Our mission is to “create new value for our customers through products and services of superior quality, and to contribute towards a better and more sustainable world.” We recognize that we must source products and materials responsibly across our supply chain, and have established a procurement policy to guide our actions.
This policy and its guidelines also apply to our suppliers, vendors, contractors and other business partners.
We assess and select business partners in a fair and equitable manner. We seek to grow and prosper together with each of our partners, with whom we work to develop a relationship of trust.
We respect internationally recognized standards in addition to complying with the laws and regulations of all countries and regions where we conduct business.
We respect human rights, pursuing procurement practices that support improved working conditions and worker health and safety.
We actively address global environmental issues such as resource depletion, climate change, pollution and biodiversity loss, as well as address environmental issues considering our local community.
We conduct business activities based on high ethical standards in addition to compliance with the law and are committed to fair and non-discriminatory trade.
We ensure the quality and safety of products and services we deliver, and provide accurate information.
We make efforts to protect confidential and personal information, and continuously enhance information security.
We make preparations to ensure that we can quickly resume business activities in order to fulfill our obligations to customers in the event that we or our business partner becomes a victim of large-scale natural disasters or other unexpected disruptions.
We shall follow the aforementioned standards in our procurement activities and expect the same of our suppliers, vendors, contractors and other business partners.
The latest guidelines can be found here.
To source parts and materials responsibly in line with our sustainable procurement policy, we regularly communicate with our suppliers to identify issues — affecting regulatory/social compliance, human rights, occupational safety and health, environment and ethics — across the supply chain. Issues identified through these engagements are shared across relevant departments, which work together to make improvements to build a sustainable supply chain and generate long-term corporate value.
Since FY 2024, we have been asking our high-spend suppliers to submit self-assessment data on their labor practices, environmental impact and other CSR (corporate social responsibility) metrics.
Based on the 66 responses received as of end FY 2025, we found that our suppliers tend to focus on improving information security and labor standards and score lower in categories regarding supply chain transparency and engagement of local communities. No major risks were found.
| FY 2024 | FY 2025 | ||
| Suppliers (of product parts and materials) and service providers with whom we have a high volume of purchases | Selected for self-assessment | 20 | 46 |
| Response rate | 100% | 100% | |
Companies that use minerals mined and traded in the DRC+9 (the Democratic Republic of Congo and its nine adjoining countries) and other CAHRAs (conflict-affected and high-risk areas) risk financially benefitting armed groups in the region and contributing adversely to social issues such as human rights abuses, environmental degradation and corruption.
At the SATO Group, we commit to sourcing minerals responsibly across the supply chain, striving to control the use of conflict minerals in our products, with the understanding and cooperation of our suppliers.
In line with the OECD Due Diligence Guidance for Responsible Mineral Supply Chains, we conduct supplier surveys using internationally recognized forms such as the CMRT (Conflict Minerals Reporting Template) and EMRT (Extended Minerals Reporting Template). These tools help us collect information on the origin of minerals and the smelters or refiners involved in processing them. We also ask our suppliers to source minerals only from smelters or refiners that comply with the RMAP (Responsible Minerals Assurance Process) standards.
We will continue working closely with all relevant departments to advance our efforts in responsible mineral sourcing as part of our corporate social responsibility.
SATO works with suppliers to prioritize the purchase of eco-friendly products (materials, parts, finished goods).
We have maintained our own environmental management standards since 2005 to keep toxic substances out of parts and materials used in our products and packaging. This standard prohibits the use of toxic substances subject to regulations in various countries, including the RoHS Directive*1, Batteries Directive*2, REACH regulation*3 and Directive 94/62/EC on Packaging and Packaging Waste (all of EU), as well as Japan's Chemical Substances Control Law and its Industrial Safety and Health Act. It also identifies substances that need to be controlled by their use and amount contained, and sets forth how we control them. The SATO Group asks our suppliers to cooperate in submitting data on chemical substances used, reducing/replacing any that are subject to regulation, and signing an agreement on compliance. We revise our standard for environmental management periodically to ensure it complies with governing laws.
Under the Forest Stewardship Council® (FSC®) certification system, certified companies can use the FSC mark on certified products to guarantee that they use FSC-controlled wood from low-risk sources or materials from responsibly managed, FSC-certified forests.
Multiple SATO Group companies offer label and sticker products using FSC-certified paper.
In 2007, the SATO Group set up our own SATO Green Factory (SGF) certification based on the ISO 14001 environmental management standard. We ask suppliers who have yet to acquire ISO 14001 certification to follow SGF standards, while also providing support on accreditation and regular audits.
Suppliers can file reports on SATO employees and management team for violating laws or breaching the company’s sustainable procurement policy and guidelines via a dedicated online channel. No reports have been filed as of end FY 2025.