Fair Business Practices

The DENTSU SOKEN Group strives to ensure compliance with the stipulations of Our Declaration of Conduct, which summarizes our code for the ethical conduct of business, and the Dentsu Group Code of Conduct, compiled by the Dentsu Group, of which we are a member.

We thus seek to prevent bribery; respond to antisocial forces; raise awareness about, and provide education on, antitrust laws and subcontracting laws; provide relevant rules and regulations; as well as conduct transactions that are seen to be fair. There were no cases of corruption, bribery, or anti-competitive behavior in FY2023.

For more information on this promotion structure, see Ethics Compliance.

In accordance with the Basic Policy on the Rejection of Boryokudan (organized crime groups) and Other Antisocial Forces formulated by the Dentsu Group, DENTSU SOKEN makes every effort to prevent relationships with antisocial forces and eliminate any that may exist.

According to the Basic Policy, each Dentsu Group company considers it its corporate social responsibility to maintain a resolute stance preventing and eliminating relationships with antisocial forces and groups that threaten social order and safety. Thus, as detailed below, ISlD maintains and complies with the Basic Policy on the Rejection of Boryokudan (Organized Crime Groups) and Other Antisocial Forces.

In accordance with the provisions of Our Declaration of Conduct and the Dentsu Group Code of Conduct, the DENTSU SOKEN Group always deals with its customers and other business partners in a spirit of integrity and on fair and appropriate terms. Our Declaration of Conduct covers respect for human rights, contributions to society, and proper governance practices, as well as the prohibition of bribery, money laundering, and other forms of corruption and fraud, and the maintenance of fair relationships with business partners.

The Compliance Committee was established to ensure that Our Declaration of Conduct and the Dentsu Group Code of Conduct are fully understood by all employees, to build a compliance system based on the Declaration and Charter, and to achieve sound internal control of the DENTSU SOKEN Group through the activities of the Ethics Hotline as a grievance mechanism.

To ensure that each employee understands and respects the principles of the Our Declaration of Conduct and acts autonomously, DENTSU SOKEN conducts annual e-learning programs for all officers and employees¹, orientation for new hires, and other training programs to continuously disseminate and instill the Declaration. In addition, the Company provides a variety of compliance-related information to employees via the intranet to ensure that they are fully aware of the Declaration. Employees also participate in various corporate ethics and compliance training programs, including e-learning, which is implemented throughout the Dentsu Group companies.

DENTSU SOKEN established its internal reporting system, the Ethics Hotline, for the early detection and correction of various compliance-related issues that may arise in the workplace, including fraud, corruption, and human rights-related violations, such as harassment.
Our Ethics Hotline includes both an internal reporting channel and an external reporting channel staffed by independent attorneys. The hotline is available to all personnel associated with DENTSU SOKEN: DENTSU SOKEN direct employees, Group company employees, temporary employees (dispatched by staffing companies), etc,. Anonymous reporting is permitted, and we ensure the protection of whistleblowers and maintain confidentiality by applying our ”Ethics Hotline Operating Guidelines,” formulated in accordance with Japan’s Whistleblower Protection Act. We ensure the effectiveness and relevance of the hotline by regularly reminding employees about its proper use.
When a report or violation is discovered, the Company responds promptly and appropriately, takes strict disciplinary action against the violator, and implements measures to prevent recurrence of such violations. The status of these activities is reported to the Board of Directors and Audit Committee members.

The DENTSU SOKEN internal reporting system structure is as follows.

System structure

DENTSU SOKEN made no political donations in FY2023.

The DENTSU SOKEN Group complies with the Group Tax Mission Statement and Strategy established by the Dentsu Group, and maintains consistency with business strategies, business activities, corporate value, and social responsibility. Furthermore, by taking appropriate tax positions, we maintain and improve the value of the DENTSU SOKEN Group while paying taxes at the appropriate time and place, and in the appropriate amount.

For information on the Group Tax Mission Statement and Strategy see below.

The officer responsible for tax affairs at the DENTSU SOKEN Group is Senior Managing Director, Corporate Supervisor.
Practical operations have been delegated to the department in charge of tax affairs at DENTSU SOKEN, and when important business or risks related to the DENTSU SOKEN Group's tax affairs come to our attention, in addition to the officers concerned we report to the Management Council or the Board of Directors as necessary.

Of the "Group Tax Mission Statement and Strategy" established by the Dentsu Group, the Tax Strategy consists of three components: "Tax Compliance," "Tax Risk Management," and "Tax Optimization." The DENTSU SOKEN Group complies with the matters stipulated in each component and deals with the tax authorities of individual countries as follows.

（Quoted from the “Tax Compliance” portion of the Tax Strategy）

In addition, we will take measures to prevent the recurrence of any matters for which it has received guidance from the tax authorities and will work to correct them.

DENTSU SOKEN Group is committed to working together with all our suppliers to achieve a sustainable society through engaging in procurement activities based on the following Procurement Policy.

The Group disclose the DENTSU SOKEN Group Procurement Guidelines with a compilation of items that we wish to pursue together with our business partners and Group companies as responsible business conduct aimed at realizing a sustainable society. The DENTSU SOKEN Group Procurement Guidelines were formulated referencing the Groupʼs sustainability policy and procurement policy, as well as the Responsible Business Allianceʼs (RBA) Code of Conduct, the Japan Electronics and Information Technology Industries Associationʼs (JEITA) Responsible Business Conduct Guidelines, and others. We’re working to create awareness regarding these guidelines among our business partners, implement questionnaires to confirm the state of compliance with the guidelines, and work to understand both the state of our initiatives and any issues that arise.

Green Purchasing

 

In a bid to protect the global environment, we have formulated Green Purchasing Guidelines. These require that priority be given to businesses striving to reduce environmental damage by using products and services that have a minimal footprint.

Scope

Items (general consumables, furniture and fixtures, etc.) purchased directly by DENTSU SOKEN.

Purchasing Policy

When purchasing products and services, we adhere to the guidelines, obtain the necessary environmental information, and choose what has the least environmental impact.

We prioritize green purchasing for large amounts and for transactions likely to have a major environmental impact.

Efforts to Strengthen Partnerships

Announcing the Partnership Building Declaration

DENTSU SOKEN endorses and announces its commitment to the Partnership Building Declaration promoted by the Future-focused Partnership Building Promotion Committee sponsored by the Cabinet Office, the Small and Medium Enterprise Agency and other organizations.

Endorsement of the Partnership Building Declaration indicates that a company will promote cooperation, coexistence and co-prosperity with business partners in the supply chain and businesses attempting to create value in order to build new partnerships.

• Click here for information on the Partnership Building Declaration (Japanese version only)

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  Click here for the Partnership Building Declaration by DENTSU SOKEN (Japanese version only)