Basic Purchasing Policy

Basic Purchasing Policy

Tokuyama recognizes that the cooperation and support received from all its trading partners play an underpinning role in the Company's business activities. We would also like to remain a good partner with the common goal of creating valuable products that enhance people's lives.
To achieve this goal, we will carry out purchasing activities according to the following basic policy. Tokuyama will:

  1. Comply with the relevant laws and regulations, in word and in spirit, when conducting its purchasing activities.
  2. Conduct impartial and fair as well as transparent purchasing activities.
  3. Create an environment that facilitates the entry of new trading partners, keeping its doors wide open to trading partners at home and abroad who have unique proposals.
  4. Conduct regular contract reviews in continuous/repeat purchasing transactions.
  5. Comprehensively evaluate trading partners and their products/services at the time of purchasing transactions from the following viewpoints to make the best choice for the Company.
    • ・Quality, price, delivery
    • ・Technical capability, reliability, safety
    • ・After-sales service, ease of maintenance management
    • ・Ability to respond in the event of breakdown
    • ・Compatibility with existing equipment
    • ・Stability of management
    • ・Efforts in legal compliance
    • ・CSR procurement perspectives, such as resource protection and environmental conservation
  6. Compile and publish CSR procurement guidelines and clearly specify them to its trading partners.
  7. Rigorously manage information obtained in the course of its purchasing activities and endeavor to maintain confidentiality.
  8. Not accept any kind of business entertainment or gift, such as a reward, which would exceed the scope of personal gain or social acceptability when engaging in purchasing transactions.

Note: This policy does not constitute a contract, nor is it to be construed as an offer of contract.

CSR Procurement Guidelines

Revised: December 2022

Created:  July 2019

These CSR Procurement Guidelines have been prepared and are implemented based on Tokuyama’s Basic Purchasing Policy. Their purpose is to ensure that the Tokuyama Group fulfills its social responsibilities by practicing sustainable procurement throughout the supply chain with the cooperation of suppliers and all trading partners.

1. Corporate governance

  • We ensure thorough compliance and meet the expectations of society by upholding social norms and ethics.
  • We practice timely and appropriate information disclosure in order to ensure sustainable business activities.
  • We continually improve our risk management system to avoid and reduce losses.
  • We prepare for unexpected circumstances during normal times, by improving our capacity to maintain stable business operations based on a business continuity plan (BCP).
  • We pursue CSR activities that contribute to the development of international and local communities.

2. Respecting human rights, including labor rights

  • We respect basic human rights and do not tolerate any kind of inhumane treatment.
  • We do not discriminate based on personal characteristics in recruiting and employment, and we strive to ensure fairness and provide equal treatment and opportunities for everyone.
  • We prohibit all forms of forced or child labor.
  • We pay fair wages.
  • We protect freedom of association and labor rights.

3.Ensuring occupational health and safety

  • We manage working hours and time off appropriately, and prevent overwork.
  • We verify that workers' health and safety at workplaces is ensured.
  • Having formulated emergency measures, we work to ensure everyone is thoroughly aware of them.

4. Environmental initiatives

  • We establish and maintain environmental management systems.
  • We implement appropriate measures to manage chemical substances designated by laws and regulations.
  • We strive to reduce greenhouse gas emissions.
  • We work to minimize our environmental impact.
  • We properly dispose of the waste we generate and practice the 3Rs (reduce, reuse, and recycle).
  • We take steps to protect biodiversity.

5.Promoting fair trade

  • We do not provide/accept inappropriate benefits.
  • We do not abuse our advantageous position or act to place business partners at a disadvantage.
  • We provide suppliers with accurate information on products, services and transaction methods.
  • We do not infringe on the intellectual property rights of others, including technologies relating to procured products.
  • We practice proper trade management based on laws and regulations.
  • We practice responsible mineral procurement.
  • We prohibit any interactions with crime-related individuals or groups.

6.Quality and safety improvement

  • We maintain an operational quality management system.
  • We manage traceability to ensure product quality and act promptly to solve any issues that arise.
  • We prohibit the use of substances in our supply chain whose manufacture or use is prohibited by law.
  • We provide all information necessary to ensure safety and quality control for our products.

7. Managing information security

  • We prevent any leakage of confidential information, while protecting personal information appropriately.
  • We implement measures to protect against computer and network threats.

8.Deployment throughout supply chain

  • We ask all participants in our supply chain to implement the same commitments outlined in these Guidelines.

Items procured

Items below are procured for manufacturing chemicals and plastics, electronic & advanced materials, cement, and other products, for use in our private electricity generation facilities, and for our research laboratories.

・Raw materials and fuels, including industrial salt, metallic silicon, coal, and heavy oil Packing materials, and containers
・Manufacturing facilities (machinery, electrical, instruments), and the construction, maintenance, and repair thereof
・Analyzers and reagents
・Machine components, electrical instrumentation materials, maintenance and repair materials, and consumables
・OA equipment, office supplies

Contact information related to purchasing

Procurement Dept.

Address: FRONT PLACE AKIHABARA, 7-5, Sotokanda 1-chome Chiyoda-ku, Tokyo 101-8618, Japan

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