Basic Stance on Supply Chain Management

The Daiwabo Group* has adopted the management philosophy of “creating a future that benefits society and the global environment.” The philosophy of putting the customer first is at the core of our management, and as a responsible member of the global supply chain, we recognize that efforts are needed to resolve human rights and environmental issues not just in the Daiwabo Group but across the supply chain. As such, we will endeavor to identify issues in relevant parts of the supply chain through our business activities, and ensure a stable supply of sustainable products and raw materials.

* The “Daiwabo Group” refers collectively to Daiwabo Holdings Co., Ltd. and our consolidated subsidiaries.

Basic Policy on Sustainability in the Supply Chain

The Daiwabo Group seeks the understanding and cooperation of suppliers and other business partners in the following areas, and will work with them to promote sustainability initiatives.
 

The Daiwabo Group CSR Procurement Guidelines were established in June 2023 as a tool for promoting responsible procurement activities that take sustainability into consideration. The Daiwabo Group CSR Procurement Guidelines will be published online in order to help suppliers understand our Group’s policies, and efforts will be made to disseminate them when requesting CSR procurement questionnaires.

Guiding Principles

Rectification

If it becomes clear that our business activities are facilitating environmental issues, human rights violations, or other issues in the supply chain, we will take appropriate steps to rectify the situation.

Information Disclosure

We will endeavor to disclose information related to the above in a timely and appropriate manner.

Promotion of supply chain management

Establishment of CSR Procurement Guidelines

The Daiwabo Group established the Daiwabo Group CSR Procurement Guidelines in June 2023 in order to understand supply chain issues related to our business activities and to ensure a stable supply of sustainable products and raw materials. In compiling these guidelines, we referred to the ten principles recommended by the United Nations Global Compact (UNGC) in the four areas of human rights, labour, environment, and anti-corruption, and considered the appropriate content for our business. Among them, supply chain management on “business and human rights” aims to reduce various human rights risks related to the group by preventing complicity or promotion (including indirect involvement) of human rights violations through business relationships.

Number of managed supply chain companies

The Daiwabo Group selected approximately 100 suppliers with top annual purchase amounts or above a certain percentage of purchases, according to the business characteristics of the IT Infrastructure Distribution Business, Fiber Business, and Industrial Machinery Business, as suppliers for initial management and requested the completion of a supply chain survey.

Supply chain survey

The Daiwabo Group conducted its first survey using the CSR Procurement Self-Assessment Questionnaire (SAQ) of Global Compact Network Japan (GCNJ), which is consistent with international standards and uses a uniform format that is highly versatile for industries and businesses, as a means of identifying CSR procurement risks to suppliers.