Procurement

Basic Approach and Policy

The Olympus Group works to strengthen supply chain management (SCM) within the context of business continuity and sustainable value creation. In June 2021, we transitioned from a procurement policy to a broader supply chain policy aligned with our environment, society, and governance (ESG) initiatives. This shift fosters sound and fair transactions, such that we can do our part for the sustainable development of society.
We share these principles through internal and external communications, including our corporate website and training sessions, and also continue enhancing compliance by way of applicable laws, regulations, and social norms.
In 2023, we introduced the Olympus Global Third Party Code, replacing the previous Expectations of Suppliers. This code serves as a global standard, outlining Olympus’ values and expectations for third parties, including respect for human rights, fair and lawful transactions, environmental responsibility, and zero tolerance for corruption. These criteria are now part of our social and environmental standards.
Under this framework, the Olympus Group is committed to building and maintaining relationships with trusted suppliers through fair, just, and transparent business practices.

Olympus Global Third Party Code

System, Mechanisms and Initiatives

Sharing Business Strategies and Supply Chain Policy

We share the Olympus Global Third Party Code in writing with our suppliers around the globe, which requires compliance with relevant laws and regulations, social norms, and environmental considerations.
Our Global Procurement ESG strategy consists of three materiality topics as part of the focus area of Responsible Supply Chain:
1. Improve supply chain risk mitigation and resilience by implementing a multitier supply chain risk monitoring solution.
2. Enhance social (human rights) commitment in SCM: This includes requesting adherence with the Olympus Global Third Party Code as well as monitoring ESG risks in our supply chain.
3. Environmental Supplier Management: We will begin creating a baseline of CO2 emissions from our suppliers, as well as asking suppliers to set science- based targets for our Science Based Targets initiative (SBTi¹) certification.

^*Please refer to the following website for information on SBTi certification: https://sciencebasedtargets.org

Supplier Survey and Improvement Activities

Until FY2023, Olympus had conducted annual web-based surveys of our major suppliers around the world with whom we have ongoing business. In FY2024, we upgraded to a more comprehensive and globally standardized BCP and ESG assessment in collaboration with a leading risk solution provider. As of the end of FY2024, we have implemented online BCP and ESG assessments with approximately 1,250 suppliers globally.
As of the latter half of FY2025, we have analyzed the BCP responses conducted as part of on-site inspections and corrective guidance for some high-risk suppliers.

Response to Conflict Minerals

Olympus supports global efforts to eliminate the use of conflict minerals, the proceeds of which fund armed conflict in the Democratic Republic of the Congo and neighboring regions. These minerals— tantalum, tin, tungsten, and gold (3Tg)—are often linked to serious human rights violations. Olympus aligns with global standards, including U.S. regulations and OECD guidance, participating in industry efforts such as the Responsible Minerals Trade Working Group under JEITA. Promoting transparency in our supply chains, we are committed to procuring parts and materials in a manner that respects human rights and avoids contributing to armed conflict.

Education for Compliance with the Subcontract Act

Olympus regards the Subcontract Act as one of the most important applicable laws, and we engage in a wide range of activities to ensure compliance.
In FY2024, Olympus implemented the "Declaration of Partnership Building" to build stronger relationships with suppliers. As part of efforts to ensure compliance with the Subcontract Act, the Company-wide Subcontract Act Promotion Committee has taken the lead in providing e-learning on the Act to all employees of Olympus and Group companies in Japan, with a 95% participation rate.
In addition, specialized training on the Act is provided to the procurement function, which is a highly specialized department in business transactions.
We will continue to provide company-wide training to ensure thorough compliance with the Act.