Ricoh 2013 Annual Report Download - page 53

Ricoh Group Sustainability Report 2013 52
“Conflict Minerals Issue” is the
issue that the minerals mining or
trading finances armed groups
and fosters conflicts, or closely
related to human rights abuses,
labor issues or environmental
destruction, etc. The Dodd-
Frank Wall Street Reform and
Consumer Protection Act
enacted in July of 2010 requires
specified companies to report
the use of conflict minerals;
tin, tantalum, tungsten, and
gold and any other minerals
determined by the U.S.
Department of State, which are
originated in the Democratic
Republic of the Congo and/or
an adjoining country.
*1
Production
The Ricoh Group aims to have all its products locally produced and locally consumed, as this not
only improves production efficiency but also minimizes environmental impact. We are constantly
innovating production processes and introducing high-efficiency equipment at all production sites
to curb our global CO2 emissions. ➤ WEB฀5
Efficient production closer to the customer
Local production for local consumption allows
us to reduce inventories of finished goods and
management expenses as well. The production
sites in our four regions of operation are all situated
to฀maximize฀the฀efciency฀of฀our฀MB&R฀(Modular฀
Build฀&฀Replenishment)*2 system, which utilizes
manufacturing hubs and configuration centers to
optimize quality and productivity while minimizing
cost.฀Being฀close฀to฀the฀customer,฀the฀conguration฀
centers can promptly fulfill orders within their region.
The฀MB&R฀(Modular฀Build฀&฀
Replenishment) production
method relies on final assembly
at the last possible step of
the production process. We
make modules at lower cost
at intensive manufacturing
sites (China and Thailand) and
assemble finished products
at configuration centers in
consuming regions (Japan, the
Americas, Europe). This allows
us to market model types best
suited to regional needs or to
respond quickly to changing
demands.
Flexible production line
Starting in 1999, Ricoh gradually began eliminating
fixed conveyor lines and replacing them with freeform
production channels that can be dynamically
reconfigured to handle changes in production volume
and models.
One example is the cart production line, in which
multiple carts powered by air cylinders are lined up
in a row. The carts move down the line carrying
products being assembled. Since conveyors — which
consume high amounts of energy — are unnecessary,
our unique system
significantly reduces
environmental
impact and energy
costs while boosting
productivity.
The Americas
(Production sites
in consuming region)
Europe
(Production sites
in consuming region)
Japan
(Production sites
in consuming region)
Final assembly (MB & R)
Customized Configuration
Recycling
Final assembly (MB & R)
Customized Configuration
Recycling
Final assembly (MB & R)
Customized Configuration
Recycling
Module production
Final assembly
China/Thailand
(Intensive production sites)
Conflict Minerals Issue
The Ricoh Group believes the Conflict Minerals
Issue*1 is crucial. We are constantly working with
our business partners to improve transparency in the
supply chain to ensure responsible mineral sourcing
practices.฀As฀of฀July฀2013,฀about฀800฀companies฀
globally had attended sessions to hear about our
directives,฀and฀by฀November฀2013฀we฀plan฀to฀
complete a survey of our suppliers, with results to be
disclosed in May 2014. ➤ WEB฀4
Sharing information with suppliers
In 2001, the Ricoh Group launched RaVenderNET,
a network for sharing information on production
and environmental impact caused by raw materials
and parts. RaVenderNET was expanded in 2005 to
include overseas vendors. The network, which is
maintained jointly with our suppliers, has streamlined
the process of confirming the compliance of purchase
orders with Ricoh standards from two or three days
to just half a day, substantially shortening production
lead times. The system has also been used to share
information on socially responsible procurement
since 2010.
Sales & Service Logistics ProductionProcurement Collection & Recycling
➤ WEB฀4฀Conflict Minerals Issue : www.ricoh.com/info/120830.html
➤ WEB฀5฀Logistics reform : www.ricoh.com/environment/office/
*2
Cart production line
Supplier CSR procurement self-assessment
Our suppliers are expected to comply with The Ricoh
Group Supplier Code of Conduct, which contains
rules related to environmental conservation and
human rights, such as the prohibition of child labor.
The Ricoh Group Supplier Code of Conduct
Guidebook is distributed to all our suppliers, and in
2009 we invited all major suppliers to a meeting at
which they were presented the Ricoh Group’s CSR
activities. Our aim was to have them share our values
by raising their awareness of the importance of CSR
and the Code of Conduct.
Also in 2009, we introduced a CSR Self-
Assessment System that helps suppliers implement a
“plan, do, check, act” (PDCA) cycle by themselves.
The system was initially rolled out in Japan and has
since been gradually extended to other countries.
Company activities that require improvement are
identified by these assessments, with the results
fed back to the suppliers together with advice
and support on ways to meet society’s needs and
expectations. The CSR Self-Assessment System has
been used by local suppliers in China since 2010, and
was฀introduced฀to฀Thailand฀in฀2013.฀➤ P87
Overview Action Data & Profile
SCM
ISO26000 : •฀Organizational฀governance฀฀•฀Human฀rights฀฀•฀Labor฀practices฀฀•฀The฀environment฀฀•฀Fair฀operating฀practices฀฀•฀Consumer฀issues฀฀•฀Community฀development