We work together with our suppliers to build a sustainable supply chain to ensure a stable supply of the most appropriate products to our factories that are technologically advanced and environmentally and human rights conscious. We conduct regular supplier satisfaction surveys to resolve issues and build long-term cooperative relationships with our suppliers, who are our business partners. We are committed to fair and impartial procurement activities, valuing a mutually beneficial relationship that allows us to grow and develop while achieving the best performance.
● Mutual learning and problem-solving collaboration through Technological Improvement Study Meeting
We have been holding a technological improvement study meeting with our suppliers. The basis of manufacturing is the production and processing drawings, and we are striving to maintain quality by clarifying inspection key points at the design stage with the aim of reducing unclear drawings and deficiencies. In the future, we will continue to actively involve ourselves in cooperation in the field of computerization and utilize the digitization of drawings to promote efficient, error-free manufacturing, while further strengthening our mutual collaboration to solve problems and improve our technology and added value.
● Conducting supplier satisfaction surveys and regular interviews
To build a better relationship with our suppliers, we have been conducting a Supplier Satisfaction Survey. Considering the satisfaction survey not only an assessment for us on a routine basis, but also the expectations for us, we collect a wide range of opinions and requests on future improvements aiming at further increasing satisfaction. In addition to regular interviews, we will also continue to investigate, check and improve our relationships with our suppliers to build long-term relationships of trust and improve our QDC. In fiscal 2019, we finished responding to 34 out of the 39 issues we received in the survey.
● Dialogue at supplier exchange meetings
In January 2020, we invited our suppliers to our first supplier exchange meeting. On the day, we proceeded the meeting focus on reporting the results of the supplier satisfaction survey and the status of improvements to their requests, as well as shared our purchasing policies and explained our sustainability initiatives. On the same day, we also held a factory tour and get-together providing a great opportunity to deepen mutual exchanges. We will continue to hold these social gatherings on a regular basis in the future, aiming for co-existence and co-prosperity with our suppliers, who are our business partners.
● Declaration of Partnership Building
In support of "Declaration of Partnership Building" introduced and agreed upon the "Council on Promoting Partnership Building for Cultivating the Future" organized by the Ministry of Economy, Trade and Industry, the Small and Medium Enterprise Agency and other related ministries and agencies for the purpose of helping large enterprises and SMEs to build a mutual beneficial relationship, we are working to achieve this goal by cooperating with our business partners to coexist and prosper together.
● Grasping the situation through the supplier survey form
To build a sustainable supply chain, it is important to process and produce the right raw materials in the right environment. Following the COMANY Group Human Rights Policy formulated in FY2018, the Purchasing Department conducts regular interviews with our suppliers by using a supplier survey form to grasp the situation. We also require our supply chain to respect human rights and not to violate them in case of negative impacts on human rights by our suppliers or their associates that are directly linked to our business, products or services. We will continue to implement management practices with respect to human rights, labor, environment and anti-corruption.
● Business Continuity Management (BCM)
The environment surrounding us is changing day by day, with natural disasters such as the COVID-19, the Tokyo metropolitan area inland earthquake, and the Nankai Trough earthquake. In anticipation of these risks, we are changing our approach to procurement by diversifying our suppliers and reviewing appropriate inventory levels so that we can continue to provide products to our customers even in a contingency without impacting their business activities. In addition, we are working with our suppliers to ensure a stable supply of products to our customers by proactively obtaining prior information and inventory turnover.