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:: THE BASE THAT SUPPORTS GROWTHPartnershipsThe LINTEC Group boasts a very wide product lineup and conducts transactions with numerous customers and suppliers. We build trusting relationships with suppliers as a partner that aspires toward mutual development and convey peace of mind and reliability to our customers by developing products that meet their needs, maintaining a stable supply of these products, and endeavoring to improve product quality and service. Moreover, we are actively engaged in the development of products through collaboration with customers and cooperation with industry, government, and academic entities.Thorough Quality ManagementThe LINTEC Group has acquired ISO 9001 certication, the international standard for quality management systems, for its major sites in Japan and overseas. In addition, we are working to further reinforce our quality assurance system by obtaining ISO 9001 certication for other departments and acquiring integrated certication for related sites. When comparing major quality problems by year, if the scal year ended March 31, 2004, is set as a base of 100, problems declined to 12 in the scal year ended March 31, 2016. We are installing frameworks both in Japan and overseas to ensure that, should a quality problem occur, we are able to take swift action by constructing and implementing management systems that allow us to quickly collect information, analyze the cause of the problem, and take steps to prevent reoccurrence.Efforts toward Business ContinuationThe Group is engaged in building a system capable of either continuing or soon restarting business operations even if struck by a disaster. All the Company’s bases in Japan and one of its subsidiaries, TOKYO LINTEC KAKO, INC., have obtained certi-cation under ISO 22301:2012, the international standard for BCMS, and LINTEC SPECIALITY FILMS (TAIWAN), INC., acquired this certication during the scal year under review. LINTEC holds BCMS study meetings and drills at each site, so that, in the event of a natural disaster or accident that disrupts business operations, we can ensure the safety of our employees before promptly recommencing the supply of products in addition to minimizing any effect on our stakeholders, including our customers.In regard to suppliers of raw materials that are critical in securing a stable supply of our products, we evaluate such suppliers’ ability to continue their businesses. At the same time, we request that these suppliers introduce a business continuity plan (BCP) and establish a management system to implement it on an organization-wide basis.Fair TransactionsLINTEC has a basic policy for fair and transparent transactions based on the principle of free competition among suppliers, and we are engaged in procurement activities that comply with all relevant laws and regulations and social norms. For major suppliers, we require evaluations through self-audit check sheets for assessing suppliers based on quality, chemical sub-stance management, administration and services, and CSR. We periodically review our purchasing processes while maintaining and enhancing partnerships.Green ProcurementThe LINTEC Group is committed to procurement that aims to reduce environmental impact through thorough chemical substance management for raw materials, parts, and secondary materials. When procuring a new material or responding to a new regulation, we ask for suppliers’ understanding in conducting ingredient examinations to monitor for the presence of regulated substances. For the scal year ended March 31, 2016, we imple-mented examinations to check for substances regulated by REACH* in the procurement of approximately 16,000 items. In addition, we request that suppliers engage in proactive environmental pres-ervation activities and thoroughly manage chemical substances.* REACH Regulation: Registration, Evaluation, Authorization and Restriction of Chemicals This is a European Union regulation to address the production and use of chemicals.LINTEC ANNUAL REPORT 201630

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