Sustainability Initiatives

Message from the CEO

A company’s business activities are built on environmental and social foundations. Ignoring the impact of corporate activities on the environment and society, and in particular external diseconomies, damages the very foundation upon which we live, and leaves future generations to pay the price.

CureApp takes stock of the environmental, social, and economic impact of the Company’s corporate activities. We see economic gains as compatible with having a positive social impact, and we strive to achieve a balance of both born from a clear intent. We are also working to minimize and eliminate the negative impact of our business operations.

Specifically, with regard to the relevance and importance of social issues in relation to our business in the medical field, we consider the social issues to be addressed, the value we can create on these issues (i.e. impact), identify the pathway in which such impacts may manifest, and conduct our business with an awareness of how our business activities lead to these outcomes. We also review the impact of our business activities from the perspective of ESGs, and will work to make continuous improvements.

Economic activity since the days of the industrial revolution has brought damages to the environmental and social foundations in which we live, and those are nearly at their breaking point. CureApp pledges to contribute to the realization of a sustainable environment, society, and economy through our business activities.

Social Issues to be
Addressed by CureApp

While advancements in healthcare today continue day by day, many issues are still left unresolved.
CureApp see the following four issues in particular as major challenges.

Healthcare Disparities

Japan has established a network of hospitals and medical clinics nationwide under its national health insurance system. Despite this, we can see regional disparities in the healthcare provided in urban and rural areas, and this gap continues to widen as medical technology continues to advance. This issue is also seen in global, with large disparities in healthcare existing between different countries and regions.

Burgeoning Medical Costs

Soaring medical costs driven by rising research and development expenses and an increasingly aging society have become a significant issue. In Japan in particular, where national healthcare expenditures exceeded 43 trillion yen in FY2018, this is recognized as a serious issue which is beginning to undermine the national health insurance system.

Treatment blank period

Conventional medical treatments generally do not allow for therapeutic intervention on the part of medical practitioners in periods between treatments when the patient is outside the hospital, creating what is known as a “treatment blank period”. For patients with dependencies, lifestyle diseases, and other chronic illnesses that need to be managed, these blank period in treatment are not addressed through medical intervention to help patients implement correctional behavior on their own. This not only inhibits improvement in patient’s health; it often also leads to treatments being suspended or a deterioration in the patient’s condition.

Disparity in the Quality of Healthcare

The enormous workload and longer working hours of medical professionals has become a social issue. In addition, with an increasingly aging society, the number of patients requiring healthcare on a daily basis continues to increase, and the inability to dedicate a sufficient amount of consultation time on each patient has become a concern in clinical practice. Further, advances in medical technology have raised the bar for the level of experience and long-term training required of medical practitioners, and a disparity in the quality of healthcare provided has developed as a result.

Value (Impact) Provided
by CureApp

MISSION

We run our business in pursuit of our mission to “re-evolve ‘therapeutics’ with software”. In response to the aforementioned issues, we are committed to realizing a society in which all people can enjoy quality medical care at any time with peace of mind through the social implementation of a new treatment modality called therapeutic apps.

list of SDGs
3.Good Health and Well-Being
9.Industry, Innovation and Infrastructure
Today's society→Re-evolving 'theraoeutics' with software→The society we strive for

Rectifying Disparities in Healthcare

In general, therapeutic apps can be freely prescribed and used for treatment without any restrictions imposed by distribution networks provided the patient has access to the Internet. Further, expertise from medical professionals can be incorporated into the software algorithms during development to compensate for the uneven concentration of medical professionals in urban areas.

We aim to help rectify disparities in healthcare by driving the adoption and implementation of therapeutic apps in society.

Contributing to the Optimization of Medical Costs

While a new drug generally entails research and development expenses in the order of tens to hundreds of billions of yen before it goes to market, therapeutic app development provides extremely low risk of side effects, and requires minimal research and development expenses to achieve the same therapeutic effect – an example of which is seen in Japan’s first nicotine dependency therapeutic app, which was developed over a seven year period, compared to the typical research and development period of nine to seventeen years seen for medicinal drugs.
In addition, early intervention using therapeutic apps to address dependencies and lifestyle diseases is expected to help keep medical expenses at an appropriate level by reducing future health risks and social costs to such an extent that it more than offsets the medical expenses incurred in providing early intervention treatments.

We will continue to work to ensure suitable medical costs by pursuing therapeutic apps applicable to a broad range of illnesses and ailments.

Eliminating Treatment Blank Period

As noted above, gaps in treatment pose a significant concern regarding the effectiveness and continuation of treatments. Therapeutic apps can be used to provide treatment 24 hours a day, 365 days a year, at home or in the office, and without other constraints through a smartphone app that many people now use daily. This boosts the therapeutic effectiveness of treatments for illnesses that require continual therapeutic intervention, without taking up the already limited medical resources available.

We strive to contribute to eliminating treatment blank period through our therapeutic apps.

Stabilizing Healthcare Quality

Inevitable variations in healthcare quality due to overwork of physicians and the increasing sophistication of their expertise are major challenges for both physicians and patients, and are difficult to solve by their own efforts under the constraints of limited healthcare resources. By replacing time-consuming cognitive-behavioral therapy and lifestyle guidance, which are personalized to each patient's lifestyle and mindset, with therapeutic apps equipped with evidence-based guidance and personalized algorithms, it becomes possible to stabilize the quality of healthcare without imposing a burden on medical resources.

We endeavor to stabilize healthcare quality without burdening doctors and medical professionals through our therapeutic apps.

Impact Logic

CureApp will contribute to the realization of a “society where reliable, high quality healthcare is available to all at any time” by developing and releasing a broad range of therapeutic apps addressing various illnesses and by driving growth in the therapeutic apps industry.

In working towards achieving this in a logical, defined manner, CureApp has set ultimate goals (super goals) to address along three pathways in which the value (impact) of our business manifests, and four med-term outcomes to pursue. Looking ahead, we will continue to incorporate these metrics into our management cycle and strengthen our governance.

Impact Logic

Pathways in which the impact manifests

  1. 1. Impact on patientsUntil now, therapeutic interventions have been limited in principle to the hospital, except for medication and other services. Therapeutic apps seek to overcome these constraints and offer patients new therapeutic effects by providing evidence-based therapeutic guidance regardless of time or place. In addition, therapeutic intervention at the initial or mild stages of a disease can prevent the aggravation of an illness and secondary events.
  2. 2. Impact on doctorsTherapeutic apps prescribed by doctors synergize well with existing therapies by notifying the doctor of app use and providing doctors with prescription aids. While therapeutic app functions are primarily developed with their impact on patients in mind, we predict that the increase in medical professionals realizing the true value offered by therapeutic apps will act as a catalyst for driving the further social implementation of therapeutic apps.
  3. 3. Impact on academia and industryWe believe that the evidence we have accumulated from our extensive involvement in the research and development of therapeutic apps will accelerate the investment of human resources and funding in the therapeutic app industry, therefore expanding the scope for research and development, through the establishment of regulations and other infrastructure development for therapeutic apps, and the widespread adoption of research and development into this field. We believe that the involvement of various other research institutions and companies, alongside our own efforts, will accelerate the social implementation of therapeutic apps forward.

Medium-term outcomes

  1. 1. Number of patients receiving therapeutic effects (development of new therapeutic effects) We have set the number of patients receiving therapeutic effects through our therapeutic apps as a medium-term outcome leading to the provision of quality healthcare.
  2. 2. Amount of optimized medical expenses compared to conventional treatments, etc. (offering treatments with a high cost-effectiveness)The economics of healthcare serve as an important indicator amidst issues with tightening healthcare budgets. The contribution of therapeutic apps – which are developed with significantly lower research and development costs compared to medicinal drugs – is calculated on the impact they have on stabilizing medical costs, which is set as a medium-term outcome providing for reliable (sustainable) healthcare services.
  3. 3. Number of therapeutic apps provided through the APS/in the pipeline (elimination of treatment blank periods) CureApp provides the APS (App Prescription System, a distribution platform for therapeutic apps) to facilitate the distribution of therapeutic apps, regardless of whether they are developed in-house or by third parties. We have set the total number of therapeutic apps distributed through the APS as a medium-term outcome for the provision of healthcare not constrained by time or space.
  4. 4. Number of APS installations at medical institutions nationwide (elimination of disparities in regional healthcare)Promoting the distribution of therapeutic apps in itself helps to eliminate regional disparities in healthcare services through the provision of therapeutic apps that incorporate algorithms designed based on insights from medical specialists. CureApp has set the number of installations of our therapeutic app distribution platform, APS, at medical institutions as a medium-term outcome for rectifying disparities in regional healthcare.

Contribution to SDGs

We conduct our business with the goal of realizing a “society where reliable,
quality healthcare is available to all at any time” based on our mission of “re-evolving ‘therapeutics’ with software”.
We believe that these initiatives are intrinsically linked to the achievement of the 17 goals put forth in the SDGs.
We will continue to actively contribute to the achievement of the SDGs through the initiatives outlined in detail below.

3. Good Health and Well-Being

3.Good Health and Well-Being (3.4, 3.5, 3.8, 3.a)

We hope to cause a paradigm shift in existing healthcare services and pave the way for a “society where reliable, quality healthcare is available to all at any time” through the development and sale of therapeutic apps intended as patient aids for a variety of lifestyle-related diseases, including nicotine and alcohol dependencies, hypertension, and NASH (non-alcoholic steatohepatitis).

  1. 3.4By 2030, reduce by one third premature mortality from non-communicable diseases through prevention and treatment and promote mental health and well-being.
  2. 3.5Strengthen the prevention and treatment of substance abuse, including narcotic drug abuse and harmful use of alcohol.
  3. 3.8Achieve universal health coverage, including financial risk protection, access to quality essential health-care services and access to safe, effective, quality and affordable essential medicines and vaccines for all.
  4. 3.aStrengthen the implementation of the World Health Organization Framework Convention on Tobacco Control in all countries, as appropriate.
9.Industry, Innovation and Infrastructure

9.Industry, Innovation and Infrastructure (9.5)

CureApp have outstanding capabilities in development, regulatory, and commercialization, backed by our record of being the first in Japan to obtain regulatory approval and receive insurance coverage for a therapeutic app. We will look to continue investing in research and development to continuously create new pipelines based on these capabilities.

  1. 9.5Enhance scientific research, upgrade the technological capabilities of industrial sectors in all countries, in particular developing countries, including, by 2030, encouraging innovation and substantially increasing the number of research and development workers per 1 million people and public and private research and development spending.
17.Partnerships for the Goals

17.Partnerships for the Goals (17.17)

In order to achieve a “society where reliable, quality healthcare is available to all at any time”, we will look to coordinate with academia on research and development and government bodies on rule making for emerging industries, promote partnerships in collaboration with medical professionals working in clinical settings, and lead the way in developing initiatives for new industry creation.

  1. 17.17Encourage and promote effective public, public-private and civil society partnerships, building on the experience and resourcing strategies of partnerships.

ESGs of Particular
Importance to CureApp

Social/Environment/Governance

As noted above, we consider the social issues we should address, the value (impact) we can create, and the pathways upon which such value can manifest, while we develop an outline for how these social issues tie back to the SDGs which is a common set of goals for all of humanity to tackle through our business activities.

At the same time, we are aware of the unintended effects our corporate activities have on society and the environment through the use of financial capital, human resources, intellectual property, and other resources in the implementation of our corporate activities. For this reason, as implementing initiatives that address sustainability, we place great importance governance to ensure sound and appropriate management in light of the impact on the environment and society, which are the foundation upon which we depend, and the demands of various stakeholders.

From this standpoint, we inspect our corporate activities from an ESG perspective, taking into account the characteristics of the industries and businesses to which we belong, and work to make the following improvements based on our initial assessment of materiality.

CureApp’s initial evaluation of materialities from an ESG perspective

ESG
Category
Field Initial
materiality*
assessment
Assessment and examples of initiatives
Environmental Energy As a company that primarily provides therapeutic apps, considering the energy consumption of the apps we provide is limited, we believe that environmental issues bear little relevance and significance to our business activities.
We do implement general energy saving and resource recycling measures as part of our office management in our business activities.
Use of sustainable resources, resource circulation
Social Human capital Intangible know-how and intellectual property resulting from our research and development activities as well as the human resources to continuously produce them are important assets of our business, and we recognize social issues as having a high degree of relevance and importance to our business activities.
To this end, we have established an HR Policy to ensure that we hire a diverse workforce and that our hired personnel can work to their fullest capabilities. With regard to labor practices, our Compliance Action Manual outlines our policy on respecting diversity, providing fair opportunities in hiring and employment, and on the prohibition of all forms of harassment, and we provide regular training to all employees to raise their awareness to the policy. We are also actively working on health & safety topics and have implemented our Health Managament Declaration and Covid Vaccination Leave.
Labor practices
Occupational health and safety
Quality and safety
Governance,
etc.
Corporate governance Our business is built on relationships with patients, customers, medical professionals, health insurance associations, the government, and various other stakeholders. As such, we think that governance issues such as compliance, risk management, and efforts to continuously optimize corporate governance are highly relevant and important to our business.
In particular, due to the nature of business activities concerning therapeutic apps requiring the acquisition of various data, including personal information, we have actively sought to obtain ISMS and Privacy Mark certifications, and we continue to promote the establishment of an information security system that is befitting of our business activities.
Fair business practices
Compliance
Risk management/BCM
Supply chain management

* Materiality: Key issues for CureApp to for achieving sustained growth alongside society