In today's supply chains, responding to global issues such as human rights, ethics, the environment, and information security is a major challenge. In addition, procurement-related risks such as political instability, extreme weather, market and exchange rate fluctuations, and technology and information leaks are on the rise, making it necessary to achieve procurement that continuously supports the stable and efficient production activities of the Group.
In response to these challenges, the Topy Industries Group has established the "Topy Industries Group Procurement Policy" and the "Topy Industries Group Supply Chain Management Policy." In accordance with these policies, the Topy Industries Group will continue to strive to build and maintain a safe and secure supply chain that protects human rights and the global environment, based on high ethical standards, through the building of mutual understanding and relationships of trust with all business partners that make up the supply chain, thereby contributing to the realization of a sustainable society. At the same time, by having business partners maintain high levels of quality, delivery time, and cost, the Topy Industries Group will achieve stable and efficient production activities.
In addition, we have announced the "the Declaration of Partnership Building," which calls for "coexistence and mutual prosperity throughout the supply chain and new collaboration beyond scale, affiliation, etc." and for promoting compliance with the "the Promotion Standards" *, and is working to build better relationships with our business partners.
*The "Promotion Standards" refer to desirable trade practices between outsourcing businesses and small and medium-sized contractors. We have set five areas of trade fairness as priority areas: (1) fair pricing methods, (2) fair cost burdens such as mold management, (3) fair payment terms for bills, etc., (4) protection of intellectual property and know-how, and (5) prevention of the burden of work style reforms.
Dissemination of basic principles and examples of initiatives in line with these principles
- Disseminate the "Topy Industries Group Procurement Policy" and "Topy Industries Group Supply Chain Management Policy" to domestic and overseas group companies (distribute translated versions in local languages to overseas group companies)
- Distributed the "Topy Industries Group Procurement Policy" and "Topy Industries Group Supply Chain Management Policy" to our major suppliers. At the same time, conducted a questionnaire survey regarding the policies (100% response rate for the questionnaire). *We plan to conduct regular surveys in the future.
- The payment period for business partners that we deal with directly and that fall under the category of small and medium-sized business operators under the Small and Medium-sized Business Transaction Improvement Law will be shortened to 60 days (from May 2023).
- Announced in September 2023 that it will refuse to accept steel scrap from scrap yards that store or operate in violation of laws and regulations, so-called "inappropriate yards."
- Participated in the "Straighten Up" initiative, an initiative to further strengthen fair trade practices organized by the Japan Auto Parts Industries Association
In December 2021, we endorsed the purpose of the "the Declaration of Partnership Building the Declaration of Partnership Building" established by the "Council for Building Partnerships to Open Up the Future" promoted by the Cabinet Office, the Small and Medium Enterprise Agency, and other relevant economic organizations. In accordance with this declaration, we are working to comply with the "co-existence and co-prosperity of the entire supply chain and new cooperation beyond scales, affiliations, etc." and the "the Promotion Standards *."
* The Promotion Standards: desirable business practices between outsourcing businesses and small and medium-sized contractors.
