Mitsui Chemicals

Sustainable Procurement

Management System

Policy

The Mitsui Chemicals Group engages in purchasing activities based on the Mitsui Chemicals Group Purchasing Policy formulated in April 2006. Details of this policy are being conveyed to suppliers.
The Mitsui Chemicals Group verifies the status of sustainable activities when starting transactions with new suppliers as well as periodically with our current suppliers depending on transaction details. This involves confirming a wide range of specifics that include environmental protection, occupational safety, quality assurance, corporate governance, fair transactions, human rights, and information security. In addition, we evaluate supplier companies based on the results of these surveys and offer guidance on making improvements as needed. In the case that there are compliance violations and other significant discrepancies at suppliers, we will take steps to address these issues in accordance with established standards.

The Mitsui Chemicals Group Purchasing Policy

As we rely on our suppliers to help us to enhance the Group's corporate value through our purchasing activities, we regard all of our suppliers as good partners. We always deal with our suppliers fairly and in good faith and make every effort to ensure the mutually sustainable development of our corporate activities. As such, all purchasing divisions within the Mitsui Chemicals Group engage in purchasing activities in accordance with the following Purchasing Policy.

1.Legal compliance
We will strictly comply with all laws and social norms as part of our purchasing activities.
2.Equal opportunities and transparency
We will be wide open with our suppliers, both domestic and overseas, and provide equal opportunities for fair trade in good faith.
3.Harmony with the environment
We will endeavor to purchase goods and materials that have less impact on the environment.
4.CSR-oriented selection
When selecting suppliers, we will give priority to and seek to build stronger partnerships with companies that satisfy the following requirements.
  • Strict compliance with laws and social norms
  • Respect for human rights and consideration for working environments
  • Commitment to environmental preservation and safety assurance
  • Sound management
  • Commitment to maintaining and improving appropriate standards in areas such as quality, price and delivery dates

Transaction Procedures

Transaction Procedures

*
Requests to complete sustainable procurement SAQs (Self-assessment Questionnaires) are made once every four years.

System and Responsible Officers

With the officer in charge of the Purchasing Division as the responsible party, the Purchasing Division formulates and implements plans related to sustainable procurement for purchases made by the Purchasing Division, major business divisions, and domestic and overseas affiliates.

Monitoring Methods

The Purchasing Division confirms the status of suppliers by regularly conducting sustainable procurement SAQs as well as supplier audits in the context of its sustainable procurement environment. At monthly results review meetings, such surveys determine the progress of sustainable procurement action plans as well as achievements, which are then reflected in plans for the next fiscal year. In addition, we check the status of sustainable procurement activities during annual audits conducted by corporate auditors and the Purchasing Division.

Goals and Results

KPI Scope of Compilation FY2017 FY2018 Medium to Long-term
Goals Results Level
Achieved
Goals Goals
Sustainable procurement ratio* Mitsui Chemicals Group 70%
(FY2025)
Sustainable procurement ratio* Mitsui Chemicals, Inc. 39%
*
Sustainable procurement ratio:
The sustainable procurement SAQ response rate from suppliers (Group-wide transaction value basis). Feedback and improvement assistance are provided to the suppliers based on the response results.

Review and Challenges

Mitsui Chemicals has promoted mutual understanding between it and suppliers as well as improvement assistance since establishing the Mitsui Chemicals Group Purchasing Policy in fiscal 2006 based on its sustainable procurement SAQ.
One of the aims of the 2025 Long-term Business Plan is to undertake supplier sustainability assessments and improvement assistance (sustainable procurement ratio of 70% or more).
In fiscal 2017, we began surveying the status of the sustainability activities of our suppliers using the CSR/ Sustainable Procurement SAQ drafted by the UN Global Compact Network Japan supply chain subcommittee meetings. Based on the results of this survey, in fiscal 2018 we restructured the Mitsui Chemicals Group Purchasing Policy as the Mitsui Chemicals Group Sustainable Procurement Policy, which we plan to share with those both inside and outside of the Group.
Mitsui Chemicals will pursue initiatives to promote a shared understanding of the importance of sustainable procurement and expand the scope of sustainable procurement throughout the Group centered on the Purchasing Division.