Basic Supply Chain CSR Policy

As part of the CSR management that we promote together with our stakeholders, the Marubeni Group is aiming to achieve CSR supply chain management in partnership with our suppliers.
In operating a wide range of businesses on a global scale, the Marubeni Group has built up supply chains in many different countries and regions. Some of these include developing countries where issues such as forced labor, child labor and degradation of the local environment may arise. Given these concerns, Marubeni sees supply chain management as an important CSR issue for continued sound business practice, and works diligently to prevent these problems.

Basic Supply Chain CSR Policy

In December 2011, Marubeni partially revised its Basic Supply Chain CSR Policy, which was established in October 2008. Further revisions were also carried out in March 2013.

Basic Supply Chain CSR Policy (revised in March, 2013)

  1. Marubeni does not stop at achieving strong CSR results for itself, but also supports the achievement of strong CSR results throughout its supply chain, with the objective of building an environmentally friendly, healthy and sustainable society.
  2. Marubeni requests the understanding and cooperation of its business partners in the observance of the “Supply Chain CSR Guidelines” set forth below, so that Marubeni, together with its business partners, can facilitate highly efficient CSR results.
  3. Supply Chain CSR Guidelines
    1. 1)Observance of Laws
      • Observe the applicable laws of each relevant country and the various countries affected by the transaction.
    2. 2)Respect for Human Rights
      • Respect human rights, without discrimination, physical, verbal, sexual and other forms of harassment or inhumane treatment.
      • No child labor, forced labor, inappropriate wage abatement, or excessive working hours.
      • Respect employees' right to unionize for the purpose of negotiations between labor and management and to bargain collectively.
    3. 3)Preservation of the Environment
      • Protect nature.
      • Minimize environmental impact, and prevent pollution.
    4. 4)Fair Transactions
      • Conduct fair transactions, and do not inhibit free competition.
      • No bribery or illegal contributions, and prevent corruption.
    5. 5)Safety and Health
      • Secure safety and health in the workplace, and maintain a good working environment.
    6. 6)Quality Control
      • Maintain the quality and safety of products and services.
    7. 7)Disclosure of Information
      • Including the items mentioned above, appropriately disclose company information.

*The term of “ human rights” in the Basic Supply Chain CSR Policy as used herein shall include the fundamental human rights provided for by the Constitution, the Labor Standards Law and the Universal Declaration of Human Rights and the UN Guiding Principles on Business and Human Rights.
In addition, the term shall include human rights with regard to equal employment, prohibition of forced labor and child labor, freedom of association and protection of collective bargaining rights, as prescribed by the International Labor Standards of International Labor Organization (ILO).
*Preservation of the environment in Basic Supply Chain CSR Policy includes energy consumption, climate change, water consumption, impact on biodiversity, environmental issues, pollution, waste, and resource use.

Marubeni aims to have all its long-term business partners* understand and cooperate with the Basic Supply Chain CSR Policy, and we have been working to disseminate the policy to them.
Specifically, we have put in place a structure to deal with any revision to the Policy, by providing our existing and potential longterm business partners with a detailed explanation of each revision via a number of means, including briefing sessions, personal communications, and written communications to ensure our business partners have a full understanding of and are able to comply with our most updated Policy.
Based on this system, we had explained the Policy to approximately 2,400 suppliers by October 2012. We also have explained the Policy to about 2,800 of our long-term business partners following its revision in March 2013.

*“Long-term business partners” include Group companies, suppliers, service providers, contractors, third-party manufacturers, JV partners and outsourcing partners.

Measures to Counteract Noncompliance with Labor Standards under the Basic Supply Chain CSR Policy

Marubeni has formulated measures and procedures to counteract noncompliance with the labor standards set forth in the Basic Supply Chain CSR Policy, and effect improvements. The measures and procedures are as described below. There were no business partners that did not comply with the supply chain labor standards for the year ended March 31, 2017.

Supply Chain Management Education/Training

To implement supply chain management, Marubeni had executives and employees participate in e-learning programs in order to obtain a better understanding of supply chain labor standards and other important issues.
In the year ended March 31, 2017, a total of about 3,000 personnel had participated in the training programs. Marubeni will continue to update the content every year and conduct the education and training programs.

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