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We strive to create an open working environment where employees
are energized and enjoy work. We believe that personnel are the
foundation of business, and we are committed to developing our
employees skills so that they can respond to customers increasingly
diverse and sophisticated needs, thereby allowing DOCOMO to
continuously grow.
Using Employee Feedback to Create A Dynamic Organization
At DOCOMO, a variety of employee surveys are used to incorporate
employee feedback into business operations and company systems, and
otherwise make the organization more dynamic. An Employee Energy
Survey targeting employees is conducted every other year to gauge
the motivation level of
employees, and the results of the Survey are used to make
improvements for the following fiscal year. In October 2007, a
survey concerning diversity was conducted targeting all employees.
Employees were asked if their workplace provided them an
opportunity to succeed regardless of individual factors such as
gender or nationality, and what the issues were for promoting
diversity in each organization. In order to promote workplace
diversity, in February 2008, a discussion was held to share the
results of surveys in each organization and to discuss ways to
resolve any issues that exist.Also, three e-learning training
programs were offered to employees between November 2007 and
January 2008. These programs focused on understanding the need to
promote diversity, career building from a long-term perspective,
and balancing ones personal life and work life. These e-learning
training programs used case studies and other tools to encourage
employees to recognize the importance of these topics.
Encouraging Manager Development through AwarenessSince f iscal
2003 we have conducted 360 degree multi-sided evaluations involving
the individual, as well as superiors, col leagues, and subordinates
to evaluate managing directors, general managers, managers, and
other managerial-level employees on a set of eight factors,
including vision, communication, knowledge management, and
coaching. By providing feedback to the individual being assessed as
well as superiors, we give the persons involved an opportunity to
become aware of the attitude and actions that are expected of them,
which results in improved awareness and actions. By conducting such
evaluations regularly each year, we aim to bui ld a cul ture in
which the indiv idual being assessed wishes to listen with an open
mind to hear the assessments and opinions of others in the
workplace.
Enhancing the Skills Development Program for Employees
We are committed to developing the skills of our employees, who
represent the foundation of our business, in order to re s p o n d
t o c u s t o m e r s i n c re a s i n g l y d i v e r s e a n d
sophisticated needs. We provide training programs for specific
purposes, including training programs suited to each career level
and training to develop specific areas of expert ise. In f iscal
2007, approximately 124 training programs were offered to help
develop expertise in specific areas that are critical for DOCOMO
Group s business operations. These training programs were attended
by roughly 4,000 employees (NTT DOCOMO Group).Fur thermore, we
offered approximately 400 distance education courses and expanded
our range of support for obtaining certification in an effort to
enhance our support for personal growth. We support our employees
individual efforts to develop their skills, as evidenced by the
fact that in fiscal 2007 approximately 1,700 employees (NTT DOCOMO
Group) obtained public certifications.Following the various
personnel development programs and the Employee Energy Survey in
fiscal 2006, it became clear that many of our employees were not
working hard to resolve their own work-related issues, and that
only roughly one-half of our employees felt they had a role model
to look up to in the company. In fiscal 2007, we introduced a
number of new programs and actively worked with personnel with the
aim of quickly improving this situation. We introduced a program in
the career level-based training to foster personal motivation, as
well as a training program in which managers serve as the
We employ an internal job posting system that allows us to find
dynamic, motivated staff within the company and position them where
they can excel. This internal job posting system allows employees
to apply for work in which they have a particular interest, such as
positions requiring specific skills, or working in a new business
area. Through fiscal 2007, approximately 1,200 employees applied
for positions through this system in the NTT DOCOMO Group, with
roughly 160 of them now showcasing their talents in their new
roles. We also encourage personnel exchanges among NTT Group
companies. Specifically, we have put in place a Job Challenge
System that allows employees to apply for positions at other NTT
Group companies, as well as DOCOMO's In-House Venture System.
Supporting the Desire to Try New Challenges
The In-House Venture System gives employees the opportunity to
submit business plans for new businesses, and gives proponents the
chance to participate in the creation and management of a new
company. This system was launched in March 2001 to foster an
entrepreneurial spirit, to energize employees, and to actively seek
new business areas. Business plans submitted by employees are
screened a total of three times before the launch of a company,
with reviewers paying careful attention to factors such as how new
the idea is, whether or not a market exists, and whether or not the
idea is practical. In August 2007 the fifth start-up company was
launched through this program. In addition to their excellent
business plans, successful applicants need to have business
knowledge, personal networking skills, and the ability to execute a
business plan, as well as energy and determination.
We began with the desire to tap into our knowledge and
experience to do something that would benefit society. Based on
this desire, we came up with an original type of mobile
phone-testing as well as a new style of promotion. With these in
hand, we applied through the In-house Venture System. The company
is just starting to get on its feet, but it is exciting to see our
ideas come to life. This program gave us an opportunity to accept a
new challenge in a new environment, and to take the first step
towards discovering a new part of ourselves.
Business Skills Development Programs (Trainings / Personal
Growth)
Key Employee Data
Male / Female Manager Ratio
Average Percentage of Paid Holiday Taken (NTT DOCOMO Group)Usage
of Childcare / Nursing Care Programs and Volunteer Leave Program
(NTT DOCOMO Group)
Work Accidents (NTT DOCOMO Group
Percentage of managers at or above assistant manager rank
Male
96.3
Female
3.7
Number of EmployeesMale
9,706
Female
1,968
Total
11,674
Male Female
Average age
Average total annual hours worked
Average annual salary*1
Average years of continued service
Percentage of paid holiday taken
90.5
37.8
1,957h
8,257,000
15.8 excluding persons seconded out/ in
Employee count
Number of People Hired (NTT DOCOMO Group)Male
203
Female
74
Total
277
58
Recent college graduates
Mid-career hires
*1 Kanto-Koshinetsu region
Maternity leave
Childcare leave
Shortened working hours for childcare
Nursing care leave
Shortened working hours for nursing care
Volunteer leave
Number of times childcare support services used*1
Number of times nursing care support services used*1
3
2
3
0
142
29
5
256
427
253
5
2
23
12
2
Total
256
430
255
8
2
165
41
7
Number of people2006
13
2007
18
Voice of the Employees who Launched a Mobile Phone-based Testing
BusinessDynastepMotoharu Terasaki, President and Chief Executive
OfficerTatsuya Yokoyama, Member of the Board of Directors
E m p l o y m e n t D a t a Elective-type training
Distance education/support for obtaining certification/language
school support/TOEIC Group Testing
Global OJT
Expert training (sales-related / engineering-related, etc.)
Note: Comparison of managers at or above assistant manager
rank
Training for career level
Common business skills training
Work-specific specialist skills training
Personal growth
Manager-level training (4 types)
Mid-level/leader training (3 types)Third year training / second
year trainingNew employee training
Beginner-level engineering training
An Innovative Environment: In-House Venture System Leads to
Launch of New Company
TOPICS
CSR Support Activities
A Dynamic Workplace Environment
Takashi TanakaManaging Director, Human Resources Management
Department
Philosophy on EmployeesOur workplace environment emphasizes a
balance between our employees work and their lives away from the
office. We bring out our employees maximum potential and desire by
helping them develop professional skills, placing people in
positions that best suit their abilities, and evaluating them in a
fair and just manner. We aim to create a diverse workplace where
employees with diverse backgrounds and values enjoy their work and
perform at a high level.
Progress in FY2007 Held forums and provided e-learning training
in order to promote diversity. Enhanced system to allow employees
to balance work and child-raising. Utilized in-house venture system
to create a testing company.
Managers General employees
lecturer and talk about their own personal experiences as a
means of motivating employees and to build a culture of teaching
and communicating within DOCOMO. We also actively promoted a Big
Brother/Big Sister Program, in which veteran employees provide
advice and other support to newly-hired employees.
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*Win-D = (Womens Innovative Network in DOCOMO): A working group
comprised of female managers.
Forum for Employees Taking Childcare Leave
Enhanced Childcare Support Program
Our efforts to promote diversity are centered on the following
three objectives: support for female employees in their career
development, promotion of work-life balance, and the full
acceptance of diversity as a part of the DOCOMO culture. The
Diversity Development Office holds meetings (with the individual,
her direct superior, and the Diversity Development Office
participating) before and after a female employee gives birth. The
meeting before childbirth focuses on making sure that the
individual has a good understanding of the childcare-related system
as well as the associated procedures, to dispel the employees
concerns about handling both work and childcare after returning to
work, and to raise awareness about career planning. The number of
employees taking advantage of childcare-related programs such as
maternity leave, childcare leave and shorter working hours has been
increasing each year. In addition to these employees themselves,
their superiors and colleagues must also understand the system.In
November 2007 the fourth Annual Win-D* Forum was held for employees
who were taking childcare leave at the time. The purpose of the
forum was to help alleviate these employees concerns about
preparing for their return to work as well as balancing work with
childcare. A daycare service was hired to take care of participants
children on the day of the forum, which allowed approximately 80
employees to participate in the event. The forums program consisted
of an overview of recent business trends as well as a panel
discussion which included employees who had experienced returning
to work after taking childcare leave and members of management.
During the panel discussion, participants talked about things that
should be done before returning to work and ways to adjust upon
return to work, and heard messages from the superiors perspective.
These discussions were based on experience, and the participants
were eager to receive the advice.For some participants this was the
first time to use a childcare service, and some participants noted
that it was positive experience for both mother and child before
the mother returned to work.
Training and Work Scheduling for Temporary Employees
We believe that promoting employee diversity by creating a
working environment where people from diverse backgrounds and with
differing values can thrive is a key management objective for
DOCOMO. We want each and every employee to think about diversity
while taking action, and aim to create a dynamic workplace for all
employees, regardless of gender, nationality, or other personal
differences.
In line with the Guidelines for the Promotion of Mental Health
in the Workplace (Ministry of Health, Labour and Welfare), we offer
self-care, business line-level counseling, counseling from in-house
industrial health staff, and mental health care from off-site
resources. Self-care involves mental health questionnaires and a
stress check, while mental health care at the business line level
consists of feedback and training based on the results of mental
health questionnaires as well as mental health training for
managers. In-house industrial health staff monitor the workplace,
follow up on health diagnoses, hold meetings with all employees,
and meet especially with employees who work long hours to discuss
health-related issues. Mental health care from off-site resources
involves external counsel ing centers. The number of cases
(Kanto-Koshinetsu region) in fiscal 2007 is shown in the chart.
Employing Foreign NationalsThere are over 70 (as of March 31,
2008) foreign nationals from a wide range of countries working at
DOCOMO. In addition to the Global Business Division, foreign
nationals work in many other areas, including the Research and
Development Division and the Corporate Marketing Division.
Furthermore, work practices at our overseas offices meet Japanese
regulations.
Employing and Supporting Independence of Persons with
Disabilities
We take a proactive stance towards employing persons with
disabilit ies. As of March 31, 2008, approximately 180 persons with
disabilities were working at DOCOMO, making up 1.91% of our to ta l
work force and exceeding the government-mandated ratio of
1.80%.
System for Re-Hiring After Compulsory RetirementEmployees
reaching the compulsory retirement age are able to continue working
by taking advantage of the Career Staff System (system for
re-hiring employees who have reached the companys compulsory
retirement age). As of March 31, 2008, approximately 50 people in
DOCOMO Group were working based on this system.
We enhanced our system for helping employees balance their work
with taking care of their children. In fiscal 2007 we extended the
program which lets employees to shorten their working hours to take
care of their children from until the age of seven to until the end
of the childs third year of elementary school, thereby expanding
the number of people assisted by
Allow shortened working hours for childcare to be taken more
than once. Expand the scope of restrictions on overtime work and
late-night work for
employees raising children (extension of maximum age of seven to
until the end of the third year of elementary school).
Recognize more reasons for taking Life-Planning Leave (childcare
and fertility treatment).
Introduce a system for re-hiring employees who have quit working
to focus on childcare.
Employee-Management CommunicationCommunication between employees
and management is facilitated through the Negotiation Committee,
which focuses on working conditions, and the Management Council,
which discusses managements basic policies. In addition, the Human
Life Improvement Committee works on relevant issues such as
streamlining overtime work and the shortening of working hours,
while the Safety & Health Committee focuses on employee safety
measures and ways to improve the health of employees.
Since fiscal 2004, the Shikoku Regional Office has periodically
held a Regional Office Manager Roundtable Discussion in order to
bolster communication between the Managing Director and employees
in the office. In fiscal 2007, 31 roundtable discussions were held,
with all employees nationwide welcome to participate. In addition,
as a first-time trial, two roundtable discussions were held for
female employees only. Elsewhere, the Kyushu Regional Office and
the Kitakyushu Branch also held meetings to facilitate discussion
between the general managers and employees. These roundtable
discussions also provided an opportunity for employees serving
similar functions in different divisions to talk and gain a common
understanding of company issues.
TOPICS
Promoting Communication Using Internal SNS
Mental Health Counseling
Honoring Employees who Contribute to BusinessHonoring employees
who make significant contributions to DOCOMOs business both serves
as a means of motivating employees and promotes the smooth
operation of business. The DOCOMO Business Awards honor those
employees who have significantly contributed to DOCOMOs
business.
In-person counseling
Online counseling via Internet
Telephone counseling
Reservation-based telephone counseling
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At the roundtable discussion for female employees, there were
questions and opinions concerning issues specific to female
employees such as balancing work and childcare as well as placement
of female employees. These opinions are being studied by the
various departments and used to help create a comfortable working
environment.
Employee Comment Kumiko Kondo, Corporate Strategy & Planning
Department, Shikoku Regional Office
Business awards are given in four areas: work contributing to
higher market value (Marketing Award), work contributing to higher
value with respect to business processes (Process Aw a rd ) , w o r
k c o n t r i b u t i n g t o o v e r s e a s b u s i n e s s
development (Global Award), and work contributing to higher
corporate name value (Higher Image Award).
Temporary staff are given training to ensure they protect and
appropriately manage confidential information. Each May and
November regular training is provided by the respective employment
agencies, and we check to ensure that training has been given based
on reports from each agency.We have taken measures to appropriately
manage the working hours of temporary staff. If, due to
uncontrollable circumstances, a temporary employee must work
overtime or on weekends /holidays, such working hours/days are kept
to within a scope as determined in the temporary employees
individual contract.
In September 2007 a social networking service (SNS) was launched
in order to improve communicat ion wi th in DOCOMO Group and to
provide a source of additional energy to employees. The SNS is a
community website that encourages and supports bonds between
people. After a four-month t r ia l , 74% of the 3,695 t r ia l par
t ic ipants expressed a desire to continue using the service, and
soon afterwards a decision was made to introduce the system on
a Group-wide basis. As of April 30, 2008 there were 12,022
participants using the system. Employees use the SNS in a w ide va
r i e t y o f ways . These i nc l ude exchang ing work - re la ted
adv ice th rough personal blogs and consultations about
work-related concerns, as well as general interaction among
employees who otherwise do not interact regularly through work.
CSR Support Activities
Diversity of Personnel
Creating a Comfortable Working Environment
Mental Health Support for Employees
Create a work environment that stimulates the abilities of our
diverse workforce, and aim to be a company and provide a workplace
that is attractive and self-fulfilling for workers. In fiscal 2008,
further enhance the work-life balance program and continue efforts
to create a comfortable working environment.
Future Tasks to Make DOCOMO a Great Place to Work
Exchange of Opinions with Regional Office Managing Director to
Create a Comfortable Working Environment
this system. We also plan to enhance the following programs:
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System of Directors and Corporate AuditorsWe employ a corporate
governance system comprised of directors and corporate auditors. In
order to promote management conduct that reflects the customers
perspective, we believe that directors should be involved in making
important management decisions. We believe the sound and efficient
management of business requires a system in which directors serve
as corporate auditors in order to allow for mutual oversight, and
in which the execution of business is audited by both internal and
external corporate auditors. With the adoption of a corporate
officers system, some of authority for the execution of business,
previously held by the Board of Directors, has been delegated to
representative directors and corporate off icers. Th is approach
enables the responsible corporate officers to conduct business more
flexibly. In addition, we have enhanced mutual oversight of the
execution of business by having more than half of our directors
serve concurrently as corporate officers.The fiscal 2007 general
audit revealed that corporate governance had improved overall from
the previous fiscal year. Our internal controls systems and
management in accordance with the Company Law were found to be
effective, as were our internal controls for financial reporting in
accordance with the United States Public Company Accounting Reform
and Investor Protection Act of 2002 (the Sarbanes-Oxley Act).
We have formed Advisory Boards in both Japan and the United
States in order to receive objective input about business issues
from experts representing a variety of fields. As bodies to receive
objective input and suggestions, these Advisory Boards are
comprised of experts from a wide range of disciplines, and the
advice received by these members is incorporated into business
activities. For example, under the advice of the Advisory Boards,
we established the Mobile Society Research Institute to conduct
independent research about both the benefits and pitfalls of mobile
phones.
Advisory Boards
Committees and Internal Controls to Ensure Appropriate
Management
In addition to the CSR Promotion Committee, we have a number of
other committees, such as the Compliance Promotion Committee, to
ensure appropriate business practices. These committees discuss and
determine the nature of management activities from a variety of
perspectives. In fiscal 2007 an Internal Control Committee was
created to manage more effectively on a Group-wide level the
internal control functions held by each committee. In fiscal 2007
we focused our attention on internal auditing of information
security management, the credit operations, and other areas.
NTT DOCOMO Group Code of EthicsThe NTT DOCOMO Group Code of
Ethics consists of ten articles to further enhance our ethical
standards. These policies convey the basis for compliance with laws
or ethics, and the very essence of management, and are shared,
promoted, and thoroughly implemented throughout the Group.
We have established an internal and external Consultation Desk
to smoothly handle consultations regarding ethical or legal
compliance. Employees are informed of the Consultation Desks
through posters, mobile i-cards, as well as the Risk Compliance
website. In fiscal 2007, 85 compliance-related reports were
received. The privacy of employees who inform the Compliance
Consultation Desk of any suspect business activities they have
observed is protected, and all efforts are made to ensure that the
individual is not disadvantaged in any way. The matter is
investigated and a response is given to the individual.
Compliance Consultation Desks and Response Process
Risk ManagementWe ac t i ve l y engage in r i sk management f
rom the standpoint of bolstering our internal control systems.We
have established Risk Management Regulations to set the framework
for our risk management system. We have also established guidelines
which contain detailed risk management-related operational policies
and points for particular attention. Each area regularly identifies
risks and the newly-created Internal Control Committee singles out
risks that require management on a Group-wide level and determines
ways to handle these risks. Specific risks are tracked by regular
committees and other meetings, and efforts are made to prevent such
risks from occurring and to prepare for a quick response should
they occur.
Compliance Administration RegulationsOur Compliance
Administration Regulations stipulate the standards aimed at
ensuring compliance with all laws and regulations as well raising
the ethical standards of the Group. Corporate officers and
employees are able to access the Compliance Administration
Regulations on the Group intranet.
Compliance Promotion CommitteeThe Compliance Promotion Committee
is tasked with the following three objectives: (1) to facilitate
the understanding and widespread recognition of the Code of Ethics
and dec ide on i n i t i a t i ves rega rd ing e th ica l and l ega
l compliance; (2) to determine matters concerning the management
and improvement of the ethical and legal compliance management
system; and (3) to accurately monitor the efforts and activities
aimed at promoting ethical and legal compliance.
We conducted an awareness questionnaire targeting employees in
order to measure the extent to which they understand the NTT DOCOMO
Group Code of Ethics as well as their level of awareness of
compliance issues.Going forward, we will continue taking action to
further raise awareness about ethical and legal compliance based on
the results of the questionnaire.
Corporate Governance System
Compliance Consultation Desk System
Employee Awareness Questionnaire
Appointment/dismissal of directors
Appointment/dismissal
Supervision
Delegation of executive authority
Internal audit
Corporate Auditors Office
Appointment/dismissal of corporate auditors
Appointment/dismissal
Coordination
Reporting
Coordination
Monitoring
Reporting
Auditing
Advice
Accounting audit
Advisory Board
General Meeting of Shareholders
Board of Directors13 directors (one external)
Board of Corporate Auditors5 corporate auditors (3 external)
Registered Public Accountants
President and Chief Executive OfficerCorporate Strategy
Committee
Internal Control Committee
Compliance Promotion Committee
CSR Promotion Committee
Internal Audit Department
TOPICS
Executive Vice President (Corporate Officer) Division Managing
Directors, Regional Office Managing Directors, Branch General
Managers,
and others
Senior Vice President (Corporate Officer)
? ? ?
Mobile Society Research Institute:
http://www.moba-ken.jp/english
Raise and report on important matters
Reporters (DOCOMO Group employees, business partner employees,
etc.)
Investigation of facts (head of area in question)
Consultation
Report
Report Response/instructions
Investigation request Investigation
request
Investigation request
ConsultationInvestigation results
response
Response/ instructions
Investigation report
submissionInvestigation
report submission
Investigation results report
Investigation results
(Compliance Promotion Committee Office)
Compliance Promotion Committee Office
Corporate officer responsible for corporate ethics
Corporate officer responsible for corporate ethics
(lawyers office)Internal Consultation Desk
External Consultation Desk
CSR Support Activities
Corporate Governance Compliance and Risk ManagementEnhancing
corporate governance is a key management issue if we are to raise
corporate value. Besides building a governance system that
increases the speed of management decision-making, and bolstering
our audit and control functions, we will continue working to
improving communications with stakeholders, and to ensure that our
corporate management style is timely, transparent, and robust.
We have established a Code of Ethics to ensure that as a
corporate group we are both ethically and legally compliant. Based
on this Code of Ethics, we work to ensure compliance on all fronts.
This includes strengthening internal systems for promoting
compliance, providing training to raise the level of awareness of
corporate officers and employees, and establishing compliance
consultation desks.
Kaoru KatoManaging Director, Corporate Strategy & Planning
Department
Hideaki KawadaManaging Director, Human Rights Enlightenment
Office, General Affairs Department
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Third Party Comment on CSR Report, and Future Expectations
Upon reading this CSR Report, my impressions are that it is well
written, with the kind of attention to detail that one would expect
from a client manual. The document provides considerable detail
about your initiatives and about how you have responded to the
diverse expectations of various stakeholders.But it is important to
remember that the mobile phone, which has spread rapidly in the
past fifteen years, is now a major social phenomenon that has
significantly changed our lifestyles and thinking. We must
especially note that NTT DOCOMO, commanding a market share of more
than 50% in Japan, is more than just another private corporation.
Its really a part of the very infrastructure of our society, and
because of that, it must bear an enormous responsibility. From that
perspective, what Id like to expect of DOCOMOs social
responsibility is a vision of how you can exert leadership in this
mobile phone culture that has so vastly changed our society, and
how you can contribute, through the mobile phone, to the creation
of the ideal sustainable society. I believe that a detailed
strategy would arise from that vision, and as a result, that this
CSR Report should therefore describe in detail what kinds of
activities will be conducted. Also, this report is written with an
awareness of certain stakeholders in mind. That makes it easy to
understand, but I also get the impression that your environmental
initiatives are given little importance compared to other aspects.
You convey the idea that information and communication technologies
are not physical things, but rather, that they carry information
and therefore help to reduce environmental impacts. But no one can
deny that if the amount of information being processed increases,
so too will the environmental impacts. In fact, this report does
express the idea that expanded services will also increase CO2
emissions. We must reduce the absolute amounts of these emissions
in order to move toward a low-carbon society. You are collecting
used mobile phones in the interest of resource conservation, but
what you really need to do is probably to suppress the urge to
launch new models so frequently and stop encouraging consumers to
buy new models so often to replace older ones. In the future, I
would very much like to see a report of comprehensive environmental
policies, including aspects such as these, that will lead us toward
a low-carbon society. I have made some challenging demands here,
but the mobile phone has already changed society dramatically and
it will continue to be a force that moves society. I am sure you
will understand that this is the other side of the coin, so to
speak, of the enormous expectations placed upon NTT DOCOMO as a
leading mobile phone company.
In this 2008 report, besides describing initiatives to address
priority issues, we aimed to produce a report that also offers
comprehensive coverage of topics and adequate disclosure of
information. I believe we have generally achieved our goals on
those points, but Ms. Kawaguchi has pointed out that we need a
vision of how we can contribute, through the mobile phone, to the
creation of the ideal sustainable society. This reminds us of the
high expectations placed on DOCOMO now that the mobile phone has
such a great impact on society, and reminds us of the importance of
making CSR permeate throughout the core of our business. With the
recent corporate consolidation at NTT DOCOMO, we have strengthened
our CSR structure, and with the New DOCOMO Commitments as well, we
have included global environmental protection, strengthening of the
Mobile Phone Safety Program, and Universal Design in stores, as
important areas to address. Going forward, while keeping the
customer first, we intend to collaborate with stakeholders,
including other companies in our industry, industry organizations,
and the relevant government authorities, and make an effort to play
leading and central role in moving toward a sustainable
society.
DOCOMO is engaged in business activities that involve a variety
of stakeholders. The economic relationships between DOCOMO business
activities and stakeholders is shown in the table on the right.
Response from DOCOMO
Economic Relationships with Our Stakeholders
During fiscal 2007, we introduced a new business model suited to
the mobile phone market, which has entered the mature phase in
Japan. New discount services like the Fami-wari MAX50, which
debuted in August 2007, rose to about 22.1 million contracts as of
March 31, 2008, and among new models the Value Courses surpassed
sales of 5 million cellular subscribers in just four months
starting in November 2007. As a result, the mobile phone churn rate
has improved considerably compared to the prior fiscal year since
the third quarter of fiscal 2007.
Fiscal 2007 Operating Performance
Selected as one of 150 corporations for the Morningstar Socially
Responsible Investment Index.
Included in the responsible investment index FTSE Good Index,
from FTSE International Limited.
Selected by Innovest Strategic Value Advisors Inc. as one of the
worlds 100 most sustainable companies.
Third Party Evaluations
Hiroshi Matsui, Senior Executive Vice President
Mariko Kawaguchi, Daiwa Institute of Research, Management
Consulting Institute
Company name
Capital
No. of employees (consolidated)
Main business areas
NTT DOCOMO, Inc.
949,679,500,000 (as of March 31, 2008)
22,100
DOCOMO s main business is mobile phone services (see table on
right for details).
Business Segment
Mobile Phones
Other
Description
Mobile phone (FOMA) services, mobile phone (mova) se rv ices ,
packe t commun ica t ions se rv ices , international phone
services, satellite phone services, and the sale of equipment for
each service
Expenses, by stakeholder (billion yen)
Government 361.8
233.4
190.5
2,779.5
Taxes and public dues and income tax in operating expenses
Personnel expenses in operating expenses
Dividends paid
Non-personnel expenses and communications equipment use expense
in operating expenses
Employees
Shareholders
Business partners (suppliers)
Calculation Method
Note: To ensure objectivity, these figures are based on the
consolidated financial statements. Dividends in fiscal 2007 were
4,800 yen per share for the year. This is based on figures reported
in financial statements. Actual amounts paid may differ slightly in
some cases.
Fiscal 2007 operating revenues were 4,711.8 billion, down 1.6%
from the prior fiscal year.
Fiscal 2007 operating income was 808.3 billion, up 4.5% from the
prior fiscal year.
Fiscal 2007 net income was 491.2 billion, up 7.4% from the prior
fiscal year.
At the end of fiscal 2007, the number of cellular subscribers
was 53.39 million, up 1.5% over the pr ior year. There were 43.95
mi l l ion FOMA subscribers, up 23.7% over the prior year.
6,000
5,000
4,000
3,000
2,000
1,000
03 04 05 06 07 (FY)
03 04 05 06 07 (FY)
03 04 05 06 07 (FY)
FY2005
1Q 2Q 3Q 4QApr- Jun
Jul- Sep
Oct- Dec
Jan- Mar
Apr- Jun
Jul- Sep
Oct- Dec
Jan- Mar
Apr- Jun
Jul- Sep
Oct- Dec
Jan- Mar
FY2006 FY2007
03 04 05 06 07 (FY)0
(billion yen)
60
50
40
30
20
10
0
(million contracts)
In the four th quar ter of f iscal 2007 the contract
cancellation rate was 0.68%, down 0.29 percentage points from the
prior year.
Note: Calculated from number of contracts reported by the
Telecommunications Carriers Association for three major mobile
phone companies in Japan.
2.01.81.61.41.21.00.80.60.40.2
0
1,200
1,000
800
600
400
200
0
(billion yen)
800
600
400
200
0
(billion yen)
52%
5,048.1 4,844.6 4,765.9 4,788.1 4,711.8
46.3348.83 51.14
52.62
3.05
11.50
23.46
35.53
53.39
43.95
1,102.9
784.2 832.6 773.5 808.3
650
747.6
610.5
457.3491.2
Operating Revenues (Sales)
Number of mobile phone Contracts (FOMA + mova)
Mobile Phone Churn Rate Mobile Phone Market Share
Operating Income Net Income
Mobile phone subscriptions FOMA subscriptions
(includes communications module services)
Credit services, wireless LAN services, IP telephone services,
etc.
PHS PHS phone services
SoftBankMobile18%
KDDI(au + Tu-ka)
30%
Note: PHS services were terminated as of January 7, 2008.
(as of March 31, 2008)
0.80
0.810.72
0.750.64
0.60
0.93
0.970.85
0.94 0.74
0.68
0.77%for the period 0.78%
for the period 0.80%for the period
1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q
Third Party Comment Corporate Profile
Masters degree (1986) from Hitotsubashi University Graduate
School. Same year entered Daiwa Securities. Transferred to Daiwa
Institute of Research (1994), engaged in corporate research and
other duties before current position. Research themes include
socially-responsible investment, corporate social responsibility.
Member of Environmental Council of Tokyo Metropolitan Government,
Part-Time Instructor at Aoyama Gakuin University.
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