Customers/Business Partners - Responsibility to Our Stakeholders - CSR Report 2012 - JSR Corporation

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CSR Report 2012

Customers/Business Partners

Our Policy Concerning and Business Partner Relations

The Corporate Mission of the JSR Group is "Materials Innovation: We create value through materials to enrich society, people and the environment."
We believe that the JSR Group's most important role is to offer innovative materials and excellent products that meet customer needs and contribute to a better society.
We also strive to carry out initiatives to ensure the quality and safety of our products so that our customers can use them with peace of mind.

Safety Assurance for Customers

Quality Assurance Activities

JSR has obtained ISO 9001 certification at all of its plants, and has also formulated corporate Quality Assurance (QA) Promotion Plans and Quality Policies under the RC Committee. Each plant has a QA Promotion Sub-Committee that works together with the company-wide QA Promotion Committee to promote activities in accordance with corporate policies. Furthermore, in addition to ISO external audits and plant manager's internal audits of each plant, on-site audit is conducted periodically at each plant by the audit team led by the president or the director in charge.

PLP Activities

In 1994, JSR enacted its "Product Liability Prevention (PLP) Standards" to reinforce efforts in product safety. With the basic regulations in PLP Standards, JSR has established various stipulations to prevent accidents related to products at all stages from product design to manufacture and sales, and takes actions accordingly. JSR has also created a system for new products to be introduced onto the market whereby each product undergoes safety checks starting from the product design stage in accordance with the PLP Check Sheet and is then put on the market after having received approval from the department manager.
To prevent accidents related to products we also strive to improve quality management throughout our supply chains—everything from raw materials procurement through distribution—by acquiring information through communication with our customers and by strengthening activities to prevent quality-related accidents, such as through revising our quality management system and updating assessment technologies.

Disclosing Environmental and Safety Information to Customers

JSR discloses environmental and safety information to its customers by preparing Safety Data Sheet (SDS) for all products containing polymers, regardless of whether they contain hazardous or toxic substances or not.
In Japan, our current SDS items all comply with JIS Z 7253, the Industrial Safety and Health Law, the PRTR Law, and the Poisonous and Deleterious Substances Control Law. Our new SDS electronic data management system has been in operation since its creation in 2002 to provide customers with SDS that contains as accurate information as possible about each product. This system is equipped with user management, chemical substance database management, creation support, and publication (revision) history, allowing us to accurately and quickly provide environmental and safety information related to JSR products.

Maintaining Transport Safety and Environmental Standards

JSR outsources the distribution of its products. To maintain environmental and safety standards during transport, JSR has drivers carry a "Yellow Card" imprinted with special measures and telephone numbers in case of emergency, in addition to having contractors train them on specific safety issues.

Chemical Products Safety

Basic Policy on Managing Chemical Substances

JSR has established the three basic policies below in light of the recent global trends in the management of chemical substances.

(1) Instead of hazard-based management*1, we will endeavor to implement risk-based management.*2
(2) We will strive to manage our entire supply chains by utilizing a globally standardized method.
(3) We will strive to comply with regulations and promote self-motivated initiatives to ensure the safety of our products.

We will utilize the most appropriate combination of regulations and voluntary measures to ensure the safety of our products.

*1 Management based solely on the hazardous properties of substances
*2 Management based on exposure to the hazardous properties of substances

Measures for Chemical Products in Japan

■ Responding to revisions in the Industrial Safety and Health Act

The Industrial Safety and Health Act was revised in 2012 to reinforce the implementation of GHS labeling and SDSs (Safety Data Sheets) for chemical products. JSR is currently working to comply with the revised Industrial Safety and Health Act.

■ GHS

The Globally Harmonized System of Classification and Labeling of Chemicals (GHS) was developed as an international standard to classify and label chemicals, and includes the following elements:
(a) Classification of chemical products according to danger and toxicity;
(b) Labeling on product packaging and containers; and
(c) Documentation and provision of details in the Safety Data Sheet (SDS).
In Japan, the Industrial Safety and Health Act stipulates mandatory application of the GHS on the labels and SDS of products containing GHS-designated chemical substances. JSR has finished carrying out danger and toxicity classification for all products that contain applicable substances and has prepared appropriate labels for its products. We have also completed the application of GHS to SDS for all our domestic products, and are striving to achieve compliance with GHS legislation in various countries and regions around the world, including the EU, South Korea, Taiwan and China.

Measures for Export Chemical Products

■ EU (Compliance with REACH)

REACH is an EU system for the "Registration, Evaluation, Authorisation and Restriction of Chemicals" and has been in effect since June 2007. REACH does not differentiate between existing chemical substances and new chemical substances. All chemical goods manufactured in or imported by EU countries in volumes exceeding one ton a year, excluding certain chemicals, are required to be registered and accompanied with safety test results and other data. JSR has created a list of the substances it exports to European countries that are subject to registration. Pre-registration was completed by November 30, 2008 by our agent or "Only Representative" (OR). We confirmed that all substances requiring registration by November 30, 2010, were registered on time.

■ United States

The U.S. notification system for new chemical substances is stipulated in the Environmental Protection Agency's Toxic Substances Control Act (TSCA) and related federal regulations. Legal procedures are undertaken when exporting chemical substances to the U.S. that are not on the existing chemical substances list.

■ South Korea

The South Korean notification system for new chemical substances is stipulated in the Toxic Chemicals Control Act regulated by the Ministry of Environment, and the Ministry of Labor's Industrial Safety and Health Act. Legal procedures are undertaken when exporting chemical substances to Korea that are not on the existing chemical substances list.

■ China

The new chemical substances notification system in China is stipulated in the Measures for the Environmental Management of New Chemical Substances, ordained by the Chinese Ministry of Environmental Protection. Legal procedures are undertaken when exporting chemical substances to China that are not on the existing chemical substances list.

■ Taiwan

Products are exported to Taiwan in accordance with the Toxic Chemical Substances Control Act and the Rules on Hazard Communication of Dangerous Materials and Toxic Materials. Taiwan is introducing a new chemical substance notification system. JSR is also currently working to comply with the new chemical substance notification system.

Industrial and International Measures

The Japan Chemical Industry Association (JCIA), to which JSR belongs, promotes JIPS*3 and LRI*4 activities, and our company is actively involved in these programs through participation in the association's working groups and by providing to research funding.

*3 JIPS (Japan Initiative of Product Stewardship) is an effort to implement the Global Product Strategy (GPS), which was presented by the International Council of Chemical Associations (ICCA) at the First International Conference on Chemicals Management (ICCM-1). The aim of GPS is to attain the WSSD 2020 target, an international goal to "minimize adverse effects that the manufacturing and use of chemical substances have on human health and the environment, by 2020," which was set at the World Summit on Sustainable Development (WSSD) held in 2002. In Japan, the Japan Chemical Industry Association has promoted JIPS activities to implement the GPS. Manufacturers and importers of chemical substances are working on proper management of chemical substances in a supply chain by conducting risk assessment and releasing such assessment results and other information, with cooperation from companies engaged in processing, assembly and distribution of chemical substances.
*4 The Long-range Research Initiative (LRI) is one of the critical activities of the International Council of Chemical Associations (ICCA), and is an autonomous long-term research project for chemical substances that have an impact on the environment, safety and health. The major focus areas of the initiative are endocrine disruptors, neurotoxicity, chemical carcinogenesis, and hypersensitivity.

Green Procurement Measures

Raw Materials

JSR has long been committed to green procurement, a policy that puts the highest priority on goods with minimal environmental impact when purchasing raw materials and office equipment and supplies. In response to the growing industry trend in managing chemicals in the supply chain, JSR joined the Joint Article Management Promotion-consortium (JAMP)*5 in October 2008 and conducted a review of its Green Procurement Guidelines*6. JSR will continue to practice green procurement with an emphasis on disseminating information through the supply chain.

*5 Joint Article Management Promotion-consortium
JAMP was established as an inter-industry organization in September 2006 to support activities that aim to create and expand specific systems for proper management of information on chemicals in articles (components, products, and so on) and for facilitating the disclosure and dissemination of information within supply chains. JSR conducts activities that contribute to the practice of these principles through its participation in JAMP.
*6 JSR conducted a review of its Green Procurement Guidelines when it joined JAMP. Substances presently managed at JSR were coordinated with substances managed under the JAMP MSDSplus system and the format was changed to MSDSplus. Also, the scope of green procurement was expanded from raw materials to include packaging materials and facilities. JSR is conducting green procurement with an emphasis on the dissemination of information so it can effectively manage chemical risks in its supply chains.

Office Equipment and Supplies

JSR defines green purchasing as the purchasing of environmentally friendly office equipment and supplies not directly related to its products or manufacturing. Green purchasing is distinguished from green procurement of raw materials for products, packaging materials, and manufacturing facilities.
The Law Concerning the Promotion of Procurement of Eco-Friendly Goods and Services by the State and Other Entities (commonly referred to as the Green Purchasing Law) was enacted in 2000, and Japan's basic policy on the law was announced in 2001 when the law came into effect. Based on this policy, JSR strives to prioritize equipment and supplies with energy-saving features and high recycled content. In FY2012 (April 1, 2011 to March 31, 2012), we switched from itemized data compilation to one that more accurately reflects results based on purchase cost. Out of 151.353 million yen in purchases at all business sites, 149.797 million yen was green purchasing, or a green purchasing rate of 99%.

CSR Procurement Measures

Safety Council of JSR Engineering Co., Ltd.

In FY2011 we began a CSR procurement initiative to practice and promote social responsibility in our supply chains. We established criteria for how much business partners should practice eco-consciousness and social responsibility, and we are trying to raise standards throughout each supply chain.
Specifically, based on our Purchasing Policy, we surveyed the social and environmental considerations of our suppliers using a questionnaire. When an issue was detected, we dispatched a procurement employee to the supplier to work on solving the issue together.
In FY2011, the first year we conducted this survey, we questioned suppliers in and outside Japan, accounting for approximately 90% of all purchased raw and processed materials by cost.
In FY2012, we increased the survey's coverage of suppliers for raw and processed materials to 95% by cost, and included suppliers for construction-related work. JSR Engineering Co., Ltd., a JSR Group company responsible for construction work, communicates to the Safety Committee organized by its subcontractors the policy of the JSR Group and asks for their cooperation in our CSR procurement initiative.

Meeting with a business partner to solve a problem together Self-Assessment Form: Social Responsibility, Self-Assessment Form: Environmental Conservation

Purchasing Policy (excerpt)

  • When making purchases, JSR will give sufficient consideration to legal and regulatory compliance, resource protection, environmental conservation, safety, human rights, and other factors that lead to a sustainable society.
  • JSR will screen new companies who desire to become a supplier fairly, based on the company's performance; reliability; technological capabilities; consideration of the environment, safety, and human rights; and other factors.

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CSR Report 2012