Mutual Harmony and Benefit with our Clients

Our procurement activities are in accordance with Procurement Policy, which is based on principles of fairness, coexistence, co-prosperity and mutual trust and good partnership with suppliers.

Procurement Policy

  1. Strict Compliance
  2. Continuous Improvements of Quality, Cost and Delivery
  3. Fair Suppliers certification
  4. Reducing environmental impact
  5. Conflict-free minerals

Suppliers Certification System

We build our CSR in the supply chain through Supplier Certification System to select suppliers in a fair manner. Specifically, we have incorporated CSR-related items in our supplier certification standards and have established Supplier Certification Committee to assess suppliers at both cases of certifying new suppliers and renewed suppliers under ensuring fairness and transparency.
Every year, we also conduct a regular evaluation and review of our key suppliers.
The evaluation focuses on quality, technology, price, delivery and service. If the result of the regular evaluation is less than 60 points, we support the supplier to make improvements. In FY2021, we conducted regular evaluations on 36 companies, and all 36 companies passed.

Supplier Certification Standards

  • CSR: Codes of conduct / environmental management / risk management
  • QCD: Quality management system / price / delivery
  • Securing of Soundness in Management
  • Matching of company strategy and direction

Compliance management subservience

We have established an education program and are educating employees to ensure that we adhere to the Act against Delay in Payment of Subcontract Proceeds, Etc. to Subcontractors and other relevant laws and regulations concerning procurement.

Responsible Procurement

We have Supplier Certification System including CSR assessment and its procedure manual to realize the society of honesty, fairness, coexistence, co-prosperity, impartial manner, and respects for people. Moreover, our procurement activities shall be in accordance with Procurement Management rules.

Conflict-free minerals

We recognize conflict minerals as being a critical international issue that supports the financing of organizations engaged in human rights violations and/or injustices committed in the Democratic Republic of Congo and adjoining countries. 
We strongly request our suppliers for their cooperation in prohibiting the use of any conflict minerals.

Conflict Minerals Policy

We are committed to developing, carrying out, and promoting a policy that prohibits the use of any minerals ("conflict minerals" *1), whose extraction, trade, handling and export contribute to conflicts in the Democratic Republic of Congo and adjoining countries, and/or lead to human rights violations.

  • We recognize conflict minerals as a critical international issue that supports the financing of organizations engaging in human rights violations and/or injustices committed in the Democratic Republic of Congo and adjoining countries.
  • Our Code of Corporate Behavior stipulates that we show respect for the human rights and personalities of all people in our business activities.
  • We are striving to familiarize and cooperate with all of the affiliated firms in our group concerning this policy as it is not our intention to be complicit in any actions infringing on human rights.
  • We also strive to have our suppliers cooperate with this policy.

*1: Cassiterite (tin), coltan (tantalum), wolframite (tungsten), gold

Serious human rights abuses have also been reported concerning other minerals (e.g. cobalt) aside from tin, tantalum, tungsten and gold. We are following social trend in industry and suchlike, and any activity shall be in accordance with our Conflict Minerals Policy.

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