Our Expectations of Suppliers

In operating a global business, Murata is expected not only to fulfill its own social responsibility but also to see to it that its suppliers throughout the supply chain do likewise. Accordingly, we ask our suppliers to observe the following commitments.

1.Comply with laws and social norms

We request our suppliers to:

  • Comply with laws and social norms applicable in the countries or regions in which they do business, such as compliance with anti-trust laws, commercial laws, laws pertaining to subcontracting, foreign exchange laws, personal information protection laws, copyright laws, laws pertaining to labor, legislation pertaining to safety and hygiene, and environmental laws, etc.;
  • Prohibit the use of child labor or forced labor;
  • Respect human rights;
  • Combat discrimination, including gender discrimination, and respect the dignity of each employee;
  • Provide a safe and clean work environment; and
  • Prohibit bribery and unfair acts or practices.

2.Sound business practices

We request that our suppliers follow sound and fair business practices to enable continual business transactions and build collaborative trusting relationships. We also ask our suppliers to disclose to Murata appropriate information on their management policies and business conditions, including financial situations.

3.Quality, delivery performance, and stable supply

Murata stresses quality and delivery performance in order to provide customers with better quality products in a timely manner. Accordingly, we expect our suppliers to meet quality and delivery commitments and to provide a stable supply of materials.

4.Green procurement

Murata emphasizes green procurement in order to provide customers with products that have less of an environmental impact. We therefore seek to deal with suppliers who have established management systems and can provide materials with a smaller environmental footprint.

5.Value Engineering

Technical innovation is very fast paced and product life cycles are extremely short in the electronic device industry, which is also challenged by severe price competition. These pressures continuously require us to develop new products and offer them at reasonable prices. As such, we strive to deal with suppliers who can provide new materials and cost improvements through Value Engineering.

6.Information provision

With technical innovation in the electronic device industry constantly in high gear, dealing with these innovations is a constant challenge. Moreover, regulations related to protection of the global environment and environmental requests from customers are increasing year by year. Because of this, we must constantly obtain information on new technologies and new products (materials). We therefore seek to deal with suppliers who can provide such information.

7.Initiatives to reduce procurement lead-time

As indicated above, technical innovation is very fast paced and product life cycles are extremely short in the electronic device industry. This is just as true at Murata, where reducing the lead-time for material procurement is one of our most important issues, in order to ensure customer satisfaction by responding promptly and flexibly to client requests. This is why we expect our suppliers to shorten material procurement lead-times to rapidly and flexibly deal with market changes.

8.Observance of confidentiality

We try as much as possible to provide our suppliers with information that is needed to complete transactions. Some of the information provided includes Murata’s trade secrets. Accordingly, we seek to deal with suppliers who can and will keep the information provided confidential.

9.Utilization of information technology

We believe that exchanging information with our suppliers through information technology and networks is vital for accelerating our business operations and strengthening our relationships with suppliers. Therefore, we seek to deal with suppliers who can prepare and utilize an information technology environment.

10.Rejection of organized crime

We do not conduct business with companies that have ties to organized crime groups, commonly known as “anti-social forces” in Japan.
We therefore demand that our suppliers do not do business with companies associated with organized crime.

11.Responsible sourcing of minerals

Murata is working to address the issue of conflict minerals (gold/tin/tantalum/tungsten) contained in products in line with a policy it has established on the matter. We expect our suppliers to understand our policy, to complete a supply chain survey of smelters, to institute their own policy for addressing the issue, to establish and implement an internal management system, and to source minerals only from conflict-free smelters as part of a commitment to ensuring that delivered products are conflict-free.