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About Konica Minolta

CSR Procurement
Konica Minolta is active in promoting CSR procurement to improve the work environment and ensure respect for human rights throughout its supply chain*. These efforts are guided by the Group's vision of a sustainable world.
Based on the strength of its partnerships with the suppliers who provide raw materials and parts, Konica Minolta expects their active participation in CSR initiatives. The Group monitors their progress, and requests improvements and offers advice when needed. The Group also sets higher goals at its own production sites when carrying out evaluations and making improvements. Konica Minolta is committed to promoting CSR initiatives throughout its supply chain.
Konica Minolta established its Procurement Policy in April 2008 to set out its ideals about procurement and articulate its expectations of business partners. Based on this policy, Konica Minolta formulated a Code of Conduct* that identifies fields and standards relevant to CSR procurement. In addition, it developed an evaluation system using a self-assessment questionnaire*, and put it into practice in July 2009.
In addition to implementing this new evaluation system at all the Group's principal production sites, Konica Minolta specifically requests its suppliers to engage in a range of CSR initiatives. Under the current three-year plan (2009-2011), the Group is implementing the self-assessment questionnaire at its main suppliers as determined by transaction value, aiming to ensure that more than 90% of the Group's business transactions are conducted with suppliers who have completed this process.

CSR Procurement Implementation Plan

Rank Based on Achievement Level
The self-assessment questionnaire is designed to evaluate progress in the four fields of labor, ethics, safety and health, and the environment, in terms of two areas: management systems (organizational structures for fulfilling CSR) and performance (progress on actual goals). The evaluation results are classified into four ranks, A through D, based on the levels of achievement in the two areas. Expectations are set at Rank A for Group production sites and Rank B or higher for suppliers.
Specific feedback is provided to every supplier covered by the questionnaire. Suppliers assigned Rank C or Rank D are requested to submit and implement an improvement plan to address the specific issues identified.

CSR Procurement System
Konica Minolta’s CSR procurement initiatives that started in July 2009 target the Group’s production sites and business partners.
Self-assessment questionnaires were completed at 36 major facilities within the Group in April 2010. One facility initially recorded Rank B for certain items, but after taking steps towards improvement, all facilities achieved Rank A in June 2010. The self-assessments will continue to be carried out periodically in the future in order to maintain the Rank A status and make further improvements.
Konica Minolta encourages as many of its business partners as possible to undertake CSR initiatives. In addition, from fiscal 2009, each Group company is implementing a three-year plan to conduct questionnaire assessments of its main business partners, aiming to ensure that more than 90% of the Group's business partners in terms of transaction value are subject to the assessments. From fiscal 2009 to 2010, Konica Minolta asked a total of 1,428 companies for cooperation, and of these, 387 companies completed questionnaires.
The conflict in the Democratic Republic of Congo and adjoining countries as well as the accompanying serious human rights abuses and environmental destruction are major international problems.
There are concerns that the mineral resources mined in this region—to be specific, tantalum, tungsten, gold and tin ("conflict minerals")—could be used to fund armaments, contributing to the conflict.
Efforts to address this international problem include section 1502 of the Dodd-Frank Wall Street Reform and Consumer Protection Act, which was passed in 2010 in the United States, and the OECD Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict-Affected and High-Risk Areas. Given these circumstances, companies today are inevitably required to ensure responsibility in mineral supply chains.
Konica Minolta, for some time, has followed its own Procurement Policy, which includes commitments to comply with laws, regulations and corporate ethics, respect for the human rights of workers, and environmental protection. Konica Minolta is determined to fulfill its social responsibilities in all procurement activities, taking the initiative in its activities across the entire supply chain.
Konica Minolta is addressing the issue of conflict minerals in an appropriate manner based on this Procurement Policy.