Each year the GLN team provides OMRON with an analysis of its CSR Strengths, Weaknesses, Opportunities and Threats (SWOT) and recommendations for action. OMRON continues to be highly responsive to our analysis and recommendations. In December 2007 I met with executives from the five business companies and from CSR and other staff functions to determine and update on its progress.

OMRON has taken a major step forward in the design, mission, and integration of its CSR function. CSR is seen as a value adding element of OMRON's Grand Design 2010. OMRON's CSR strategy has set bold goals to earn reputation as a global leader in CSR, support OMRON's vision to develop and disseminate technologies that build a better society, and to become internationally recognized for its CSR practices.

OMRON has established detailed plans and timetables to achieve this strategy. This exemplifies a deepening commitment to establish CSR as a function held to the same accountabilities and performance criteria as any other function within the company.

The CSR team is helping to drive and expand stakeholder engagement processes. This is a major step for OMRON as it expands its reach to stakeholders from communities it has not previously engaged with.

OMRON continues efforts to expand and deepen long standing commitments to green design and universal design.

All of this adds to continued, steady progress.

OMRON will over the next months take efforts to identify material environmental, social, and ethical issues. This process opens opportunities for OMRON to take a bigger leap forward in the approach and design to strategic integration of CSR into the business. I have suggested to OMRON that there may be more productive avenues for OMRON than linking CSR to brand value. As a B2B company, OMRON's understanding of societal and environmental challenges could translate into product and process innovations that help customers reduce their impact on climate change, and promote positive impact on the quality of life. OMRON has experience delivering breakthrough new technologies. It would be powerful to place greater emphasis on this approach. In addition, I have suggested to OMRON that it will be beneficial to become more specific in setting concrete goals and objectives for CSR performance and then utilizing processes and plans to achieve those objectives.

OMRON will benefit from thinking more strategically of how the adoption and use of "voluntary" standards can enhance business process performance in its operations outside of Japan. Finally, OMRON would benefit from the adoption of assurance processes that enable stakeholders to become more active partners in defining material issues, formulating strategies, and innovating processes to deliver on strategies.

I congratulate OMRON on its commitment to continuously improve its CSR performance. I encourage it to continue to seek to make greater progress over the next 12 months.

Sincerely,

Steven A. Rochlin
Head of AccountAbility North America