there, the various ways we communicate and connect with our customers are assessed and new services are introduced, to ensure that we are continually improving our offering.


•Ricoh highly ranked in customer satisfaction survey

•Technical Service network

•Service Quality Index scores

•How well our technicians performed

•Case study: Locating machines faster

•Customer service from branch to international level

•Global Knowledge Management System

Ricoh highly ranked in customer satisfaction surveyWhen Research International conducted a customer satisfaction survey of Ricoh and its competitors, we achieved the highest satisfaction score in the top three drivers of satisfaction:

•Product and services/solutions.

•Order and delivery of copiers.

• Installation.

Part of a larger Asia-Pacific survey by Research International, the Australian survey was conducted nationally across a sample of 700 businesses. The customers interviewed were sampled from 7,000 small and medium enterprises, commercial and government clients of Ricoh and four competitors.

The survey’s objectives were to analyse overall customer satisfaction and recommend actions to improve customer loyalty and retention.

Entitled ‘Benchmarking Ricoh’s performance against competitors’, the survey’s aims were to:

•Ascertain satisfaction and loyalty level of existing customers.

• Identify problem areas and opportunities for improving customer loyalty.

•Understand customers’ needs and perceptions.

The brands covered were Ricoh, Fuji Xerox, Konica Minolta, Canon and Lanier. In telephone interviews, customers gave reasons for their choice of a particular brand and ranked their overall satisfaction with that brand. An 11-point scale was used to assess the performance of each brand. The ratings ranged from zero for very dissatisfied to ten for very satisfied.

The resulting report said Ricoh’s customers were loyal to their brand and 82 percent would repurchase the product, while 79 percent would recommend the brand to their friends.


82%

of Ricoh’s customers would repurchase the product

79%

of Ricoh’s customers would recommend the brand to friends

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Total Ricoh

Product and services solutions 94 97

Installation 92 97

Order and delivery of copier 92 96

Order and delivery of supplies 92 93

User training 95 100

Technical support 93 100

Sales representatives 88 95

Customer service hotline 88 100

Complaint handling 50 60

Ricoh’s satisfaction level is above the market average in the top three important drivers of satisfaction.

Ricoh’s overall performance in Product Features and Service Solution is above market average and ranked in first place. Ricoh also scored very well in terms of the user training, Technical Support, and Customer Service Hotline.

“Overall, Ricoh has performed very well in all the areas...Ricoh should continue to keep up the high level of performance in driving high customer satisfaction”. Benchmarking Ricoh’s performance against competitors’ by Research International.


Products and services solutions

Total Ricoh

Overall satisfaction 94 97

Security features 74 84

Product range 89 93

Hardware reliability 90 96

Ease of use of copiers 92 96

Overall imaging quality 93 93

Frequency of toner replacement 86 90

Software solutions 80 84

Network integration 89 92

Quality of output 93 94

Environmental benefits 71 79

Speed of device 88 97

Reliability of product 92 95

Installation services rating

Total Ricoh


Time taken to install hardware 93 100

Competence of hardware installers 93 97

Time taken to install software 87 96

Competence of software installers 90 94

Initial introduction 88 93

Ricoh performed better than market average in installation service.

Tier 1 importance in driving satisfaction

Tier 2 importance

Tier 3 importance

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Order and delivery of copiers

Total Ricoh


Ease of ordering 91 94

Product availability 91 96

Provision of delivery time 88 93

Delivery on time 91 94

Ricoh performed better than market average in all aspects in copier delivery.

Order and delivery of supplies

Total Ricoh


Ease of ordering 93 88

Supplies availability 90 95

Delivery on time 91 89

Ricoh performed well in terms of overall satisfaction in order and delivery of supplies.

User training


Total Ricoh


User training content 94 100

Trainer knowledge 94 98

User manual 87 95

Ricoh set the benchmark in user training and is leading the level of satisfaction in this area across all aspects compared to all brands.

Technical support

Total Ricoh


Speed of response 88 97

Helpfulness of technician 94 97

Speed of resolution 91 100

Clarity of explanation 85 94

Competence of technician 93 100

Maintenance of machine 91 97

Ricoh has outperformed in all aspects in technical support compared to the competition.

Sales representatives

Total Ricoh


Ease of contact 87 100

Helpfulness of agent 89 94

Responsiveness 85 97

Quality of self-help guide 81 79

Ricoh also performed the best in the market in terms of sales representative.

Customer service hotline

Total Ricoh


Ease of contact 87 100

Helpfulness of agent 89 94

Responsiveness 85 97

Quality of self-help guide 81 79

Ricoh scored 100 percent in overall satisfaction and ease of contact when it came to the customer service hotline. Customer service agents were highly rated.

Complaint handling

Total Ricoh


Ease of logging a complaint 75 100

Competence/helpfulness 57 100

Updates on progress 36 50

Speed of resolution 50 60

Effectiveness of solution 60 80

All Ricoh scores were better than the market average, with 100 percent ratings for Ease of logging a complaint and Competence/helpfulness.

Ricoh’s satisfaction level is above the market average in the top three drivers of satisfaction.

‘Split Point Lighthouse, Aireys Inlet’ – Jerry Randall

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Technical service networkWe operate through a direct branch network in all capital cities with country areas covered by an extensive dealer network of more than 70 outlets.

There are approximately 200 Ricoh trained technicians operating throughout the Australian Ricoh network and a full time help desk providing on-line support direct to customers. A 1300 number is used nationally for fault reporting.

Instant data on all service activity throughout Australia is delivered via an IBM AS400 system from our head office in Frenchs Forest to Brisbane, Melbourne, Adelaide Perth and Sydney CBD. This allows monitoring of all calls placed to our dealer networks in country areas along with various service management reports and account information.

All technicians receive full training and technical support through our National Training and Technical Support Centre at Frenchs Forest or locally at their office. Full service and parts manuals or CDs are supplied at the completion of each training course.

Modifications and technical bulletins are regularly received from Ricoh manufacturing and immediately posted to our Technical Website – available to all Ricoh branches, and dealers. Technicians are able to access the latest information from the worldwide Ricoh website and notify Technical Support of field problems and fixes.

Ricoh’s Remote Diagnostic System allows our engineers to dial in directly to a fax machine and make adjustments and programming changes online, saving our customers valuable time. This system can also help detect machine component or line problems on most models.

Service Quality Index scoresRicoh Australia began extracting Service Quality Index (SQI) averages in late 2008. The low SQI is consistent with Ricoh’s desire to improve machine reliability through better technician efficiency and product quality.

Service Quality Index 2008 2009

Ricoh Australia (Best) 0.34 0.31

Regional Average 0.43

Regional Goal 0.52 0.52

Developed by Ricoh, the SQI is a reporting mechanism that allows us to monitor performance of machines in the customer’s environment and improve technical service delivery. The overall objective of the SQI is to identify and fix under-performing machines for customers in a proactive manner.

SQI reporting allows Ricoh Service Managers to proactively manage the customer’s experience of Ricoh equipment and to decide on issues for escalation on technical grounds. The SQI index is run daily and sent to each state Service Manager.

The objectives of the SQI reports are to:

•Apply a performance scoring index (SQI) against service call data to identify under-performing machines.

• Increase customer satisfaction.

• Identify and address any shortfalls in service technician practices.

•Trigger notifications to service managers to take action before the customer is aware that there is a problem.

The system checks the service performance for Ricoh machines over the previous 30 calendar days and calculates an SQI score using the following table:

Service Quality Index points allocation

Area of dissatisfaction Service issue description Points

Recurrence of a problem Service call occurs within 14 days of another call for the same problem 1

Service call not fixed first time Not fixed first time – Return call booked 1

Failure after a preventative maintenance Service call logged within 14 days of a preventative maintenance call 1

Time taken to respond and repair machine

Machine down for more than 240 minutes (four hours) 2

Frequent failures for a machine Three or more service calls occur within a 30 day period 1

Frequent failures for a machine Service call occurs within seven days of previous service call 1

New installation failure Service call occurs within 30 days of installation 3

A low value indicates a high level of performance, including number of service calls, repeat faults and time taken to repair. For example, if an active machine was installed within the last 30 days and had a service call during that time, this would attract three points.

With this type of flexible view reporting, Ricoh Australia has become faster at responding to customer needs, whilst also maintaining service level agreements above expectations of the contractual agreement.


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How well our technicians performedOver the last four years, Service Management has worked towards increasing technician efficiency, including ongoing reviews of technician van stocks and restructuring of technician teams, so they are based on product rather than geographic area. This has resulted in more experienced teams with corresponding improvements in efficiency.

Repeat calls percentage

2007 2008 2009

RAP Actual 12.4% 12.0% 11.8%

Trend 12.6% 12.0% 11.4%

Goal 10.0% 10.0% 10.0%

Machines per technicianThe following results are due to the high level of technician training and the flow-on efficiencies and improvements that follow.

2007 2008 2009

RAP Actual 245 239 257

Customer first call resolutionBetter training of Customer Care Representatives (CCRs) and availability of our Global Knowledge Base have contributed to the improvement in customer first call resolution.

2007 2008 2009

RAP Actual 8.6% 12.3% 15%

Trend 9.2% 12.2% 15.1%

Technician first time fix The improvement in technician first time fix demonstrates our push to increase technician efficiency.

2007 2008 2009

RAP Actual 87.4% 87.8% 88.6%

Trend 86.4% 87.5% 88.7%

Goal 90.0% 90.0% 90.0%

Ricoh Australia uses Planned Maintenance Kits in our preventative maintenance and break-fix service program. These kits enable service technicians to replace an entire module from a machine during a service call and return the machine to an operating state quickly and efficiently. Technicians also perform preventative maintenance to contract machines at no charge and if a machine needs to be taken away for service, a loan machine is provided.

Call to response achievementThe lower call to response results for 2009 are due, in part, to the increase in customer machines-in-field, and difficulty experienced in sourcing technicians. The percentages shown give the ratio of the time taken for technicians to respond to calls compared with the contracted resolution time.

2007 2008 2009

RAP Actual 80.6% 83.3% 77.3%

Machine uptimeGood service management, product quality and a high level of technician training have allowed us to achieve over 99 percent uptime over the last three years.

2007 2008 2009

RAP Actual 99.6% 99.6% 99.6%

Trend 99.6% 99.6% 99.6%

Goal 95.0% 95.0% 95.0%

Customer complimentsRicoh’s Voice of Customer program helps us to better understand customer needs and strive to exceed their expectations.

2007 2008 2009

Compliments 17 14 28

Trend 19 19 20

Customer complaintsBy listening directly to our customers, we have a better chance of detecting issues before they become problems.

2007 2008 2009

Complaints against RAP 17 20 13

Complaints against Dealer

17 13 12

Complaints: Total 34 33 25


We operate through a direct branch network in all capital cities with country areas covered by an extensive dealer network of more than 70 outlets.

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‘Sydney Opera House’ – Bryan Dalli

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Case Study

Helping technicians locate machines faster Technicians on customer service calls often have difficulty finding machines located on large sites, such as hospitals or universities. While technicians receive an email with details of the call, the information is often insufficient when it comes to finding the particular machine quickly. The technician can sometimes spend up to an hour searching for the building and floor where a machine is located, placing pressure on meeting the contracted response time. This causes more stress and frustration for the customer and technician, and leaves less time to respond to other service calls.

The Kaizen Team Impact emailed all Ricoh account managers in Adelaide, asking if they could provide maps for any large customer sites which they looked after. The account managers contacted the customers, who were happy to provide the maps. Copies of maps were then given to each technician.

Customers appreciated Ricoh’s proactive approach to providing better service. The benefits include:

•Technicians save time locating a machine and nearby parking before they arrive on site.

•Response times have improved.

•Customer satisfaction has increased due to improved response times.

•Technicians experience reduced stress and frustration levels.

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Customer service from branch to international levelWe provide multiple levels of customer service from branch, national to international level. The levels are outlined below.

1) Branch Customer Training RepresentativesAt the basic level we have 10 customer service representatives attached to each branch, who train customers on how to operate equipment correctly and use simple troubleshooting techniques.

2) Online Service CentreThe Online Service Centre (OLSC) allows Ricoh technicians and dealers to receive and respond to field service calls and manage service jobs and parts.

3) National Contact CentreRicoh operates a full time National Contact Centre help desk providing on-line support to customers between 8.30am - 5.00pm on business working days. The contact centre’s priority is to try to resolve problems over the phone. If a problem cannot be resolved, the centre dispatches a field service technician to the customer.

4) National Technical SupportWhen necessary, the National Contact Centre escalates issues to National Technical Support (NTS), which solves hardware, software or networking technical problems. NTS also deals with calls from branches and dealer technicians needing assistance with troubleshooting and problem resolution.

5) Regional and Global Support CentresOccasionally, NTS may escalate calls to the Regional Support Centre in Singapore, and if required, to the Global Support Centre in Japan. This body, in turn, can interface with the Ricoh R&D Centre in Japan. In addition to the direct services provided to our customers, Ricoh uses sophisticated business intelligence tools to drive preventative maintenance cycles and target areas of service delivery for continuous improvement.

Global Knowledge Management System In 2008, National Technical Support launched the Technical (Tier 2) Global Knowledge Management System to Ricoh Australia branch and dealer service and support staff. It contains technical articles published by Ricoh staff across the world and is accessed from the ‘Global Knowledgebase’ link on the Ricoh Australia Technical website.

The SAI Global ISO 9001 / 14001 Surveillance audit report, 2008 said there had been a good roll out of the Global Knowledge database that is ‘providing sophisticated levels of case history and product knowledge that is well utilised for case management’.

The website also contains a link to the Local Knowledge-base articles that describe resolutions provided to issues raised by Ricoh Australia branch or dealer field service staff. This comprehensive database has allowed our field service technicians to solve more complex product faults, and provide improved customer service by minimising machine downtime.


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C3 How are we harmonising with the environment?

Our commitment to lead by example and use our expertise and resources to minimise our impact on the environment and effect positive change in the community is core to who we are.

We believe by focusing our expertise and resources in specific areas we can realise results which will be critical to our long-term success, and is an opportunity to differentiate ourselves from our competitors. Many of the biggest global challenges we face are social and environmental. By integrating sustainability into our overall business strategy we are turning these challenges into opportunities.


• Implementing our environmental leadership strategy.

•Reducing our environmental impact and encouraging others to act.

•Working towards our zero-waste-to-landfill goal through recycling.

•Cutting our greenhouse gas emissions.

•Case study: video conferencing cuts travel costs and emissions.

How are we implementing our environmental leadership strategy?

Our approachOur environmental leadership strategy was developed to integrate our efforts to reduce overall environmental impact and our community involvement with our corporate mission. The strategy was created to help us focus our efforts in three areas and achieve greater impact.

Our environmental leadership strategy is underpinned by three pillars which we are passionate about: people, planet and performance. Organisational responsibility for environmental leadership lies with the managing director and our Environmental Leadership Group, led by our business excellence manager. They then support the Kaizen Midori (Green) team and the company to deliver on the strategy.

However, ownership of initiatives in these areas is spread throughout Ricoh with each branch and department within the organisation using their resources to make a difference.

We are empowering individuals to look for ways to minimise their environmental impact on a daily basis by adopting Kaizen. This system encourages our employees to suggest small improvements on a regular basis and improve productivity, safety and effectiveness whilst reducing waste.

By taking a hands-on approach to our interaction with the community, we design programs which encourage the involvement of our employees, then embed them in the way we conduct our day-to-day business to ensure their sustainability.

Our approach: working together to minimise our impact and contribute constructively to society

Our toolkit: the range of resource we have available to minimise environmental impact and contribute constructively to society.

Where we focus

Acting on climate change Reducing environmental impact Contributing to society

By reducing our impact and developing technology to assist our customers’ ability to measure, manage and reduce their emissions through the use of our products.

By developing and implementing programs as well as developing technologies which ensure resource conservation, maximise recycling and pollution prevention.

By supporting communities in need as well as empowering and educating today’s youth on the need to reduce their environmental footprint.


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How we are reducing our environmental impact and encouraging others to act?

Our approach:

Product designLife Cycle Analysis (LCA) means quantitatively identifying which and how much environmental impact exists in the lifecycle of products. This covers everything from resource extraction for the production of raw materials, to manufacturing, transportation, marketing, maintenance, collection, recycling and disposal.

We use LCA-based design to set targets to reduce the environmental impact of our products throughout their lifecycle and the Plan Do Check Act cycle is used to achieve these targets.

We have a long history of recyclable design. Making products smaller and lighter is a very effective way to conserve resources. Using products with recycling in mind allows for ease in dismantling, sorting, recovery and recycling.

Our assessment of the impact of our products on global warming shows that 62 percent of CO2 emissions generated from a product’s lifecycle are produced while it is in use at a customer’s site. This is substantial when compared to the production, transportation, marketing and maintenance of a product. As a result, we have concentrated our efforts on improving our energy saving Quick Start-up (QSU). We are committed to developing technology aimed at reducing the recovery time from energy saving mode to less than 10 seconds in order to encourage customers to use the energy-saving mode without impacting on productivity.

Using our QSU energy-saving technology, 14 of our black and white multifunction devices are able to recover from sleep mode in 10 seconds, whilst seven of our colour multifunction devices recover from panel off mode in less than 10 seconds. In both cases the default time set after machine usage is one minute. This allows our customers to achieve significant savings in electricity consumption and its associated emissions.

Strategic sourcingWe strive to reduce the environmental impact of our product across their lifecycle by creating solid partnerships with our suppliers. By setting standards for green procurement when sourcing raw materials, parts and products we ensure that parts and products are manufactured in plants that are advanced in environmental conservation.

We set the standards for environmentally sensitive substances that could be used in our products back in 1993. Since then we have been working to reduce the levels of these substances. All Ricoh products manufactured since 2006 comply with the European Union Restriction of Hazardous Substances (RoHS) Directive. In addition we established a Chemical Management System to ensure we comply with the REACH regulatory framework.

ManufacturingTo effectively reduce the environmental impact of our products, Ricoh Group has developed RICO2RET (Ricoh CO2 Reduction and Evaluation Tool) to calculate the CO2 emitted during the parts manufacturing process. By displaying the calculation results using graphs it is possible to quickly identify processes that entail high CO2 emissions. This highlights areas to target for impact reduction.

We have developed a tin-free, low temperature fixing eco-toner with less environmental impact in the production process, called PxP toner. Our colour PxP toner, made from newly developed polyester resin, is designed to fuse at temperatures 20°C lower than its predecessor while achieving a higher picture quality with fine and uniform particles. The lower fusing temperature means the copier/printer consumes less energy when in use.


Environmental impact

INPUT DATA

OUTPUT DATA

RICO2RET

Energy forproduction

facilities operation

Energy forair conditioning,

lighting etcManufacturing

supplies

Waste amount(mass)

C02-kg

Material

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TransportationUsing supply chain management in logistics for procurement, manufacturing and sales, we aim to reduce CO2 emissions and costs.

The opening of our distribution centre in Perth in August 2009 allowed for direct shipments from Hong Kong, of products destined for distribution in Western Australia. This eliminates the four-day road trip from Sydney to Perth. It also ensures we have a constant supply of just-in-time manufactured goods. The result is a real reduction in CO2 emissions, customer lead time and cost.

We use reverse logistics in our service parts recycling program, which has reduced the distance travelled by technicians to drop off used parts reclaimed during the servicing of our customers’ machines.

In 2008 we began purchasing diesel vans and crew cabs for service technicians, resulting in a considerable saving in fuel. We now have 17 of these vehicles and plan to increase the fleet in 2010.

Our greenhouse gas (GHG) assessment showed us that flights made up for 8.5 percent of our overall emissions. In 2009 we installed video conferencing into our meeting rooms at head office, our five branches and the Printing Innovation Centre located in Sydney.

The installation of video conferencing facilities has reduced the need for employees to travel interstate for meetings. Video conferencing has significantly reduced the emissions associated with employee travel and allows for greater workplace efficiency, as it eliminates the time previously lost whilst employees were in transit. See page 57

How do our recycling programs approach our zero-waste-to-landfill goal?Our Consumables Recycling Program set the benchmark for our industry back in 2001. We applied our zero-waste-to-landfill approach to our recycling programs for machines, consumables and service parts. Since then we have been actively working to continually enhance our consumables recycling program to reduce waste, CO2 emissions and complexity.

In 2008, we appointed Sims E-Recycling on a national contract to recycle our end-of-life machines and service parts to achieve a 98 percent resource recovery rate. Sims E-Recycling is the world’s largest e-waste recycler and a trusted partner.

By engaging Sims E-Recycling for our Product Stewardship programs we have been able to further automate and integrate our machine and consumables recycling programs.

A total of 3239 machines, including peripherals, have been recycled from April 2008 to March 2010. Of these machines, 34 percent were recycled achieving a resource recovery rate of 98 percent, with a further 15 percent achieving a resource recovery rate of 95 percent. We are now closer to achieving our zero-waste-to-landfill goal.

As an industry first, we launched a parts recycling program using reverse logistics from drop point locations where our service technicians collect the parts they need for the jobs allocated to them each day.

Our initial implementation plan for the rollout of high resource recovery machine recycling program to all branches was delayed due to the Global Financial Crisis and the uncertainty surrounding its outcome. We plan to address this in the upcoming financial year.

By incorporating our recycling database into our Customer Relationship Management system we can provide our account managers with full visibility of their customers’ use of our program and enable them to show the mass of waste diverted from landfill.

To date all of our recycling programs have combined to successfully divert 3534 tonnes of waste from landfill.


Our Consumables Recycling Program set the benchmark for our industry back in 2001.

http://www.ricoh.com.au/services-solutions/environmental/consumables-recycling-program

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Results of our Product Stewardship Recycling Programs

2008 Fiscal year Multifunction Printers (MFD)*

Facsimile Machines*

Laser Printers* Toner Cartridges**

Toner Bottles**

Actual collection ratio 49% 24% 18% 35% 67%

Internal target 55% 35% 35% 50% 60%

Regional KPI 61% N/A N/A 50% N/A

Actual recycling ratio 86% 80% 71% 100% 100%

Regional KPI 95% 95% 95% 95% 95%

2009 Fiscal year

Actual collection ratio 37% 11% 18% 39% 75%

Internal target 55% 30% 30% 40% 70%

Regional KPI 65.5% N/A N/A 52.5% N/A

Actual recycling ratio 85% 55% 71% 100% 100%

Regional KPI 95% 95% 95% 95% 95%

Tonnes of waste diverted from landfill

Type of waste 2008 Fiscal year 2009 Fiscal year

Cardboard 270 314

Comingle 11 12.9

Consumables 42.5 46.4

EPS Expanded Polystyrene .26 0.07

Glass .25 .3

Metal 1.8 1.4

Machines 242.7 169

Paper 29 40

Printed circuit boards .12 .11

Plastic 5.5 11

Soft plastic 6.1 3.1

Total 609 598

Recycling in-houseActing on advice from one of our Kaizen teams, we have expanded our in-house recycling with the introduction of colourful recycling bins, incorporating organic waste and composting. The mandate was to improve our internal environmental performance. The bins are placed throughout the organisation to allow for proper recycling and reduction of the amount of waste which ends up in landfill. Compost bins for organic waste have also been purchased and are used for gardens surrounding our premises.

* Machine Collection Ratio – the number of machines collected in the current year compared to the number of machines sold five years prior. **Consumable Collection Ratio – the number of cartridges/bottles collected in the current period compared to those sold six months prior.


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How are we cutting our greenhouse gas emissions?We engaged Carbon Planet to conduct a comprehensive assessment of our greenhouse gas (GHG) emissions for our entire Australian operations, covering activities undertaken in 2008.

The scope of the assessment included Scope 1, 2 and 3 as defined by the GHG Protocol. Whilst we are well below the reporting threshold of the National Greenhouse and Energy Reporting Act 2007 (NGER) we felt it was important to cover all three scopes to better understand the reporting requirements many of our customers were required to meet.

We produced an overall total of 7940.8 tonnes of GHG emissions, also known as CO2 equivalents (CO2e). This total includes indirect contributions along the supply chain (Scope 3 emissions).

The minimum mandatory reportable emissions were 3836.1 tonnes of CO2e, as defined by Scope 1 and 2 emissions covered under the NGER Act 2007.

Utilities were the largest contributor to our CO2e emissions, accounting for 32.1 percent of emissions across all three scopes. Our electricity consumption at 2127 MWh per annum was the major contributor and is the area we will be focussing on closely in the next reporting period.

Our result of 3836.1 tonnes of CO2e means we will have no mandatory reporting obligations in the foreseeable future. We will continue to independently conduct GHG assessments of our operations.

In addition we underwent a Level 1 Energy Audit of our head office facilities in Frenchs Forest. The result of this audit was that our head office site’s Energy Performance Indicator is 1,073 MJ/m2. Based on available data, this energy consumption intensity is average and comparable to an unofficial NABERS Energy Rating of 2.5 stars.

The report provided an outline of energy-saving measures that we are currently working on.

CO2e emissions from electricity and fuel usage per head of staff

2008 Fiscal year

2009 Fiscal year

Actual result 8 tonnes 7.02 tonnes

KPI reduction by 2% per head over baseline of Fiscal Year 2007

8% increase 5% reduction

A summary of GHG emissions for Ricoh Australia Pty Ltd

We formed a Kaizen team whose focus is looking at ways we can improve our environmental performance internally. Team Midori is working closely with our workforce Kaizen team to right-size, streamline and optimise the use of our own office equipment in order to gain significant improvement in our environmental footprint.

The introduction of our new company intranet Our Space has provided an ideal vehicle for the environment leadership team to influence behavioural change in terms of reducing our environmental footprint—at work and at home. This can be seen in the use of regular blogs, news items and educational articles. We also participate in events to highlight the importance of carbon reductions. For example we participate in Earth Hour held in March each year.

We are publishing results of our performance in key environmental areas on Our Space on a monthly basis to encourage continuous improvement by making them visible to all employees.


25.5%

32.1%

18.2%

12.0%

8.5%

3.7%

Utilities

Employee Services

Business Flights

Transport Fuels

Third Party Services

Equipment

Case Study

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Video conferencing cuts travel costsThrough a new video conferencing facility, Ricoh is saving $40,000 a year in travel costs, including airfares, car hire, taxis and accommodation. It is also reducing its carbon emissions.

In 2009, Ricoh decided to investigate video conferencing as a means of delivering a better customer experience when demonstrating its products and solutions.

Traditionally, demonstrations were held in regional offices in the state capitals, or in Ricoh’s state-of-the-art Printing Innovation Centre (PIC) in Sydney. Ricoh would fly specially trained staff around the country and major clients interstate to Sydney.

This procedure had several drawbacks:

•Sending staff to regional centres not only incurred travel expenses but was leading to hours of lost productive time.

•Flying customers into Sydney was incurring costs, not to mention the inconvenience for the customers.

•Demonstrations in the regional centres do not have the same impact as in the PIC.

Ricoh deployed a video conferencing solution into its existing network, with video conferencing units in standard meeting rooms at head office, the five regional branches and the PIC.

Specialists from around the country now attend demonstrations online to explain features and answer questions. Wireless handheld cameras also provide virtual tours and show equipment in action. The result has been a richer and more compelling experience for customers.

Our relationship with our customers is being strengthened, as we have enhanced the overall experience in our showrooms and the national PIC.

“We can conduct product demonstrations and share solutions more efficiently, and we can turn jobs around more quickly and be more responsive in the bidding process, resulting in an increased rate of sales conversion. Essentially, we are doing more for less, which makes incredibly sound business sense,” stated Philip Henry, General Manager of Marketing and Product Management.

Since the inception of the service, we have averaged three hours per day in video conferencing. Now it has a central role in communications across our organisation for activities such as product planning, sales, technical support, staff training and everyday management.

“As a service-based company, responsiveness is our lifeblood, enabling us to remain competitive. Video conferencing is already reinventing the way our staff can communicate with each other and with our customers. There is greater workplace efficiency and less environmental impact thanks to a reduced need for employee travel time,” said Henry.


Stuart Haywood, Product Manager during a video conference.

Stuart Haywood, Product Manager in the Printing Innovation Centre

Ricoh’s Printing Innovation Centre, Sydney

Ricoh Printing Innovation Centre, Sydney

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C4 How are we contributing to the community?

Our approach:Our goal is to enrich the communities we operate in by supporting people living with disabilities. Besides providing funding, volunteering and sharing our expertise through probono services, we use the services of organisations we support and encourage other companies to do likewise.

We have expanded the opportunities for our employees to volunteer their time to assist people living with disabilities, both at Sunnyfield and at Arranounbai School.

Staff are encouraged to participate in CSR activities through Ricoh’s induction program, word-of-mouth and advertising on company notice boards. This has led to a sharp increase in staff participation across the business from 350 volunteer hours in 2007 to 440 in 2009.

What this sections contains:

•Sunnyfield sponsorship.

•Arranounbai School volunteer program.

•Contributing to education in sustainability.

Sponsoring Sunnyfield Despite the Global Financial Crisis our financial commitment to Sunnyfield did not diminish. Les Richardson, our managing director, presented a cheque for $80,000 to Frank Francis, Sunnyfield’s CEO, at their Annual Beaches Breakfast held in March 2009. A further $80,000 was presented to Sunnyfield’s chairman of the board at the event held in March 2010.

These donations brought the total amount we have contributed to Sunnyfield over the past 14 years to a total of $990,000.

Sunnyfield is a professional and caring NSW-based organisation that supports people who have a disability, enabling them to overcome challenges and live as they choose amongst the community. Sunnyfield is an industry leader in the sector as well as one of the largest providers in NSW.

Sunnyfield provides essential services to over 1,700 people with a disability such as residential accommodation, supported employment, respite options for families or carers who need a break, day options, training and education. In order for Sunnyfield to continue to deliver these services, it needs to rely on all the assistance of organisations such as Ricoh.

We have been a long time corporate partner of Sunnyfield. We appointed Sunnyfield Enterprises the contract to handle the inventory control, packing and distribution of starter kits and their replenishment for our consumables recycling program.

We invited Sunnyfield residents and staff to join us on Clean Up Australia Day, providing our staff an opportunity to meet and spend time with these incredible individuals and an opportunity for Sunnyfield clients to participate meaningfully in the community.

Our pro bono services to Sunnyfield included design and printing new marketing collateral for Sunnyfield Enterprises. We also printed flyers for Sunnyfield’s ID day which coincided with International Day of Disability.


When the Commonwealth Bank offered Ricoh a generous donation of $10,000 to go towards our social responsibility program, we suggested the bank donate the sum to Sunnyfield. Geoff Wearne, General Manager Corporate NSW and ACT for the Commonwealth Bank presented the cheque at a morning tea held in July 2009 at Sunnyfield’s Day Program facility in Frenchs Forest.

“All of us at Sunnyfield thank Ricoh for helping us to realise our vision of helping people live as they wish too, and enjoy some of the many life experiences most of us take for granted. We look forward to your continued support to help us meet the goals of the people we support well into the future.” Frank Francis, CEO, Sunnyfield

http://www.ricoh.com.au/about/ricoh-australia/csr-enviro/sunnyfield

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‘ An increased awareness of disabled issues, a strong sense of contribution to the community and it is fun working with the kids and is a great way to break the day up.’

Volunteering at Arranounbai School We have been running a volunteer program at Arranounbai School, a special needs school, since late 2007.

The school caters for students with medical conditions or physical disabilities from pre-school through to Year 12. Our program was designed to provide the students with much needed adult stimulation during their lunchtime, helping them build their confidence, motor skills and communication.

Since the program’s inception, the number of Ricoh volunteers has grown from a dozen to 36. The only attrition has been volunteers leaving the organisation. Each volunteer is assigned a ‘buddy’, whom they spend time with each visit in order to provide the students a sense of continuity.

Workplace program As an extension of our involvement with Arranounbai School, we offered work experience opportunities to senior students. By placing the students in departments with staff involved in the volunteer program we ensured they felt supported and at ease in the work environment.

The work placement program exposed more of our staff to the daily challenges faced by people living with a disability. A core group of volunteers provided support to the students during their time at Ricoh.

In 2008 we offered Edward Warren, a year 12 student from Arranounbai, a work placement. This was required as part of the Vocational Education Training course in Information Technology he was studying for the Higher School Certificate.

Edward spent a week in Ricoh’s IT department being mentored by our IT Operations Manager. His teachers were amazed how Warren’s confidence had grown during his work placement.

Kahn Savage, another Arranounbai student completed one year of work experience in our Service Parts warehouse in 2009. For one day each week, Savage assisted by completing picking tasks and flattening boxes.

Kahn’s confidence and interest in his studies improved dramatically as a result of his Ricoh work experience, according to Ros Wareham, Assistant Principal Arranounbai School. Other students have also gained confidence through our Arranounbai volunteer program. Because they have been encouragement by Ricoh volunteers to participate in activities such as soccer and basketball, the students show improved physical engagement and better communication skills.

From the teacher’s perspective, the success of the program is summed up by Kindergarten teacher, Amanda Barrett, who said: ‘The smiles and joy on the students’ faces is great to see when the volunteers arrive. They come and joke, tease and play in a way that the teachers’ don’t. It is a unique relationship that is being built, not one based on teacher authority or health professional, and allows for the opportunity for the development of some social skills.’

We outline the volunteer program to new employees during their induction training.

In a recent survey of volunteers, 100 percent stated they had gained personally from their involvement in the program. We posed the question ‘How would you describe what you have gained through your involvement in the program?’ Here is a sample of the responses:

‘An increased awareness of disabled issues, a strong sense of contribution to the community and it is fun working with the kids and is a great way to break the day up.’

‘I have a greater sense of contribution (with/through Ricoh) to the local community.’

‘An understanding of people with needs far more important than my own. It is a humbling experience!’

Our program was recognised by the Ricoh Group, when we were awarded the Corporate Social Responsibility Best Practice Hikarimono Recognition award in 2008 and 2009. In 2009 the award was extended to include our Work Placement Program.

http://www.ricoh.com.au/about/ricoh-australia/csr-enviro/arranounbai

By immersing the students into the natural world, they develop a strong connection with the environment and develop a lifelong desire to protect it.

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Contributing to education in sustainability

Our approachWe believe we have a role to play in creating a sustainable society. Through education, individuals are empowered to take action to reduce their environmental footprint.

We take a hands-on approach to our interaction with the community and we foster employee engagement in the programs we implement as a key element.

EarthkeepersTM

One way we are contributing is through our ongoing support of EarthkeepersTM, an earth education program designed to help primary students understand ecological concepts, develop environmental perception, take action to lessen their impact whilst increasing their contact with the natural world.

EarthkeepersTM begins with a three-day camp set in the natural environment and is a springboard activity which is followed by an integrated learning program covering each aspect of the schools core curriculum.

Our sponsorship has enabled 561 students to undertake the program. By immersing the students into the natural world, they develop a strong connection with the environment and develop a lifelong desire to protect it. The knowledge the students gain from EarthkeepersTM empowers them to undertake behavioural change to reduce their individual environmental impact and influence their families and peers to do likewise.

Our belief in the effectiveness of EarthkeepersTM in educating children in sustainability, has been endorsed by independent studies of the program undertaken by the Earth Education Research and Evaluation team from the University of Arizona and researchers from the University of Newcastle.

The highest endorsement comes in feedback from the students themselves. In answer to the question – Would you recommend EarthkeepersTM to your friends, they responded with statements such as: ‘The environment needs our help. We have to spread the message that we must protect it,’ and ‘Yes, because we are the solution to the earth’s problems.’

“EarthkeepersTM is an effective and efficient environmental education program which equips young people with essential environmental knowledge, skills and behaviours. It also empowers students to act as environmental communication catalysts dispersing vital education to the wider community.“ Anne Ross and Hywel Ellis, Researchers, University of Newcastle.

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Sustainable Schools Art CompetitionOur annual Sustainable Schools Art Competition is another example of our contribution. The competition provides us with an opportunity to drive environmental programs within participating primary schools.

The competition is designed to help fund the schools’ environmental programs, with prize money and giveaways for winning schools and students. Our Sustainable Schools Art Competition evokes students to interpret the theme ‘Our earth, our tomorrow’, providing a platform for teachers to discuss changes which have occurred to the environment and for students to encapsulate what a sustainable society looks like to them.

The competition provides participating students an opportunity to see their concepts and ideas used in a large, creative format and feel empowered about expressing their important message.

Prize money from the competition have been utilised by one school to furnish its Peace Garden with native plants, which provides students with a piece of the bush in their built environment.

Raising employees’ environmental awarenessWe strive to raise the environmental awareness of our employees so they develop a social viewpoint that empowers them to undertake environmental activities on their own.

We educate our staff and influence them to undertake behavioural change and on ways to reduce environmental impact at work and at home through the use regular blogs and news items on our intranet Our Space.

Earth HourWe have participated in Earth Hour since its inception in 2007. Turning off all lighting except for emergency lights and encouraging our staff to register and participate as well.

In 2009 we entered a team of seven cyclists from our Melbourne branch in the Future Spark Challenge designed to power the Melbourne Earth Hour Concert. The challenge ran for five days and generating over 50kWh of electricity.

The Future Spark trailer has 12 bikes, each connected to a generator positioned behind each bike. The energy created by the bikes directly inputs into the mains electricity grid. A large screen shows graphs of how much energy each person is creating whilst they are cycling.

Our participating staff learned first-hand the amount of physical effort required to create energy to power small household items and gained an increased awareness of how to reduce our energy consumption and energy waste.

Eco Action DayAn annual event in the Ricoh Group’s calendar, Eco Action Day offers the opportunity to increase environmental awareness and invest in the community. On 3 June 2010, Ricoh Australia partnered with Hawthorn Football Club and provided the Future Spark trailer. An invite was sent out to Ricoh partners, customers and the local community to enter teams and compete to see who could generate the most energy.

The day was a great success in spreading the word of environmental sustainability and the resulting pedaling power of the day managed to generate enough power to run an energy household for half a day.


Eco Action Day 2010

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Clean Up Australia DayClean Up Australia Day is annual event in our environmental calendar. Each year we field teams of volunteers consisting of our management and staff and their families nationally to roll up their sleeves and help local community groups clean up beaches, parks and walkways across Australia.

Clean Up Australia Day provides an ideal opportunity for our staff with children to demonstrate their commitment to conserve the environment and increase awareness to the damage caused by littering to areas such as their local parks, waterways and sporting fields.

In 2010, an invitation to join our Clean Up team was extended to Sunnyfield’s residents and staff. We fielded 66 volunteers, including all three of our directors, Ricoh staff and their families as well as a group of Sunnyfield staff and their clients.

The barbecue lunch afterwards provided us with an opportunity to socialise and interact with Sunnyfield volunteers, providing our management and staff with an insight into their lives and interests.

The efforts and success of the day were appreciated by the local community, with a thank you letter received from Curl Curl Lagoon Friends Inc.


Clean Up Australia Day provides an ideal opportunity for our staff with children to demonstrate their commitment to conserve the environment.

Clean Up Australia Day 2010

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“ Clean up Australia Day is so rewarding and was a fantastic learning experience for my kids!”

Roger Harvey Technical Product Manager, Ricoh.

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C5 How do we ensure Ricoh is a great place to work?


A fundamental issue for Ricoh Australia is ‘How do you gain, train, and retain productive and knowledgeable staff’?

This issue cannot be divorced from:

•A tight employment market as Australia emerges from the Global Financial Crisis.

•The convergence of our technology with the IT market.

•The tyranny of distance—Ricoh supplies and services every Australian state and territory.

•Changing generational motivational drivers—for example, need to belong to an organisation and a belief in working smart, not hard.

During the period under review, Ricoh Australia’s direct workforce increased by 6.3 percent from 474 to 504. This is a reflection of the company’s growth and indicates the importance of well-trained, competent people in the workforce to sustain this growth.

What is in this section:

•Employee engagement survey.

•Acting on our technician benchmarking survey.

•Promoting performance excellence through Baldrige.

•Workplace improvement through Kaizen teams.

•Case study: Garden composting solution from Team Midori.

•Goal setting and review process through the Talent Manager Program.

•Learning and development expansion.

•Occupational health and safety.

How do we measure our employee engagement? A survey of 311 Ricoh Australia staff was conducted at Ricoh Head Office and branches in 2009. The objectives of the survey, which had a 62 percent response rate, were to:

•Provide insight into how employees perceive Ricoh Australia as a place to work.

•Benchmark results externally.

•Provide insight into prevailing levels of employee engagement within Ricoh Australia, and the key drivers of employee engagement.

Using a benchmark technique—Net Promoter Score—Ricoh determined the percentage of people who were engaged in the organisation. This refers to the level of ‘connectedness’ employees feel towards their organisation and their willingness to expend discretionary effort to ensure the organisation reaches its goals.

Employee engagement survey – summary of benchmark

Section Ricoh

1. Culture and values 70.3%

2. Common purpose 72.6%

3 Communication and cooperation 56.6%

4. The person I report to 70.6%

5. My team 74.6%

6. My job 67.0%

7. Learning and development 61.3%

8. Performance and feedback 63.2%

9. Reward and recognition 56.5%

10 Overall perceptions 73.4%

Staff turnoverStaff turnover has decreased from 21 percent in 2007 to 13 percent in 2009. This compares to the industry average of 12 percent in 2009.

2007 2008 2009

Headcount 474 504 508

Turnover 101 89 67

% Turnover: RAP 21.2% 17.7% 13.3%

Staff absenteeismResults below indicate an improvement in morale as employees that are ‘more satisfied’ are less likely to have time off.

2007 2008 2009

RAP Actual 3.0% 2.8% 2.84%

Trend 3.0% 2.8% 2.6%

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How do we act on our technician benchmarking survey? Ricoh Australia has implemented several changes in response to the results of a 2008 Hudson benchmarking survey of 123 Ricoh technicians across Australia. The response rate was 99.2 percent.

The survey comprised an on-line questionnaire, four focus groups at Sydney and Melbourne branches and three teleconferencing groups at Brisbane, Canberra, Perth and Adelaide branches. It looked at aspects like career development, quality of life, work content, rewards, benefits and leadership effectiveness.

Challenges at the time included competition in a tight labour market with other IT companies and a need to attract and retain technicians.

Among the findings was that a flexible workforce is a key factor in employee satisfaction. Employees desire a challenging and interesting role and work:life balance.

Other findings included:

•A need for Ricoh to differentiate itself from competitors.

•Remuneration levels were seen as a little below the industry standard.

•A need for improvement in the recognition/incentive scheme.

Among recommendations from respondents was that Ricoh should implement a communications plan that addressed the different needs of varying audiences, including Generation Y and mature age workers. This could include updated human resources policies, a new career website and an updated Induction program.

They also suggested:

•Adoption of Bluetooth for increased ease and mobility.

•Updated phones or PDAs such as Blackberries or iPhones for increased functionality.

•Additional equipment, for example, tool bags and methods for cleaning.

•Better quality, light weight materials for uniforms and seasonal changes to uniforms, for example, optional vests and jackets.

•Switching to diesel vehicles.

In October 2008, in response to the survey results, Ricoh widened the choice of vehicles within the company motor vehicle policy and began to purchase diesel vans and crew cabs for its service technicians.

The Ricoh Phone Policy was enhanced after feedback from the survey. In November 2008 all technicians and management staff were issued with Nokia E71 PDAs to provide a better communication tool and access to email and the web.

The technician recruitment plan and focus was broadened to include both younger and mature age employees.

We are also further developing Ricoh’s ‘employment brand’ to attract and retain the right talent and building the employee value proposition—what is in it for the employee and what is expected in return.

The technician recruitment plan and focus was broadened to include both younger and mature age employees.

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How do we promote performance excellence?In terms of the Baldrige framework, which we introduced in 2008, we have established teams that are helping Ricoh Australia improve its strategic planning and process management.

We believe the Baldrige approach provides:

•A measurement of how Ricoh Australia rates against a framework of best practice.

•An insight into the considered view of senior and middle managers on the performance of the business.

•A structured approach for identifying gaps against a blueprint for high performance businesses.

We use the Baldrige Performance Excellence criteria to drive continuous improvement through the strategy development and deployment cycle.

Baldrige framework

Ricoh Australia formed several teams in 2008 to address each of the Baldrige categories. The teams met regularly in 2009 and delivered the following significant outcomes:

•Redefined Ricoh’s mission, vision and values.

•Reflected the nine key processes into discovery process maps and related policies, procedures, forms and measures to these processes.

• Implemented a Kaizen approach for capturing ideas formally and informally, evaluating and implementing ideas and rewarding staff.


2Strategic Planning

Organisational Profile:environmental, relationships and challenges

4Measurements, Analysis and Knowledge Management

5 Workforce Focus

3Customer Focus

6Process Management

1Leadership

7Results

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How do Kaizen teams improve our workplace?To help make Ricoh a great place to work, we are increasing employee engagement by empowering staff through Kaizen teams.

Staff are encouraged to make suggestions, discuss these ideas within their department and put forward ideas through the Kaizen Ideas Drop box. Individual contributions are valued and rewarded by the Managing Director.

The 12 Kaizen teams that were formed at Ricoh Australia during the past two years are changing the way workplace issues are handled.

Here are some examples:

•Workforce Kaizen team: The Workforce Kaizen team is composed of middle management and operational staff (not senior management) to listen and respond to the need for reforming workplace policy and oversee its implementation.

•Kaizen SeeChange Team: This team is looking for ways to improve the visual appearance of our workplace.

•Kaizen Kekka: In November 2009, we formed the Kaizen Kekka (Japanese for ‘results’) team to look at the way company results are communicated to staff so we all know how we are tracking against our targets. The ‘balanced scorecard’ concept was chosen as it not only measures financial targets, but also incorporates environmental, customer and internal process measurements as well.

The ongoing plan for 2010-11 is to form several news Kaizen teams. For example, a Knowledge and Training team to look for ways to improve how training is provided across various areas, including business applications including Cognos, CRM and ERM3.

Kaizen teams formed in the reporting period

EmpowerCustomer Servicing: Canberra

Captain ComplaintsComplaint Management

Dekiru(Non-Consolidated) Invoicing

iSolidate(Consolidated) Invoicing

Make It HappenWorkforce

SEEChangeVisual Workplace

Kaizen Teams

EnterpriseMarketing to opportunity

ImpactCustomer Servicing: Adelaide

FokasuInventory Management

KekkaResults

ZenshinCustomer Order to Installation

MidoriEnvironment

3 Enterprise Resource Management

Case Study

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Garden composting solution from Team Midori During Kaizen training in February 2010, Team Midori, whose focus is looking at ways to improve Ricoh Australia’s environmental performance internally, identified the need to provide better receptacles to recycle kitchen waste throughout the organisation.

As a result, colourful recycling and landfill bins and posters were purchase to ensure all staff members can easily differentiate between recyclable items and landfill waste, with the aim of reducing the amount of waste going to landfill. Compost binds for organic waste were also purchased, for use in the gardens surround our premises.

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Talent manager program In 2008 Ricoh implemented an online system called Talent Manager as its new Performance Management system.

The Talent Manager program was deployed to all staff nationally to provide a standardised mechanism for setting, aligning, managing and rewarding staff performance.

The system is based on Ricoh’s four key result areas:

•Financial.

•Customers and markets.

• Internal processes.

•Development and growth.

Individual performance goals are based on Ricoh’s business goals and are measured within successive planning periods. The key result areas are designed to align individual work plans with the overall strategic direction of Ricoh, allowing staff to understand how their roles fit into the bigger picture of what Ricoh is trying to achieve.

Learning and development In October 2008, Ricoh Australia Pty Ltd merged the National Technical Training and HR Training functions. This has resulted in an expanded national training function with specialist writers, training developers, technical training officers, administrators and coordinators.

National Training is now responsible for providing all learning and development programs within the Ricoh Australia Pty Ltd organisation plus the wholesale channel, if the program is relevant to the dealer organisation. Ricoh has also formed a National Training Steering Committee which reviews all proposed programs to ensure they are aligned with organisational goals and values as determined by the mid-term business plan.

Many of these programs are competency based and include: technical product training, compliance training, sales product training, sales induction and new employee induction.

Delivery of this training material is a blend of self-paced learning material, online courses and instructor led classroom courses.

Ricoh is committed to the professional development of its staff and associated dealer business to provide the best solutions to its customers.

Staff training resultsTraining for digital solutions consultants staff in the Miller-Heiman conceptual method of selling accounted for the large increase in training expenditure in 2009.

Staff training average per person

2007 2008 2009

RAP Actual $346 $336 $897

Due to the Global Financial Crisis, technician training was reduced in 2009.

Ricoh service technician technical training

2007 2008 2009

Number of candidates

222 485 390

Number of training days

259 313 279

Business compliance trainingAll new and existing Ricoh employees complete an on-line compliance training program. The training is mandatory, assessed and regularly audited. The Anti-Money Laundering standard was introduced for our Finance department staff in 2008.

“Ricoh has continued to provide training on the latest products which meant that my skills were always being updated”.Kimon SpezasTechnical Product Manager, Frenchs Forest NSW

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Technicians’ field service training Based on levels of training completed and competency assessments, technicians can be promoted from Level 1 – preventative maintenance technician through to Level 5 – field supervisor or technical specialist.

At each level, competency-based assessments are used to judge whether individuals can perform given tasks to a specified standard. All technicians can progress to these levels by demonstrating competence in the skill modules.

Ricoh’s strategic objective is to increase the proficiency level of technicians, increasing the number who have completed level 3 and 4 training.

Technician career progression

2007 2008 2009

Level 1 (Lowest) 26 39 33

Level 2 32 36 37

Level 3 48 47 48

Level 4 6 6 10

Supervisors 13 13 13

Total 125 141 141

Technical development planRicoh’s Technical Development Plan, a structured training program introduced in 2003, gives technicians the knowledge and competencies required to support Ricoh equipment and software in the field. It mirrors the Technician Levels 1 to 3 and the further Career Path level of 4 and 5.

Future training plansIn future we plan to offer a number of courses to employees including:

•One-day training course for new customer services representatives.

•Systems training for Level 1 and 2 call centre representatives.

•Miller Heiman Channel Partner Management training for dealers, as part of digital partners solution plan.

•Three-day value proposition course for all digital service consultants to provide them with tools and resources to differentiate Ricoh from the market and engage new and existing customers.

•Three-day solution selling course for all digital service consultants to enable them to conduct software solutions presentations and answer client questions effectively.

Our new rede2learn desktop and business skills courses, launched in mid-2010, include desktop skills as well as high level management courses such as time management and conducting meetings. Snapshot versions of these courses will also be provided for employees who are short of time, as will ongoing mentoring whereby participants can ask questions and participate in an on-line-chat with a mentor or receive email responses.

‘Though only about 39 percent of the interviewed respondents had received training by their vendors, 63 percent of Ricoh users did receive training, which is the highest participation rate as compared to other brands. Ricoh can continue to encourage the deployment of user training. Ricoh users are very satisfied with the training content and trainer knowledge and effectiveness’.

Quote from Ricoh Benchmarking Australia Report, March 2009

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Occupational health and safety With occupational health and safety (OH&S) risk management a key feature of Ricoh’s Health and Safety Management Program, we continually strive to identify potential accident sites, expose actual and potential risks and take appropriate corrective action.

Overall OH&S activities are controlled by the Human Resources department located at our Sydney head office.

Personal protective equipment is issued where appropriate. While eliminating risk is our top priority, we are aware that new hazards are encountered as operations change, and continual adjustments are made to accommodate these changes. When new employees start with Ricoh, they are immediately provided with OH&S instruction and training.

Our OH&S training needs are continually assessed, in order to comply with current and new legislation, and specific training is provided as required in areas such as manual handling, first aid and fire warden training.

Regular safety audits of all sites and OH&S system procedures, reveal many opportunities for improvement and these are formally addressed as corrective actions within the system.

All Ricoh Australia sites have OH&S Representatives, who coordinate activities. They play an active role in ensuring that our OH&S policies, procedures and disciplines are implemented, communicated and effective. All locations have qualified First Aid officers and fire wardens on site.

Customers’ occupational health and safetyTo promote occupational health and safety, all Ricoh devices feature easy handling paper trays which can be opened with minimal physical effort. Disabled access is provided with tilted control panels.

With some of our models, the scanner heads can be removed and placed on tables so people in wheelchairs can access them. Visually impaired customers can use the ‘simplified display’ mode, which doubles the font and icon size on devices.

Industry benchmarkingSince 2006, Ricoh has benchmarked our OH&S performance against the industry at large. The human resources manager annually issues internal reports and statistics to management in relation to the performance of the OH&S system. These comprehensive reports show consolidated statistics of type and number of injuries for each location.

Our Kaizen program encourages and assists staff to practice continuous improvement on a daily basis and promotes operational performance excellence.

www.ricoh.com.au

http://www.ricoh.com.au