Promotion of CSR Procurement

We work on CSR through supply chains in order to continue to develop together with suppliers and build better partnerships, as well as to promote CSR including suppliers.

In terms of the composition ratio of Toshiba Tec Group’s procurement by business sector, Retail Solutions Business (including Overseas Retail Solutions Business) accounts for 62%, Workplace Solutions Business for 29%, Original Design Manufacturing Business for 8%, and others (Inkjet Business, etc.) for 1%.

Procurement Policy

As a member of Toshiba Group, we strive to build sound partnerships with suppliers through procurement activities based on the Toshiba Tec Group Procurement Policy.

We request suppliers to take into account human rights, labor, health and safety along with the environment. When selecting new suppliers, we promote transactions with suppliers that are committed to focusing on consideration for CSR.

The Toshiba Tec Group Procurement Policy was established in August 2007 for the purpose of helping suppliers, who play a key role in production and service provision for its group companies, understand the policy much better, and encouraging them to cooperate for CSR promotion. Since then, we have been requesting suppliers to put the policy in practice while amending it according to social situations.

In October 2014, we expressly stated that suppliers shall conduct activities in accordance with the United Nations Global Compact (UNGC) and the Responsible Business Alliance (RBA)* Codes of Conduct, both of which Toshiba has pledged to follow, and thoroughly informed our domestic and overseas suppliers of the activities.

  • *The name changed from EICC to RBA in 2017.
Material procurement compliance management system

Compliance in Procurement

We have established a system to ensure compliance concerning procurement, which is connected with the procurement department under the system of Toshiba, and enhance procurement compliance. Information related to compliance concerning procurement is thoroughly shared with Toshiba Tec and its group companies through this system. Moreover, we thoroughly explain measures through group company procurement department manager liaison meetings organized by the Procurement Planning Department of the Corporate Strategic Production & Procurement Group.

We will continue with audits against the act for our domestic group companies with regard to subcontracted transactions to ensure fair transactions with subcontractors.

Since fiscal 2007, we have been annually providing e-learning on the Subcontract Act for employees (including company presidents and officers) of our domestic group companies. In fiscal 2022, a total of 6,688 employees, including six domestic group companies, participated in the e-learning program on the Subcontract Act. We actively participate in training sessions (web-based seminars) on the Subcontract Act organized by supervisory or other authorities.

Participation in Business Partnership Commitment Portal

We completed the registration in the portal “Business Partnership Commitment,” sponsored by the Cabinet Office and the Small and Medium Enterprise Agency, in December 2021. The Business Partnership Commitment was founded through discussion and designed by the “Conference for Promotion of Partnerships to Open up Future,” whose members included the chairperson of the Japan Business Federation (Keidanren), chairperson of the Japan Chamber of Commerce and Industry, chairperson of the Japanese Trade Union Confederation and ministers of related ministries (Cabinet Office, Ministry of Economy, Trade and Industry, Ministry of Health, Labour and Welfare, Ministry of Agriculture, Forestry and Fisheries, and Ministry of Land, Infrastructure, Transport and Tourism), and its portal is now sponsored by the Cabinet Office and the Small and Medium Enterprise Agency. The Business Partnership Commitment is intended for a representative of a company to declare the creation of a new partnership by promoting collaboration and harmonious relationship with business partners in its supply chain and also with business operators who intend to create new value. Toshiba Tec has declared (1) building a harmonious relationship with the entire supply chain and engaging in a new type of collaboration beyond boundaries of corporate size, group, etc.; and (2) compliance with desirable trade practices between parent business operators and subcontractors, or the promotion standards in accordance with the Act on the Promotion of Subcontracting Small and Medium-sized Enterprises. With our declaration posted on the portal, we are committed to putting the declaration into practice, aiming to further enhance our corporate value.

Addressing Conflict Minerals Issue

Section 1502 on conflict minerals of the U.S. Dodd-Frank Wall Street Reform and Consumer Protection Act (the “Dodd-Frank Act”) was enacted in January 2013. Companies listed on U.S. stock exchanges are required to report on the use of conflict minerals mined in the Democratic Republic of the Congo and its adjoining countries. Toshiba Group is not a listed company. However, as part of the supply chains of listed companies, it is investigating and reporting to its customers.

Prior to the enactment of the Act, Toshiba Group organized an internal system to address the conflict minerals issue, and established the Toshiba Group’s Conflict Mineral Policy, uploading it on its website in October 2011. In response to the expanding risks associated with minerals sourcing in recent years, which involve not only the DRC and surrounding countries but also other conflict areas and high-risk areas, human rights violation in general including child labor, and corruption, we reviewed the Toshiba Group’s Conflict Mineral Policy in September 2020 and commenced activities in conformance to the Responsible Minerals Sourcing Policy.

In June 2013, we started a survey of overseas manufacturing subsidiaries and suppliers to the Shizuoka Business Center, which may be using 3TG*, regarding the use of conflict minerals and smeltery information using the Conflict Minerals Reporting Template (CMRT). We conducted the survey in fiscal 2022 as well, and identified 349 vendors who are part of the smelters recognized by the Responsible Minerals Initiative (RMI). We confirmed that 233 of them are Responsible Minerals Assurance Process (RMAP)- conformant smelters.

  • *3TG stands for the initial letters of four conflict minerals: tin, tantalum, tungsten and gold.