Business
Foundation

JATCO's basic approach with respect to the supply chain

JATCO is aiming to take into consideration our constantly changing society and environment and fulfill our responsibilities as a company while respecting laws and human rights, and communicating with a variety of stakeholders.
Furthermore, based on our corporate purpose to “drive the possibilities of mobility with technology and passion,” we are challenging ourselves to start new businesses, and we will continue to expand the fields of our corporate activities going forward. In this process, having our business partners share our vision and policies is essential for fulfilling our own company responsibilities. JATCO believes that we can achieve our goals that are beneficial to both parties by building long-term relationships of trust with our business partners.

Measures to deepen mutual trust with our business partners

Signing of the Declaration of Partnership Building

In 2022, JATCO endorsed the purpose of the Declaration of Partnership Building and signed this declaration.
Based on this declaration, JATCO is working to achieve shared growth and prosperity throughout the entire supply chain, while also promoting new collaboration that transcends scale and affiliations.
Furthermore, we are actively working to correct trading practices and commercial practices, and place importance on promoting proper transactions.
We are complying with promotion standards in accordance with this declaration, striving for the appropriateness of transactions, addressing various challenges, and aiming for sustainable development together with our business partners.

Establishment of the JATCO Purchasing Way and the CSR Guidelines

At JATCO, we believe that it is important for not only our Tier 1 business partners, but also our Tier 2 or higher business partners to understand our vision, policies, and responsibilities.
For that reason, we have established the JATCO Purchasing Way based on the basic principles of “trust,” “respect for the other party,” and “transparency” to clarify the values that we should have as a company. At the same time, we have established the CSR Guidelines to explicitly state the social responsibilities required for continuous development in the supply chain overall.

JATCO Purchasing Way

With the JATCO Purchasing Way, we make the values that are important to us when conducting transactions explicitly clear to our business partners.
Based on these values, we not only share our social responsibility but also promise to share the challenges faced by our business partners and utilize our in-house know-how and human resources to support them.

CSR Guidelines

In the CSR Guidelines, we explain the elements for fulfilling our corporate social responsibilities and achieving mutual sustainable development from the perspectives of “compliance,” “safety and quality,” “human rights and labor,” “environment,” and “information disclosure.” We ask our business partners to address a variety of issues.
Furthermore, we also ask our business partners to build management systems for substances of concern and conflict minerals from the perspectives of human rights and the environment.

Establishment of the Green Procurement Guideline

Based on our environmental policy of “contributing to a sustainable global environment through all of our business activities,” JATCO is promoting environmentally-friendly initiatives throughout the lifecycle of products.
For that reason, we have established the policies and standards pertaining to the environment, which should be shared with our business partners as the Green Procurement Guidelines, and we clearly state initiatives with respect to the environment and the management of environmentally hazardous substances.
In particular regarding environmentally hazardous substances, we ask our business partners to input data into the International Material Data System (IMDS) from the perspective of supply management. We confirm the management of the environmentally hazardous substances used in the products and their compliance with the full range of regulations based on this IMDS data.

Business continuity activities with our business partners

Strengthening of BCP cooperation systems and support activities at times of disaster

In recent years, natural disasters and problems with wide-ranging and prolonged impacts have occurred frequently, including business closures and suspensions of operations due to infectious disease pandemics, so the supply chain must be further strengthened.
JATCO has built a supply chain that can respond when natural disasters occur by formulating Business Continuity Plans (BCPs) that are integrated with our business partners. At the same time, from the perspective of Business Continuity Management (BCM), JATCO of course provides humanitarian aid and support for the restoration of production activities when there is an emergency, but we also endeavor to stabilize the supply chain at normal times by providing support for our business partners through a variety of initiatives.
For example, we regularly visit the production sites of our business partners to advance the visualization of the risks of disasters using our original assessment form. Based on the results of this assessment, we discuss countermeasures and priorities tailored to each company’s circumstances, and cooperate to reduce risks.

Collaboration in cybersecurity

In the modern world, cyber attacks targeting computer systems and networks have emerged as a major threat.
Just like in a natural disaster, if the supply chain is damaged, each company’s core systems will be shut down, having a major impact on business activities.
JATCO is reviewing the status of cybersecurity efforts together with its business partners to confirm preventive measures and the impact on business activities in the event of damage.
Furthermore, we are implementing simulations with some of our business partners based on the premise that there has been a cyber attack. We share the issues and countermeasures revealed by these simulations with our business partners to further strengthen collaboration.

Initiatives with our business partners for a sustainable global environment

At JATCO, we are promoting activities aimed at reducing the impact of climate change and maintaining and improving the social environment.

Establishing environmental management systems

To reduce the burden on the environment and contribute to a sustainable society, it is necessary not only to comply with various laws and regulations but also to actively promote environmental conservation initiatives. Therefore, we are working to ensure that not only our company but also our business partners actively incorporate environmental management and address these challenges.

Carbon Neutrality Initiatives

Starting from 2013, JATCO aims to reduce CO₂ emissions by 46% by 2030 and to zero by 2050.
The scope of these initiatives includes not only activities at our own locations but also aims to realize carbon neutrality, including in the supply chain.
We will accelerate activities for carbon neutrality going forward and we will also work together with our business partners to advance environmental improvement, reduce CO₂ emissions and contribute to the realization of a sustainable society.

Initiatives for the circular economy

JATCO is working to achieve a circular economy by reducing waste through the design of products with outstanding durability (Reduce), sorting and recycling components of products collected from the market (Reuse), and actively employing components made of recyclable materials such as aluminum (Recycle).
Furthermore, regarding new products in new businesses, we are considering employing not only recycled materials but also green aluminum materials, and we are actively promoting the use of renewable energy.

Enhancement of the management of environmentally hazardous substances

JATCO complies with the laws of each country and region concerning environmentally hazardous substances and responds promptly to changes in such laws. In particular, concerning chemical substances, the number of substances subject to management is increasing in each country, and restrictions on their use are rapidly progressing. To achieve this, it is necessary not only to develop products that do not use chemical substances prohibited by laws as raw materials, but also to avoid using such chemical substances in the manufacturing process.
With the cooperation of our business partners, JATCO has built a management system for substances that have an impact on the environment and is collecting and managing information about the use of these substances.

Enhancement of the management of conflict minerals

Specific mineral resources mined in conflict zones are widely known as a source of funding for armed groups and a factor that cause prolonged conflicts and human rights violations. The conflict minerals issue is not limited to human rights; illegal mining activities cause environmental destruction such as deforestation, soil contamination, and water pollution, resulting in serious impacts on ecosystems.
JATCO is working to improve transparency in the supply chain and eliminate conflict minerals by consolidating information not only on environmentally hazardous substances but also on the production processes of constituent materials contained in our products.

Improvement of communication with business partners

Corporate activities aimed at realizing a sustainable society also affect the business activities of our business partners who cooperate with us. Therefore, maintaining and improving fair and equal relationships with our business partners is an important element for maintaining the supply chain.
JATCO implements various initiatives to maintain fair and equal relationships between both parties. We hold “Policy Briefing Sessions” and “Monozukuri Seminars” to communicate our direction and challenges to business partners.

Furthermore, we recognize business partners who actively promote sustainable activities and contribute to our activities, both globally and in each region, every year.