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Daigas Group Procurement Policy for Suppliers

The Daigas Group hopes to work together with our suppliers, vendors, contractors and others with whom we conduct business (collectively referred to as “Suppliers”) to contribute to creating a sustainable society while building and developing a relationship of mutual trust with Suppliers. We are committed to following the Daigas Group Procurement Policy,* and we expect Suppliers to adhere to the principles of this Daigas Group Procurement Policy for Suppliers as set out below.

1. Compliance
Comply with laws and ordinances and follow commonsense corporate practices with sound ethical views.
2. Quality and Safety Enhancement
Provide works, services, goods, products, parts, materials, etc. (collectively referred to as “Products and Services”) whose quality and safety can meet the standards set by the Daigas Group and be maintained for a reasonable period of time.
3. Fair Price
Provide Products and Services at fair and reasonable prices in light of such factors as specifications, quality, delivery deadlines, purchase quantities, and market price trends.
4. Deadlines
Be sure to meet the deadlines for delivering Products and Services while maintaining a stable and flexible supply system to ensure delivery before deadlines.
5. Maintenance and After-Sales Service
Maintain relevant system to ensure that Suppliers can conduct inspections, maintenance or repairs and respond to accidents or quality defects in a prompt, safe and appropriate manner, and to provide the necessary parts and technical support speedily.
6. Respect for Human Rights
Respect the human rights of all those involved in corporate activities according to international human rights standards, and prevent the direct or indirect infringement of human rights including discrimination, harassment, and other inhumane treatment, due to corporate activities throughout the supply chain.
7. Fair Working Conditions
Comply with international labor standards, and related laws and ordinances to appropriately pay employees, manage their working hours, give them days off; to prevent any kind of discrimination at the workplace, forced labor, or child labor; and to respect the rights of workers (including technical intern trainees and other workers from abroad, and immigrant workers), such as the freedom of association and the right of collective bargaining.
8. Safe and Healthy Working Environment
Comply with relevant laws and ordinances to implement necessary measures to maintain a safe and healthy work environment and necessary disaster management measures in preparation for emergencies, including natural disasters.
9. Contribution to Environmental Conservation
Reduce the environmental burden of business operation, and Products and Services. [Examples: Reduce greenhouse gas emissions by saving energy and using low- and/or zero-carbon energy; promote green purchasing**; use resources (water resources, raw materials, etc.) in a sustainable way; promote resource recycling; prevent air, water and soil pollution; and conserve biodiversity]
10. Ethical Corporate Management
Respect free and fair competition and prevent misconduct. Protect intellectual property rights; disclose information appropriately; maintain confidentiality; safeguard privacy, including that of personal information; procure minerals responsibly; conduct responsible marketing activities; and never have any relationships with antisocial groups.
11. Sound Corporate Management
Build and maintain a system to ensure the effectiveness and efficiency of corporate operations, the reliability of financial reports, and the protection of assets.
12. Policy Enforcement System
To help implement this policy, raise employee awareness, establish an in-house system including a consultation and reporting system, and communicate this policy with suppliers.

We may request an interview with Suppliers about their efforts related to this policy. The Suppliers are kindly requested to cooperate with us in such a case.

*The Daigas Group has formulated the Daigas Group Procurement Policy and promotes procurement activities based on this policy.
〈Link to the Daigas Group Procurement Policy

**Green purchasing is purchasing in full consideration of the necessity of the purchase, taking into account not only quality and price but also the environment. More specifically, it denotes purchasing products and services that impose as light a burden on the environment as possible throughout the process from resource exploitation to resource disposal, from suppliers committed to reducing the environmental burden. For details, refer to the Green Purchasing Network (GPN)’s Green Purchasing Principles and Guidelines. In addition, the Daigas Group believes that “green delivery,” whereby a company selects to use low-emission vehicles, including natural gas vehicles and electric vehicles, for its business activities and encourages the use of low-emission vehicles at outsourced delivery companies or for the delivery of its products, is part of green purchasing.
〈Link to GPN’s Green Purchasing Principles
〈Link to GPN’s Green Purchasing Guidelines

Formulated in June 1992
Revised in April 2020

We have summarized in our guideline key points particularly concerning necessary efforts to achieve social sustainability.

Click here for further information on the Daigas Group Procurement Guidelines for Suppliers