Sustainability
Enhancement of Supply Chain Management
RIKEN TECHNOS constantly receives a wide range proposals and cooperation from business partners related to procurement and logistics. We comprehensively evaluate quality, price, stable procurement, technical capability, environmental, and safety initiatives and build partnerships based on mutual trust. This makes it possible for us to respond to changes in the market and environment.
We are promoting efforts to optimize the entire Group’s raw material procurement.
Accurately assessing social changes is also important for achieving sustainable business growth. That is why we select suppliers based on SDGs considerations and engage in activities for responding to changes in the logistics environment, such as the “2024 logistics problem.”
Procurement Policy
1. Fair procurement transactions and selection
We deal with our business partners on an equal footing, offering fair and impartial access opportunities. Ordinarily, we purchase from multiple sources. During selection, whether in Japan or overseas, we consider competitive quality, price, and environmental friendliness from a global perspective.
2. Creation of partnerships
We maintain good relationships with our business partners, respect human dignity, and avoid unfair discrimination.
3. Observance of relevant laws and regulations and self management
We take care with confidential information from our business partners and procure with a focus on the social norms and relevant laws in each country.
4. Realization of a sustainable society
In our procurement, we actively use biomass raw materials and promote further switching over from conventional raw materials to contribute to achieving the SDGs and respond to climate change.
5. Respect for human rights and elimination of unfair discrimination
In conflict and high-risk regions, we do not procure or engage in transactions involving mineral resources that contribute to conflicts or which are obtained through unlawful labor (such as child labor or labor which involves the infringement of human rights).
Green Procurement Standard
1. Purpose
RIKEN TECHNOS GROUP works on the green procurement as part of promoting the global environment safeguards activities. Many specific hazardous substances have been restricted and banned for using them as ELV directive, RoHS directive of Europe.
Including approach to REACH regulation, understanding and notifying correctly Information sheet of the Chemical substance become more important.
This standard shows the basic view and criteria for our green procurement. RIKEN TECHNOS Group companies work on the utilities of the resources in corporation with the suppliers to advance the environmental protection.
2. Scope
This standard applies to the establishment of environment management system and the management of chemical substances on the sites of the suppliers from whom RIKEN TECHNOS Group companies procure “the raw materials”, “the packing materials, release paper, and paper tube”, and “the lubricant for machinery”.
3. Policy for our green procurement standard
- Request to establish an environment management system
- Declaration of Environmental policy by the top management
- Setting the environment objectives and planning to achieve them
- Self-evaluation
- Request to achieve the environmental performance
- Request to inform nonconformity and changing the manufacturing process and materials.
4. Request to investigate and report about the environment-related substances
- Request to issue SDS
- Request to issue our appointed Information sheet of the Chemical substance and guarantee the information
- Information of measured value or max content of RoHS10 substances
Cadmium and cadmium compounds (Cd)
Lead and lead compounds (Pb)
Hexavalent chromium compounds (Cr6+)
Mercury and mercury compounds (Hg)
Polybrominated Biphenyls (PBB)
Polybrominated Diphenyl Ethers (PBDE)
Bis(2-ethylhexyl) phthalate (DEHP)
Butyl benzyl phthalate (BBP)
Dibutyl phthalate (DBP)
Diisobutyl phthalate (DIBP) - Information of the contents of the products
If the product contains chemical substances that fall under the laws and regulations specified in this standard, including trace amounts of chemical substances such as impurities and by-products, please report the name of the chemical substance, CAS No., content, impurities or by-products, and the applicable laws and regulations.
- Information of measured value or max content of RoHS10 substances
Indicators and Targets
| Indicators | Scope | Unit | FY2020 | FY2021 | FY2022 | Medium- to Long-term Targets | |
|---|---|---|---|---|---|---|---|
| FY2024 | FY2030 | ||||||
| Number of ESG surveys conducted on suppliers | non-consolidated | times | 0 | 0 | 1 *1 | 1 | 1 |
*1Survey for the fiscal year 2022, we surveyed a total of 268 companies and received responses from 224 companies. We will increase the response rate and expand the scope of the survey beyond raw material suppliers, such as suppliers for domestic factories.
Procurement Structure
To supply safer and more reliable products to our customers, we are making efforts to build better environmental and quality management systems, including our supply chain, with the cooperation of our business partners, in accordance with our Procurement Policy. We also promote the establishment of sustainable supply chains by issuing requests for environmental cooperation and using various communication tools based on our Environmental Policy and Green Procurement Standard. In addition, we are expanding our procurement contacts and working to achieve competitive raw materials procurement to continually reduce costs.
Actions in Logistics Processes
In FY2022, we carried out quality audits, including audits of environmental matters, for two transportation partners.
In April 2024, the Act on the Arrangement of Related Acts to Promote Work Style Reform will limit the maximum number of overtime hours that can be worked by drivers in what is being called the “2024 logistics problem.” To address this, we are revising our transportation structures, which will include batch delivery, the reorganization of delivery sites, and modal shifting. These changes will improve delivery efficiency and cut CO2 emissions.
We will also promote the collection of pallets to reduce the amount of new pallet procurement and the transition to plastic pallets to protect forests.
Procurement Initiatives
We are creating a sustainable supply chain and have defined a Procurement Policy. This policy declares our respect for human rights and our dedication to eliminating unfair discrimination. In conflict and high-risk regions, we do not procure or engage in transactions involving mineral resources that contribute to conflicts or which are obtained through unlawful labor (such as child labor or labor which involves the infringement of human rights).
With respect to selecting suppliers based on standards for Sustainable Development Goals (SDGs), in FY2022 we administered an online ESG and SDGs questionnaire to our suppliers. Based on the results of this questionnaire, we will perform scoring and revise our supplier list.