TOP > Sustainability > Social Report > Together with business partners

Together with business partners

Social background

One of the issues raised by ISO26000 is the “promotion of social responsibility in the value chain.” Moreover, the Leaders’ Declaration of the 2015 G7 Elmau Summit included “Responsible Supply Chains.” When engaging in purchasing activities, in addition to conventional QCD (quality, cost and delivery), a company is expected to also consider factors such as human rights, labor practices, fair business practices and the environment.

The way of thinking by JTEKT

Promoting fair business

JTEKT regards business partners as equals and aims for mutual development and growth based on strong relationships of trust. JTEKT has stipulated policies for open and fair business practices in its Corporate Activities Standards and its Purchasing Philosophy regardless of country or company size and including companies with no experience supplying to JTEKT. On the company website, JTEKT has outlined procedures for becoming a business partner, as a means of providing fair, equal opportunities for all.

“Follow proper business practices and engage in fair, transparent and free competition based on a respect for the law.”(from JTEKT Corporate Activities Standards)

Purchasing Philosophy
Fair and transparent business transactions We provide open, fair and equal opportunities to all regardless of nationality or company size, including companies with no experience doing business with JTEKT.
Purchasing Basic Policy
Mutual trust Build mutual trust through close communication with business partners.
Coexistence and co-prosperity Achieve harmonious mutual prosperity with our business partners by establishing reliable relationships.
Long-term, stable business relationships Achieve stable purchasing meeting JTEKT’s quality, cost, volume, and delivery requirements through continuous business.
Global purchasing Achieve optimal purchasing from a global viewpoint and improve international competitiveness by a strong supplier chain.

[ CSR Activity Item Guidelines ]

We issued the CSR Activity Item Guidelines for our business partners, in order to share with them the purpose of our CSR Policy and clarify items that we would like our business partners to observe. We request our business partners deploy these guidelines upstream as well.
Moreover, in order to maintain fair trade, we ensure that all departments which interact with business partners respect the various industrial fair trade guidelines and, in order to improve communication with business partners, utilize every opportunity to disseminate information and gather opinions.

1. Management-related initiatives

  • Legal compliance
  • Risk management

2. Initiatives for stakeholders

  • Securing quality
  • Fair trade
  • Good labor-management relations
  • Protection of human rights/respect for diversity
  • Observance of corporate ethics
  • Initiatives for local communities

3. Initiatives for the global environment

  • Environmental management
  • Environmentally friendly business activities

CSR activity guidelines for JTEKT's business partners

Green Purchasing activities

Our company promotes companywide Green Purchasing activities in order to contribute to the creation of a sustainable recycling-based society. For this purpose, we have issued Green Purchasing guidelines and have requested the cooperation of business partners.

Requests to our business partners

We make the following requests to our business partners under the Green Purchasing Guideline.

  • Construction of an environmental management system based on obtainment of external certification such as ISO14001.
  • Observation and reinforcement of environmental laws and regulations
  • Prohibit or restrict use of environmentally burdensome substances
  • Improve environmental performance by reducing CO2 emissions, etc.
  • Promote actions to conserve biodiversity

Main activities FY2020

Annual Meeting of business partners

Since we couldn't hold the Annual Meeting of business partners in person as we do every year, due to the COVID-19 pandemic we had it by video streaming. As FY2020's Purchasing policy, we requested strengthening safety, quality, CSR, and cost competitiveness.
We also awarded our business partners who had demonstrated outstanding performance in regards to quality, technology, VE/VA proposals, and environment throughout the year.

(JTEKT Group News) Holding the Annual Meeting of business partners in China

Although JCC had to give up holding the annual meeting of business partners in an in-person venue due to COVID-19, it was held online. In a greeting, Mr.Tateishi, Executive Managing Officer, said, "Although coronavirus makes predictions hard, China is a promising market, and full of business opportunities. I believe we can overcome adversity with our outstanding business partners." After his speech, Logistics, Sales, Quality Management, Production Administration, and Purchasing departments explained their policies to the business partners.

JTEKT Supplier Association activities

JTEKT Supplier Association is comprised of 251 business partners (as of FY2020). It intends to foster mutual trust among the members and enhance their capabilities through activities such as quality control tournaments, workshops, safety subcommittee, large-scale disaster mitigation study sessions, etc. In FY2020, members of the association couldn't get together because of the COVID-19 pandemic. Therefore, these activities took place online, etc.

JTEKT Supplier Association Quality Management Convention

The association asked for improvement examples from members and made a booklet containing the excellent ones. It was distributed to all members for mutual study.

* JTEKT Supplier Association
It is comprised of 251 business partners (as of FY2020). It conducts the following activities in order to foster mutual trust among the members and enhance their capabilities. (Quality Management Convention, workshops, safety committee, large-scale disaster mitigation study session, etc.)

JTEKT Supplier Association Workshop

The association held a workshop by video streaming. An external lecturer was invited to speak on risk management in the post-COVID-19 era.

JTEKT Supplier Association Disaster Mitigation Study Session

With JTEKT Supplier Association members' participation, we held disaster mitigation study sessions in Osaka and Nagoya in July and November, 2019. Two topics were covered in those sessions.

Initiatives for the conflict minerals issue

In FY2020 as well, we conducted the survey regarding conflict minerals ongoing since FY2013. With the cooperation of our business partners, we confirmed the status of conflict minerals all the way to the supply chain and appropriately responding to the relevant customer enquiries.

Interviews to learn business partners' difficulties

Since the first interview in FY2017, JTEKT had met with approximately 200 suppliers (as of September, 2018) to learn business-related difficulties they face, and engaged in improvement. We will continue the activities including revisiting them.

On April 2017, JTEKT established the dedicated consultation desk for business partners in order to further strengthen our response to the Act against Delay in Payment of Subcontract Proceeds, Etc. to Subcontractors.