●1.7.1 NTSoriginal_SAQ_english-E .xlsm/②SAQ Eng. Ver. 1

Theme

Topic

ApproachI. (1) Corporate
1. Establishment of a CSR promotion system
Policygovernance related toCompanies are expected to endeavor to achieve a sustainable society while(2) CSR
System /observing the law, abiding by social norms, meeting society’s expectations, andResponsibility
taking care not to have a negative impact on society and the environment.
Companies must put this idea into practice while familiarizing employees with it. Checking initiative
results
Toward that end, they must establish a system for risk management of ESG(environmental, social, and governance) related to CSR and for implementing
Corrective actions
the PDCA (Plan, Do, Check, Act) cycle.
2. Establishment of (3) internal controls
It is expected that management systems and schemes are in place within thecompany to ensure effectiveness and efficiency of operations as a company,
reliability of financial reporting, compliance with laws and regulations related tobusiness activities, and asset protection, with a view toward the establishmentof an organizational structure for sound corporate management.

3. Establishment of a (4) business continuity planning (BCP) system
It is expected that a system is in place for continuity or early recovery ofimportant operations and business during/ after a disaster (e.g., natural disaster,major fire, terrorist attack).

4. Establishment of a whistle-blower system
It is expected that a system is in place for employees who have learned of acompliance problem in the company’s business activities in general, such as alegal violation or wrongful act or an act that could be a compliance problem, orfor employees who themselves have suffered human rights or labor abuses todirectly report to or consult with a dedicated department or outside contact. It isalso espected that the system is set up to ensure confidentiality and that thewhistleblower will not be treated unfavorably.

5. Dispatch of CSR-related information inside and outside the company
It is expected that financial information and (5) non-financial information isdispatched appropriately inside and outside the company in response to requests
from society and (6) stakeholders for transparency and accountability regarding
corporate activities.

Comments

Topic
1. Basic attitude toward human rights

Major international frameworks and norms:(7) Universal Declaration of Human Rights, (8) Ten Principles of the UN Global
Compact, (9) UN Guiding Principles on Business and Human Rights, (10) OECD
Guidelines for Multinational Enterprises, (11) UK Modern Slavery Act, etc.
2. Respect for human rights and prohibition of discrimination
Companies should respect human rights and have a responsibility to conduct
decision-making and business activities without discrimination based on race,
nationality, gender, (14) sexual orientation, age, ancestry, religion, ethnicity, or
immigration, etc., or against children, senior citizens, persons with disabilities,
indigenous populations, the poor, or persons with HIV/AIDS, etc.
3. Avoidance of complicity in (or contribution to) human rights abuses
Companies should ensure that the company’s decision-making, businessactivities, and products and services do not lead to complicity in (orcontributions to) human rights abuses of consumers or members of the local
community.
4. Respect for indigenous peoples and local communities
It is important for companies that conduct business in regions where indigenous
peoples and ethnic minorities live to respect their unique cultures and histories,
to abide not only by local laws and ordinances but also international standards,
and to give consideration to the rights of indigenous peoples. Also, beyond theissue of indigenous peoples, it is essential to conduct responsible business
operations with sensitivity to local communities that are effected, in order tomaintain the right to operate and to obtain permits and licenses.

Do you have a designated person or structure
assuming responsibility or promotion of this
topic?
Do you have initiatives related to this topic? In

PolicyDo you have a policy and guidelines related tothis topic?

Do you have a designated person or structure
assuming responsibility or promotion of this
topic?
Checking initiative Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?
System /Responsibility

PolicyDo you have a policy and guidelines related tothis topic?

Do you have a designated person or structure
assuming responsibility or promotion of this
topic?
Do
you have initiatives related to this topic? In
Checking initiative
addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?
System /Responsibility

PolicyDo you have a policy and guidelines related tothis topic?

Do you have a designated person or structure
assuming responsibility or promotion of this
topic?
Checking initiative Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?
System /Responsibility

Response
Level 1

Response
Level 2

Response
Level 3

No

Yes, we haveone or both.

No

Yes, we have.

No

Yes, but we haveno mechanism
for checking

NoYes, we have.

No

Yes, we haveone or both.

No

Yes, we have.

No

Yes, but we haveno mechanism
for checking

NoYes, we have.

No

Yes, we haveone or both.

No

Yes, we have.

No

Yes, but we haveno mechanism
for checking

NoYes, we have.

No

Yes, we haveone or both.

No

Yes, we have.

No

Yes, but we haveno mechanism
for checking

NoYes, we have.

No

Yes, we haveone or both.

No

Yes, we have.

No

Yes, but we haveno mechanism
for checking

NoYes, we have.

ResponResponseseLevel 5
Level 4 Yes, we have one (or both),and it is reviewed properlyina timelymannerYes,
we havedesignatedone, and it is reviewed
properly in a timely manner
Yes, we have both.
Yes, and it is reviewed
properly in a timely manner.
Yes, we have one (or both),and it is reviewed properlyina timelymannerYes,
we havedesignatedone, and it is reviewed
properly in a timely manner
Yes, we have both.

Yes, and it is reviewed
properly in a timely manner.
Yes, one (or both) is
established and reviewed
properly in a timely manner.
Yes, we have designatedone, and it is reviewed
properly in a timely manner.
Yes, we have both.
Yes, and it is reviewed
properly in a timely manner.
Yes, we have one (or both),and it is reviewed properly
in a timely manner.
Yes, we have designatedone, and it is reviewed
properly in a timely manner.
Yes, we have both.
Yes, and it is reviewed
properly in a timely manner.
Yes, we have one (or both),and it is reviewed properly
in a timely manner.
Yes, we have designatedone, and it is reviewed
properly in a timely manner.
Yes, we have both.
Yes, and it is reviewed
properly in a timely manner.

Approach

Question

Respons
Answere
Level 1

Response
Level 2

Response
Level 3

Response
Level 4

Response
Level 5

No

Yes, but theexistence of
violations is notNo

Yes, we haveone or both.

Yes, we have one (or both),and it is reviewed properly
in a timely manner.

No

Yes, we have.

Yes, we have designatedone, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

Corrective actions

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

Approach

Respons
Answere
Level 1

PolicySystem /Responsibility

Are you aware of international standards andframeworks, national legislation as well as (12)social norms/(13) industry norms and standards
Do you have a policy and guidelines related tothis topic?
Do you have a designated person or structure
assuming responsibility or promotion of this
topic?

Do you have initiatives related to this topic? In
Checking initiative
addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
related to this topic as necessary?
Corrective actions

Checking initiative Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
related to this topic as necessary?
Corrective actions
Do you have initiatives related to this topic? In
Checking initiative
addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
related to this topic as necessary?

Yes, and the existence of
violations is checked.

Use the right column if there is anything you would like to add, such as
initiatives your company is taking in regards to this theme.

Theme
III. Labor

addition, do you have a mechanism for checking
initiative results?
Do you have a mechanism for corrective actions
related to this topic as necessary?
Do you have a policy and guidelines related tothis topic?

Checking initiative
addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?

Legal awarenessCompanies should respect and protect human rights as declared in international
standards and frameworks and ensure that they are not complicit in (orcontributing to) human rights violations.

Comments

System /Responsibility

Do you have a policy and guidelines related tothis topic?
Do you have a designated person or structure
assuming responsibility or promotion of thist iyou? have initiatives related to this topic? In
Do

AnswerUse the right column if there is anything you would like to add, such as
initiatives your company is taking in regards to this theme.

Theme
II. Human rights

PolicyQuestion

2/10

Topic
1. Basic attitude toward labor practices
Companies should recognize and comply with the labor principles presented ininternational norms, etc., and to apply basic workplace principles as universal
values.
Main international frameworks and norms:(7) Universal Declaration of Human Rights, (15) International Labor
Organization's (ILO) Declaration on Fundamental Principles and Rights at Work,(8) Ten Principles of the UN Global Compact, (9) UN “Guiding Principles on
Business and Human Rights,” (10) OECD Guidelines for Multinational
Enterprises, (11) UK Modern Slavery Act, etc.
2. Prohibition of discrimination in the workplace
Companies should not discriminate at the workplace, including during
recruitment process, based on race, nationality, gender, sexual orientation, age,ancestry, religion, ethnicity, immigration, the existence of a disability, etc., or
any factors other than factors such as the applicant’s abilities and aptitude.
3. Provision of equal opportunities to employees regarding human resources
development and (16) career advancement, etc.
Companies are expected to play a critical roll in ensuring that opportunities,
such as for promotion and training, are provided equally without undermining
fairness on the grounds of race, nationality, gender, sexual orientation, age,ancestry, religion, ethnicity, immigration, the existence of a disability, marital
status, or the condition of health, etc.
4. Prohibition of inhumane treatment

Legal awareness

PolicySystem /Responsibility

Question
Are you aware of legislation as well as social
norms/ industry norms and standards at home
and abroad related to this category?
Do you have a policy and guidelines related tothis topic?
Do you have a designated person or structure
assuming responsibility or promotion of this
topic?

Do you have initiatives related to this topic? In
Checking initiative
addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
related to this topic as necessary?
Corrective actions
Checking initiative Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
related to this topic as necessary?
Corrective actions

Checking initiative Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
results
initiative results?
Companies should respect employees’ human rights. Inhumane treatment, suchas abuse, physical punishment and harassment, is prohibited.
Corrective actions Do you have a mechanism for corrective actions
related to this topic as necessary?
5. Payment of fair wages
Checking initiative Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
results
initiative results?
Companies should abide by the legal minimum wage of the country and region in
Do you have a mechanism for corrective actions
which they are operating, and ensure that an appropriate (17) collective
agreement is concluded regarding matters such as overtime, and that extra pay
Corrective actions related to this topic as necessary?
and payment methods, etc., are applied fairly.
6. Fair application of working hours, time off, and paid time off, etc.
Companies should abide by working hours designated by law or agreed to inadvance. They should ensure that employees' working hours are managed
appropriately and that they are given the right to take paid time off. Employees
should be given at least one day off per week.
7. Prohibition of forced labor
Companies should avoid making people work against their will and making
people do work that restricts their freedom to leave their jobs. Work coercion
using unjustified means of restraint and compulsion of overtime work, etc.,
should not be practiced. In addition, (18) unjustified retention of identification
documents, etc., and unjustified collection of (19) deposit should not be
8. Prohibition of child labor
Companies should avoid employing children under the legal working age in thatcountry or region. In addition, children should not be made to perform work that
could harm their health, safety, or morals.
9. Respect for the religious traditions and customs of the country of operation
Companies should respect the traditions and customs of the country and regionin which they are operating, and respect their employees’ religious traditions
and customs. Care should be taken through uniform employment regulations,etc., to not hinder them.

Checking initiative Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?
Checking initiative Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
related to this topic as necessary?
Corrective actions
Do you have initiatives related to this topic? In
Checking initiative
addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?
Checking initiative Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?

Response
Level 2

Response
Level 3

Response
Level 4

Response
Level 5

No

Yes, but theexistence of
violations is notchecked.

No

Yes, we haveone or both.

Yes, we have one (or both),and it is reviewed properly
in a timely manner.

No

Yes, we have.

Yes, we have designatedone, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No
No
No

Yes, but we haveno mechanism
for checking
Yes, we have.
Yes, but we haveno mechanism
for checking

Yes, and the existence of
violations is checked.

Yes, we have both.
Yes, and it is reviewed
properly in a timely manner.
Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

●1.7.1 NTSoriginal_SAQ_english-E .xlsm/②SAQ Eng. Ver. 1

10. Recognition of and respect for (20) freedom of association and the right tocollective bargaining
Companies should respect their employees’ freedom of association, freedom tojoin a labor union, and freedom to protest without being subject to retribution,
threats, or harassment and should provide opportunities for labor-management
dialogue.
11. Proper management of employee safety and healthIntent of question:
To question whether
work environments are Companies should take steps so that the risk of accidents occurring during workand the risks of harmful chemical substances, noise, and odors on the humanprovided that are safeand healthy for workers, body are understood and that appropriate safety measures, etc., are taken(including statutory inspections, (21) safeguards, (22) danger signals, control of
including their mental
the handling of chemical substances, measures against dangerous work, andhealth.
compliance with designations for protective equipment, etc.). In addition,measures that give consideration to employees’ mental health should also betaken.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking
results

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking
results.

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking
results.

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking
results.

Yes, we have both.

Corrective actions

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

Approach

Respons
Answere
Level 1

Checking initiative Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
related to this topic as necessary?
Corrective actions
Do you have initiatives related to this topic? In
Checking initiative addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
related to this topic as necessary?
Corrective actions

１２．Prevention of occupational accidents
In order to prevent diseases and injuries due to occupational accidents,
companies should establish procedures and systems for the management,
recording, monitoring and reporting of relevant issues, specifically as listed
below:◆Reporting by the worker◆Classification and recording of accidents and diseases/injuries◆Provision of medical treatment◆Investigation of accidents and diseases/injuries◆Implement corrective actions◆Reinstatement of the worker

Checking initiative
results

Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
initiative results?

Do you have a mechanism for corrective actions
related to this topic as necessary?
Corrective actions

１３．Sanitation, food, and housing
Companies should provide their employees with access to sanitary toilet facility,
safe drinking water, sanitary canteen*1, safe and clean dormitory*2, medicalcare services, etc.

Checking initiative
results

Notes:
1. Place to eat with no food service is acceptable.
2. Applicable to companies equipped with dormitory functions

Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
initiative results?

Do you have a mechanism for corrective actions
related to this topic as necessary?
Corrective actions

１４．Communication with employees concerning safety and healthCompanies should provide their employees with guidance and training
concerning workplace safety and health in their native tongue or otherlanguages they understand, and post related information within company
facilities in languages they understand.

3/10

Checking initiative
results

Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
initiative results?

Do you have a mechanism for corrective actions
related to this topic as necessary?

Comments

Use the right column if there is anything you would like to add, such as
initiatives your company is taking in regards to this theme.

Theme
IV. Environment

Topic
1. Basic attitude toward environmental initiatives
Companies are expected to be aware of environmental issues in (23) businessprocesses and to establish systems to resolve them. They are also required to
identify factors that have an impact on the environment and to takeresponsibility for managing them.

Legal awareness
PolicyQuestion
Are you aware of legislation as well as social
norms/ industry norms and standards at home
and abroad related to this category?
Do you have a policy and guidelines related tothis topic?

System /Responsibility(28) Major laws and regulations related to the environment:
Japan: Basic Environment Act; Chemical Substance Control Law; Industrial
Safety and Health Act; Water Pollution Prevention Act; Act on Advancement of
Water Resources Development; Act Relating to the Prevention of Marine
Pollution and Maritime Disasters; River Act; Waste Management and Public
Cleansing Act; Basic Act on Establishing a Sound Material-Cycle Society; various
2. Management of chemical substances indicated in laws and regulations, etc., in
Do you have initiatives related to this topic? In
Checking initiative
production processes, products, and services
addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Companies should manage chemical substances in products and, moreover,ascertain and report the amount of handled chemical substances to theCorrective actions related to this topic as necessary?
government.

Companies are expected to set targets at the level prescribed by law or more
rigorous voluntary environmental impact reduction targets. In addition, efforts
should be made to prevent pollution, to monitor and control waste water, (29)sludge and air emissions etc., and to reduce outflow.
4. Sustainable and efficient utilization of resources (energy, water, rawmaterials, etc.)
Companies are expected to set independent targets for implementing resource
conservation and energy savings, and to make efforts to effectively use
sustainable resources and energies.
5. Reduction of (30) GHG (greenhouse gases)
Companies are expected to set independent reduction targets for greenhousegases, such as carbon dioxide, methane and fluorocarbons, and make efforts to
reduce them to help combat climate change.
6. Identification, management, reduction, and (31) responsible disposal or
recycling of waste
Companies are expected to set independent reduction targets for waste, andmake efforts to reduce it.
7. Initiatives related to (32) biodiversity
Companies are expected to conduct investigations into the direct and indirect
impacts of business on the ecosystem, and make efforts to protect biodiversity
and ensure its sustainable utilization.
８．Environmentally friendly products
When planning, developing, and designing products, companies should assess
environmental impact related to the products throughout their lifecycle, and take steps toimprove their functions for energy efficiency, resource conservation, and recyclability.

Comments

Theme
V. Fair businesspractices

Response
Level 3

Response
Level 4

Do you have initiatives related to this topic? In
Checking initiative
addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?
Do you have initiatives related to this topic? In
Checking initiative
addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?
Do you have initiatives related to this topic? In
Checking initiative
addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?
Do you have initiatives related to this topic? In
Checking initiative
addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?
Checking initiative Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?
Checking initiative Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?

Response
Level 5

No

Yes, but theexistence of
violations is notNo

Yes, we haveone or both.

Yes, we have one (or both),and it is reviewed properly
in a timely manner.

No

Yes, we have.

Yes, we have designatedone, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

Yes, and the existence of
violations is checked.

Do you have a designated person or structure
assuming responsibility or promotion of this
topic?

Main international frameworks and norms:(24) Rio Declaration on Environment and Development, (8) Ten Principles of the
UN Global Compact, (25) ISO 14001, (26) Paris Agreement, (27) Basel
Convention,

3. Control and reduction of waste water, sludge and air emissions

Response
Level 2

Use the right column if there is anything you would like to add, such as
initiatives your company is taking in regards to this theme.
Topic
1. Basic attitude toward fair business practices
Companies are expected to engage in fair business practices (e.g., prevention ofcorruption, responsible political involvement, fair competition, rejection ofrelationships with (33) antisocial forces/ organizations) in (23) businessprocesses producing/providing products and services.
Major international frameworks and norms related to fair business practices:(8) Ten Principles of the UN Global Compact, (10) OECD Guidelines forMultinational Enterprises, (34) United Nations Convention against Corruption
Major laws and regulations related to fair business practices:(35) Domestic laws regarding competition: Antimonopoly Act (Japan), antitrust
laws (US), European Union competition law (EU)
2. Establishment of appropriate relationships with local governments and public
officials in and outside countries where business activities are conducted
It is expected that healthy relationships will be maintained between thecompany and public officials, such as by managing the entertainment of public
officials to prevent corruption.
3. Prevention of the giving and receiving of improper advantages with customers
and trade partners, etc., in sales and purchasing activities, etc.
Healthy relationships must be maintained with customers.
4. (36) Prevention of competition law violations in sales activities, etc.
(37) Bid rigging, (38) cartels, (39) abuse of dominant bargaining position, andother (40) unfair trading practices should be prevented from occurring.
5. Rejection of relationships with antisocial forces/organizations
Relationships with violent groups and corporate extortionists, etc., should be
rejected.
6. Prevention of unauthorized use of a third party’s intellectual property and ofillegal reproduction of copyrighted works
Intellectual property rights, including (41) patent rights, copyrights, andtrademark rights, should be respected.

Approach
Legal awareness
PolicySystem /Responsibility

Question
Are you aware of legislation as well as social
norms/industry norms and standards at home andabroad related to this category?
Do you have a policy and guidelines related tothis topic?
Do you have a designated person or structure
assuming responsibility or promotion of this
topic?

Do you have initiatives related to this topic? In
Checking initiative
addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?
Do you have initiatives related to this topic? In
Checking initiative
addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?
Do you have initiatives related to this topic? In
Checking initiative
addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?
Do you have initiatives related to this topic? In
Checking initiative
addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?
Checking initiative Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?

Respons
Answere
Level 1

Response
Level 2

Response
Level 3

Response
Level 4

Response
Level 5

No

Yes, but theexistence of
violations is notNo

Yes, we haveone or both.

Yes, we have one (or both),and it is reviewed properly
in a timely manner.

No

Yes, we have.

Yes, we have designatedone, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking
results

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

Yes, and the existence of
violations is checked.

●1.7.1 NTSoriginal_SAQ_english-E .xlsm/②SAQ Eng. Ver. 1

7. Services for responding to complaints from outside the company and for
consultations

Do you have a designated person or structure
assuming responsibility or promotion of this
topic?
Do
you have initiatives related to this topic? In
There should be a system in place for persons involved with trade partners or
Checking initiative
addition, do you have a mechanism for checking
consumers who have knowledge of important risk information related toresults
initiative results?
transactions with the company allowing them to directly report to or consult with
Do you have a mechanism for corrective actions
a dedicated department or outside contact. Also, the system should be set up to
Corrective actions related to this topic as necessary?
ensure confidentiality and to ensure that the informant will not be treatedunfavorably
8. Prohibition of insider trading
Checking initiative Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
results
initiative results?
Persons involved with a listed company, etc., are prohibited from using
Do you have a mechanism for corrective actions
undisclosed company information to trade that company’s stocks, etc.
Corrective actions related to this topic as necessary?
9. Prohibition of acts with conflicting interests
In situations in which there is a conflict between an employee’s interest and thecompany’s interest, employees are prohibited from enjoying personal benefits at
the expense of the company’s benefits.
10. Appropriate export/import transaction

Comments

Theme

When conducting export/import transaction, companies are required to comply withapplicable laws and regulations of each country and region as well as their company rules.
Companies are also obliged to perform administrative procedures, as required by relevantlaws and regulations, such as for application for approval, notification, and reporting.

Topic

Main international frameworks and norms:(42) ISO 9001, ISO/IEC Guide 51, EU New Approach Directives, and HACCP(43) Major laws and regulations related to quality and safety:
PL Act; Consumer Product Safety Act; Electrical Appliances and Materials Safety
Act; Gas Business Act; LP Act; PMD Act; Radio Act; Food Sanitation Act; JAS Act;
Water Supply Act; Quality Labeling Act; Housing Quality Act; Road Transport
Vehicle Act; Building Standards Act; Premiums and Representations Act etc
2. Ensuring product and service quality and safety
Companies are expected to qualify and ensure safety when supplying products
and services.
[In-house quality management system, use of a third-party certification system,
etc. (S mark, SG mark, ST mark, JIS mark, JAS mark, etc.]
3. Appropriate response to product and service accidents and the circulation of
defective goods
Companies should establish a system in case of situations such as information
disclosure, notification of the relevant authorities, product recall, and safetymeasures for supply destinations.

ThemeVII. Information
security

Topic
1. Basic attitude toward information security
Businesses are required to properly manage and protect information obtained
through business activities and to take defensive measures against threats on
computer networks.

2. Defense against attacks on computer networks
Defensive measures should be taken against attacks on computer networks, andmanaged so as to not cause damage to the company or other businesses.
3. Protection of personal data and privacy
The personal information of customers, third parties, and employees should beproperly managed and protected.
4. Prevention of misuse of confidential information
Confidential information received from customers and third parties should beproperly managed and protected.

Theme
VIII. (44) Supply
chain

Do you have initiatives related to this topic? In
Checking initiative
addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?

Yes, we have.

No

Yes, but we haveno mechanism
for checking

NoYes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

Yes, but we haveno mechanism
for checking
results

Yes, we have both.

No

No

Approach
Legal awareness
PolicySystem /Responsibility

Question
Are you aware of legislation as well as social
norms/industry norms and standards at home andabroad related to this category?
Do you have a policy and guidelines related tothis topic?
Do you have a designated person or structure
assuming responsibility or promotion of this
topic?

Do you have initiatives related to this topic? In
Checking initiative
addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
related to this topic as necessary?
Corrective actions
Do you have initiatives related to this topic? In
Checking initiative
addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
related to this topic as necessary?
Corrective actions

Respons
Answere
Level 1

Not engaged inexport/importtransaction
Not engaged inexport/importtransaction

Response
Level 2

Yes, we have both.

Yes, and it is reviewed
properly in a timely manner.

Yes, we have.

Response
Level 3

Response
Level 4

Response
Level 5

No

Yes, but theexistence of
violations is notNo

Yes, we haveone or both.

Yes, we have one (or both),and it is reviewed properly
in a timely manner.

No

Yes, we have.

Yes, we have designatedone, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, and they are audited.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, and they are audited.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

Yes, and the existence of
violations is checked.

Use the right column if there is anything you would like to add, such as
initiatives your company is taking in regards to this theme.

Major laws and regulations related to information security:
Penal Code; Basic Act on Cybersecurity; Act on the Protection of Personal
Information; Act against Unauthorized Access; Act on Electronic Signature
Certification, etc.

Comments

Checking initiative Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?

Yes, we have designatedone, and it is reviewed
properly in a timely manner.

No

Use the right column if there is anything you would like to add, such as
initiatives your company is taking in regards to this theme.

VI. Quality and safety 1. Basic attitude toward product and service quality and safety
Companies are required to ensure the quality and safety of products and services
provided through business activities and to respond appropriately to customers/
consumers, etc., in the event of an accident.

Comments

System /Responsibility

4/10

Approach
Legal awareness
PolicySystem /Responsibility

Question
Are you aware of legislation as well as social
norms/industry norms and standards at home andabroad related to this category?
Do you have a policy and guidelines related tothis topic?
Do you have a designated person or structure
assuming responsibility or promotion of this
topic?

Do you have initiatives related to this topic? In
Checking initiative
addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?
Checking initiative Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?
Checking initiative Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?

Respons
Answere
Level 1

Response
Level 2

Response
Level 3

Response
Level 4

Response
Level 5

No

Yes, but theexistence of
violations is notNo

Yes, we haveone or both.

Yes, we have one (or both),and it is reviewed properly
in a timely manner.

No

Yes, we have.

Yes, we have designatedone, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, and they are audited.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, and they are audited.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, and they are audited.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

Yes, and the existence of
violations is checked.

Use the right column if there is anything you would like to add, such as
initiatives your company is taking in regards to this theme.
Topic
1. Basic attitude toward the supply chain
Companies are required to fulfill corporate responsibility in business processes
that create products and services. It is advisable to establish a CSR/sustainableprocurement policy and to make it widely known and instilled in and outside thecompany, with the aim of practicing CSR activities not only in the company but
also throughout the supply chain.
Accordingly, it is necessary to inform and instill in the company's suppliers thepractice of the matters included in each SAQ.
Major laws and regulations related to the supply chain: (45) EU RoHS Directive,(28) REACH Regulation, (11) UK Modern Slavery Act, (46) California
Transparency in Supply Chains Act

2. Use of raw materials not involved in conflict or crime (initiatives against (47)conflict minerals)
Companies are expected to survey suppliers and conduct verification, in case of
the purchase and use of gold (Au), tantalum (Ta), tungsten (W), and tin (Sn),which are conflict minerals connected to inhumane acts committed by local
armed groups in the Democratic Republic of the Congo and surrounding regions
and elsewhere. The purchase and use of such minerals are prohibited.

Approach

Question

Respons
Answere
Level 1

Response
Level 2

Response
Level 3

Response
Level 4

Response
Level 5

No

Yes, but theexistence of
violations is notNo

Yes, we haveone or both.

No

Yes, we have.

No

Yes, but we haveno mechanism
for checking

NoYes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, and they are audited.

Corrective actions

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

Approach

Respons
Answere
Level 1

Legal awareness
PolicyAre you aware of legislation as well as social
norms/industry norms and standards at home andabroad related to this category?
Do you have a policy and guidelines related tothis topic?

Do you have a designated person or structure
assuming responsibility or promotion of this
topic?
Checking initiative Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
related to this topic as necessary?
Corrective actions
System /Responsibility

Do you have initiatives related to this topic? In
Checking initiative
addition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
related to this topic as necessary?

Yes, and the existence of
violations is checked.
Yes, we have one (or both),and it is reviewed properly
in a timely manner.
Yes, we have designatedone, and it is reviewed
properly in a timely manner.
Yes, and they are audited.

Major laws and regulations related to conflict minerals: (48) Dodd-Frank Act
Comments

Theme

Use the right column if there is anything you would like to add, such as
initiatives your company is taking in regards to this theme.
Topic

IX. Harmonious
1. Initiatives to reduce negative effects on local communities
coexistence with (49)
local communities
Companies are required to carry out initiatives eliminating health, safety, andother hazards to local communities and residents from the production process
and operation of products and services.
2. Initiatives with local communities towards sustainable development
Companies are expected to carry out initiatives with local communities aimed atsustainable development.

Comments

Examples of initiatives with local communities:
Job creation skills development priority purchasing of local products andUse the right column if there is anything you would like to add, such as
initiatives your company is taking in regards to this theme.

Question

Checking initiative Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?
Checking initiative Do you have initiatives related to this topic? Inaddition, do you have a mechanism for checking
results
initiative results?
Do you have a mechanism for corrective actions
Corrective actions related to this topic as necessary?

Response
Level 2

Response
Level 3

Response
Level 4

Response
Level 5

No

Yes, but we haveno mechanism
for checking

NoYes, we have.

Yes, and it is reviewed
properly in a timely manner.

No

Yes, but we haveno mechanism
for checking

Yes, we have both.

No

Yes, we have.

Yes, and it is reviewed
properly in a timely manner.

Yes, we have both.

③Explanation of Terms

5/10

GCNJ CSR/Sustainable Procurement SAQ - Explanation of Terms
No.

Term

1

Corporate governance

2

3

4

5

6

7

8

9

10

11

CSR

Internal controls

Business continuity planning (BCP)

Meaning
A mechanism for companies to practice transparent, fair, swift, and resolute decisionmaking while taking into consideration the standpoints of shareholders, customers,
employees, local communities, and other stakeholders.
Corporate Social Responsibility. Refers to a company’s attitude and initiatives tocontribute to society by giving consideration to its impact on society as a whole, not justits own profit. It is thought that companies should give consideration not only togenerating earning, maintaining dividends, and observing the law, but also to theireconomic, environmental, and social impacts, bearing in mind the various social groups
connected to the company—that is, stakeholders.
Mechanisms for controlling organizations to ensure proper and efficient performance of
operations in a company or administrative body, etc. They are established by prescribing
and applying operational rules, standards, and processes and by continually conducting
assessments of their effectiveness and risks in order to prevent wrongdoing, illegal acts,and errors in organizations and ensure that organizations are run effectively. Adoption of
IT is also required, including the establishment of information systems.
Planning that organizes routine activities and emergency actions (e.g., methods andmeans) in order for a company that has fallen into a state of emergency (due to natural
disaster, major fire, terrorism, etc.) to minimize damage suffered, continue its corebusiness, and recover quickly.

Refers to information about a company other than financial information such as financial
statements. In order to understand corporate activities, there is now a demand for theNon-financial information
disclosure of non-financial information that has an impact of any kind on the financial
state, in addition to financial information.
Individuals or groups that could have an impact on the decisions or activities of anorganization, that could be impacted by those decisions or activities, or that arerecognized as being impacted by those decisions or activities. Examples include
Stakeholders
customers, owners, shareholders, bankers, regulators, suppliers, employees/ labor
unions, contractors/partners, and society including the government and residents(sometimes including competitors or opposition lobby groups).
A declaration adopted by the third United Nations General Assembly on December 10,
1948, as a universal standard for all people and all nations to achieve. It arose fromreflection amidst the devastation following World War II that, “this mistake must neverbe repeated.” The Declaration, which consists of a preamble and articles 1 to 30, clearly
Universal Declaration of Human Rights
expresses liberty rights and social rights. Liberty rights include personal liberty,
prohibition of torture and slavery, freedom of thought and expression, suffrage and soon. Social rights include the right to education, the right of workers to unionize, the rightto lead life with human dignity and so on.
The UN Global Compact is an initiative that was advocated by then UN Secretary-General
Kofi Annan to the World Economic Forum (Davos meeting) in 1999 and officiallylaunched at UN Headquarters the following year. It fulfills its role as a forum (a place forthe exchange and practice of opinions) for addressing various issues arising fromglobalization through the implementation of activities based on 10 principles establishedin the four domains of human rights, labor standards, environment, and anti-corruption.
At present, 12,480 organizations (of which about 9,456 are companies) in around 160
countries have signed the Compact (as of May, 2017).
Ten Principles of the UN Global Compact Principle 1: Support and respect the protection of human rights; Principle 2: Make surethat one is not complicit in human rights abuses; Principle 3: Freedom of association andrecognition of the right to collective bargaining; Principle 4: Elimination of forced labor;
Principle 5: Effective abolition of child labor; Principle 6: Elimination of discrimination in
employment and occupation; Principle 7: Precautionary approach to environmental
challenges; Principle 8: Initiatives to promote environmental responsibility; Principle 9:
Development and diffusion of environmentally friendly technologies; Principle 10: Workagainst corruption in all its forms, including extortion and bribery. (UNGC website:
https://www.unglobalcompact.org/)
Principles conceived as the “Protect, Respect and Remedy” framework by Harvard
University professor John Ruggie, who served as a UN Special Representative from 2005.
The UN unanimously endorsed the principles on June 16, 2011. The objective is to
UN Guiding Principles on Business andstrengthen standards and practices related to business and human rights, in order to
Human Rights
contribute to sustainable globalization. The principles are applicable to all states andbusinesses.
Guidelines established by the OECD in 1976 to recommend multinational corporations tovoluntarily act in the responsible manner that is expected of them. The Guidelines consistof principles related to responsible corporate activities in a wide range of areas including
general policies; disclosure; human rights; employment and industrial relations;OECD Guidelines for Multinational
environment; combating bribery, bribe solicitation and extortion; customer interests;
Enterprises
science and technology; competition; and taxation. The Guidelines are legally
nonbinding. Participating nations besides OECD member countries are Argentina, Brazil,
Columbia, Costa Rica, Egypt, Jordan, Lithuania, Morocco, Peru, Rumania, and Tunisia.

UK Modern Slavery Act

Enacted in the UK as of March 2015. It is a law requiring commercial organizations andcompanies operating in the UK with annual turnover exceeding £36 million to discloseannual statements and report to ensure that slavery and human trafficking are nottaking place in the business.

③Explanation of Terms

No.
12

13

14

Term
Social norms

Industry norms

Sexual orientation

15

International Labour Organization's(ILO) Declaration on Fundamental
Principles and Rights at Work

16

Career advancement

17

Collective agreement

18

Unjustified retention of identification
documents, etc.

6/10

Meaning
Rules that people must observe when interacting within social life. These include
manners, morals, customs, role models and so on.
Self-imposed rules established through the cooperation of companies and organizationsin an industry that serve as standards for behavior and judgments that must be
observed.
Refers to the concept of showing the direction of a person’s romantic or sexual
attraction. These include heterosexuality, homosexuality, bisexuality and so forth. In
recent years, some of these have started to be widely recognized as LGBT*.
*Lesbian, gay, bisexual, and transgender
Refers to the ILO Declaration of the Fundamental Principles and Rights at Work adopted
by the International Labor Organization (ILO), which is one of the ILO’s most important
key documents alongside the ILO Charter and Declaration of Philadelphia. It establishes
the minimum standards related to labor. It consists of eight articles in four areas related
to the basic human rights of freedom of association, prohibition of forced labor,
elimination of child labor, and elimination of discrimination in employment andoccupation.
The acquisition of higher qualifications and abilities. The improvement of one’s career.
A written agreement concluded between a labor union or representative of workers andan employer.
In developing countries and elsewhere, there are instances of employment
intermediaries forcing migrant workers from neighboring countries to hand over theirwork permits and passports to prevent them from running away and withholding
unreasonable sums from their wages (e.g., migrant workers from neighboring countries
in Southeast Asia losing their freedom of movement when their passports are confiscatedby employment intermediaries). However, the safekeeping of documents such as
passports and alien registration cards is an obligation of the person whose documents
they are; forced retention of such documents by employment intermediaries andemployers is illegal. This also applies to foreign technical intern trainees in Japan.

19

DepositA general term for a certain amount of money placed interest-free by a borrower into thekeeping of the lender when making a rental agreement; also called a security deposit or
key money.
In terms of CSR, refers to unjustified costs collected from foreign workers by
employment services in the sending country and is regarded as a primary factor leading
to debt labor and forced labor.

20

Freedom of association

The ability of anyone to form a group or association. It includes the right to join or leavea group and the right to disband.
Measures to prevent workers from having work-related accidents. These include
employers providing for the safety of equipment and working environments, etc., andworkers themselves engaging in work with an understanding of dangers and hazards ofthat work and a thorough familiarity with the appropriate ways to cope with thosedangers and hazards. See Chapter VI of Japan’s Industrial Safety and Health Act.

21

Safeguards

22

Danger signals

Reducing envisioned dangers through warning labels by directly posting stickers, signs
and so on and around dangerous spots.

23

Business processes

The series of activities conducted to achieve a business objective, such as the production
and sale of a product or provision of a service.

Rio Declaration on Environment andDevelopment

Rio Declaration on Environment and Development. An agreement made at a UN
Conference on Environment and Development held in June 1992. Consists of 27
principles on environment and development, for example that States have, in accordancewith the Charter of the United Nations, etc., the sovereign right to exploit their own
resources, and the responsibility to ensure that their own activities do not cause damage
to the environment of other States.

24

25

ISO 14001

26

Paris Agreement

27

Basel Convention

A certification standard for an Environmental Management System (EMS), issued by theInternational Organization for Standardization (ISO) in 1996. It requires theestablishment and implementation of the Plan-Do-Check-Act (PDCA) cycle aimed at
objectives such as the reduction of environmental load, in line with an environmental
policy drawn up by management. A review by a third party is needed to acquirecertification.
A multilateral agreement concerning climate change, adopted at the 21st Conference of
the Parties of the UN Framework Convention on Climate Change (COP 21) held in Paris in
December 2015. A stated goal is to achieve net zero emissions worldwide by the second
half of this century. It requires all countries to independently establish reduction targets
and to take domestic measures aimed at their achievement.
Officially the Basel Convention on the Control of Transboundary Movements of Hazardous
Wastes and Their Disposal. A treaty that requires as a matter of principle processing
hazardous wastes by the country that produced it, as well as ensuring internationalsafety standards when moving hazardous wastes across borders, giving advance notice
to countries receiving the waste and/or through which the waste passes and obtaining
their consent, preventing illegal transfer, and establishing punishment measures, etc.

③Explanation of Terms

No.

Term

28

Major laws and regulations related tothe environment

29

Sludge30

GHG (greenhouse gases)

7/10

MeaningNational laws related to the control and regulation, etc., of chemical substances andchemical substances used in products, enacted by Japan, the US, EU, South Korea,
China, and Taiwan to ensure the health and safety of workers.
<Explanation of abbreviations>• Chemical Substance Control Law (Japan): Act on the Evaluation of Chemical
Substances and Regulation of Their Manufacture, etc.
• TSCA (US): Toxic Substances Control Act• REACH Regulation (EU): Registration, Evaluation, Authorization and Restriction ofChemicals
The mass of the final inorganic and organic products from the treatment process of asewage treatment plant or the waste liquid treatment process of a factory, etc. It isburied in final landfill sites as industrial waste or recycled.
A general term for gases that warm the atmosphere near the surface of the Earth byabsorbing infrared rays. Regarded as substances that cause global warming (climatechange). The Kyoto Protocol, which was adopted at the third session of the Conferenceof Parties to the UNFCCC (COP 3), specified six gases, including carbon dioxide,
methane, chlorofluorocarbons, and dinitrogen monoxide, to be reduced.
The Intergovernmental Panel on Climate Change (IPCC) has nearly concluded that rising
surface temperatures are an anthropogenic result of an increase in GHG emissions since
the Industrial Revolution of the 18th century.

31

Responsible disposal

32

Biodiversity

33

Antisocial forces/ organizations

Japan’s Waste Management and Public Cleansing Act, for example, stipulates that in
Article 3 that “business operators must take responsibility for the proper disposal ofwastes generated in connection with their business activities.” This makes it explicit thatemitters are responsible for disposal. It is also stipulated that “business operators strive
to reduce the amount of waste generated in connection with their business activities
through means such as recycling,” and “business operators must cooperate with thepolicies of local public bodies in relation to the reduction of waste and the ensuring of its
proper disposal, etc.”
Biological diversity can be perceived on three levels: ecosystem, species, and genetic
diversity. The Convention on Biological Diversity is a treaty whose goals are theconservation of biological diversity, the sustainable use of its components, and the fairand equitable sharing of benefits arising out of the utilization of genetic resources. The
10th Conference of the Parties to the Convention on Biological Diversity (COP 10), heldin 2010, adopted the “Aichi Targets,” which is a strategy for reducing the speed of
biodiversity loss by 2050, and the “Nagoya Protocol” on the handling of genetic
resources.
A general term for groups and individuals who pursue economic benefits throughunreasonable demands using violence, power, or fraudulent means.
A treaty for preventing economic crimes including corrupt practices (including corruption
by public officials, foreign public officials, and officials of a public internationalorganization), bribery, embezzlement, and money laundering. It plays a complementaryrole to the United Nations Convention against Transnational Organized Crime and isincorporated into the principles of the UN Global Compact.

34

United Nations Convention against
Corruption

35“Competition law” is a general term for laws and regulations with the purpose of
preventing monopolistic, coordinated, or unfair practices as a means of competition, inorder to maintain sound and fair competition in a capitalist market economy. Below aresome domestic laws.
Domestic laws regarding competition:
Antimonopoly Act (Japan), antitrust laws Antimonopoly Act (Japan): A law aimed at sound market development and the protectionof consumer interests by maintaining free competition among companies.
(US), European Union competition law
Antitrust laws (US): Antimonopoly laws in the United States. A general term for the basic(EU)laws of the Sherman Act, the Clayton Act, and the Federal Trade Commission Act plus aseries of laws and regulations that amend and supplement these statutes.
European Union competition law (EU): Antimonopoly law in the EU.

36

Prevention of competition law violations

When competition laws such as an antitrust law have been violated, the violator may
face civil (e.g., an injunction) and administrative (e.g., payment of a fine) measures and,in some offense, criminal charges. Furthermore, as violators may lose social credibility
through press coverage, it is important to prevent violations and, toward that end, it isimportant to have correct knowledge.

37

Bid rigging

Illegal behavior to ensure that a certain bidder wins a bid as a result of an agreement
among relevant bidders.

38

39

40

Cartels

Abuse of dominant bargaining position

Unfair trading

A form of alliance in which companies and business operators in the same industry,
which is in a state of oligopoly, strike a deal on matters such as price, production
volume, and sales outlets to avoid competition, with the aim of obtaining exclusive
benefits. Also called syndicates, cartels are prohibited in Japan by the Antimonopoly Act.
Causing disadvantage to a trading partner through unjust behavior in light of normal
business practices by using the dominant bargaining position of one’s own company(e.g., making burdensome requests such as delayed payment of bills, demand for pricereductions, and demand for support money, and making demands for the dispatch of
employees). The Antimonopoly Act prohibits these behaviors in Japan.
Acts that could impede fair competition, which are prohibited by Japan’s Antimonopoly
Act. There are 16 types of unfair trade practices applicable to all categories of business,
including “concerted refusal to deal,” in which companies refuse to deal with a certain
vendor, and “discriminatory pricing,” in which products and services are provided andreceived unfairly at discriminatory prices.

③Explanation of Terms

No.

41

42

8/10

Term

Meaning
Patent right: A set of exclusive rights granted by a sovereign state to an inventor or
assignee for a limited period of time in exchange for detailed public disclosure of an
invention.
Copyright: The right to exclusive control of works that creatively express one’s own
Patent rights, copyrights, and trademark thoughts and feelings through forms of expression such as language, music, and graphic
rightsarts.
Trademark rights: The right to protect as an asset trademarks attached to products andservices, where “trademark” refers to a mark (including letters, graphics, symbols,
three-dimensional shapes, and combinations thereof) used to differentiate the products
and services of one’s own company from those of other companies.
ISO 9001: A certification standard for quality management systems, issued by theInternational Organization for Standardization (ISO) in 1987. It is used to improve
quality through the implementation of the Plan-Do-Check-Act (PDCA) cycle aimed atincreasing quality. A review by a third party is needed to acquire certification.
ISO/IEC Guide 51: An international standard that stipulates guidelines for the inclusionof safety aspects in standards. It is positioned at the top of various safety standards.
ISO 9001, ISO/IEC Guide 51, EU New
EU New Approach Directives: A new EU legal structure and means of regulation
Approach Directives, and HACCP
implemented with the integration of Europe as the EU with the purpose of reducing“technical trade barriers” that impede the flow of goods within the EU.
HACCP (Hazard Analysis and Critical Control Point): A system for analyzing health andquality risks that could occur in the production process of foods, specifying the criticalcontrol points that should be monitored to ensure safety, and practicing rigorous control
and record keeping.

Major laws and regulations related toquality and safety<Explanation of abbreviations>• LP Act: Act on the Securing of Safety and the Optimization of Transaction of Liquefied
Petroleum Gas• PMD Act: The Law on Securing Quality, Efficacy and Safety of Products Including
Pharmaceuticals and Medical device• Housing Quality Act: Housing Quality Assurance Act• Premiums and Representations Act: Act against Unjustifiable Premiums and Misleading
Representations

Supply chain

A series of activities or stakeholders related to the chain of all business processes(including development, procurement, production, delivery, and sale) leading from thestage of raw materials to the delivery of products and services to the customers. The
business approach for cohesive management of the supply chain is called supply chain
management.

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EU RoHS Directive

EU legislation restricting the use of hazardous substances in electrical and electronicequipment and promoting the collection and recycling of such equipment, enacted in
February 2003. Target hazardous chemical substances include lead, mercury, cadmium,and hexavalent chromium, and flame retardants such as polybrominated biphenyls (PBB)
or polybrominated diphenyl ethers (PBDE).

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A law that went into effect in January 2012 that requires companies with worldwide
California Transparency in Supply Chains annual revenues of $100 million or more to report on their specific actions to eradicate
Actslavery and human trafficking in their supply chains.

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A general term for minerals produced in conflict-torn regions where the purchase of
those minerals could lead to the funding of local armed groups and, it is feared, could
result in complicity in conflicts in those regions. (See No. 48 Dodd-Frank Act)

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Conflict minerals

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Dodd-Frank Act

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Local community

A US financial regulatory reform act established in 2010 with the aim of preventing arecurrence of the financial crisis. One part of the act imposes an obligation on companies
listed in the US to report to the Securities and Exchange Commission (SEC) mattersrelated to their use of minerals including tantalum, tin, gold, and tungsten produced in
the Democratic Republic of the Congo and surrounding regions, out of concern thatmineral resources in those regions have become a source of funds for armed groups.
The people or groups living or working in an area impacted economically, socially, andenvironmentally by a business.