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Responsible Provision of Products and Services

Assessment and Management of the Supply Chain

Core Behaviors

We deliver commitment to our client companies through broad-ranging partnerships. We strive to be a company that can grow in step with our trade partners, through respect and mutual trust.

Supply Chain Management

Promoting CSR Procurement in the Supply Chain

Sysmex has formulated a procurement policy that expresses its basic considerations on selecting suppliers and conducting procurement transactions, and is promoting its deployment across the value chain. In fiscal 2013, we revised the policy to promote CSR through procurement. We also added a clause about formulating business continuity plans (BCP) as befits a company that is developing its business globally in the healthcare field, and another on promoting business activities and CSR in compliance with the laws, regulations and social conventions of host countries.

At the same time, in response to the U.K. Modern Slavery Act, Sysmex has publicized its statement on the Sysmex UK website.

Procurement Policy

In "shaping the advancement of healthcare," the Mission set forth in the Sysmex Way corporate philosophy, we deliver commitment to our business partners through equitable and fair procurement activities. We also strive to be a company that can grow in step with our trading partners in a spirit of mutual trust and encouragement. Operating in strict compliance with laws, regulations, and contracts, and adhering to high ethical standards, we carry out consistent procurement of components and raw materials that meet the levels of quality required by healthcare providers. We closely follow these policies in our endeavors to supply products that customers worldwide can use with confidence. Similarly, we hope that our business partners will cooperate with us in the following seven areas as we continue to create and enhance unique and creative values.

We ask our valued business partners to:
  1. Assure quality to the requisite degree for healthcare products
  2. Build a system for reliable supply
  3. Refine technological capabilities that contribute to the development of healthcare
  4. Create stable business foundations and formulate business continuity plans (BCP)
  5. Promote business activities and CSR in compliance with the laws, regulations and social conventions of host countries
  6. Carry out environmental management to help conserve the global natural environment
  7. Supply products at reasonable prices and engage in aggressive cost-reduction programs

Revised in March 2014

Conducting CSR Surveys

To confirm our business partners’ CSR activities, we conduct CSR surveys containing such topics as providing a safe and healthy workplace; prohibiting forced and child labor; eliminating discrimination due to gender, disability, race or other factors; preventing bribery of officials in Japan and overseas; and engaging in environmental management. In fiscal 2016, we conducted such surveys at approximately 280 existing business partners. We have a policy of not dealing with new business partners who have problems with their CSR initiatives, so in fiscal 2016 we conducted CSR surveys of seven new business partners and interviewed their managers to check the status of their CSR activities. Our people in charge of procurement visited overseas business partners to confirm the status of their initiatives in this regard, including the prevention of child labor and maintaining a safe and clean workplace. In addition, in fiscal 2016 we started to confirm whether business partners use metals in their production for us that are subject to conflict mineral disclosure regulations.

Aiming to Improve the Quality of Supplied Parts and Raw Materials

Our ability to provide high-quality products to customers in a stable manner depends on maintaining or improving the quality of the raw materials and parts we procure. We prepared a Quality Assurance Agreement that defines the quality requirements in 2009, and after also preparing a handbook to improve understanding of the content we have since been concluding this agreement with suppliers.

We conduct quality audits without fail on new procurement partners to ensure that quality management systems are operating appropriately. For existing procurement partners, we inspect products for quality when they are delivered, conducting quality audits if deemed necessary as a corrective or precautionary measure.

Relations in the Supply Chain

Procurement policy briefingProcurement policy briefing

We strive to enhance relations with our business partners so we can conduct business together based on their understanding of our business directions and procurement policy. In February and March 2016, we conducted supplier briefings for business partners in Japan who supply parts processed to Sysmex specifications for use in testing instruments. Members of Sysmex's quality control departments also participated in the briefings, explaining the standards for provision inherent in the Sysmex Procurement Policy item calling to "assure quality to the requisite degree for healthcare products."

Business Partner Briefings on Environmental Studies

Business partner briefings on environmental studies

Business partner briefings on environmental studies

As the RoHS directive will go into effect for in vitro diagnostic (IVD) instruments in July 2016, in January 2016 we held three business partner briefings on environmental studies—once in Tokyo and twice in Kobe. People from 245 business partners attended these sessions, where we explained the importance Sysmex places on regulatory initiatives and environmental response, and asked for their cooperation in complying with the RoHS directive.

Explaining Policies on Compliance to Distributors

Sysmex rigorously ensures compliance to build sustainable and fruitful partnerships with its distributors. We prohibit employees from abusing any dominant bargaining position, offering excessive entertainment, presents or the like when dealing with distributors. We assign personnel to full-time duty with key distributors, and hold regular meetings to foster mutual understanding.

Conducting Internal Awareness Activities to Ensure Compliance with Procurement-Related Legislation

We have in place an electronic procurement system (Sysmex Trade Mission, or STM). In addition to preventing the reduction of payments to inappropriate levels, as well as avoiding product returns, each year we conduct training on this system.

In fiscal 2016, all members of the Procurement Department underwent training on the Subcontract Law. For people newly assigned to this department, we also provided training on our procurement policy, CSR, green procurement and procurement risk. New members of manufacturing divisions and the R&D Department, which is in the position to order R&D materials, also participated in training on points of caution from the time an order is placed through to acceptance inspection, as well as in relation to the Subcontract Law.

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