Sustainability-related policies, criteria, and guidelines
- Basic Policy to Cope with Natural Disasters(PDF 79KB)
- Guide for CSR Implementation Survey(PDF 342KB)
AGC Group Charter of Corporate Behavior
(Established on June 1, 2007 and revised on March 9, 2016)
Under the tenet of “Our Mission” in the Group vision, “Look Beyond” the AGC Group strives to be a company trusted by all of its stakeholders, a company that meets the expectations of the world business community to grow and develop responsibly and a company that significantly contributes to a healthier global society. To this end, the Group has established the AGC Group Charter of Corporate Behavior and acts in line with the following principles.
●Integrity: Sincere Behavior
- The AGC Group will develop and provide useful goods and services of superior quality, giving due consideration to safety and the environment, and will strive for customer satisfaction and loyalty.
- The AGC Group will understand and comply with applicable laws and regulations of the countries and regions in which it does business and will respect international norms of behavior.
- The AGC Group will promote fair trade and conduct its operations in accordance with the principle of fair competition and all applicable laws and regulations.
- The AGC Group will maintain sound relationships with government agencies and other responsible organizations. The Group will not support any person or group that threatens the order and security of society.
- The AGC Group will properly manage and safeguard its own proprietary information, intellectual property, and other assets and will respect the property rights and interests of others including customers and business partners.
●Environment and Safety: With Due Consideration
- The AGC Group regards environmental conservation as an essential responsibility of global citizens and will proactively contribute to the development of a sustainable society.
- The AGC Group will pursue technological innovations and new product developments that reflect due consideration for the environment and will participate in activities to preserve the environment and safety and security at work.
- The AGC Group will maintain its workplaces with a proper regard to occupational health and safety for the people related to its business activities.
●Diversity: Respect for People
- The AGC Group will respect human rights and will operate its business with due regard for the cultures and customs of each country and region in the world.
- The AGC Group will respect people's diverse capabilities and personal dignity and will create fair and open environments at its workplaces without discrimination based on race, ethnicity, religion, nationality, gender, disability, or any other legally protected group.
- The AGC Group will not engage in forced labor or child labor and will not tolerate infringements of human rights.
●Harmony with Society: From “Responsibility” to “Reliability”
- The AGC Group will strive to be a trusted corporate citizen, fulfilling its responsibilities to the communities in which it does business.
- The AGC Group will build productive and proper relationships with business partners and encourage them to adhere to business principles consistent with its own.
- The AGC Group will communicate responsibly with customers, local citizens, shareholders, employees, and other members of society by gathering their opinions and disclosing information in a fair and appropriate manner.
The managements of all AGC Group companies, recognizing that it is their responsibility to realize the spirit of this Charter, will take the initiative to achieve an understanding of the Charter within all Group companies, and at the same time, will seek its business partners' cooperation.
The managements will also promote the development and implementation of systems that the principles stipulated in this Charter can be duly incorporated into the Group's decision making and implementation.
In the case of any behavior contrary to the principles of this Charter, we will work to identify the cause and prevent a recurrence, making it clear to those inside and outside Group companies that the situation is being addressed diligently. We will take appropriate corrective and disciplinary actions when necessary.
AGC Group “7 Key Principles for People”
The AGC Group wishes to pursue these principles as the foundation of our “7 Key Principles for People” to maximize our performance as a truly global corporation.
Implementation of “Look Beyond”
AGC Group requires all employees to commit to our Shared Values of “Look Beyond”—Our four Shared Values: Innovation & Operational Excellence, Diversity, Environment, and Integrity
Diversity for Organizational Competitiveness
AGC Group builds teams of diverse people who support our four Shared Values of “Look Beyond” and have the abilities to contribute to organizational competitiveness.
Development and Growth
AGC Group encourages employees to grow and provides them with opportunities for self-development.
Job Satisfaction and Pride
AGC Group encourages employees to achieve their goals so that they feel a sense of pride and satisfaction in their work.
Work Environment and Conditions
AGC Group provides a safe and healthy work environment.
AGC Group emphasizes open communication in the workplace to create a better organizational climate.
Evaluation, Recognition and Rewarding Performance
AGC Group evaluates and recognizes employees who contribute to the organization and rewards their contributions.
AGC Group Basic Occupational Health & Safety Policy
(Established on February 9, 2001 and revised on March 29, 2013)
The AGC Group will manage its Occupational Health and Safety (hereinafter “OH & S”) under the policy of “ No Production without Safety” and all managers will ensure that the OH & S policy should be clearly understood and permeated throughout the Group and that all of the employees should be actively involved in the promotion of OH & S activities.
Guidelines for Occupational Health and Safety Activities
We will actively implement OH & S activities by addressing any possible issues on occupational accidents and illnesses to achieve continual improvement in our OH & S performance, based on the following guidelines.
- We will enhance the level of our Risk Assessments to promote effective use of our OHSMS.
- We will continue our conventional on-site safety activities without making them mere repetitive routine.
- Managers will treat their subordinates like a family member and ensure safety at workplaces.
We will promote intrinsic safety of equipment, and look for continual improvement in the workplace environment.
- We will implement OH & S activities as a part of production line activities. The departments in charge of OH & S will provide necessary support for line management.
- We will comply with OH & S related laws and requirements.
- We will encourage proactive employee participation in all OH & S activities through open, honest and fair interactions and communication at workplaces.
Health Management Policy
(Established on March 1, 2007)
The AGC Group has established the following health management policy to be followed by its employees in conducting their business operations, to continuously create value for the world under the Group Vision “Look Beyond”
Employees represent one of the most important assets for the AGC Group, and health is one of the most important elements of the daily lives of employees.
Corporate support for employee health
The AGC Group will actively implement measures to maintain and promote the physical and mental health of its employees, thereby supporting them in driving the growth of the Group by fully displaying their individual abilities, and in striving to lead meaningful lives.
Self-discipline by employees
Employees themselves must be aware of the importance of their health, and they must maintain and promote their health through self-discipline, taking responsibility for their own health.
The AGC Group plans to extend this Health Management Policy from AGC Inc. to Group companies in and outside of Japan in the future.
AGC Group Environment Policy
Enacted on February 9th, 2001
Amended on January 1st, 2019
At AGC Group we recognize that our businesses activities, by using a large amount of resources and energy, have an impact on the environment. In line with AGC Group vision “Look Beyond” , we have set the "environment" as one of our company shared values and we are committed to take actions accordingly.
We are also committed to contribute to the creation of a sustainable society as an outstanding player in the global Materials Industry by efficiently utilizing limited resources and energy and by taking account into due consideration our impact on the natural environment, including climate change and biodiversity.
Let’s all contribute to environmental activities, as a good global citizens.
Environmental codes of conduct
We commit to adhere to the following key principles:
- Improve the environmental performance continuously, in accordance with environmental management system.
- Comply with internal and external relevant environmental rules worldwide.
- Set goals and do our utmost towards improving environmental impact of our business by addressing responsible use of resources, climate change mitigation and adaptation, waste avoidance and recycling, as well as appropriate management of chemicals substances.
- Strive to offer to society our products, service and technologies taking into due consideration their environmental impacts.
- Communicate about our progress to our internal and external stakeholders.
AGC Group Industrial Safety & Security Policy
Enacted on February 7th, 2003
Amended on January 1st, 2019
At AGC Group we will pursue our“Look Beyond” Vision with the strong belief that "actively engaging in security and disaster prevention activities is our fundamental obligation as a company developing business in the local community"
We commit to adhere to the following key principles:
- Comply with relevant internal and external rules concerning industrial safety & security rules worldwide.
- Develop and continuously improve management initiatives to prevent incidents associated with industrial safety & security.
- Strive to communicate with internal and external stakeholders proactively.
AGC Group Purchasing Policy
(established in 2009 and revised on January 1, 2020)
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.
AGC Group Social Contribution Basic Policy
(Established on February 10, 2010)
In its AGC Group Charter of Corporate Behavior, the AGC Group declares it will “strive to be a trusted corporate citizen, fulfilling its responsibilities to the communities in which it does business.” To achieve this, we conduct social contribution activities in three priority areas.
- Support for the next generation
We, as a creator of future value, support the development of children, who will carry the future, helping them to live out their dreams.
- Harmony with local communities
We, as a member of the communities in which we operate, contribute to their sustainable development.
- Natural environment conservation
We, as a global enterprise, contribute to the solution of global environmental problems.
AGC Tax Compliance Policy
Under its management policy, AGC PLUS, the AGC Group is committed to providing positive value to all stakeholders. Through this, the Group aims to earn the trust and expectations of society, and also contribute to realizing a sustainable society.
Compliance is a fundamental principle underlying the AGC Group’s all business activities. The "AGC Group Code of Conduct" (7. Reports and Records), which summarizes matters that the AGC Group’s employees are expected to observe, states the following:
We honestly record, report and disclose information so that our records reflect the facts.
We comply with financial, accounting and tax laws and company accounting policies and rules.
AGC and AGC Group companies endeavor to ensure accurate and timely tax returns pursuant to the tax laws of each country. We recognize that proper tax payments impact the economic and social development of each country, and that ensuring proper tax payments is one of our corporate social responsibilities.II. Transactions between affiliated companies (based on arm's length pricing)
As set out in the "AGC Group Transfer Pricing Policy"
1. 「The transfer pricing for tangible goods and/or services should be determined by applying the arm‘s length principle reflecting the functions performed by the parties, taking into account the assets used by and risks assumed by them based on product groups and/or service categories.
2. The intellectual ownership (including patents, copyrights, trade secrets, know-how, brands and so on) is legally registered in the name of the contributing companies of the group who have developed the technologies and know-how.
The right to use the Intellectual asset can be afterwards granted to other companies of the group but an arm’s length compensation will have to be paid by those companies. To determine the compensation, reference will be made to the acquisition costs, the fair market value, and so on.
3. The transfer pricing of financial transactions should be reasonably determined by applying arms' length principle, by reference to estimated funding rates for borrowers and estimated return rates for lenders from investment or deposit or in consideration of the level of margin for lenders.
IV. Transparency - responding to international efforts (enhancement of corporate value and fulfillment of corporate social responsibility through appropriate tax payment and information disclosure according to the BEPS Action Plan)
In addition to appropriate tax reporting and payments to the respective tax authorities in each country, the AGC Group will respond in good faith with regard to various types of tax investigations, preliminary consultations, disclosure of relevant information, etc.
The AGC Group is dedicated to building constructive relationships of trust with the tax authorities of each country to ensure proper tax compliance. The AGC Group also strives to reduce taxation uncertainty and prevent double taxation by building and maintaining fair trust relationships with the tax authorities of each country.
The AGC Group recognizes the BEPS Action Plan (a countermeasure against Base Erosion and Profit Shifting), established by OECD/G20, as an important international tax framework for preventing international tax avoidance and excessive tax planning, and for ensuring tax transparency through tax information disclosure.
The AGC Group shall refrain from using excessive tax incentive schemes in low or no-tax countries and regions.
The AGC Group also understands that arbitrary tax avoidance or lack of tax compliance may result not only in immediate financial risks such as tax litigation and penalties, but also poses a risk to the AGC Group's reputation in addition to a risk of adversely affecting economic and social development or damaging relationships with the countries and regions in which the Group operates.
As a global business entity with social responsibilities, the AGC Group is committed to closely monitoring trends in international tax frameworks and responding to any changes in a timely manner. In addition to aiming to improve its corporate value through these efforts, the AGC Group also considers these efforts to be vital in fulfilling its social responsibilities as a global business entity.