Procurement
Kansai Paint Group Procurement Policy
The Kansai Paint Group regards “Profession and Integrity,” as a fundamental principle of management, positioning it as a core value. Based on this value, we have established the vision of “Enrich Lives with Happiness”.
Under this vision, the procurement activities of the Kansai Paint Group aim to build fair and mutually beneficial partnerships with our business partners and are conducted in accordance with the following procurement policy.
Scope of this policy
This policy applies to the entire Kansai Paint Group.
While recognizing that laws, values, and cultural backgrounds differ among countries and regions, the matters set forth in this policy are regarded as common principles across the Group. At the same time, flexible application is permitted depending on local circumstances, with an emphasis placed on harmonization with local societies, legal systems and cultural expectations.
To our business partners
To promote responsible procurement, the Kansai Paint Group has established a Supplier Code of Conduct.
We kindly request that our business partners review this policy together with the Code of Conduct and cooperate with us.
Basic policy
Fair and Impartial Transactions
We welcome business opportunities globally and conduct fair and impartial procurement. We will not provide or accept bribery or corruption and will not select business partners based on personal interests.
Compliance and Integrity
We comply with all relevant laws, social norms, and internal rules and establish fair and appropriate terms. We avoid any practices that violate sound business standards, including the abuse of a superior bargaining position.
1.Building Strong Partnerships
We work to strengthen trust and collaboration with suppliers, aiming for mutual growth and a strong and sustainable supply chain.
2.Respect for Intellectual Property and Data
We maintain the confidentiality of trade secrets, personal and other confidential information obtained in connection with transactions information and respect intellectual property rights. We collect supplier information only to the extent necessary for procurement activities.
3.Human Rights and Labor Standards
Throughout the supply chain, we prohibit inhumane labor practices, including acts of intimidation or abuse and discrimination based on race, nationality, age, gender, religion, social status, or physical disability, as well as workplace violence, excessive punishment, forced labor, child labor, excessive working hours, and unfairly low wages.
We give priority to suppliers that ensure freedom of association and maintain safe and secure working environments.
In addition, the Kansai Paint Group recognizes the risks associated with conflict minerals and promotes responsible sourcing.
We identify raw materials containing designated minerals, conduct regular assessments (CMRT or EMRT, or both) with relevant suppliers, and implement corrective actions as necessary.
4.Environmental and Safety Considerations
In procurement, we prioritize suppliers that contribute to the preservation of a sustainable global environment. This includes compliance with domestic and international laws and regulations relating to chemical substances and materials, minimizing environmental impact, reducing greenhouse gas emissions, protecting soil, water, and biodiversity, and reducing waste.
We also give preference to suppliers that establish environmental management systems and cooperate in investigations and surveys of substances, and conduct environmentally responsible purchasing practices.
Regarding GHG reduction in raw material procurement, the Kansai Paint Group recognizes climate change as one of the most critical global challenges and has identified the realization of decarbonization as one of its material issues.
By engaging various stakeholders, we will promote the reduction of GHG emissions (Scope 3) in raw material procurement.
Structure & System
Kansai Paint Group procures raw materials from suppliers around the world. To reduce risks in the supply chain and promote optimization of procurement activities, the Global R&D and Procurement Division established the Kansai Paint Group Procurement Policy, and the Kansai Paint Group Supplier Code of Conduct, while procurement departments at each site implement this policy.
The Global R&D and Procurement Division also oversees procurement activities on a global basis to ensure adherence to the policy and to strengthen risk management.
