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Material Procurement

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Material Procurement

FURUNO ELECTRIC CO., LTD. has held its fundamental principles for procurement in order for us to conduct optimum procurement activities at all times. What is more, we have set the criteria for selection of the partner companies in an effort to cultivate and maintain fair business cooperation with the partner companies based upon unbiased evaluation.

Fundamental Principle for Procurement

1.Observance of ethics for procurement activities
We strive to maintain observance of related laws and regulations both domestic and international as well as "FURUNO Group Code of Conduct". In order to conduct healthy procurement activities, we are determined to refrain from receiving any personal benefit, business entertainment or gift that are beyond a social norm from the partner companies both existing and prospective.
2.Fair conduct of business activities
We are determined to provide any companies irrespective of their nationalities and business scales with equal business opportunities, and we conduct fair evaluation of prospective partner companies, solely based upon transparent criteria based upon logic.
3.Harmonious co-existence with the partner companies
We are determined to deal with the partner companies on the equal basis with utmost sincerity irrespective of their nationalities and business scales, and we strive to establish and maintain the business relations based upon mutual trust with the partner companies.
4.Pursuit for optimum procurement environment
In order to pursue to conduct optimum procurement activities both domestic and international, we strive to promote procurement activities with the vision to achieve enhanced Quality, Cost performance and swifter Delivery time, while taking into our consideration the Environmental conservation.
5.Implementation of Corporate Social Responsibility (CSR)
With close cooperation with our partner companies, we strive to fulfil the corporate social responsibility of the FURUNO group throughout our supply chain.

Criteria for Selection of the Partner Companies

1.Business principle
The partner companies are to run and conduct healthy business activities while taking into the consideration the compliance and goodness of the environment.
2.Optimization of procurement activities
The partner companies are to live up to the standards FURUNO sets in terms of quality, cost, delivery time and environmental conservation.
3.Stable supply of the materials
The partner companies are to be fully capable of supplying the materials based upon our production time frame as well as order placement, and the management system to facilitate stable supply of the materials should be in place.
4.Technical expertise
The partner companies are to possess ample technical expertise that contributes to enhancement of performance, quality and cost competitiveness.
5.Information management capability
The partner companies are to have information management system in place so that appropriate use of personal information, classified information and any other information deemed necessary for business activities be maintained.

Our Approach to Green Procurement

FURUNO prioritizes items that have less impact on the environment when it comes to procuring parts, materials, office stationery, furnishings and so forth. Moreover, we avoid using or promote to reduce use of certain hazardous chemical substances in procuring parts and materials. Through this "Green Procurement", we are determined to decrease negative environmental impacts when manufacturing our products.

Public interest in preservation of the global environment has been growing in recent years, and the European Union has initiated reinforcing environmental regulations with the enforcement of WEEE Directive (The Waste Electrical and Electronic Equipment Directive) and RoHS Directive (Restriction of Hazardous Substances Directive), for instance. In 2004, FURUNO established the "Green Procurement Standards for Parts and Materials" in order to fulfill our social responsibility in terms of environmental protection as well as compliance with existing regulations. Thenceforward, we have been implementing procurement activities based upon the principle of environmental protection, putting primary focus upon any chemical substances contained in the parts and materials of our products. It would be our pleasure if our valued suppliers could kindly countenance our vision of environmental protection and cooperate with us in pursuing that goal.

To our valued suppliers

Please refer to the guidelines for our green procurement activities.

Green Procurement Guidelines English Japanese
Green Procurement Standards for Parts and Materials [PDF/177 KB] [PDF/356 KB]
Self-Declaration of Conformance Regarding Systems for Managing Chemical Substances in Products [DOC/60 KB] [DOC/40 KB]
Japan Green Procurement Survey Standardization Initiative
(As of July 2009)
English Japanese
Ver.4 Green Procurement Survey Tool [XLS/3.01 MB] [XLS/3.01 MB]
Ver.4 Material Composition Survey and Response Manual [PDF/482 KB] [PDF/700 KB]
Ver.4 Survey Response Tools Operation Manual [PDF/886 KB] [PDF/1.82 MB]
JOINT INDUSTRY GUIDE(JIG-101 Ed2.0) [PDF/577 KB] [PDF/432 KB]
Guidelines for the Management of Chemical Substances in Products Ver.2 [PDF/738 KB] [PDF/798 KB]

*The above listed five documents are cited from the web site of JGPSSI: Japan Green Procurement Survey Standardization Initiative. Please see JGPSSI web site for further details.

Inquiries about Material Procurement

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