NKC Group CSR Procurement Guidelines

Introduction

To promote corporate and social sustainability through its business, the NKC Group remains committed to producing products and services that resolve a variety of social issues. We will seek to improve our corporate value in a sustained manner and contribute to society by working to resolve social issues through our business while establishing a high degree of trust not only with customers but also with all other stakeholders connected with our company. In addition, based on this idea, we will coexist with mutual trust and transparency from a fair, equitable and global perspective, in compliance with laws and social norms, together with many parts procurement partners that make up the supply chain. We strive to build relationships of mutual prosperity and work on “Corporate Social Responsibility (CSR).”

Looking around the world, the United Nations Guiding Principles on Business and Human Rights, the SDGs (Sustainable Development Goals), the Guidelines for Multinational Enterprises by the Economic Cooperation and Development Organization (OECD), and the International Labor Organization (ILO)), Various international documents on CSR, such as the “International Enterprise Declaration,” have been issued and revised, and it is expected that social demands for corporate initiatives will continue to grow. Considering these social demands regarding international CSR, we have formulated the “NKC Group CSR Procurement Guidelines.”

NKC Group Procurement Policy

NKC Group (the “Company” or “we”), having established its Corporate Vision of “NKC strives to be a company that is constantly evolving and whose employees always have pride in working,” regards its suppliers as important partners in achieving this vision. The Company will continue to promote procurement activities along with suppliers based on the following basic concepts with the aims of providing products and services that meet the expectations of customers and of achieving a sustainable society.

  1. Fair and impartial selection of suppliers

    The Company, which is developing production activities globally, offers equal opportunities to all domestic and overseas suppliers. In selecting suppliers, we strive to ensure a fair, impartial, and transparent selection process.

  2. Compliance with laws and social norms

    The Company will continue to promote procurement activities that fulfill its corporate social responsibilities (CSR), such as prohibition of child labor, forced labor, and discrimination, along with its suppliers, in compliance with laws and social norms in each country.

  3. Pursuing cutting-edge technologies and optimal quality

    As it is vital to develop products incorporating cutting-edge technologies in order to achieve our corporate vision, we are willing to employ cutting-edge technologies held by suppliers and will continue to create value. Furthermore, we set our clear quality objectives from the product development phase, and strive to employ materials and products that can ensure an optimal quality level.

  4. Pursuing optimal costs

    To achieve product prices that are acceptable to customers, we aim to reduce not only material costs and processing costs but also all elements composing product cost. To those ends, we will continue to promote development and purchasing activities together with suppliers, and proactively employ their suggestions for cutting-edge technologies, new materials, and Value Engineering.

  5. Promoting Green Procurement

    We will continue to promote Green Procurement activities in creating products, while giving due regard to reducing environmental impacts, and preferentially employ materials and products that have low impacts on the global environment.

  6. Promoting stable procurement and BCP

    To maintain stable supplies of products to customers, we will continue to work with our suppliers toward the efficient and stable procurement of materials and products. In addition, we consider it important to secure supply chains in the event of a disaster also in the context of fulfilling our corporate social responsibilities, and will continue to promote the procurement of materials and products based on our BCP policy.

NKC Group CSR Procurement Guidelines (PDF)

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