CSR/Sustainable procurement
The ShinMaywa Group works closely with its business partners in a fair and sound environment to create a sustainable society together.
CSR Procurement Guidelines
CSR Procurement Policy
- 1.Partnerships
We value trust and will deepen mutual understanding based on better partnerships with all our business partners. - 2.Open doors
Whether in Japan or overseas, we conduct the best transactions based on the principle of free competition. - 3.Maintaining fair business relationships
We always deal fairly and equitably with all of our business partners. - 4.Choosing business partners
We choose our business partners through appropriate procedures based on quality, cost, and delivery (QCD) and CSR evaluations of factors including quality, delivery, and price of materials; management reliability and technological development capabilities; and environmental friendliness. - 5.Providing information and maintaining confidentiality
We respond to the requests of our business partners in good faith and provide them with the information necessary to conduct business with us. At the same time, we ask for useful information from our business partners, and securely manage any trade secrets provided to us, striving to maintain confidentiality.
CSR/Sustainable Procurement Standards
- 1.Strict adherence to corporate ethics
We understand and comply with the content and trends of laws and regulations applicable to the Company and the spirit of those laws and regulations (observance of laws). We also explicitly understand our Clean Procurement Declaration, which states that we will not provide or accept entertainment, gifts, or money to or from interested parties. - 2.Rejection of antisocial forces
We have no contact with antisocial forces, whether through personal relations of employees or organizational connections. - 3.Ensuring information security
We identify and securely manage confidential and personal information that must be protected. - 4.Quality assurance
We have built an internal environment where the safety of products, merchandise, and services is the top priority. Employees maintain this stance from day to day, and investigate if someone spots anything amiss. - 5.Information disclosure
We manage information that should be disclosed separately from information that should be kept confidential. - 6.Respect for human rights
We have a system in place for carrying out measures to prevent human rights violations and harassment, and for facilitating reporting and consultation. - 7.Creating a safe work environment
We have built an internal environment where health and safety are top priorities in our work environment as well. Employees maintain this stance from day to day, and investigate if someone spots anything amiss. - 8.Thorough risk management and training
We conduct in-house training for avoiding violation of laws and regulations, and we regularly check our compliance status. - 9.Contributing to the local community
We contribute to the local community with an awareness of mutual coexistence, through activities such as neighborhood cleanups by employees. - 10.Reducing our environmental impact
We carry out specific environmentally friendly initiatives, addressing issues such as global warming, pollutants, and protection of the natural environment.
New supplier evaluation procedures
- 1Potential business partners
New business partners are asked to submit such necessary documents as a supplier survey form and a request form concerning receipt of transaction proceeds, indicating their company name, business address, main customers, suppliers, and other information.
- 2Credit check/judgment
After we receive the required documents, we conduct a credit review, which includes a review regarding association with antisocial forces.
- 3Signing of basic contract/survey form registration/new
account opening procedures
After confirming that a “transaction possible” decision has been reached after review, a contract is signed, the contents of the survey form are registered in our system, and the procedures are taken to open a trading account.
- 4Management assessment
We check for any dangerous signs related to people, things, or money, and monitor these aspects.
- 5Evaluation of CSR activities
Business partners are requested to answer questions such as those regarding their efforts on human rights and other social issues, as well as on environmental protection. If the content of responses does not exceed a certain level, a further survey will be conducted. (For CSR, we plan to update our survey form based on new procurement guidelines to be established in the future.)
- 6Input of management items/judgment
We register in our system information such as the business partner’s quality control system and whether the Subcontract Act applies. A further survey will be conducted for any insufficient information.
- 7Start of transactions/information disclosure
After these procedures, a trading account is opened, a supplier code is created, and the supplier is registered in the procurement system, which will allow procurement personnel to handle the system and begin transactions.
CSR/results of sustainable procurement activities
Activities in FY2022
Continued promotion of procurement activities with an emphasis on CSR
1. Policy distribution
The Company distributed the ShinMaywa CSR Procurement Guidelines, which were published on its website on April 1, 2022, to major business partners of each business division, and asked for their cooperation in promotion of CSR/sustainable procurement.
2. CSR education
In addition to training for representatives of procurement departments in each business division, we have also provided individual training for personnel in charge of procurement departments in each business division.
It is important for procurement personnel who interact with suppliers to deepen their understanding of "CSR/Sustainable Procurement" and act accordingly.
All 108 members of the procurement departments of each division took part in the video-based training on "CSR/Sustainable Procurement" created by the Materials Procurement Department of the Corporate Planning Headquarters at the head Head Office.
From the students,
“I learned that it is important to be conscious of the value chain.”
"I was able to understand to some extent the relationship between CSR activities and SDGs."
"I thought it was difficult to have to think about the future, such as the environment. I want to find out what I can do and take action."
While receiving feedback such as,
"If you have a collection of explanations of abbreviations, your understanding will be deeper."
"The videos are long and it's difficult to find time to watch them, so it would be easier to watch if they were broken up into smaller chunks."
"The robot voice has no intonation, and I can't understand the content."
We received many opinions that will be useful for improving future educational materials and methods, so we will reflect them in repeated education from 2023 onwards.
(Reference: Some of the educational materials)
3. Awareness raising
In FY2022 as well, we posted messages on “Corporate Social Responsibility (CSR)/Sustainable Procurement” on the digital bulletin board for all employees.
- (Example of posted content)
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4. Issuance of buyer education materials and handbooks
In order to enhance skills of persons in charge of procurement, we created various manufacturing knowledge handbooks to boost manufacturing knowledge required for quotation and assessment as well as price negotiations, and a trade practice handbook to accurately manage import and export, respectively, and have distributed them to procurement departments of each business division.
Activities in FY2021
1. In-house training held for procurement departments at business divisions
At a regular company-wide procurement department meeting, we conducted in-house training on CSR/sustainable procurement for representatives of business division procurement departments. (December 2021)
We raised awareness of human rights and environmental issues in the supply chain, and reconfirmed and shared the role, current status, and future plans of the procurement department toward realizing "CSR/sustainable procurement." We aim to realize a sustainable society step by step together with our suppliers, through initiatives tailored to the urgency of CSR/sustainable procurement in each business division and industry.
2. Awareness raising
We posted messages titled “Corporate Social Responsibility (CSR)/Sustainable Procurement” on the digital bulletin board for all employees. The contents were decided at the Company-wide regular meeting of procurement departments and was updated on a weekly basis during March 2022.
3．Formulation of procurement guidelines
As we do business with the cooperation of suppliers of various
scale and from various regions, we have established the
CSR/Sustainable Procurement Standards as a minimum
mandatory rule and the ShinMaywa CSR Procurement
Guidelines defining items that require compliance, respect, and
consideration.
For the Standards, we focus on the actions that should be
actively taken by people involved in CSR/sustainable
procurement, and whether our suppliers have implemented
organizational initiatives to encourage such actions.
In addition, we share with our suppliers the ideal state based on
our Guidelines, including the degree of impact that each of our
businesses has on society and changes in society in each
region. Together with our suppliers, we pursue both growth and
sustainability.
We hope that our suppliers will cooperate with us in achieving
CSR/sustainable procurement by carrying out various activities
from a risk management standpoint while keeping the
Guidelines in mind.
We will review the Standards periodically in response to
changes in society and work together with our suppliers to
create a sustainable society.
Main activities before 2020
1. Revision of the “Basic Transaction Agreement”
We have revised our "Basic Transaction Agreement" in line with revisions to the Civil Code and the Personal Information Protection Law. (April 2020)
2. Response to the new coronavirus
Based on the materials distributed within the company, including guidelines for our employees, regarding preventing the spread of the new coronavirus infection.
We have created the following reference template for our suppliers and have expanded it in the hope that it will be of some help. (April 2020)
“Employee guidelines for preventing the spread of new coronavirus infection”
“New Coronavirus Health Observation Check Sheet (for home check)”
3. Revision of “Procurement Worker Mobile Card”
In order to achieve CSR/sustainable procurement, as part of the education of procurement workers within the group, we reviewed the "procurement worker mobile card" that describes procurement guidelines, etc., and distributed it to procurement workers throughout the company. We also created and developed an explanatory video. (February 2021)
- “ShinMaywa Group Procurement Philosophy Book” (portable card for procurement personnel) *Fold in three and carry
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(表) 
(裏)
4. Request for understanding and cooperation in clean procurement declaration, environmental activities, CSR procurement, and green procurement
In addition to distributing the document ``Clean Procurement Declaration, Request for Cooperation in environmental Activities, etc.'', we request understanding and cooperation in CSR procurement and green procurement every year during business policy briefing sessions at each business site and individual visits to suppliers. doing.
5. Promote renewal of procurement to new basic transaction contract
6. Review the guidelines for procurement operations audits, implement procurement operations audits including group companies, and improve the spiral.
7. Promote CSR procurement evaluation of business partners (understanding and further improvement of initiatives) and appropriate procedures for business partner selection
- Compliance
- envrionment, safety and health, labor and human rights
- Information Security
8. Promote efforts to improve transaction conditions for small and medium-sized enterprises such as subcontractors based on the Ministry of Economy, Trade and Industry notification
9. Promote activities to comply with the Subcontract Act (updated the Subcontract Act handbook due to increased employee awareness)
10. Promoting activities to comply with construction industry laws (updating the construction industry law handbook and guide collection due to increased employee awareness)
11. Issuance of buyer education materials/handbooks
Education for procurement staff (manufacturing), which summarizes the processing knowledge necessary for carrying out procurement work in an easy-to-understand way, as a guide for selecting suppliers, negotiating delivery dates, considering countermeasures in the event of quality problems, etc. (Create and distribute “Knowledge Handbook”)
