Promotion of Social Responsibility in the Value Chain
Basic Policy and Frameworks
The Yamaha Group promotes sustainability throughout the entire value chain in areas such as product and service development, raw material procurement, manufacturing, selling, and recycling. The Sustainability Committee, which is chaired by the president, was established in January 2021, and working groups pertaining to procurement and human rights were formed under this committee. These bodies are responsible for formulating policies for addressing sustainability issues, such as human rights and resource and environmental preservation across the supply chain, as well as for monitoring related initiatives.
Promotion of Sustainability in the Supply Chain
Yamaha products are primarily manufactured and assembled by Yamaha Group companies with bases in Japan, China, Indonesia, Malaysia, and India. The status of labor conditions, occupational health and safety, and environmental management at Group companies that function as production sites is monitored by dedicated staff members from corporate divisions based on Group regulations and standards. These staff members offer support for developing frameworks and advice for implementing improvements with regard to these matters. These Group companies adhere to Yamaha Group policies related to procurement when procuring raw materials and components. Suppliers are selected according to the standards set in the Yamaha Group Purchasing Philosophy and are asked to adhere to the Yamaha Supplier CSR Code of Conduct, which contains items pertaining to labor, human rights, the environment, and other sustainability considerations. Inspections based on this code of conduct are conducted when transactions are commenced with new suppliers and on a regular basis thereafter. Corrective measures are implemented and transactions are reconsidered as necessary.
Yamaha Policies Related to Procurement
Sustainability-Related Requests to Suppliers
Supply contracts clearly state that suppliers are expected to comply with the Yamaha Supplier CSR Code of Conduct, and we request that suppliers conduct regular self-assessments with this regard.
|Labor and Human Rights||No forced labor
No child labor
Appropriate working hours
Fair wages and benefits
No inhumane treatment
Guarantee of workers’ rights (freedom of association, right to collective bargaining, etc.)
Appropriate response to conflict mineral issues
|Occupational Safety||Safety in the course of duties
Accident prevention and emergency preparedness
Prevention of occupational injuries and illnesses
Management of physically demanding work
Machine and equipment safety measures
Healthy and safe facilities
|Environmental Preservation||Compliance with environmental regulations
Resource and energy saving
Air emission management
Proper disposal of solid waste
Management of chemical substances
Management of hazardous substances
Conservation of biodiversity
|Ethics||Prohibition of all forms of corruption and bribery
Prohibition of anti-competitive behavior
Provision of appropriate product information
Early detection and prevention of fraud
Protection of intellectual property
Protection of personal information
- *1 In addition to the above, suppliers of lumber are requested to procure sustainable timber resources.
In fiscal 2020, a simultaneous supplier self-assessment was administered to 3,748 companies,*2 and results reports were received from 3,694 companies (a response rate of 98.6%). Corrective actions were requested of 11 companies deemed to have management system deficiencies based on assessment results, and documents indicating improvements have since been received from nine of these companies. We intend to discontinue transactions with the other two. Of the 54 suppliers not subjected to this assessment, 38 were determined to be low risk due to having achieved compliance with or certified under sustainability-related standards, such as those of the Responsible Business Alliance. Of the other non-assessed companies, we plan to discontinue transactions with nine, and will continue to request that the remaining seven comply with the Yamaha Supplier CSR Code of Conduct. Assessments of whether transactions can be continued with these suppliers will be conducted when formulating procurement policies and plans.
In fiscal 2021, 149 potential suppliers conducted self-assessments as part of the process of examining the possibility of commencing transactions.
- *2 The aggregate number is given as some suppliers may have conducted more than one self-assessment due to having multiple local production companies.
Education for Employees Responsible for Procurement
The Yamaha Group promotes internal training for its employees responsible for procurement to ensure fair trade. Topics of this training include the Act against Delay in Payment of Subcontract Proceeds, Etc. to Subcontractors (Subcontractors Act), laws related to contracts, and various regulations related to trade and procured goods. In addition, responsible procurement training is provided to employees charged with assessing the status of compliance with the Yamaha Supplier CSR Code of Conduct at suppliers. In fiscal 2021, briefings related to sustainable timber procurement, which included confirmations of timber legality, were conducted in Japan, China, and Indonesia.
Responsible Raw Material Procurement
In the procurement of natural resources and other raw materials, it is important to practice responsible procurement out of consideration of the potential impacts on the environment and society. The Yamaha Group is focused on themes that include green procurement and the sustainable procurement of timber, an important material for instruments and other products.
Efforts to Combat Conflict Mineral Issues
Tin, tantalum, tungsten, gold, and other mineral resources mined in the Democratic Republic of the Congo and neighboring countries are referred to as conflict minerals as they may be the source of funds for armed groups violating human rights through inhumane acts such as violence and plunder. The Yamaha Group works to stop the use of conflict minerals with the aim of procuring minerals that play no part in the violation of human rights or environmental destruction. We respond to customer requests to conduct investigations regarding conflict minerals, and also ask suppliers to avoid the use of conflict minerals based on the Yamaha Supplier CSR Code of Conduct.
Communication with Business Partners
The Yamaha Group promotes communication with business partners and subcontractors. In Japan, we share information about management, production, and sales trends to suppliers that provide us with raw materials, parts, and equipment and to subcontractors that supply distribution, construction, and other services. We also work together with these partners to contribute to worker safety and environmental preservation while striving to foster an atmosphere in which it is easy to share thoughts through relationship-building activities. In addition, we hold lectures on the United Nations Sustainable Development Goals (SDGs) at gatherings of suppliers in Japan in an effort to promote sustainability together with suppliers. During these lectures, we provide overviews of the SDGs and introduce Group initiatives related to human rights and other matters. Furthermore, we confirm the status of compliance and CSR measures at the waste treatment subcontractors used by domestic production sites through site visits and other measures. We have also joined the Shizuoka Industrial Waste Association of Shizuoka Prefecture, where we have production sites, as a waste producer. As a member of this organization, we engage in communication through exchanges of waste treatment information and support for facility tours and other events.
- Communication Activities
- In fiscal 2021, various communication activities were either canceled or carried out through alternative means, such as mail-in voting, due to the COVID-19 pandemic. Examples of the communication activities that would take place under normal circumstances include the following.
- Annual general meeting: Three times a year (collaborative meetings once each with procurement, distribution, and equipment divisions)
Briefing session on trends in production and sales: Once a year (collaborative meeting with procurement divisions)
Safety and health inspection patrols: Site construction work
Confirmation of compliance status at waste treatment subcontractors: On-site confirmation at 17 companies in fiscal 2021
- Yamaha Group Sustainability Policy
- Yamaha Group Human Rights Policy
- Yamaha Group Diversity & Inclusion Policy
- Yamaha Group Environmental Policy
- Yamaha Eco-Products program
- Yamaha Group Purchasing Philosophy
- Yamaha Supplier CSR Code of Conduct
- Yamaha Group Timber Procurement Policy
- Yamaha Group Green Procurement Policy
- Yamaha Compliance Code of Conduct