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Partnership with Our Suppliers

The Nissha Group procures the materials, equipment, and services necessary for production and a wide range of business activities from suppliers around the world.  We work fairly and equally with all suppliers to promote sustainable procurement based on our Purchasing Principles, aiming to share an awareness of social responsibility and enhance mutual enterprise value.

Purchasing Principles

Nissha Group achieves sustainable procurement by building relationships of trust with our suppliers through mutually fair purchasing.

Nissha Group evaluates our suppliers in terms of fairness, impartiality, and comprehensively based on the following criteria.
  1. Stable business foundation and reliable management principles
  2. Excellent technology development and the abilities to propose products or services that consider environmental impacts
  3. Provision of stable, high-quality products or services
  4. Price competitiveness
  5. Stable production capacity and lead times
  6. Effective business continuity management plans

Nissha Group achieves sustainable procurement by working with our suppliers in the following areas.
  1. Labor and human rights
  2. Health and safety
  3. Environment
  4. Ethics
  5. Information security

Daisuke Inoue
Director of the Board, Senior Executive Vice President, Corporate Procurement and Logistics
Nissha Co., Ltd.

Established on April 2, 2009
Revised on April 1, 2025
We request all of our suppliers to comply with the Purchasing Principles and the CSR Procurement Guidelines. These Guidelines are based on the Responsible Business Alliance (RBA), a code of conduct mainly for the electronics and automotive industries, and on other codes of conduct that our customers request we follow. The items of CSR Procurement Guidelines and Self Assessment Questionnaire (SAQ) are listed below.

1. Labor and Human Rights

  1. Prohibition of Forced Labor
  2. Prohibition of Child Labor and Protection of Young Workers
  3. Working Hours
  4. Wages and Benefits
  5. Non-Discrimination, Harassment Prevention, and Humane Treatment
  6. Freedom of Association and Collective Bargaining

2． Health and Safety

  1. Occupational Health and Safety
  2. Emergency Preparedness
  3. Occupational Injury and Illness Management
  4. Industrial Hygiene
  5. Physically Demanding Work
  6. Machine Safeguarding
  7. Sanitation, Food, and Housing
  8. Health and Safety Communication

3． Environment

  1. Environmental Permits and Reporting
  2. Pollution Prevention and Resource Conservation
  3. Hazardous Substances
  4. Solid Waste
  5. Air Emissions
  6. Materials Restrictions
  7. Water Management
  8. Energy Consumption and Greenhouse Gas Emissions
  9. Environmental Management System

4． Ethics

  1. Business Integrity
  2. No Improper Advantage
  3. Elimination of Terrorist Activities, Weapons Manufacturing, and Money Laundering in the Supply Chain
  4. Disclosure of Information
  5. Intellectual Property
  6. Fair Business, Advertising and Competition
  7. Protection of Identity and Non-Retaliation
  8. Responsible Sourcing of Minerals

5． Information Security

  1. Information Security Management System
  2. Information Security Threats
  3. Compliance with Laws Regarding Personal and Confidential Information

Nissha Group Supply Chain

We at the Nissha Group collaborate with various suppliers through our business activities, and our supply chain is expanding globally. The global supply chain has been severely affected by the pandemic, regional conflicts, the sharp rise in raw material and fuel prices due to dramatic foreign exchange shifts, supply shortages and price hikes due to labor shortages, as well as natural disasters. However, thanks to the cooperation of our suppliers, the Nissha Group is continuing sound business activities.

Whistleblower Form for Suppliers

 The Nissha Group is committed to building sound relationships with our suppliers and has established a consultation channel to proactively prevent inappropriate transactions. We respond appropriately to all inquiries and, when necessary, conduct internal reviews and improvements. Through these efforts, we aim to maintain a fair and transparent business environment and foster sustainable partnerships.

You can contact us via this dedicated form.
※The details of your inquiry will be sent directly to the law firm and shared with our Legal Department. 

Survey of the Supply Chain

CSR Survey

While accepting CSR audits from customers, the Nissha Group carries out annual inspections using our own unique SAQ so that we can ascertain the status of CSR initiatives among suppliers as we build a safe, reliable supply chain.
 
In FY2025, we selected and surveyed 148 companies in Asia, including Japan and China, Europe, and Central and South America, choosing from suppliers who have business transactions with our Industrial Materials Business Unit, Devices Business Unit, and overseas Group companies. The survey targeted suppliers that meet the following criteria.
 
1. Suppliers located in regions with high labor and human rights risks (China, Southeast Asia, Latin America, Africa) that account for the top 80% of procurement spending, or suppliers who, while not falling into this top 80%, are difficult to replace.
2. Key suppliers of our business units or domestic Group companies that are located in regions other than those described in 1.
 
As a result of the survey, we confirmed that all companies were exceeding our standards. In addition, ten key suppliers from among those suppliers targeted for surveys are selected and onsite audits are carried out. These onsite audits have found some cases where there were discrepancies between the self-reported results from the suppliers and the reality on the ground, but corrective measures have been taken for all matters that did not meet our requirements.

Information Security Assessment

A new initiative for FY2025 was to carry out information security assessments for our suppliers. With the recent rise in information security risks throughout the supply chain, and to support sustainable procurement, we targeted suppliers conducting business with the Nissha Group in Japan that handle confidential information about our customers. In FY2026, we will carry out this assessment for suppliers for the Nissha Group overseas.

 CO2 Emissions Survey (Scope 3 Category 1)

In order to understand the CO2 emissions from suppliers, we carry out CO2 emissions surveys using questionnaires.

Environmental Survey

We reflect items related to the environment required in the CSR Procurement Guidelines in the questionnaire, and confirms our suppliers' environmental compliance status.

Development of Procurement Personnel

Focusing its efforts on training procurement personnel, the Nissha Group has continued to provide the basic procurement education and procurement training by external instructors since FY2008. To date, more than 1,300 employees have taken these courses.
 
We will carry out training of SME Entrusted Transactions Fairness Act for the Nissha Group in Japan and other training for the Nissha Group overseas, working to further improve their purchasing skills and minimize purchasing-related risks.

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