Updated on August 29, 2019

Establishing and Promoting the Sony Supply Chain Code of Conduct

Basic Approach

Sony recognizes the increasing importance of global companies' responsibility to manage their supply chains responsibly as diligent members of society and is taking a variety of steps to structure a responsible supply chain. Sony works with its suppliers to address issues such as human rights, labor conditions, health and safety, and environmental protection throughout its supply chain.

Basic structure of the supply chain

Sony Supply Chain

The Sony supply chain stretches across the entire globe. As of August 2019, the Group has its own electronics manufacturing facilities in Japan, China, South Korea, Thailand, Malaysia, the UK, and Brazil. In fiscal 2018, the value of transactions with parts suppliers and OEM/ODM suppliers by geographic area was as follows: China (43.2%), Japan (22.7%), Asia-Pacific (17.7%), Europe (9.5%), the US (0.5%), and other areas (6.4%)

Sony Supply Chain

Establishing the Sony Supply Chain Code of Conduct

In recent years, stakeholders have become increasingly concerned about manufacturers' responsibilities in relation to the product supply chain, including issues related to human rights, labor conditions, health and safety, and environmental protection, not only at their own production sites, but also at the production sites of subcontractors and parts suppliers. Conduct at Sony production sites is guided by the code issued by the Responsible Business Alliance (RBA*1), which Sony joined when the alliance was established in 2004. All Sony electronics manufacturing sites are involved in ongoing efforts to ensure compliance with the RBA Code of Conduct, which represents industry best practices. Recognizing that parts suppliers, subcontractors in design and production, and other partner firms are all involved in the production of Sony products, and seeing the need to address these issues within a framework that meets Sony's standards, in 2005 Sony established the Sony Supplier Code of Conduct, based on the RBA Code of Conduct.

To enhance its CSR management in the supply chain, in 2016 Sony replaced the Sony Supplier Code of Conduct with the Sony Supply Chain Code of Conduct. The new code adopts the RBA Code of Conduct to govern all manufacturing processes at both Sony's own electronics manufacturing sites and those of its suppliers. The RBA Code of Conduct was updated from Version 5.1 to the current Version 6.0 effective January 1, 2018. Accordingly, the Sony Supply Chain Code of Conduct was updated to Version 2 to adhere to the changes in the RBA Code of Conduct.

Compliance with the Sony Supply Chain Code of Conduct is included in supplier contracts. As part of the requirements under this Code of Conduct, Sony asks that its suppliers comply with items required in its Green Partner Environmental Quality Approval Program and the Sony Group Policy for Responsible Supply Chain of Minerals.

  • *1In October 2017, the Electronic Industry Citizenship Coalition (EICC) was rebranded as the Responsible Business Alliance (RBA)
Issues Covered in the Sony Supply Chain Code of Conduct
A. Labor B. Health and Safety C. Environmental D. Ethics E. Management Systems
1) Freely Chosen Employment
2) Young Workers
3) Working Hours
4) Wages and Benefits
5) Humane Treatment
6) Non-Discrimination
7) Freedom of Association
1) Occupational Safety
2) Emergency Preparedness
3) Occupational Injury and Illness
4) Industrial Hygiene
5) Physically Demanding Work
6) Machine Safeguarding
7) Sanitation, Food, and Housing
8) Health and Safety Communication
1) Environmental Permits and Reporting
2) Pollution Prevention and Resource Reduction
3) Hazardous Substances
4) Solid Waste
5) Air Emissions
6) Materials Restrictions
7) Water Management
8) Energy Consumption and Greenhouse Gas Emissions
1) Business Integrity
2) No Improper Advantage
3) Disclosure of Information
4) Intellectual Property
5) Fair Business, Advertising and Competition
6) Protection of Identity and Non-Retaliation
7) Responsible Sourcing of Minerals
8) Privacy
1) Company Commitment
2) Management Accountability and Responsibility
3) Legal and Customer Requirements
4) Risk Assessment and Risk Management
5) Improvement Objectives
6) Training
7) Communication
8) Worker Feedback, Participation and Grievance
9) Audits and Assessments
10) Corrective Action Process
11) Documentation and Records
12) Supplier Responsibility

Sony's Structure for Promoting Supply Chain Management

At Sony, CSR and compliance groups at the head office and 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. Under the supervision of the Senior Executive Officer in charge of CSR, the Sony CSR group at the head office assesses external trends and communicates with stakeholders, drawing on both to formulate basic company-wide supply chain management policy. The Senior Executive Officer in charge of Production and Procurement and the Senior Executive Officers in charge of each business unit appoint managers responsible for implementing the Rules in relevant areas and set up administrative offices. The administrative offices are responsible for the general execution of the Operational Rules for the Sony Supply Chain Code of Conduct, which includes ensuring compliance with the Code at electronics manufacturing sites both at Sony and its suppliers, conducting risk assessments and regular monitoring, and implementing necessary improvements. The offices are also working to provide training opportunities to build the capacity of those involved with Sony and its suppliers.

In cases where assessments or external sources indicate any possibility of violations of the Sony Supply Chain Code of Conduct or a material legal violation, or in cases where the supplier does not provide adequate cooperation with assessments and audits, the managers responsible for implementing the Rules work together with the CSR and compliance groups at the head office to determine the facts and take action deemed necessary, and the situation is immediately reported to the relevant manufacturing site or the Senior Executive Officer in charge of the business unit engaged with that supplier.

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