Approach to Purchasing
Approach to Purchasing
A fair approach to purchasing that complies with laws and regulations has become increasingly important given the current strict scrutiny of compliance and corporate ethics, even in procurement, including those concerned with human rights issues such as forced labor and child labor, and environmental destruction issues.
We have formulated Procurement Code of Conduct to stably provide excellent pharmaceuticals and health-related products. The guidelines are designed to ensure "Stable procurement" of necessary goods and services through "Appropriate methods" and "Appropriate terms and conditions." Moreover, we have formulated "Requests to Our Suppliers" not only to ensure that our employees are fully aware of this concept but also to request that our suppliers understand it and cooperate with this way of thinking. Furthermore, we are requesting cooperation in promoting CSR activities from various perspectives such as "legal compliance," "human rights and labor," and "environmental considerations," throughout the entire supply chain, including the expansion of our suppliers to their further suppliers.
A fair approach to purchasing that complies with laws and regulations has become increasingly important given the current strict scrutiny of compliance and corporate ethics, even in procurement, including those concerned with human rights issues such as forced labor and child labor, and environmental destruction issues.
We have formulated Procurement Code of Conduct to stably provide excellent pharmaceuticals and health-related products. The guidelines are designed to ensure "Stable procurement" of necessary goods and services through "Appropriate methods" and "Appropriate terms and conditions." Moreover, we have formulated "Requests to Our Suppliers" not only to ensure that our employees are fully aware of this concept but also to request that our suppliers understand it and cooperate with this way of thinking. Furthermore, we are requesting cooperation in promoting CSR activities from various perspectives such as "legal compliance," "human rights and labor," and "environmental considerations," throughout the entire supply chain, including the expansion of our suppliers to their further suppliers.
Procurement Code of Conduct
Procurement Code of Conduct
In order to offer superior pharmaceuticals and health-related products, we will procure the necessary goods and services 1.through appropriate methods, 2.under reasonable transaction terms, and 3.in a stable manner.
In order to offer superior pharmaceuticals and health-related products, we will procure the necessary goods and services 1.through appropriate methods, 2.under reasonable transaction terms, and 3.in a stable manner.
1．Appropriate methods
1．Appropriate methods
（1）Compliance with laws and regulations and respect for international norms
We will engage in procurement activities in compliance with laws and regulations of each country and with respect for international norms.
（2）Procurement ethics
We will engage in procurement activities with a strong sense of ethics without pursuit of personal gain or the like. We will prohibit excessive entertainment and gifts as well as requests for and the provision of kickbacks.
（3）Confidentiality
We will not disclose confidential information obtained in the course of business to third parties without the consent of our suppliers.
（4）Social considerations
We will promote procurement activities in consideration of human rights, labor, the environment, and the like with the aim of achieving a sustainable society.
（1）Compliance with laws and regulations and respect for international norms
We will engage in procurement activities in compliance with laws and regulations of each country and with respect for international norms.
（2）Procurement ethics
We will engage in procurement activities with a strong sense of ethics without pursuit of personal gain or the like. We will prohibit excessive entertainment and gifts as well as requests for and the provision of kickbacks.
（3）Confidentiality
We will not disclose confidential information obtained in the course of business to third parties without the consent of our suppliers.
（4）Social considerations
We will promote procurement activities in consideration of human rights, labor, the environment, and the like with the aim of achieving a sustainable society.
2．Reasonable transaction terms
2．Reasonable transaction terms
（1）Supplier selection standards
When starting transactions, we will select suppliers in a fair manner by comprehensively evaluating sustainability based on factors such as quality, delivery, cost, and reliability.
（2）Transaction terms
We will not set transaction terms (e.g., price, payment terms, and order volume) that result in an unreasonable loss for suppliers.
（1）Supplier selection standards
When starting transactions, we will select suppliers in a fair manner by comprehensively evaluating sustainability based on factors such as quality, delivery, cost, and reliability.
（2）Transaction terms
We will not set transaction terms (e.g., price, payment terms, and order volume) that result in an unreasonable loss for suppliers.
3．Stable procurement
3．Stable procurement
（1）Stable procurement
We will engage in procurement activities on a global basis to ensure stable procurement.
（2）Multi-supplier procurement
From risk management perspective, we will strive to secure multiple supply sources for major goods and services.
（3）Adequate quality
We will procure goods and services that meet the quality standards that we have set forth.
（4）Business relationships
We will endeavor to build mutually beneficial relationships and establish and maintain fair and reasonable relationships with suppliers.
（5）Collection of information
We will promptly and extensively collect information and endeavor to share information by providing the relevant divisions with the necessary information in a timely manner.
（1）Stable procurement
We will engage in procurement activities on a global basis to ensure stable procurement.
（2）Multi-supplier procurement
From risk management perspective, we will strive to secure multiple supply sources for major goods and services.
（3）Adequate quality
We will procure goods and services that meet the quality standards that we have set forth.
（4）Business relationships
We will endeavor to build mutually beneficial relationships and establish and maintain fair and reasonable relationships with suppliers.
（5）Collection of information
We will promptly and extensively collect information and endeavor to share information by providing the relevant divisions with the necessary information in a timely manner.
With Business Partners
With Business Partners
To ensure that our suppliers understand and support our Procurement Code of Conduct, we have established Requests for Our Suppliers.
To ensure that our suppliers understand and support our Procurement Code of Conduct, we have established Requests for Our Suppliers.
1．Commitment to CSR Procurement※2
1．Commitment to CSR Procurement※2
We conduct surveys to confirm how our suppliers are addressing the items outlined in Requests for Our Suppliers.We share the aggregated results of the survey with each supplier and promote CSR initiatives throughout the supply chain.
We conduct surveys to confirm how our suppliers are addressing the items outlined in Requests for Our Suppliers.We share the aggregated results of the survey with each supplier and promote CSR initiatives throughout the supply chain.
2．Ensuring Stable Procurement
2．Ensuring Stable Procurement
To ensure stable procurement in times of emergencies, such as natural disasters, we have adopted a cloud-based supply chain risk management system that enables prompt information sharing with our suppliers.
To ensure stable procurement in times of emergencies, such as natural disasters, we have adopted a cloud-based supply chain risk management system that enables prompt information sharing with our suppliers.
3．Declaration on Partnership Building
3．Declaration on Partnership Building
In April 2023, Taisho Pharmaceutical published its Declaration on Partnership Building in support of the Council on Promoting Partnership Building for Cultivating the Future, an initiative led by the Cabinet Office and the Small and Medium Enterprise Agency.
In April 2023, Taisho Pharmaceutical published its Declaration on Partnership Building in support of the Council on Promoting Partnership Building for Cultivating the Future, an initiative led by the Cabinet Office and the Small and Medium Enterprise Agency.
Notes and Additional Information
*1 Supply chain: The process from purchasing materials to processing them into products and selling them.
*2 CSR Procurement：Activities aimed at companies fulfilling sound Corporate Social Responsibility (CSR) throughout their supply chains
Notes and Additional Information
*1 Supply chain: The process from purchasing materials to processing them into products and selling them.
*2 CSR Procurement：Activities aimed at companies fulfilling sound Corporate Social Responsibility (CSR) throughout their supply chains
