SUSTAINABILITY
MANAGEMENT
Toyal Group CSR Procurement Policy
Basic principles
Due to the globalization and diversification of economic activities, corporate social responsibility (CSR) has become widely recognized in recent years, and companies are expected to fulfill their responsibilities to the entire supply chain. In addition to showing the Toyal Group's determination to actively fulfill its role and responsibilities in society and in order to build better partnerships with our business partners, we have established and made public a CSR procurement policy aimed at all executive officers and employees of the Toyal Group.
Policy
1. Building corporate governance
- 1-1. Building a CSR promotion system
- We will build a risk management and internal control system and comply with laws and social norms.
- 1-2. Formulation of a business continuity plan (BCP)
- We consider the impact of disasters, etc. on our business to be an important risk, and we will formulate BCP and continually review it through regular training.
- 1-3. Building an internal reporting system
- We will establish and operate the Group Compliance Counseling Line as an internal reporting system to promptly collect information on compliance violations so that corrections can be implemented.
- 1-4. Dissemination of CSR information both internally and externally
- Recognizing the growing interest in international ESG management (environmental, social, and governance) and the corresponding expectations on corporations, we will disseminate not only financial information but also non-financial information both internally and externally.
2. Human rights, the work environment, and health and safety considerations
- 2-1. Basic policy on human rights
- In order to express our basic views on human rights as a company, we will establish and make public our human rights policy.
- 2-2. Respect for human rights, elimination of discrimination, and avoidance of complicity in human rights violations
- We respect human rights and do not discriminate on the basis of race, nationality, place of residence, cultural identity, religion, sex, gender identity, age, or disability, etc. We will prohibit discrimination at the time of employment due to these differences and provide equal opportunities for employees such as to develop as human resources and advance their careers. In addition, we will take care not to contribute to (encourage) violations of the human rights of consumers, indigenous peoples, and local community members in our business activities.
- 2-3. Basic attitude toward labor practices
- We understand the content of international guidelines such as the United Nations Global Compact and the Guiding Principles on Business and Human Rights, and will apply them to our internal work regulations and requests to suppliers.
- 2-4. Prohibition of inhumane treatment
- We will respect the human rights of our employees, prohibit inhumane treatment such as abuse, corporal punishment, and harassment, and use mechanisms such as internal reporting systems to deal with these issues.
- 2-5. Payment of fair wages
- We will comply with the legal minimum wage of the countries and regions in which we operate, conclude appropriate labor agreements regarding overtime work, etc., and pay overtime premiums, etc. in a fair manner. Furthermore, we will not impose unfair fines or other wage reductions that violate the law.
- 2-6. Fair application of working hours, time off and paid time off
- We will comply with the legal working hours or those previously agreed on between labor and management. In accordance with labor-related laws and regulations, we will appropriately manage employee working hours and provide time off and paid time off.
- 2-7. Prohibition of forced labor
- We will not allow employees to work against their will or to engage in work that restricts their freedom to quit their jobs. In addition, we do not unfairly collect passports and ID cards.
- 2-8. Prohibition of child labor
- We will comply with the legal working age restrictions of each country and region, and not employ children under the legal working age. Furthermore, we will not engage in hazardous work that is prohibited for persons under the age of 18, in accordance with the relevant laws and regulations.
- 2-9. Respecting the religious traditions and customs of the countries and regions in which we operate
- We will respect the traditions and customs of the countries and regions in which we operate and the religious customs of our employees, and take care not to interfere with them through uniform labor regulations, etc.
- 2-10. Recognition and respect for freedom of association and the right to collective bargaining
- We respect the freedom of employees to organize, join labor unions, and engage in protest actions, and ensure that employees are not treated disadvantageously due to these actions, and provide opportunities for dialogue between labor and management.
- 2-11. Appropriate management of employee health and safety
- We will understand the risks of accidents occurring during work, and those posed by the occurrence of chemical substances harmful to the human body, noise, and bad odors, etc., and take the appropriate safety measures. In addition, we will identify mental health issues through employee surveys and take the appropriate measures.
3. Environmental initiatives and considerations
- 3-1. Basic policy on environmental initiatives
- We will comply with environmental laws and regulations, build and make public our basic policies regarding environmental initiatives, and as a company build and operate an environmental management system.
- 3-2. Management of chemical substances in our business activities
- We will manage chemical substances emitted during the manufacturing process, and in products and services, and identify the amount handled.
- 3-3. Understanding and reducing the environmental impact in our business activities
- Identify and control the emission of wastewater, sludge, exhaust gases, etc. In order to prevent pollution, we will keep emissions below the legal level and work on improvement activities based on voluntary standards.
- 3-4. Sustainable and efficient use of resources
- We will set voluntary targets to conserve resources and energy and strive for continuous improvement.
- 3-5. Reduction of greenhouse gas emission amounts
- In response to climate change and global warming, we have set reduction targets that take into account international initiatives to reduce greenhouse gases such as carbon dioxide, methane, and fluorocarbons, and will work to reduce them based on medium- to long-term plans.
- 3-6. Reduction of waste
- We will set voluntary reduction targets for waste and conduct continuous reduction activities and identify the emission amounts.
- 3-7. Coexistence with local communities
- For the sustainable development of society, we will strive to coexist with local communities by considering the environmental impact on the communities we interact with through our business and conducting activities to protect biodiversity.
4. Fair corporate activities
- 4-1. Basic policy on compliance
- In order to carry out our activities in promoting our business in a fair manner, we will establish and make public a compliance policy, as well as establish a promotion system and code of conduct, and disseminate these to all group executive officers and employees.
- 4-2. Appropriate relationship with the government and public administration
- We will maintain appropriate and healthy relationships with local governments and public officials in both Japan and overseas wherever we conduct our business activities, and will not engage in bribery or illegal donations.
- 4-3. Prohibition of the inappropriate exchange of profits
- We will maintain appropriate and healthy relationships with our customers and business partners, etc., and not accept or offer money or goods that violate social norms, nor engage in excessively expensive wining and dining or hospitality at entertainment venues.
- 4-4. Prevention of unfair competition
- We will comply with the related laws and regulations such as the Antimonopoly Act and the Unfair Competition Prevention Act, and not engage in unfair transactions such as collusion, cartels, or abuse of a preferential position.
- 4-5. Elimination of relations with anti-social forces
- We will check new and ongoing business partners and eliminate relationships with anti-social forces such as organized crime groups and racketeers. Furthermore, when we receive unreasonable demands from anti-social forces, we will respond after consulting the police and lawyers, and reject any unreasonable demands.
- 4-6. Respect for intellectual property rights
- We will comply with intellectual property related laws such as the Patent Act and the Copyright Act and will not infringe the intellectual property rights of any third parties.
- 4-7. External complaints and consultation services
- We will make public on our company website contact methods for responding to complaints and reports from business partners and consumers regarding important risk information. In addition, we will comply with the whistleblower protection system and ensure that whistleblowers are not treated disadvantageously.
- 4-8. Prohibition of insider trading
- We will comply with the prohibition on insider trading under the Financial Instruments and Exchange Act, and prohibit the related parties, etc. of publicly traded companies from buying and selling stock, etc. of the company in question using undisclosed company information.
- 4-9. Prohibition of conflicts of interest
- In situations where the interests of executive officers and employees conflict with the interests of the company, it is prohibited to enjoy personal benefits that would harm the company's interests.
5. Quality and safety
- 5-1. Basic policy on the quality and safety of products and services
- We comply with the relevant laws and regulations concerning quality and safety, and establish and make public a quality policy.
- 5-2. Ensuring product and service safety
- As well as complying with related laws and regulations regarding product safety, we will also take into account various safety criteria and standards when designing products. In order to respond quickly when a product safety issue arises, we manage traceability and other aspects of the reception of materials, processes, and product inventory. When a problem occurs, we will make the information public and contact the relevant competent authorities in an appropriate manner.
6. Information security
- 6-1. Basic policy on information security
- We will establish and make public our basic policy related to information security and build and operate management systems.
- 6-2. Cybersecurity
- As IT technology advances, we recognize the existence of a variety of new cyber risks as important risks and will take defensive measures against threats on our computers and network systems.
- 6-3. Personal information and privacy protection
- We will properly store and protect the personal information of our customers, third parties, and employees.
- 6-4. Prevention of the leakage and unauthorized use of confidential information
- We will properly store and protect any confidential information received from customers, suppliers, and third parties.
7. Supply chain management
- 7-1. Basic policy on supply chain management
- The basic policy on supply chain management (the CSR procurement policy) will be established and made public. We will actively encourage our suppliers to follow and support our policies and initiatives.
- 7-2. Initiatives for conflict minerals (Responsible Minerals Trade)
- With regard to conflict minerals, we are aware that there is a risk that the inadvertent procurement of conflict minerals could provide a source of funding for anti-government armed groups, etc. making us complicit in human rights violations so in order to avoid this, we will conduct surveys and checks with suppliers based on international guidelines such as the OECD guidance.
