Nitto Group Report 2016

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29Nitto Group Report 2016Product ManagementQuality ManagementIn order to provide safe products and services satisfying our customers’ demands, we conduct quality management.We address not only the establishment, continuous maintenance and improvement of quality, but also engage in activities to prevent risks entailed in our quality management system, such as quality defects and complaints about quality from the planning and development stages through to sales.Preventive ActivitiesIn order to ensure product quality, we employ FMEA (Failure Mode and Effect Analysis) to thoroughly forecast any potential issues, which are likely to occur in the design and operations processes, and investigate whether appropriate measures to these issues are taken. In addition, we implement the concept of SBSQ (Same Brand Same Quality) for the purpose of maintaining the same quality standards for products of the same serial number, irrespective of production base.We have been conducting basic education on quality. However, by conducting more advanced education, we try to increase the capabilities of human resources engaged in quality control. Until scal 2014, we provided Basic Quality Seminars to employees of different grade levels at manufacturing and processing sites in Japan, China and South Asia. In scal 2015, we expanded quality control education to Europe, the Americas, Korea and Taiwan, focusing on the cultivation of human resources able to identify and solve quality-related issues by themselves.In the future, we will establish an education system at the initiative of each area and aim at producing quality satisfying our customers.Procurement ManagementProcurement Management PolicyThe Nitto Group fullls its corporate social responsibility in procurement activities so as to be a company trusted and chosen by our stakeholders, including our customers and partners.In February 2016, the Nitto Group established a new Basic Procurement Policy as our basic policy on procurement activities.In order to implement this Policy, we demand that persons engaged in procurement activities act in conformity with the Action Guidelines, adhering to corporate ethics and societal norms.Furthermore, by establishing CSR-Based Procurement Guidelines, we expect our business partners to follow the essence of the Basic Procurement Policy and Business Conduct Guidelines of the Nitto Group. As such, we have enhanced our approaches to CSR-based procurement in areas such as fair and equitable dealings, compliance with corporate ethics and laws and concern for the environment.PartnersCustomersNitto GroupPreventive activitiesEnsuringproduct qualityProductionDevelopment/DesignRaw materialsprocurementDistributionSalesDisposalNitto Group’s basic policies on procurement activitiesBehavioral ethics of persons engaged in procurement activitiesExpectations of our business partnersBasicProcurementPolicyActionGuidelineCSR-BasedProcurementGuidelinesCSRProcurementThe Americas: Quality control education by local staff• Quality management ow

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