To fulfill Astellas’ social responsibilities across the entire supply chain, it is important for us to conduct our procurement activities with respect for compliance. To achieve this goal, Astellas has formulated the Basic Policy for Procurement Activities and the Astellas Business Partner Code of Conduct. We also undertake measures for sustainable procurement globally to build a sound network for business activities.
The Basic Policy for Procurement Activities
To carry out procurement activities in a fair and transparent manner, it is necessary for purchasing staff to comply with the Basic Policy for Procurement Activities Involving Suppliers as a code for self-regulation. To follow the basic policy, Astellas has an effort to build relationships of mutual trust with suppliers as our business partners.
Basic policy for procurement activities involving suppliers
1. Comply with the law and corporate ethical standards
Observe all laws and regulations, and act in accordance with prescribed social norms in a highly ethical manner.
2. Maintain partnerships
Respect all suppliers as important partners, maintain integrity in all dealings with them, and work to foster cooperative and reliable relations.
3. Make selections based on economic rationality
Select suppliers fairly and impartially, based on economic rationality, and ensure that these business relationships are transparent and appropriate.
4. Practice fairness and impartiality
Do not treat any particular supplier unfairly.
5. Do not accept inappropriate payments
Do not give or receive inappropriate gifts (money, physical objects, entertainment/wining and dining, and other benefits), exploiting a superior position or your purchasing authority. Such gifts are prohibited.
6. Observe strict confidentiality
Strictly observe the confidentially of all information received from suppliers.
7. Promote sustainable procurement
Conduct procurement activities with a sustainability perspective, making sure that all suppliers observe laws and regulations and give consideration to environmental issues.
Risk Assessments for Significant Business Partners
Astellas conducts a global assessment that includes an evaluation of sustainability risk in the selection process for significant business partners*, the business partners that have a particularly significant impact on Astellas’ business continuity among others. The sustainability risk assessment involves judging a risk level based on a combination of the business partner’s response to a questionnaire, external database information, a basic assessment by in-house experts on risks related to sustainability such as human rights, the environment, occupational health and safety and personal information protection, and, if necessary, the results of a local on-site audit carried out by an Astellas employee. In addition, for the environment, occupational health and safety risk assessments, Astellas' original questions are added to the questionnaire (SAQ), which has been published by PSCI （Pharmaceutical Supply Chain Initiative）.
Sustainability risk assessment has started operating in Japan, North America and Europe since February 2019, and has also been deployed in South America and Asian countries. Risk assessment results and assessment processes are centralized by using a global platform. Astellas may conduct a sustainability assessment for the subcontractor depending on the business between third parties.
If Astellas identifies a risk that can be improved during the business partner selection process, it encourages the business partner to make the improvement and monitors its initiatives. Astellas does not engage in business if it identifies a critical risk and it judges the risk is difficult to be improved.
Moreover, business divisions continue monitoring risk status even after business transactions have begun and the supplier’s sustainability risk level is assessed once every two years through a questionnaire. If necessary, the assessment takes place even within the two-year period.
* Business partners that have a significant impact on Astellas’ business continuity, such as suppliers of raw materials (regardless of whether they are direct or indirect materials), outsourcing companies, pharmaceutical wholesalers and sales alliance partners.
On-Site Audits of Suppliers
In 2020, there have been movement restrictions due to the impact of COVID-19. We conducted field survey on two companies in Japan regarding the operational status of wastewater treatment facilities, the working environment of employees, and the prevention of chemical substance exposure. In cases where items were pointed out, Astellas indicated an improvement proposal, requested a plan for corrective measures be drawn up and is currently following up on progress of the improvements based on the corrective measures plan.
Astellas encourages and welcomes a diverse supply base as part of its commitment to diversity and inclusion. This is to ensure that diverse individuals and companies are included and play a role, in our vision to turn innovative science into value for patients, irrespective of race, nationality, gender, or age. We recognise that diverse suppliers bring unique backgrounds and experiences, and these are critical contributors to our ecosystem of value.
Astellas adheres to Japan’s Subcontract Act and also has a long-standing U.S. Small Business Programme that observes the guidelines established by the United States Department of Veterans Affairs. Astellas’ Small Business Programme focuses on providing opportunities for a number of small business categories including disadvantaged businesses, women-owned, veteran-owned, service-disabled veteran-owned, and Historically Under-utilized Business Zones (HUBZone) small businesses.
Astellas is expanding its diversity efforts and is formally launching the Astellas Supplier Diversity Programme. These actions are being taken in accordance with Astellas’ Sutainability efforts to contribute to society and evolve into a model that inspires trust, collaboration, and creates a positive impact on communities, as well as with Astellas’ policy to provide fair and equitable opportunity to all qualified businesses to be considered potential suppliers to Astellas. This Programme aims to include a broader range of traditionally excluded supplier groups, creating growth and development opportunities for these suppliers. This Programme will initially focus on the United States and expand into other countries in the coming years.
The Astellas Supplier Diversity Program includes suppliers that fall under one or more of the following categories:
- Minority Business Enterprise (MBE)
- Woman Business Enterprise (WBE)
- Veteran-Owned Business Enterprise (VBE)
- Lesbian, Gay, Bisexual or Transgender Business (LGBT)
- Small Business (SB)
- Woman-Owned Small Business (WOSB)
- Small Disadvantaged Business (SDB)
- Veteran Owned Small Business (VOSB)
- Service-Disabled Veteran-Owned Small Business (SD-VOSB)
- Historically Underutilized Business Zone Business (HUBZone)
Our supplier diversity programme is administered by Astellas Global Procurement, in alignment with our Engagement, Diversity, & Inclusion mission, and is embedded in our Procurement ways of working. If you would like to be considered for future opportunities with Astellas, please click here to contact us.