Social Report

Cooperating with Suppliers

Considering all suppliers as "partners who should grow together with Lintec", the Lintec Group strives to establish relationships built on trust with them. When selecting suppliers, we evaluate them appropriately based on the principle of free competition. We engage in fair and transparent transactions, and ensure legal and ethical compliance in our procurement activities.

Fair Transactions

CSR Procurement

Lintec has established the Lintec Procurement Policy, the Lintec Green Procurement Policy, and the Lintec Lumber Pulp Procurement Policy, all of which are based on CSR. Its procurement activities follow the Policies.
We request suppliers, on various occasions, to ensure CSR activities from multiple perspectives, including respect for human rights, occupational health and safety, information security, and corporate ethics. In fiscal 2021, we asked 118 trading companies and agencies (150 departments) out of roughly 500 domestic material suppliers to complete a questionnaire, and received responses from 109 (141 departments). The survey covered CSR-related items, including legal compliance, prohibition of child labor, and safe/healthy working environments.
We are also using the survey results in supplier evaluation.
We will continue to improve procurement activities and enhance cooperation with our suppliers.

Supplier questionnaire survey

アンケートを実施102社、96社から回答

Items of questionnaire survey for trading companies and agencies (outline)

Slide to view.

Corporate management Financial status
Management / Labor Legal compliance / Corporate ethics
Labor (respect for human rights, working hours, wages, etc.)
BCP
SDGs initiative
Information security
Service Cost
Deadline
Survey request (environment, material search, BCP, etc.)
Information provision (information on products, technology, industry, etc.)
BCP Accident status check (production site, product, logistics, etc.)
Actions outside of Japan Provision of information on overseas industries, compliance with overseas laws
  • BCP: BCP stands for a Business Continuity Plan. It is a plan developed in advance to enable the minimization of damage and the continuation or early resumption of business in the event that a company encounters an emergency situation such as an accident or disaster.

Environmental Assessment at Suppliers

Lintec asks its suppliers to respond to the supplier questionnaire survey in order to strengthen the relationship of trust we have with our suppliers. In fiscal 2021, we conducted the survey with trading companies and agencies. Our Procurement Department and Sustainability Management Office jointly created the questionnaire. Using the collected responses, we perform supplier evaluations and feed results back to the suppliers. We may request in writing companies with low scores to take improvement measures, or may visit such suppliers to conduct on-site inspections.

Green Procurement

For procurement with lower environmental impact, the Lintec Group is ensuring thorough chemical substance management for raw materials, parts, and secondary materials. We conduct investigations into substances contained not only in new materials that we procure for the first time but also in materials that we have continuously procured in order to ensure compliance with new regulations.
In fiscal 2021, we asked suppliers to respond to our survey based on the REACH Regulation★1 (25th and 26th candidate lists) and chemSHERPA★2 (version 2.04), covering around 5,000 raw materials.
Together with suppliers, we will continue to promote environmental protection activities and ensure control of chemical substances.

  • 1REACH Regulation: A chemical substance regulation in the EU on the "Registration, Evaluation, Authorization and Restriction of Chemicals". Registration is required when exporting a chemical substance into EU states in quantities of one metric ton or more per year. Notification must also be submitted to the authorities when a chemical substance falling under the category of "candidate for required authorization" is present in a product at more than 0.1 percent of the mass of the object.
  • 2chemSHERPA: A scheme, recommended by Japan's Ministry of Economy, Trade and Industry, for communicating information about chemical substances contained in products. The mechanism is aimed at properly managing chemical substances contained in products across supply chains, from upstream to downstream, to ensure continued compliance with tighter regulations.

Conflict Minerals

Lintec recognizes that conflict minerals, mined to fund armed conflict, are a serious social problem, and rigorously investigates whether or not materials it uses include metals from mines that are linked to armed groups. We will continue to confirm that our supply chain is not funding armed groups and conduct procurement management that avoids]the use of conflict minerals.

  • Conflict Minerals: Metals derived from conflict minerals defined in the Dodd-Frank Wall Street Reform and Consumer Protection Act include tantalum, tin, tungsten and gold.

Child Labor / Forced Labor

The Lintec Group is aware of the grave issues relating to child labor and forced labor. As such, Lintec conducts a supplier survey every year to monitor the relevant situation. In fiscal 2021, no risks associated with child labor or forced labor were identified at our business sites and suppliers.

BCP with Suppliers

The ability of suppliers to continue their businesses in the event of a disaster is critical for Lintec to secure the stable supply of its products to customers. Lintec conducts evaluation of the suppliers to determine their business continuance ability. Lintec has evaluated suppliers for all products to confirm the following statuses: (1) the stock volumes of the raw materials for Lintec, (2) procurement routes for the raw materials, (3) disaster control measures taken in their production sites and facilities, and (4) availability of a substitute production site.
Lintec also conducted examinations of some suppliers to confirm whether they had BCPs and a management system to implement the BCPs, and whether they had organizations and procedures to cope with an incident. All our suppliers will be subject to these examinations in the future.

  • Incident: a situation which cause or may cause business interruption, disturbance, loss, emergency or hazard.