Value Chain Management

Aiming to build a relationship of mutual trust with each stakeholder in the value chain and achieve sustainable development together.

　We focus on stabilizing and improving product quality while capitalizing on the production and quality control technologies we have developed over the years. We are further enhancing product quality control by deploying advanced technologies to ensure improved stability such as an online analysis system for raw materials, clinker and cement, the measurement of clinker minerals by X-ray diffraction and our proprietary Taiheiyo Cement Quality Predictive System (TQPS). Whilst maintaining quality, we also make effective use of waste and by-products and in doing so manufacture cement that pays due attention to the conservation of the global environment.
　All of our Portland cement plants in Japan, including those of group companies, have obtained ISO 9001 certification, the international standard for quality management systems. Furthermore, all of our overseas cement plants in countries that adopt ISO have obtained ISO 9001 certification. To ensure product quality and improve business operations, we obtained ISO 9001 (JIS Q9001) certification from the Japan Testing Center for Construction Materials. The scope of our certification encompasses the development, design and production of a range of cement, cement clinker and cement-based soil stabilizer products.
　We will continue to enhance our efforts to "supply products that meet customer needs" and "improve customer satisfaction" whilst actively utilizing the ISO 9001 system.

　Today every product is expected to be safe; as a construction material that is indispensable for developing social infrastructure cement is no exception. The cement industry has long made use of industrial waste and by-products such as blast furnace slag, coal ash and by-product gypsum as substitutes for natural mineral resources. Furthermore, we use technologies we developed to recycle household waste, such as the AK system to recycle municipal waste and our incineration residue recycling system. We also recycle construction-related soil and waste materials into raw material and fuel for cement production. When our cement plants accept waste we prevent its dispersal and minimize the release of odor by transporting the waste in a tightly sealed panel truck and storing it in a fully enclosed facility to protect the environment of the surrounding area as well as that inside the plant.
　We have already established fixed standards for the management of heavy metals contained in natural resources, and are constantly enhancing the control of minor components as the volume of waste we receive increases. When we receive new types of waste or waste from new sources we strictly apply rules under which we conduct three kinds of inspection related to the source of the waste, its chemical composition and the results of trial use to identify any potentially negative impact on product quality or the surrounding environment. We will then make a final decision on whether to receive the waste. These measures help us ensure product safety.

Ensuring Product Safety Following a Nuclear Accident

　As a consequence of the nuclear accident at the Fukushima Daiichi Nuclear Power Station of Tokyo Electric Power Company Holdings, Inc. in 2011, we discovered that some industrial waste used for making cement contained specified radioactive material. We have established a system to ensure that the radioactive concentration in cement shipped from our plants is below the safety limit* set by the Japanese government by strictly controlling the radioactive concentrations in raw materials and fuels for cement. In the interest of full disclosure we post the measurement results on our website every month.

* The Japanese government set a limit of 100 Bq/kg as the safety standard for radioactive concentrations in cement, effective from May 2011.

Provision of Information Using SDS and Labeling

　To ensure the safety of cement users we prepare Safety Data Sheets which contain hazard identification details and make these sheets available on our website. GHS labels are also attached to bags and flexible containers.

　In addition, we established the Basic Policy Concerning Procurement in October 2017 to consolidate commitments ②(“We will maintain appropriate and transparent relationships with our contractors”) and ③(“We will select business partners in a fair and equitable manner”), and request ethical conduct from our contractors.

　In response to the strengthening of international regulations against acts of bribery, and to strengthen our initiatives against corruption as stated in commitments ④(We will not offer entertainment or gifts to customers that go beyond what is legally and socially acceptable) and ⑦(We will maintain transparent relationships with governments and local authorities), we established our Anti-Bribery Policy in January 2017, and concurrently released a statement by our president proclaiming the group’s stance against bribery.

For more information “Anti-Bribery”

　Our main business activities are involved with cement and concrete. Limestone is the main raw material used and group companies are largely in charge of such aspects as the operation and management of the quarries. Coal, however, which is a source of thermal energy and also part of the raw materials we use, is sourced from companies outside the group. Moreover, the waste and by-products that we recycle in our cement production process come from many different industries and a variety of locations.
　Most of our production divisions are mechanized and there are almost no labor-intensive processes, and tasks such as production equipment maintenance are outsourced to partner companies and contractors as and when necessary.
　Cement is sold mainly to ready-mixed concrete companies and building materials distributors, and raw materials and products are transported by group companies and also companies outside the group.
　In our business activities we strive to communicate closely with the local governments of the countries and regions where our business sites are located. We deem it essential that our supply chain respects human rights, in particular the banning of forced labor and child labor, complies with laws and responds to requests.

　Operations at our cement production sites and quarries are increasingly being mechanized. Since some tasks are performed in elevated places or at high temperatures, ensuring worker safety at our production sites is essential. We do our best to ensure that employees of contractors working at our sites avoid any accidents. They receive various types of training when they start work at the site, are required to submit a work plan that includes a safety plan, and are given guidance with regard to that plan.

　We place the highest priority on achieving greater customer satisfaction. Business units periodically exchange information and link up to strengthen production focused on quality that meets user expectations.
　We gather information about customer requirements concerning product quality and services from our sales and technical staff at branches and sales offices. We then analyze that information, make improvements, and provide feedback. Furthermore, for our overseas customers, too, we have started to incorporate local needs into product quality, just as we do for domestic customers, and we are fine-tuning our products to meet the requirements of each overseas market. We respond sincerely to every quality issue raised by our customers, and strive to improve product quality and customer satisfaction.
　We actively identify potential quality risks, investigate their causes and implement stringent cross-divisional countermeasures with the aim of establishing an even more reliable quality assurance system.
　In addition, we are working to improve our quality assurance system to include the products of our group companies as well as Taiheiyo Cement Corporation products. We systematically strive to identify and address material issues via cross-divisional initiatives, and aim to boost the reliability of the Taiheiyo brand as well as customer satisfaction.

　We have founded and manage various cement user societies and industry associations that support participants in vitalizing their business operations and developing technological competitiveness. The National Taiheiyo Cement Ready-mixed Concrete Society, the largest of these user societies, is made up of ten Taiheiyo Cement Ready-mixed Concrete Societies, in locations ranging from Hokkaido to Kyushu, and engages in various activities. We hold technical sessions and presentations, as well as conduct activities under specific themes suited to local conditions. We also focus on providing support for users in obtaining qualifications such as Authorized Concrete Engineer, Authorized Chief Concrete Engineer, and Authorized Concrete Diagnosis and Maintenance Engineer.
　In addition to the National Ready-mixed Concrete Society, we have established other associations such as the Taiheiyo Cement Association for the Paving Block Industry and SPLITTON Association Japan to proactively deliver technical support for the mutual development of concrete product companies. We will continue to support activities that benefit cement users.