AGC Group Purchasing Policy

AGC Group pursues values of the Group Vision “Look Beyond” and the "AGC Group Charter of Corporate Behavior" and will regulate our performances on purchasing which are explicitly stated in the following "AGC Purchasing Policy".

• Basic Purchasing Principle
  • Fair & equitable transactions

    Our procurement policy is to consistently search for innovative technologies, products and services with a fair and equitable manner globally.

  • Compliance to related laws & regulations, and behavior considering safety, environment & human rights

    In carrying out purchasing activities, AGC will comply with the applicable laws and regulations of each country and international norms, act with integrity and give due consideration to safety, environment, natural resource conservation and human rights.
    In particular, in order not to promote conflicts or foster human rights violations through the procurement of mineral resources, identifying conflict minerals (tin, tantalum, tungsten, gold) and cobalt as high-risk minerals, we will promote responsible mineral procurement through the adoption of smelters and refiners that have been certified as not using minerals that are related to armed forces or injustice such as human rights violations.

  • Partnership with business partners

    AGC will establish a long-term, mutual prosperous partnership to produce a better product with our business partners.
    To this end, we will endeavor to keep close communication with our business partners to build and enhance our trusting relationship.

  • Protection of information, intellectual property, and other assets

    AGC will properly manage and protect the proprietary information, intellectual property and other assets of our business partners while procuring goods and services.

• Criteria for Selecting Business Partners

  AGC will apply key criteria to evaluate and select business partners, as follows.

  • Sound management, Steady supply, and Flexibility to match with the fluctuating demand.
  • Appropriate Quality, Pricing, Delivery date punctuality, consideration to Safety & Environment and Technical service level.
  • Making endeavors to realize each item of the “Request for Cooperation in Sustainable Procurement” below.
• Request for Cooperation in Sustainable Procurement

  AGC strives to be a company trusted by all its stakeholders, a company that meets the expectations of the world business community to grow and develop responsibility, and a company that significantly contributes to a healthier global society.
  In order to fulfill our social responsibilities towards the realization of a sustainable society as the AGC Group, we would like to promote our efforts together with the companies linked to our supply chain.
  Accordingly, we would like to share with and request to our business partners compliance and enforcement of the following points and would like to ask our partners’ understanding and cooperation.

  • Legal compliance, fairness and integrity
    To comply with laws and international norms of each country and region, conduct fair transactions, and execute the following:
    • Maintain healthy and normal relations with politics and government, and do not give or receive inappropriate profits in relation to stakeholders.
    • Do not engage in activities that hinder fair competition in the market or abuse superior bargaining position.
    • Establish a management system for the import and export of goods and technologies regulated by laws and regulations of each country and region and carry out proper export procedures.
    • In the procurement of mineral resources contained in products, identify conflict minerals (tin, tantalum, tungsten, gold) and cobalt as high-risk minerals, and promote responsible mineral procurement through the adoption of smelters and refiners that have been certified as not using minerals that are related to armed forces or injustice such as human rights violations.
    • Do not have any relationship with anti-social forces.
    • Establish and put into practice a mechanism such as policies, organizations, guidelines, reporting systems and educations, to enforce thorough compliance and to prevent and detect inappropriate practices at an early stage.
  • Environment, safety and quality
    To provide high-quality, safe and environmentally friendly products and services, reduce environmental burdens, ensure product and workplace safety, and implement the following:
    • Comply with the laws and regulations of each country and region regarding the environment, and appropriately manage chemical substances contained in products and chemical substances discharged to the external environment based on laws and regulations.
    • Strive to protect the environment and natural resources and reduce the final disposal volume of waste.
    • Establish an environmental management system and continuously operate and improve it.
    • Contribute to the prevention of global warming and strive to save energy.
    • Work for safety, security and disaster prevention, and work to prevent accidents.
    • Products meet the safety standards stipulated by the laws and regulations of each country and region and provide accurate information on items that may cause danger or health damage to users.
  • Human rights and labor
    Respect the dignity and human rights of all people and do the following:
    • Do not discriminate against people regardless of race, ethnicity, religion, nationality, political affiliation, age, gender, disability, marriage, sexual preference or any other positions.
    • Do not engage in acts such as sexual harassment or power harassment that deny the personality of others or harm personal dignity.
    • Do not allow forced labor, slave labor, child labor, unfair low-paid labor, and do not participate in human rights violations.
    • Respect employee rights and build and maintain good relationships with employees through discussion and dialogue.
    • Comply with the laws and regulations of each country and region regarding employee working hours, holidays, paid leave grants and wages.
    • Establish an environment where employees can work safely and physically and mentally healthily.
  • Risk, information and intellectual property management
    Establish a system to avoid risk on business and execute the following for information and intellectual property management.
    • Establish a business continuity plan that provides measures to enable business continuity or early recovery when an unforeseen circumstance such as a disaster or accident occurs, and upon such occurrence, cope with it promptly and disclose accurate information.
    • Make proper recording and reporting necessary for the business activities based on the facts, and as well as keeping record, make appropriate information management so that confidential information of the parties such as customers, business partners and own companies including personal information will not be leaked.
    • Disclose information such as financial status, business results, and details of business activities appropriately to stakeholders as appropriate.
    • Properly manage own and other parties’ intellectual properties, and do not obtain third-party trade secrets by illegal means or perform any act that infringes on the intellectual property of a third party.

January 1, 2020