Policies and Frameworks
Supplier Code of Conduct
We value trust-based relationships with our suppliers and seek to achieve mutual growth as responsible partners who enhance each other’s corporate value.
This Code of Conduct is subject to periodic review in light of social conditions, laws and regulations, and other relevant considerations.
We ask our valued business partners to:
I. Comply with applicable laws and regulations and respect international norms
Suppliers are expected to engage in business activities in compliance with the applicable laws, regulations, and regulatory procedures of the countries and regions in which they operate, while respecting internationally recognized norms. This includes understanding and complying with applicable laws and regulations relating to human rights, labor, the environment, and business ethics, with due attention given to cases where the laws and regulations of a third country apply.
Suppliers are also expected to regularly monitor updates to applicable laws and regulations to establish internal systems for their implementation, while fulfilling all necessary requirements, including obtaining and filing permits, approvals, and licenses needed to conduct business; meeting quality standards; adhering to labeling requirements; submitting required documentation; and preparing periodic reports and transaction records.
Furthermore, suppliers are expected to establish procedures to verify compliance with applicable import and export control rules, economic sanctions, tariffs, and other trade control laws and regulations, and to periodically review such procedures.
Suppliers are expected to ensure that compliance with these laws and regulations, as well as respect for internationally recognized norms, is observed not only within their own organizations but throughout their supply chains.
II. Respect human rights and uphold appropriate labor practices
(2) Child labor
(3) Prohibition of discrimination and harassment
(4) Freedom of association and rights for collective bargaining
Suppliers are expected to respect employees’ freedom of association and their right to collective bargaining, and not to subject members of employee organizations or labor unions to disadvantageous or preferential treatment.
(5) Wages, working hours, and leave
Suppliers are expected to provide employees with fair wages, allowances, working hours, rest periods, and leave in compliance with the Labor Standards Act and other applicable laws and regulations. Suppliers are also expected to comply with all applicable laws and regulations governing wages, remuneration, and working hours in each country in which they operate.
(6) Employees’ occupational health, safety, and healthcare
Suppliers are expected to provide employees with a safe and comfortable working environment in compliance with applicable laws and regulations and internationally recognized standards on occupational health and safety.
III.Maintain high ethical standards
Suppliers are expected not to engage in any acts of corruption, including the offering or provision of bribes, or the inappropriate provision of entertainment or gifts to public officials, customers, or business partners, nor to engage in any conduct that may give the appearance of such acts. Suppliers are also expected to refuse to accept extravagant entertainment, gifts, or other improper benefits from business partners.
(2) Fair competition
Suppliers are expected not to engage in agreements or coordinated actions intended to restrict competition, nor to exchange competitively sensitive information beyond what is appropriate. Suppliers are also expected to treat business partners and suppliers fairly and not to engage in conduct that abuses a superior bargaining position, such as imposing unreasonable terms or conditions.
(3) Exclusion of antisocial forces
Suppliers are expected to maintain no relationships with antisocial forces or groups that threaten social order or public safety. Suppliers are also expected to refuse any requests from such forces or groups to engage in transactions, provide funds, or comply with unreasonable demands.
(4) Conflicts of interest
Suppliers are expected to exercise due care to identify, avoid, and appropriately manage conflicts of interest.
(5) Respect of intellectual property
Suppliers are expected to respect the intellectual property rights of third parties and handle related intellectual property appropriately.
(6) Import and export control
Suppliers are expected to comply with applicable laws and regulations governing import and export, tariffs, and foreign trade, export controls, and economic sanctions in the countries in which they operate.
(7) Information management
IV. Conserve the global natural environment
Suppliers are expected to identify sources of wastewater, exhaust emissions, and waste, and to appropriately monitor and manage them in order to minimize environmental pollution and prevent adverse impacts on human health and the regional environment. They are also expected to work to reduce environmental impacts, including air and water pollutants, hazardous soil-altering substances, and noise. In addition, suppliers are expected to promote the segregation, reuse, and recycling of waste in order to contribute to emissions reductions and the realization of a circular resource society.
(2) Reductions in greenhouse gas (GHG) emissions
Suppliers are expected to make continuous efforts to improve energy efficiency and reduce GHG emissions. Suppliers are also expected to cooperate in achieving GHG emissions reduction targets endorsed by Sysmex, including Science Based Targets initiative (SBTi) targets, thereby contributing to the decarbonization of the entire value chain.
(3) Water management
Suppliers are expected to appropriately identify the sources, usage conditions, and discharge points of the water they use, and to strive for efficient use of water resources and water conservation. In cases where water pollution is suspected, suppliers are expected to prevent adverse impacts on the regional environment and human health by identifying pollution sources and implementing appropriate management and treatment measures.
(4) Biodiversity
Suppliers are expected to strive to protect biodiversity and utilize it in a sustainable manner in their business activities, prohibit the use of forest resources obtained through illegal logging, and give preference to resources that are legally and sustainably procured. To minimize adverse impacts on ecosystems, suppliers are also expected to monitor risks that their business activities may pose to the global natural environment and to implement appropriate management measures to prevent such risks from materializing.
V. Maintain management systems
(1) Corporate culture, commitment, and accountability
Suppliers are expected to clearly demonstrate their commitment to the principles set forth in this Code of Conduct and to strive to secure the necessary resources to fulfill their social responsibilities in business activities. Suppliers are also expected to require their own suppliers to implement similar management practices in order to maintain a responsible supply chain.
(2) Establishment of risk management systems
Suppliers are expected to establish systems for identifying, assessing, and managing risks associated with the matters set forth in this Code of Conduct, as well as change management processes to be applied in response to changes in business activities. In particular, for products used in Sysmex’s medical applications, suppliers are expected to review risks that may hinder supply and to develop plans and systems to ensure stable procurement and supply, recognizing the critical importance of raw material procurement and continuity of product supply, which are directly linked to people’s lives.
(3) Traceability and supply chain management
Suppliers are expected to develop systems for conducting due diligence throughout the entire supply chain, including mechanisms that enable traceability of raw material suppliers, in support of the legal and sustainable procurement of raw materials.
(4) Education/training and upskilling
Suppliers are expected to provide individuals in managerial positions and field operators with education and training programs designed to equip them with the necessary knowledge, skills, and capabilities to act in accordance with this Code of Conduct.
(5) Continuous improvement
Suppliers are expected to set targets to improve the quality of their operations and to pursue continuous improvement through the implementation of action plans. For issues identified through internal or external evaluations, inspections, management reviews, the recording and reporting of near misses and incidents, or otherwise, suppliers are expected to take appropriate corrective action.
(6) Development of a grievance control mechanism
Suppliers are expected to strive to establish a grievance control mechanism that both internal and external stakeholders can access with confidence. Such a mechanism is intended to provide an environment in which individuals feel comfortable reporting concerns, illegal conduct, or violations of this Code of Conduct in the workplace, without fear of retaliation, threats, or harassment.