Supply Chain
At Chori, we strive to develop a supply chain that ensures the stable supply of raw materials and products that are of consistently high quality and deemed essential by customers.
CSR-Based Procurement
Chori has formulated the Chori Group CSR Procurement Policy in order to promote efforts to strengthen supply chain management, which serves as one of its material issues.
Chori Group CSR Procurement Policy
The Chori Group has established the Chori Group CSR Procurement Policy and strives to build a sustainable supply chain by promoting CSR throughout it. Through this policy, we communicate our approach to suppliers and other business partners, expecting them to understand and implement the items specified below.
- 1We shall comply with laws and regulations of respective countries and regions in conducting business activities based on corporate ethics.
- 2We shall respect human rights and accordingly will not tolerate, under any circumstances, unfair discrimination based on nationality, race, religion, gender, age, disability, or any other attribute, nor harassment or other acts of behavior that bring harm to others.
- 3We shall not engage in child labor or forced labor, and accordingly will not employ children who are below the minimum age of employment.
- 4We shall comply with the statutory minimum wage, and accordingly will not engage in unfair low-wage labor or impose unjust wage reductions.
- 5We shall uphold worker’s rights to form unions and rights to engage in collective bargaining in seeking to facilitate smooth discussions between labor and management regarding labor conditions, work environments and other such concerns.
- 6We shall comply with statutory limits in appropriately managing working hours, holidays and vacations, while also prohibiting excessive overtime.
- 7We shall strive to provide safe, hygienic and healthy working conditions.
- 8We shall strive to reduce consumption of energy, water and other resources, while also reducing emissions of greenhouse gas and waste, taking into account the impact of our business activities with respect to local communities as well as biodiversity, environmental contamination and other such environmental concerns.
- 9We shall ensure safety of products we handle by complying with relevant laws and regulations, while also appropriately engaging in product safety management.
- 10We shall disclose to our stakeholders in a timely and appropriate manner information associated with our management, financial affairs, and business activities subject to disclosure under laws, regulations and other such mandates imposed by respective countries and regions. We shall furthermore strive to maintain and develop mutual understanding and relationships of trust with our stakeholders through active communication, irrespective of our disclosure obligations.
CSR-Based Procurement Surveys
Chori has stipulated its Operational Rules Regarding CSR-Based Procurement in accordance with the Chori Group CSR Procurement Policy. To promote procurement activities that focus on matters such as corporate ethics, legal compliance, safety, disaster prevention, environmental conservation, product safety, quality assurance, human rights, and working conditions pursuant to the operational rules, Chori conducts a CSR-based procurement survey once every two years, in principle, to periodically check the status of the CSR-based promotion activities of each supplier. In the fiscal 2023 survey, we received responses from 90% of participating companies in Japan and overseas. Of these companies, 1.5% responded that suppliers did not meet the CSR-based procurement standards. Therefore, we will work with the sales departments to monitor the non-conforming items more closely and seek improvement as necessary.
The Chori Group Human Rights Policy
As a global company, the Chori Group recognizes and respects the different values and cultures of people around the world. In addition to complying with the laws and regulations of each country and region in which we operate, we strive to fulfill our responsibility to respect the rights of all stakeholders by supporting and respecting international norms, such as the United Nations Guiding Principles on Business and Human Rights, the International Bill of Human Rights, and the International Labour Organization’s Declaration on Fundamental Principles and Rights at Work.
- 1We shall respect the fundamental rights of each employee and not tolerate, under any circumstance, unfair discrimination based on nationality, race, religion, gender, age, disability, or any other attribute, nor harassment or other acts of behavior that bring harm to others. Moreover, we shall not engage in child labor, forced labor, or unfair low-wage labor.
- 2We shall aim to promote respect for human rights throughout the supply chains of our business by promoting CSR procurement. Furthermore, we shall not engage in human rights violations of any kind.
- 3We shall strive to identify the negative impacts of our business on human rights and not only mitigate such impacts but do everything in our power to prevent them.
- 4We shall take prompt and appropriate measures, including remedial action, in the event that we cause or contribute to negative impacts on human rights.
- 5We shall promote awareness of human rights issues among our employees and provide opportunities for further education in this regard to ensure proper understanding of all matters involving human rights.
Security Trade Control
With the objective of maintaining peace and security around the world, Chori has formulated its Internal Regulations on Compliance with Export-Related Regulations and Regulations on Fair Reporting and Management of Imports and Exports. We undertake strict export controls to prevent countries in possession of weapons of mass destruction and conventional weapons from getting access to the highly sophisticated equipment and technology of developed countries.
- Export Control Process and Training
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Once applications for list control and catch-all control are filed by Chori’s Sales Department, the Corporate Management Department conducts final approval. In October 2020, we began implementing a system that integrates the management of information on export products and transactions, ensuring rigorous security trade control and stronger compliance measures. This system is also designed to improve work efficiency and eliminate the use of paper. In addition, Chori encourages its employees to obtain the STC Associate certificate and holds internal workshops and training sessions to enhance their understanding of export control. In fiscal 2023, 32 employees acquired the STC Associate certificate.
Product Safety Initiatives
In accordance with product safety management regulations, Chori establishes a product safety inspection committee whenever a product is launched, sold, or used externally for the first time.
