Communication with Suppliers
Basic Stance
Using fair and equitable procedures, the Toyota Boshoku group purchases raw materials, parts and equipment from a large number of suppliers throughout the world based on our Basic Purchasing Policy. We will grow with our suppliers by putting into practice the spirit of a win-win relationship while fulfilling our social responsibilities in the supply chain with the aim of enhancing corporate value.
Open, Fair and Transparent Trade and Social Responsibility in the Supply Chain
In addition to conducting purchasing activities based on the Basic Purchasing Policy, we are working to fulfil our social responsibility throughout the supply chain.
Basic Purchasing Policy
1. Open and Fair Transactions
2. Mutual Development through Mutual Trust
3. Promotion of “Green Purchasing”
4. Promotion of Local Purchasing as a Good Corporate Citizen
5. Law-abidingness and maintaining Confidentiality
Promoting Sustainability Activities
Toyota Boshoku and its suppliers adhere to the following items in basic supplier agreements: (1) Respect for human rights; (2) Prohibiting bribery; (3) Ensuring fair transactions; (4) Removing antisocial forces; and (5) Efforts to conserve the environment. Furthermore, we comply with competition laws, fair transactions act, labor laws, environmental laws, and other related laws in each country and region, and are working to strengthen sustainability activities throughout the entire supply chain.
Every year during Corporate Ethics Month in September, we carry out initiatives aimed towards maintaining and pushing forward with fair and transparent trade. To do this we investigate supplier satisfaction and ask our suppliers to conduct self-assessments in line with our Supplier Sustainability Guidelines, with the overall aim of deepening understanding and spreading the principles of fair and transparent trade throughout our entire supply chain. Additionally, when we start working with new suppliers they are asked to conduct self-assessments.
When implementing self-assessments in fiscal 2026, in order to promote sustainability initiatives throughout the supply chain, we held a supplier briefing session to reiterate the importance of the Sustainability Guidelines being spread and promoted among all suppliers.
Based on the results of the self-assessments, we made follow-up surveys with suppliers when necessary. We are continuously promoting sustainability activities through direct dialogue with suppliers, seeking their understanding of our approach by exchanging opinions on points to keep in mind and improvement measures for the future.
Self-assessment based on the Sustainability Guidelines
Question items
1. Compliance
2. Respect for human rights and maintaining appropriate working conditions
3. Efforts to conserve the environment
4. Contribution to society through business activities
5. Risk management
6. Developing and deploying guidelines for your suppliers
A survey regarding supplier satisfaction
Question items
1. Price finalization after thorough consultation between both parties
2. Requests for rationalization without reasonable grounds
3. Requests for urgent response
4. Increase in request items due to streamlined operations and reduced overtime
5. Requests for free-of-charge provision of intellectual property rights and know-how
6. Demand for money, goods, and services
7. Purchasing staff's behavior for suppliers
8. Awareness of Declaration of Partnership Building
9. Response that could lead to quality-related misconduct and data tampering
10. Whether there have been any instances of Toyota Boshoku company members violating laws or regulations
11. Initiatives to make “I like Toyota Boshoku” a reality
12. Any other feedback
New Supplier Assessment
For potential new suppliers, we have established and operate internal supplier selection guidelines. In addition to reviewing their financial status and other factors, we verify their certification status for quality management standards such as ISO 9001 and IATF 16949, as well as their compliance with the Toyota Boshoku Group Supplier Sustainability Guidelines, to determine whether to start doing business with them.
Building a Global Purchasing System
As the Toyota Boshoku group expands our business globally, we will proceed with local purchasing while considering various items such as safety, quality, and cost. At the same time, our entire group will work together with our suppliers to pursue optimal global procurement.
Every year, we hold a Suppliers Convention to convey the President's message and Global Purchasing Policy, and to promote dialogue with our suppliers. We also present awards to suppliers who have made significant contributions in terms of R&D, quality, cost, delivery, and the environment.
Commended companies, as well as core suppliers from outside Japan, and Sunshine (Toyota Boshoku suppliers' association) were invited to the event in fiscal 2026, where we strengthened relationships through face-to-face meetings.
In addition, by recording and distributing the contents of the Convention, we worked to strengthen relationships throughout the supply chain, including our suppliers and their second tier and subsequent suppliers. The President's message, Global Purchasing Policy, and other content was streamed in Japanese, English, and Chinese.
Training and information sharing
To pursue fair and equitable procurement activities, we hold training sessions not only for members of the Purchasing Division but also for all Toyota Boshoku company members and the Toyota Boshoku group company members in Japan, in an effort to ensure appropriate business transactions.
We also aim to disseminate information on social conditions surrounding the Company (compliance, human rights, environment) by holding regular meetings within the Purchasing Segment based on the Supplier Sustainability Guidelines and Toyota Boshoku Group Guiding Principles.
Expansion of global Supplier Parts Tracking Team (SPTT) activities*
The Toyota Boshoku group is promoting global SPTT activities to assure the quality of its products by helping suppliers in regions outside Japan enhance their production processes, from beginning with the production preparation stage to getting their businesses on track after the launch of new products. Such actions help create face-to-face ties between suppliers and various divisions, including purchasing, design engineering and quality control, as well as enable problem solving and mutual benefits from different perspectives, notably for such issues as quality, amount, cost, distribution and timely delivery. Additionally, we maintain an SPTT manual for practical global use, and are continuing to standardize our SPTT activities.
We will continue improving SPTT activities and rolling them out globally in order to provide customers with best quality products.
- Follow-up activities by the team for subcontracted parts production and manufacturing preparation
Toyota Boshoku group's purchasing information by each region
Global
The Americas
China
Asia
Japan
Promotion of Green Purchasing
Toyota Boshoku recognizes the risks in sustainable development and is committed to the procurement of sustainable raw materials in light of environmental issues such as the effective use of water resources and the creation of a society in harmony with nature. In addition, Toyota Boshoku is strengthening our response to legal compliance related to various environmental regulations in respective countries and regions based on our Green Purchasing Guidelines, and working actively to reduce environmental burden. As part of these efforts, we periodically request certain relevant information from our suppliers, such as GHG emission levels and the results of tests done to confirm that substances with harmful environmental effects are not being used. We also require our suppliers to establish environmental management systems (EMS) based on the acquisition of ISO certification aimed at creating a sustainable society.
Studying with Our Suppliers
Initiatives taken together with our suppliers
We are committed to mutual learning activities to enhance the competitiveness of our major suppliers.
In response to suppliers' needs, and with an aim toward strengthening the total capability of each company, a supplier's personnel may be seconded to work within the Toyota Boshoku. In addition, we support the activities of Sunshine with the aim of enabling mutual study and the sharing of best practices between organizations. More specifically, we hold study groups on safety, health, and improving product quality, and we promote both the sharing of best practices and the resolution of problems faced by suppliers.
Finally, we also run a study meeting concerning carbon neutrality and other social issues.
Held a management roundtable meeting run by Sunshine
At a management roundtable meeting run by Sunshine, officers of Toyota Boshoku and representatives of Sunshine discussed issues and measures including “autonomation in MONOZUKURI competitiveness” to educate suppliers on how to secure MONOZUKURI competitiveness.
Support for Carbon Neutrality Initiatives
We are committed to supporting our suppliers' carbon neutrality initiatives, and in fiscal 2026 we introduced our suppliers to energy-saving case studies aimed at reducing GHG emissions, providing support to help them make use of these case studies.
We will continue to work closely with our suppliers to promote carbon neutral initiatives that are integrated with the supply chain.