Procurement Activities
OSG Procurement's Basic Polices
At OSG Group, we implement the following measures based on the OSG Group Corporate Code of Conduct in our procurement activities.
Open and Fair Transaction
OSG carries out fair and open transactions based on the principle of free competition and in accordance with the values of globality and openness. In order to establish relationships leading to mutual growth, OSG and its suppliers make efforts to deepen mutual understanding and build relationships of mutual trust.
Compliance with Laws, Regulations and Social Demands
Our procurement activities are carried out in compliance with laws, regulations, and social norms. In accordance with social demands, we also develop our procurement activities with due consideration to the environment, human rights, labor standards, health and safety, and information management.
Consideration for the Environment
In order to protect the environment, we prioritize the purchase of eco-friendly products (green procurement activities) and the use of suppliers who implement environmental conservation measures in their manufacturing processes.
CSR Procurement
Corporate Social Responsibility (CSR) Procurement aims to minimize social and environmental impacts across the supply chain. This includes issues related to human rights, labor standards, corruption, environmental protection, and other important matters affecting our communities. Stronger demands by society are being placed on companies to implement such efforts.
The OSG Group CSR Procurement Guidelines outline key actions that both the OSG Group and our suppliers should take to promote sustainable development.
OSG Group CSR Procurement Guidelines
The OSG Group CSR Procurement Guidelines enhance suppliers' understanding of what is expected of them. This enables them to better adhere to these guidelines in their operations. Additionally, it supports the implementation of CSR activities throughout the supply chain.
OSG Policy of Responsible Raw Material Procurement
Concerns have been raised about the mining of tin, tantalum, tungsten, gold, cobalt, mica and other minerals in conflict-affected and high-risk areas. The process of mining such minerals as well as their trade may involve child labor, forced labor, or other human rights violations as well as raise issues relating to labor standards. There is also apprehension that the proceeds from such mining may also serve as a source of funds for armed groups in conflict-affected regions.
OSG Group has made a commitment to engage in responsible mineral procurement. In accordance with OECD Due Diligence Guidance, we have been identifying risks so that we may address such issues.
In addition, as our suppliers appreciate these initiatives, we have also asked them to cooperate with surveys detailing the history on how the minerals have been procured. We request that they source minerals from certified smelters not party to any such issues.
Green Procurement
We aim to provide our customers with environment-conscious products in accordance with our Environmental Policy of making our entire supply chain more environmentally friendly.
We seek the cooperation of our suppliers in the establishment of an environmental guarantee system and the provision of environmental guarantees of procured products in order to allow us to act as a business that provides eco-friendly products through our development, design, production, and distribution processes in all of the regions in which we operate.
Green Procurement Guidelines
Our Green Procurement Guidelines are an important set of policies that consider the full life cycle of commercial products and relate to the management of chemical substances in supply chain products and information provision. In order to prioritize the procurement and purchase of materials and products with a reduced impact on people and the environment when procuring materials required for production, we work together with our business partners in areas such as the management of chemical substances contained in products and self-evaluation of green procurement activities. We are also undertaking initiatives to promote the integration our green procurement activities with those of our suppliers.
Partnership Building Declaration
OSG drafted and announced our Partnership Building Declaration aimed at strengthening partnerships through the promotion of collaboration, coexistence, and co-prosperity with our supply chain partners and entrepreneurs seeking to create value.
