Basic Approach

Sustainability initiatives can be completed only when implemented throughout the entire supply chain. The Toppan Group cooperates and collaborates with business partners to promote sustainable procurement focused on corporate social responsibility (CSR) procurement and biodiversity conservation.

The Toppan Group CSR Procurement Guidelines are a set of principles the Group observes to engage in CSR procurement. These guidelines consist of the Basic Procurement Policy, a conceptual framework to be closely observed by every Toppan employee involved in procurement operations, and the CSR Procurement Standards, a set of requirements to be satisfied by every business partner. The CSR Procurement Standards are composed of the Basic Procurement Standards and the Procurement Standards Concerning Human Rights, Labor, the Environment, and Anti-Corruption. The concept of CSR procurement is applied not just to raw material suppliers, but to subcontractors, intermediaries, and all other suppliers on the supply chain.

To better conserve biodiversity, Toppan has formulated a Basic Policy on Biodiversity. The Group’s procurement departments take a proactive approach to the sustainable use of raw materials in order to avoid or minimize the impacts on biodiversity.

Promotion Framework

The Toppan Group CSR Procurement Guidelines issued in 2007 and the Basic Policy on Biodiversity issued in 2010 set out the sustainability principles every Group employee observes. Personnel at the Purchasing Center in the head office Manufacturing Management Division and other procurement departments across the Group continue to oversee sustainable procurement in close cooperation with business partners.

Company Policies and Action for Sustainable Procurement

■ Applying CSR Procurement Standards throughout the Supply Chain

Procurement departments in the Toppan Group continue to conduct the following measures to tighten the application of the CSR Procurement Standards by entities throughout the entire supply chain:

・Check the efforts of business partners to safeguard business continuity in the event of a wide-scale disaster;
・Brief business partners on the Toppan Group CSR Procurement Guidelines;
・Conclude sale and purchase agreements (stipulating the observance of the Toppan Group CSR Procurement Guidelines) with business partners; and
・Check the efforts of business partners to act ethically with regard to human rights, labor, the environment, and anti-corruption.

The Toppan Group has also formulated Standards for the Management of Chemical Components of Raw Materials in order to control chemical components throughout the entire supply chain.

■ Basic Procurement Policy (to ensure compliance in procurement departments)

CSR procurement should be built upon trust between businesses.
Toppan has set up a Supplier Hotline on the corporate website as a portal for receiving reports from business partners involved in the Group’s procurement operations. The hotline is open for use by all suppliers of the Group.

Toppan also monitors whether the Group’s procurement departments operate properly in accordance with the Basic Procurement Policy in their transactions with the suppliers.

■ Promoting the Conservation of Biodiversity

The Toppan Group promotes sustainable procurement based on the Basic Policy on Biodiversity. Regarding the procurement of raw materials, a set of paper procurement guidelines has been formulated to promote the sustainable use of paper, a material with potentially significant impact on biodiversity.

As for the sustainable use of forest resources, the Group has cooperated with paper manufacturers in the supply chain to ensure that the lumber they use for paper production is legally obtained.

Main Activities and Relevant Information