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United NTT / items coveredCSR Priority Activity
Reinforce Value Chain Management

Policies and Concepts

In recent years, companies find themselves required to monitor the ESG risks and impact on sustainability, including consideration of human rights and mitigation of environmental impacts, of not only their own group companies but also throughout the entire value chain, from raw materials and supplies procurement to disposal and recycling.

Also, we are seeking to expand the B2B2X model and global cloud services under the medium-term management strategy "Towards the Next Stage 2.0" that we established in 2015. We expect our value chain to expand further globally, requiring us to enhance our value chain management initiatives.

Procurement Policies

  1. NTT will strive to provide competitive opportunities with fairness to both domestic and foreign suppliers, and to build mutual trust and understanding.
  2. NTT will conduct economically rational procurement of competitive goods and services that meet its business needs, deciding on suppliers based on quality, price, delivery times, and stable supply in a comprehensive manner.
  3. NTT will conduct procurement in a manner that follows laws and regulations as well as social norms, and takes the environment, human rights, and other issues into account to contribute to society.

Procurement Policies

NTT Guidelines for CSR in Supply Chain

In recent years, a number of supply chain issues have come to light, including excessive working hours, child labor, unlawful disposal of chemicals, bribery, and other examples of malpractice. These issues have served to intensify society’s expectations for companies to comply with legal and social standards in their procurement activities.

In light of this, we formulated the NTT Guidelines for CSR in Supply Chain in 2013 that contain detailed requirements for suppliers in the six areas of human rights/labor, health/safety, the environment, fair trade/ethics, quality/safety, and information security to guide our efforts as we work together with suppliers in order to conduct procurement activities in a socially responsible manner.

We have published these Guidelines in Japanese and English, seeking to communicate to a broad range of NTT Group’s suppliers both in Japan and overseas. We expect suppliers to adhere to these guidelines along with our Procurement Policies and the NTT Guidelines for Green Procurement, which contain our basic approach to green procurement at NTT Group.

Procurement

NTT Guidelines for CSR in Supply Chain

Requests to Suppliers on Environmental and Social Concerns

In 1997, we established the Guidelines for Green Procurement and the Energy Efficiency Guidelines, which we use as requirements related to environmental aspects under the NTT Guidelines for CSR in Supply Chain. The NTT Guidelines for Green Procurement contain detailed requirements regarding standardization/selection of plastic materials, curbing the use of hazardous substances, labeling of plastic materials, energy conservation, and supplier assessments. We also formulate and publish specific technical requirements for procuring products with due consideration for quality, safety, the environment and other issues, and seek compliance from suppliers.

We are promoting initiatives to ban the use of conflict minerals as a social aspect-related requirement for suppliers. The trade in minerals originating in the Democratic Republic of the Congo and nine adjoining countries has become a global human rights issue owing to the likelihood that some of these minerals have become a source of financing for militant armed groups suspected of committing inhumane acts. NTT Group issued its Approach to Conflict Minerals in 2013 as a basic policy with respect to conflict minerals so as to fulfill its social responsibility in the area of procurement.

In 1997, we established the Guidelines for Green Procurement and the Energy Efficiency Guidelines, which we use as requirements related to environmental aspects under the NTT Guidelines for CSR in Supply Chain. The NTT Guidelines for Green Procurement contain detailed requirements regarding standardization/selection of plastic materials, curbing the use of hazardous substances, labeling of plastic materials, energy conservation, and supplier assessments. We also formulate and publish specific technical requirements for procuring products with due consideration for quality, safety, the environment and other issues, and seek compliance from suppliers.

We also ask all suppliers that participate in procurement, whether they are an existing supplier or new, to comply with our Notes Regarding Participation in the Procurement Process, such as that they have no involvement with organized crime groups, or have not demonstrated any improper conduct related to procurement in the past.

NTT Guidelines for Green Procurement

NTT Group Energy Efficiency Guidelines

Technical Requirements

NTT Group’s Approach to Conflict Minerals  

Notes Regarding Participation in the Procurement Process

Conducting Risk Assessment for the Supply Chain

We assess the CSR activities of suppliers through surveys referencing various guidelines, and conduct risk assessments from various angles, including society, quality and the environment.

We will continue to scrutinize the survey method, survey content, and analysis method and use the findings of these questionnaires to provide feedback and continue discussions with suppliers in order to reduce risks across the value chain of NTT Group.

Organization for Implementation

NTT’s Technology Planning Department has formulated the NTT Guidelines for CSR in the Supply Chain as guidelines for promoting supply chain CSR within the Group. In coordination with procurement divisions at each NTT Group company, we ensure that a supplier’s compliance with key items within the guidelines is a basic condition of procurement and we regularly check that this condition is being met and follow-up with suppliers.

Major Reports

  • NTT Group Environmental Activities
  • NTT Annual Report 2019

Comment / Inquiry

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