Promoting CSR Procurement

Kumiai Chemical Group basic policy on CSR procurement

  1. Compliance with laws and regulations
    The Kumiai Chemical Group complies with the laws of each country and respects social norms in procurement throughout the entire supply chain.
  2. Fair transactions
    The Kumiai Chemical Group strives to build relationships of trust and cooperation with its suppliers ensuring a stable supply of safe, reliable, and high-quality products and services. We conduct procurement activities fairly and equitably. We do not have any relationship with anti-social forces. We also work to ensure that we are not complicit in conflicts through the procurement of minerals and other resources.
  3. Protection of intellectual property rights
    The Kumiai Chemical Group respects and does not infringe on intellectual property rights owned by third parties.
  4. Respect for basic human rights
    The Kumiai Chemical Group respects basic human rights. We promote procurement activities that do not involve forced labor, child labor, slave labor, human trafficking, unfair discrimination, harassment, or invasion of privacy. We respect workers' rights (freedom of association, right to collective bargaining, payment of appropriate wages, etc.) and give due consideration to their working environment and health and safety. We also respect the traditions and customs of the countries and regions in which we operate and consider the rights of indigenous people and ethnic minorities.
  5. Considerations for the environment
    The Kumiai Chemical Group practices appropriate management of chemical substances and promotes initiatives to reduce environmental impact. We conduct procurement activities with consideration for climate change mitigation and adaptation through reducing greenhouse gas emissions, conservation of biodiversity, reducing waste, preventing environmental pollution of soil, air, water, etc., and efficient use of resources (energy, water, raw materials, etc.).
  6. Ensuring quality and safety of products and services and stable supply
    The Kumiai Chemical Group ensures high quality and safety in order to provide products and services that satisfy customers and ensure a stable supply. We strive to conduct procurement activities at reasonable prices based on market principles.
  7. Appropriate information disclosure and information management
    The Kumiai Chemical Group places importance on timely and appropriate information disclosure both internally and externally, which is necessary to ensure transparency in corporate activities. In addition, in procurement activities, we prevent the leakage and improper use of confidential information, intellectual property, and personal information of our business partners, and ensure thorough information management.
  8. Harmonious coexistence with local communities
    The Kumiai Chemical Group makes it a basic principle to conduct responsible business operations with due consideration for local communities. We engage in dialogue with local residents, aiming for coexistence and co-prosperity with local communities and the development of a sustainable society throughout the entire supply chain.
  9. Encouraging Suppliers
    The Kumiai Chemical Group aims to implement CSR procurement throughout its supply chain. We engage in CSR procurement ourselves and encourage our suppliers to engage in CSR procurement.

Kumiai Chemical Group CSR Procurement Guidelines

The Kumiai Chemical Group strives to build relationships of trust and cooperation with its suppliers in order to provide a stable supply of safe, reliable, and high-quality products and services. We aim to conduct procurement activities fairly and equitably. We aim to increase our societal trust and corporate value through corporate activities based on CSR activities. To achieve this, it is essential to promote CSR procurement in cooperation with our suppliers. We request that all suppliers implement activities based on these CSR procurement guidelines.

  1. Compliance with laws and regulations
    (1) We ask our suppliers to comply with relevant laws and regulations and respect social norms in their business activities.
  2. Fair transactions
    (1) We ask our suppliers to work to prevent bribery.
    (2) We ask our suppliers to do not to demand improper benefits or services from customers, business partners, etc.
    (3) We ask our suppliers not to engage in unfair transactions such as bid-rigging, cartels, or abuse of a superior bargaining position.
    (4) We ask our suppliers not to have any relationship with anti-social forces.
    (5) We ask our suppliers not to engage in insider trading.
    (6) We ask our suppliers not to engage in any transactions that are or may be a conflict of interest.
    (7) We ask our suppliers not to contribute to conflicts through the procurement of mineral resources, etc. produced in conflict areas such as the Democratic Republic of the Congo and its neighboring countries.
    (8) We ask our suppliers to build a system to prevent fraud and establish a mechanism for early detection of fraud.
  3. Protection of intellectual property rights
    (1) We ask our suppliers to protect their intellectual property and not illegally obtain, improperly use, or infringe on the rights of third parties' intellectual property.
  4. Consideration for human rights, labor environment, safety and health
    (1) We ask our suppliers to respect basic human rights by not engaging in forced labor, child labor, slave labor, human trafficking, discrimination, or harassment based on race, gender, sexual orientation, gender identity, age, nationality, religion, disability, or physical characteristics, or violation of privacy.
    (2) We ask our suppliers to respect the traditions and customs of the countries and regions in which they operate and consider the rights of indigenous people and ethnic minorities.
    (3) We ask our suppliers to maintain a healthy and fair working environment, including appropriate working hours, respect for basic labor rights such as employees' freedom of association and the right to collective bargaining, and the provision of fair human resource development opportunities.
    (4) We ask our suppliers to comply with legal minimum wages in the countries and regions in which they operate and strive to set appropriate wages in consideration of living wages.
    (5) We ask our suppliers to ensure the health and safety of employees through workplace health and safety management, employee health management, and safety measures for machinery, equipment, and facilities.
    (6) We ask our suppliers to respond promptly and appropriately in the event of an occupational accident or equipment accident and take necessary corrective measures.
  5. Considerations on the environment
    (1) We ask our suppliers to promote environmentally friendly practices such as reducing greenhouse gas emissions, conservation of biodiversity, reducing waste, property managing chemical substances, preventing soil, air, and water pollution, and making effective use of resources (energy, water, raw materials, etc.).
  6. Ensure quality and safety of products and services and stable supply
    (1) We ask our suppliers to ensure the quality and safety of products and services and set reliable delivery dates that enable supply.
    (2) In the event of an accident or distribution of defective products or services, we ask our suppliers to take appropriate measures such as product recalls, notification to relevant parties, and implementation of safety measures.
    (3) We ask our suppliers to work to develop systems and plans to mitigate damage and ensure business continuity or early recovery in the event of a disaster.
  7. Appropriate information disclosure and information management
    (1) We ask our suppliers to disclose information in a timely and appropriate manner both internally and externally to ensure transparency of corporate activities.
    (2) We ask our suppliers to thoroughly manage information by preventing the leakage and improper use of confidential and personal information.
  8. Harmonious coexistence with local communities
    (1) We ask our suppliers to operate our business responsibly in consideration of the local community, such as by promoting initiatives to eliminate noise, chemical substances, accidents, and other damage to residents.
    (2) We ask our suppliers to emphasize dialogue with residents and engage in social contribution activities and local employment, etc., in order to promote coexistence and co-prosperity with local communities and the development of a sustainable society.
  9. Encouraging Suppliers
    (1) We ask our suppliers to engage in CSR procurement on their own and encourage their suppliers to engage in CSR procurement so that CSR procurement can be practiced throughout the supply chain.

Supply Chain

We conduct procurement of raw materials in accordance with the CSR Procurement Guidelines. These guidelines stipulate (1)compliance with laws and regulations, (2)consideration of human rights and occupational health, (3)consideration for the environment, (4)ensuring quality, safety, and delivery date, (5)proper information management, (6)anti-corruption, and (7)elimination of relationships with antisocial forces. In order to reduce procurement risks amid rapidly changing market conditions, such as prices and delivery dates, we have built good working relationships with more than 200 suppliers, allowing us to purchase from multiple suppliers to ensure stable procurement.

Results of Questionnaire Survey of Suppliers
Has established a basic policy and guidelines related to respect for human rights and disseminated them to employees 100%
Has developed initiatives to prevent improper payment of wages and excessive and unreasonable working hours 100%
Has established a system to identify and assess the environmental impact of business activities 100%
Discloses information on the basic policy and initiatives related to prevention of bribery 100%
Has established initiatives to provide consumers with accurate, sufficient, and clear information 100%
  • Questionnaire survey of the top 15 suppliers with the highest procurement results (84%, excluding companies and organizations with capital ties to Kumiai)

Declaration of Partnership Building

We have announced the matters that we focus on in order to build new partnerships by promoting cooperation, coexistence, and co-prosperity with our suppliers in the supply chain and businesses seeking to create value.
＜https://www.biz-partnership.jp/declaration/96786-05-08-tokyo.pdf＞（PDF file）

Declaration of Partnership Building logo

Participating in the White Logistics Movement

We support the purpose of the White Logistics Movement advocated by the Ministry of Land, Infrastructure, Transport and Tourism, the Ministry of Economy, Trade and Industry, and the Ministry of Agriculture, Forestry and Fisheries, and has submitted a declaration of independent action to the White Logistics Movement secretariat.
＜https://ir.kumiai-chem.co.jp/ja/newsrelease/cnews-3456135833208524433/main/0/link/white_logistics.pdf＞（PDF）

White Logistics Movement

Sustainability