Promotion of Sustainable Procurement
Promotion of Sustainable Procurement
In supply chain management, we have established sustainable procurement guidelines based on our procurement policy and the RBA*1 Code of Conduct, aiming to ensure compliance with respect to labor, health and safety, environment, and ethics, etc. thereby contributing to society. We are working with our business partners to make improvements so that we can establish sustainable procurement as a standard across our operations.
Basic Policy for Material Procurement
1.Compliance with laws and regulations and social norms
We shall comply with the laws and regulations of each country, social norms, and the CSR Code of Conduct, and conduct procurement activities with integrity based on corporate ethics.
We shall implement initiatives concerning the CSR Code of Conduct in line with the RBA Code of Conduct and strive to eliminate adoption of conflict minerals.
We request that our suppliers cooperate with us in ensuring compliance with laws and regulations and social norms in our supply chain.
2.Prioritization of the environment
We shall conduct procurement activities with full consideration for conservation of the global environment and reduction of environmental impact in order to realize a sustainable society in harmony with the environment through our products and services.
We request that our suppliers follow our Green Procurement Guidelines and make efforts to conserve the environment and use and produce parts and materials with less environmental impact.
3.Partnerships
We shall deepen mutual understanding with all our suppliers based on better partnerships and value relationships rooted in trust.
4.Open door
We shall conduct the best possible business transactions, both in Japan and overseas, based on the principles of free competition.
We shall always deal fairly and impartially with all of our suppliers. We select suppliers through appropriate procedures, considering material quality, delivery dates, prices, reliability of management, and the technological development capabilities of the suppliers, as well as evaluating whether they are fulfilling their social responsibilities.
5.Provision of information and maintaining of confidentiality
We shall respond in good faith to our suppliers’ requests and inform them of the information necessary for the transaction. At the same time, we seek useful information from our suppliers. We shall strictly manage trade secrets provided to us and maintain confidentiality.
April 1, 2025
KOKUSAI ELECTRIC CORPORATION
President and Chief Executive Officer
Kazunori Tsukada
Declaration of Partnership Building
Since October 2021, our company has agreed with the purpose of the “Council on Promoting Partnership Building for Cultivating the Future"* and has announced the Declaration of Partnership Building.
Going forward, our company will continue to value partnerships with our business partners and strive to enhance added value across the entire supply chain and achieve sustainable growth.
* This counsil consists of representatives from the Cabinet Office, the Minister of Economy, Trade and Industry, the Cabinet Secretariat, the Ministry of Health, Labour and Welfare, the Ministry of Agriculture, Forestry and Fisheries, the Ministry of Land, Infrastructure, Transport and Tourism, the business and labor communities.
Related Information
CSR Procurement Initiatives
Our group requests our business partners to confirm our procurement policy, the Sustainable Procurement Guidelines, and the Green Procurement Guideline*2 to enhance awareness of CSR throughout the entire supply chain.
Regarding the Sustainable Procurement Guidelines, we explain them to our business partners and seek their commitment to strive for compliance. We also strengthen supply chain management based on the RBA Code of Conduct by monitoring and audits conducted with their cooperation.
- *1
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Responsible Business Alliance. Consisting mainly of US-based companies, it has members from around the world. Since the alliance's formation, its main purpose has been to exercise social responsibility. It has formulated a Code of Conduct which includes suppliers and works to promote its widespread adoption.
- *2
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Our Green Procurement Guideline lays out our action policy, covering topics such as our philosophy on green procurement, inspection of chemical substances and high-risk minerals contained in supplies, and list of self-managed substances.
