Sustainability | Society

Efforts as a Supplier (Consider the work environment at manufacturing sites)

Our Approach

As a supplier from which customers procure products, TDK is aware that making efforts to consider social and environmental factors at the Group’s production sites and fulfilling its social responsibility are important also for the continuation of business. TDK strives to identify issues and make improvements by, for example, implementing CSR self-checks and conducting CSR audits in response to risks in the countries where sites are located.

Structure

The Headquarter CSR Function supervises activities and promotes the appointment of responsible persons at each production site.

Fiscal 2018 Goals and Achievements

Goal

  • Perform 100% CSR self-checks at manufacturing sites
  • Perform 100% labor and ethics risk assessment at manufacturing sites
  • Secure 100% opportunities for third-party CSR audits once every two years (High-risk countries of Asia including China)

Achievement

  • Achievement
  • Achievement
  • Achievement (High-risk countries of Asia including China)

Main activities and measures

  • Implemented CSR self-checks and labor and ethics risk assessments at all 81 sites
  • Of the 34 targeted sites in the China and Asia region, implemented independent third-party CSR audits at five sites that have not undergone CSR audits by customers in the last two years
  • CSR training is ongoing

Future Activities

TDK will strengthen existing activities and continue striving to identify issues and make improvements. In fiscal 2019 we will implement the following measures:

  • Continue CSR self-checks and labor, human rights, and corporate ethics risk assessments at manufacturing sites
  • Continue to secure opportunities for third-party CSR audits once every two years (High-risk countries of Asia including China)
  • Continue implementation of CSR training

Concrete Activities

Implementing CSR self-check

TDK has compiled the TDK CSR Self-Check Sheet based on the Responsible Business Alliance (RBA) which is being used for self-diagnosis at production sites. The yearly self-evaluation serves to identify problems and promote efforts toward improvement in CSR activities at these sites, and it also enables us to swiftly respond to CSR surveys and inquiries from customers.
If there are any doubts with regard to responses on the check sheet, the CSR Group will look into the background of the issue. Direct visits to the production site may be carried out as necessary, with the aim of properly assessing the local situation and promoting enhanced CSR awareness.
In fiscal 2018, we reviewed questions in light of the revisions made to the RBA Code of Conduct in January 2018, added questions concerning human rights to gain a better understanding of conditions, and implemented self-checks.

Labor and human rights/corporate ethics risk assessment

TDK conducts risk assessments in the areas of labor and human rights and corporate ethics. The assessments are based on RBA requirements and are a response to social obligations, taking regional characteristics into consideration. In fiscal 2018, we reviewed questions in light of the revisions made to the RBA Code of Conduct in January 2018, added questions concerning human rights to gain a better understanding of conditions, and implemented self-checks. We are working to further improve management systems at our manufacturing sites by taking into account various factors in a timely fashion.

Implementing CSR self-audits by third party auditing companies

Customer electronic equipment manufacturers may carry out CSR audits in order to verify the state of their suppliers’ compliance with RBA requirements or their own code of conduct.
As a supplier, TDK sees them as a good opportunity to further raise the level of our CSR activities. Regarding manufacturing sites located in China and the high-risk countries of Asia, once every two years we conduct CSR self-audits using third-party auditing companies, including customer CSR audits.
Each audited site made improvements regarding matters that were pointed out, and the CSR Group shared information with related HQ functions, calling for attention to be paid to these problems and getting them reflected in measures.

CSR internal auditor training

Based on a belief that gaining a systematic understanding of customer requirements relating to CSR and acquiring the basics necessary for assessment internal CSR measures are essential for raising the levels of future CSR activities, we are conducting CSR internal auditor training in consideration of the availability of human resources at sites.

CSR training conducted

CSR training is conducted with content tailored to regional needs with the aim of raising the levels of CSR activities. In fiscal 2018, CSR training was conducted in Indonesia and China. In Indonesia, information was shared on undertakings in different regions, and outside instructors gave lectures on the SDGs, diversity, and changes to the RBA. In China, the Code of Conduct was explained and a discussion on proper labor management was held.

Training in China (February 2019)

Training in China (February 2019)

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