Procurement Management

Sustainability Initiative

Since it was founded, ROHM Group has conducted business activities with the corporate goal of providing products to society that can make the lives of stakeholders more convenient and prosperous. The establishment of a robust procurement system is essential for the stable supply of high-quality products that meet the needs of society. In addition, it is essential to build strong partnerships with suppliers to achieve this. ROHM Group recognizes suppliers to be vital partners, and aims to realize sustainable procurement pivoting around relationships of trust and cooperation.

Furthermore, as economic globalization expands, international disputes, natural disasters, human rights violations and infectious diseases are becoming more serious on a global level and threatening global sustainability. There is a significant risk that these social issues will impact the global and increasingly complex supply chain. In addition to conventional product quality (QCD), ROHM Group must improve management quality through efforts spanning the entire supply chain to address business continuity, environmental, labor and human rights issues.

Against this backdrop, ROHM Group is working with suppliers who are important partners to establish a procurement system able to meet the expectations of society and create a healthy supply chain in order to provide high-quality products to society based on the concept of “mutual trust and prosperity”.

【Targets】

ROHM has identified “sustainable supply chain management” as an important issue for achieving the medium-term management plan launched in 2021, and has set it‘s 2025 target. We will continue to work toward the sustainable growth of society and ROHM Group.

Sustainable Supply Chain Management
Background and Challenges for Activities In order to stably bring high-quality products to the world that meet the needs of society, it is essential to establish a robust procurement system and build strong partnerships with our business partners, which are important partners. In addition, to provide society with high-quality products in preparation for natural disasters and infectious diseases, which have recently become a threat to business continuity risks, it is essential to establish a system that enables comprehensive management of all ROHM Group's suppliers in terms of quality, safety, the environment, human rights, and BCM together with business partners, and to improve management quality throughout the supply chain. With our business partners, we will work together to establish a procurement system that meets the expectations of society and build a sound supply chain to provide society with high-quality products based on the concept of mutual trust and prosperity.
Theme
  • Strengthening BCM System
  • Promotion of green procurement
  • Promotion of CSR procurement activities
Targets
(Target Year:FY2025)
  • ➀-1.Purchasing ratio of 90% or more from suppliers who have completed comprehensive evaluation of supplier activities
  • ➀-2.100% survey of production bases of Tier1 suppliers
  • ➀-3.100% prior agreement rate for emergency response of critical suppliers
  • ➁Environmental management system self-evaluation pass rate 100%
  • ➂CSR self-assessment result 90% or more of purchases from suppliers of B or above
FY2021 Actual
  • ➀-1.ratio of 90% or more from suppliers who have completed comprehensive evaluation of supplier activities:91.6%
  • ➀-2.Ratio of survey of production bases of Tier1 suppliers:25.0%
  • ➀-3.prior agreement rate for emergency response of critical suppliers:0%
  • ➁Environmental management system self-evaluation pass rate:94.9%
  • ➂Ratio of CSR self-assessment result 90% or more of purchases from suppliers of B or above:90.1%
Targets for FY2022
  • ➀-1.ratio of 90% or more from suppliers who have completed comprehensive evaluation of supplier activities:92.0%
  • ➀-2.Ratio of survey of production bases of Tier1 suppliers:50.0%
  • ➀-3.prior agreement rate for emergency response of critical suppliers:50.0%
  • ➁Environmental management system self-evaluation pass rate:95.0%
  • ➂Ratio of CSR self-assessment result 90% or more of purchases from suppliers of B or above:65.0%
  • *Only target➂ is set at the group level.All targets will be set at the group level from FY2023