Promotion of Social Responsibility in the Value Chain

Initiative and Promotion 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 Group established the Sustainability Committee, which is chaired by the president, and working groups pertaining to procurement and human rights, which are chaired by operating officers, have been formed under this committee. These bodies are responsible for matters related to environmental, human rights, and other supply chain sustainability issues including the establishment of internal frameworks, measures, targets, and actions plans; the promotion of initiatives through coordination with the relevant divisions; and the monitoring of these initiatives.

Promotion of Sustainability in the Supply Chain

Yamaha’s Supply Chain

Yamaha produces and sells musical instruments, audio equipment, and a wide variety of other products. These products are primarily manufactured and assembled by Yamaha Group companies with bases in Japan, China, Indonesia, Malaysia, and India, although we also employ the services of manufacturing contractors. The raw materials, components, and other items required to manufacture these products are procured from suppliers around the world.

[Image] Yamaha’s Supply Chain

Yamaha’s Supply Chain

Location of Yamaha Production Bases and Major Products Manufactured

Initiatives at Group Manufacturing Bases

The status of labor conditions, occupational health and safety, and environmental management at Yamaha Group companies that function as production sites is monitored by dedicated staff members from corporate divisions based on Group regulations and standards. Details on these initiatives can be found below.

Initiatives Targeting Suppliers

The Yamaha Group has defined policies concerning the procurement of 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. Adherence to the code may be stipulated in basic transaction contracts. If not, documents confirming the consent of suppliers to adhere to the code will be collected. Inspections based on the code 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.

Moreover, Yamaha Corporation is a member of the Japan Electronics and Information Technology Industries Association and participates in the association’s CSR committee as part of its efforts to promote sustainability in the supply chain through industry coordination.

Specific Sustainability-Related Requests to Suppliers*1

Category Requests
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.)
Handling of conflict minerals (responsible sourcing of minerals)
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
Wastewater management
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
Information disclosure
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.
[Image] Yamaha Supplier CSR Code of Conduct

Yamaha Supplier CSR Code of Conduct

[Image] Yamaha Supplier CSR Self-Assessment Questionnaire

Yamaha Supplier CSR Self-Assessment Questionnaire

Supplier Self-Assessments

In fiscal 2023, self-assessments were administered to 60 suppliers with which transactions were commenced. In March 2023, a simultaneous supplier self-assessment was administered via questionnaires submitted to 2,312 existing suppliers (when the supplier was a trading company, the relevant manufacturer was subject to the assessment), and responses were received from 2,179 suppliers. Roughly 40% of the surveyed suppliers were located in Japan while 30% were in China and 15% were in Indonesia. The remaining suppliers were positioned in countries such as Malaysia, India, Germany, and the United States. Requests for corrective actions were submitted to 418 companies that had low scores for any of the 19 items deemed to be of high materiality among the approximately 40 total items. The progress of corrective actions had been confirmed via paper assessment at 304 companies as of March 31, 2023. We will continue to submit requests for corrective action and confirmation to the companies from which such confirmation has yet to be received. Furthermore, we will keep submitting requests for assessment results to companies that have yet to report their results while determining whether or not transactions should be continued out of consideration for our responsibility as a purchaser. Looking ahead, the Yamaha Group intends to improve the effectiveness of its inspections by complementing questionnaires with on-site audits by third-party institutions.

Items Associated with a Large Number of Requests for Corrective Action

  • Evaluation training (based on "2. Accident Prevention and Emergency Preparedness" under "B. Occupational Safety" in the Yamaha Supplier CSR Code of Conduct); corrective action requests submitted to approx. 5% of respondents
  • Tracking, management, and treatment of hazardous substances in wastewater (based on "3. Wastewater Management" under "C. Environmental Conservation" in the Yamaha Supplier CSR Code of Conduct); corrective action requests submitted to approx. 4% of respondents

Consultation Venues (Grievance Mechanisms)

To provide a venue for consultation and reporting regarding human rights violations across the supply chain, Yamaha joined the Japan Center for Engagement and Remedy on Business and Human Rights (JaCER) in October 2022 and has begun accepting claims filed through its Engagement and Remedy Platform.

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 (the "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. Briefings related to sustainable timber procurement, which include confirmations of timber legality, are held each year. In fiscal 2023, such briefings 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.

Responsible Mineral Procurement

The Yamaha Group works to procure minerals that play no part in the violation of human rights or environmental destruction. We respond to customer requests to conduct due diligence activities, and also ask suppliers to take similar steps based on the Yamaha Supplier CSR Code of Conduct.

In fiscal 2023, a simultaneous assessment of suppliers was used to assess conditions regarding the procurement of tin, tantalum, tungsten, and gold. Based on the assessment results, 481 companies deemed as having the potential to be dealing with conflict minerals were asked to investigate their smelters and the countries of production using the Conflict Minerals Reporting Template of the Responsible Minerals Initiative. Responses were received from 333 of these companies, and we continue to request responses from those companies that have yet to submit them. The future steps to be taken will be determined based on aggregation and analyses of the results of the Conflict Minerals Reporting Template investigations.

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

Since fiscal 2021, various communication activities have either been 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, not held in fiscal 2023 due to the pandemic)
Safety and health inspection patrols: Confirmation of construction work at two business sites in fiscal 2023
Confirmation of compliance status at waste treatment subcontractors: On-site confirmation at 28 companies in fiscal 2023

[Image] On-site confirmation at a waste treatment subcontractor
On-site confirmation at a waste treatment subcontractor

Partnership Declaration

In January 2021, Yamaha Corporation announced its Partnership Declaration, which details our commitment to building harmonious partnerships with suppliers to heighten value across the supply chain. This declaration reflects our endorsement of the aims of the Cabinet Office’s committee for promoting the establishment of future-shaping partnerships. This committee’s membership includes the chairman of KEIDANREN (Japan Business Federation), the chairman of the Japan Chamber of Commerce and Industry, and the heads of the Cabinet Office; the Ministry of Economy, Trade and Industry; the Ministry of Health, Labour and Welfare; the Ministry of Agriculture, Forestry and Fisheries; and the Ministry of Land, Infrastructure, Transport and Tourism.

Partnership Declaration(registered on January 1, 2021)

Socially Responsible Logistics

Endorsing the ideals of socially responsible logistics advocated by the Ministry of Land, Infrastructure, Transport and Tourism; the Ministry of Economy, Trade and Industry; and the Ministry of Agriculture, Forestry and Fisheries, Yamaha Corporation submitted its Declaration of Voluntary Action for Realizing Sustainable Logistics. This declaration puts forth our policies for working with suppliers and logistics business operators to improve logistics activities in pursuit of higher productivity and reformed workstyles.