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Responsible Supply Chain

Management Approach

Materiality Rationale

In recent years, stakeholders have grown increasingly aware of how crucial it is that companies fulfill their overall responsibilities throughout their supply chains, including procurement and production. Sony takes these stakeholder concerns seriously and is working closely with its suppliers on initiatives in fields such as human rights, labor conditions, health and safety, and environmental protection. These initiatives cover not only Sony's own sites, but sites throughout the supply chain-from parts and material suppliers, to mineral mining operations, to production sites operated both by Sony and by subcontractors.

Basic Approach

The foundation of Sony's efforts to build a responsible supply chain is the compliance of each and every director, executive, and employee with the Sony Group Code of Conduct and ethical business practices. Based on this approach, Sony focuses on supply chain management and responsible procurement of raw materials and works with suppliers and subcontractors to establish a responsible supply chain that ensures compliance with the Sony Supply Chain Code of Conduct. These efforts are undertaken in collaboration with relevant industry organizations and other stakeholders.

Structure

At Sony, the CSR and Compliance groups at the head office, and the Compliance and Procurement groups at Sony Global Manufacturing & Operations Corporation (SGMO), take the lead in promoting responsible sourcing activities in cooperation with other related head office divisions, business groups and relevant functions at manufacturing sites.

Main Achievements in Fiscal 2015

Here are the main results of fiscal 2015 initiatives:
  • Sony established the Sony Supply Chain Code of Conduct, adopting the EICC Code of Conduct to govern manufacturing processes at both Sony's own electronics manufacturing sites and those of its suppliers.
  • Sony conducted regular assessments of its own manufacturing sites and those of its suppliers.
  • Sony implemented an annual survey of use in relation to the four designated minerals under US law on conflict minerals.
  • Sony required suppliers' continual compliance with the Sony Group Conflict Minerals Policy.
  • Established the Sony Supply Chain Code of Conduct
  • Assessments conducted at 20 electronics manufacturing sites at Sony and 260 suppliers
  • 85% of identified smelters were validated as Conflict-Free Smelters (CFS) or under the CFSI audit process were to be validated as CFS
  • Established the Sony Supply Chain Code of Conduct
  • Assessments conducted at 20 electronics manufacturing sites at Sony and 260 suppliers
  • 85% of identified smelters were validated as Conflict-Free Smelters (CFS) or under the CFSI audit process were to be validated as CFS

Looking to the Future

In order to further strengthen efforts to establish a responsible supply chain, Sony will expand assessments of its own sites and its suppliers, for example by having primary suppliers request secondary suppliers to comply with the Sony Supply Chain Code of Conduct. Sony remains committed to ongoing efforts to raise awareness, educate, and provide training in order to focus the attention and boost the capacity of Sony employees-likewise for supplier employees engaged in the supply chain-to respond effectively to responsible supply chain issues.
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