Supply Chain

Supply Chain Policy
Approach to Sustainable Procurement
Promotion Structure
Initiatives to support more robust collaboration with business partners
Building Fair and Impartial Relationships with Business Partners
Initiatives to Maintain a Stable Supply
Promoting Green Purchasing
Responsible Mineral Procurement
Whistle-blower System
Anti-Bribery Due Diligence
Biodiversity

Supply Chain Policy

In order to realize its corporate philosophy, the Group shall engage in fair, transparent, and free competition in all its business activities in Japan and overseas, and shall maintain sound and healthy relationships with its business partners and other related parties.

Approach to Sustainable Procurement

ASKA Pharmaceutical Holdings Group's business is supported by many business partners who are our essential business partners. The Group aims to develop together with its partners by building even more trusting relationships with them to maintain and improve the quality of its products and services and to ensure stable supply.

In FY2021, the Group signed the United Nations Global Compact proposed by the United Nations and supports the 10 principles related to the protection of human rights, the elimination of unfair labor practices, environmental responsiveness, and anti-corruption. Based on our corporate philosophy, we will promote sustainable procurement initiatives by incorporating the 10 principles into our operations.

1．Fair and Honest Transactions

We select suppliers based on a comprehensive, fair, and impartial evaluation of not only the quality, stable supply, and price of their products but also their environmental impact and human rights considerations.

2．Compliance with Laws, Regulations, and Social Norms

We will conduct business transactions in compliance with the laws and regulations, corporate ethics, and social norms of the countries concerned.

3．Mutual understanding and trust

We will strive for co-existence and co-prosperity based on mutual understanding of each other's position and the establishment of appropriate relationships of trust. We will appropriately manage information obtained in the course of business transactions and observe confidentiality obligations.

4．Environmental Consideration

We will strive to consider the environment, including climate change, in all of our business activities. We will contribute to the preservation of the global environment and the realization of a sustainable society, and we will ensure that our business partners understand our environmental management and environmental philosophy.

5．Respect for Human Rights

We will respect the human rights of all people, including child labor, in accordance with the norms of the relevant countries. We will practice procurement that takes into consideration health and safety and the working environment.

6．Animal Welfare

As a company with an animal health business, we will strive to develop our business in compliance with laws and regulations related to animal welfare.

Internal Penetration

The Group provides education and training on the importance of sustainable procurement and our approach to sustainable procurement to those in charge of promoting sustainable procurement activities at each division. We are also working on preparations for e-learning for all employees.

Promotion Structure

Initiatives to support more robust collaboration with business partners

Continuous supply chain re-inspection

The Group contributes to the realization of a sustainable society by building sound business relationships with its business partners. We select and evaluate suppliers using a supplier evaluation system and a checklist. Supplier information is centralized and constantly enhanced, updated, and shared with relevant parties to build a system that enables us to select and do business with better suppliers. We also use the system to visualize the results of supplier evaluations and their impact and clarify priorities to improve issues. Furthermore, we encourage sustainable and ethical procurement through factory and business site inspections and interviews.

Building Fair and Impartial Relationships with Business Partners

In all our business activities, whether in Japan or overseas, we will engage in fair, transparent, and free competition and maintain sound and appropriate relationships with our business partners.

We will contribute to the realization of a sustainable society through co-creation with our business partners.

We will seek an understanding of the prohibition of bribery in connection with our business activities.

We will ensure compliance with laws, regulations, and corporate ethics and prevent the unauthorized acquisition or disclosure of confidential information.

Initiatives to Maintain a Stable Supply

To ensure a stable supply of products, we view the enhancement of our production system and productivity as essential. ASKA Pharmaceutical manages the entire process from stable procurement of raw materials to product commercialization, including checking the inventory status of APIs at manufacturing sites. We are also actively engaged in exchanging information with each supplier and collaborating with new suppliers to ensure the continuation of stable supply through planned and efficient production.

Promoting Green Purchasing

Based on our corporate philosophy, we aim to realize a sustainable society by promoting ESG management as one of our key policies. As part of our efforts to achieve this goal, we are committed to green procurement, which prioritizes the procurement and purchase of environmentally friendly raw materials and other necessary resources.

Responsible Mineral Procurement

In FY2021, the Group signed the United Nations Global Compact proposed by the United Nations and supports the 10 principles related to "protection of human rights," "elimination of unfair labor practices," "environmental responsibility," and "anti-corruption." The Group is also committed to promoting sustainable and ethical procurement activities.

Whistle-blower System

As a system to reflect the voices of employees in compliance practice, we have established a whistle-blower office, the ASKA Pharmaceutical Holdings’ compliance consulting desk, and a contact point for consultation and reporting of compliance-related matters involving the Group's officers. It is staffed by ASKA Pharmaceutical Holdings' Audit & Supervisory Board members (Audit & Supervisory Board member consulting desk).
Through this system, we will ensure that whistle-blowers are protected and that compliance-related matters are reported, investigated, and corrective measures are taken in a timely and appropriate manner, in accordance with the spirit of the Whistle-blower Protection Act.

Anti-Bribery Due Diligence

The Group conducts due diligence on companies with which it intends to enter into new transactions or with which it already does business in order to mitigate risks related to bribery and corrupt practices.

Biodiversity

The Group recognizes that the environmental impact associated with our business activities affects biodiversity. We strive to reduce this impact in various ways, including through resource conservation and climate change countermeasures, in order to maintain and conserve biodiversity. We will also develop our veterinary pharmaceuticals and animal feed additives businesses to contribute to creating a society where people and animals can coexist in harmony.

ASKA Animal Health’s Efforts

Continuing to reduce the use of phosphorus ore^※, a natural resource, by marketing the feed additive Phytase.

※ Phosphorus ore…It is an essential element for living organisms and necessary for the extraction of phosphorus, which provides biodiversity.

L-histidine hydrochloride was designated as a new feed additive. Expected to contribute to the reduction of fishmeal use in fish feed and to the conservation of natural fishmeal resources.

Ethical Considerations in Research

We are engaged in research and development of pharmaceutical products to contribute to people's health and animal health.
ASKA Pharmaceutical has established internal regulations that comply with the Act on Welfare and Management of Animals and basic guidelines from the Ministry of Health, Labor and Welfare.^*1 As well, the Company conducts ethical experiments using animals. All of our experiments are planned with the 3R^*2 principles in mind and are examined by animal ethics committees, receive the approval of the director of the implementing organization, and are conducted in laboratories certified by the Association for Assessment and Accreditation of Laboratory Animal Care International^*3 (AAALAC International) respectively. We also perform internal inspections once a year. An ethical review committee has been set up to make judgments on using human tissue and on genetic research that confirm the appropriateness of such research.

*1　Basic guidelines for conducting experiments on animals, etc. at implementing organizations under the jurisdiction of the Ministry of Health, Labour and Welfare.
*2　The 3Rs refer to refinement (minimizing animal distress), replacement (using alternative methods), and reduction (reducing the number of animals used).
*3　A private nongovernmental organization that promotes the humane treatment of animals used in science through voluntary review and certification programs.