Supply Chain Management | Anritsu India

Policy
Requests to Suppliers
System
Target
Activities and Achievements
Partnerships with Suppliers

Policy

Through its procurement activities, the Anritsu Group considers suppliers as partners in solving social issues as stated in its Sustainability Policy, and believes it is important for both parties to grow together. To build a partnership based on mutual trust, we established the Anritsu Basic Rules for Procurement in 2005. We request cooperation from suppliers based on the Anritsu Group Human Rights Policy, the Anritsu Group CSR Procurement Specification, and the Anritsu Group Global Green Procurement Specification. We are building a supply chain that takes into consideration human rights, occupational health and safety, the environment, fair trade, and ethics, including compliance with the Modern Slavery Act and responsible mineral sourcing.

Anritsu Basic Rules for Procurement
Selection of suppliers and partners Anritsu always keeps the door open to new potential suppliers and partners inside and outside Japan, in a spirit of fairness and impartiality. Anritsu objectively selects suppliers and partners based on proper standards - focusing on quality, price, delivery schedules and environmental measures. Partnership Anritsu builds mutually beneficial relationships with all suppliers and partners through sound business practices. Compliance and secrecy protection Anritsu conducts business in full compliance with relevant laws, and does not disclose information acquired through business with suppliers and partners to any third party without these suppliers’ and partners’ prior consent. Activity based on ethical concepts Personnel involved in procurement keep in mind at all times the importance of performing assignments fairly, free of personal interests with suppliers and partners, while maintaining sound relationships with these parties. Considerations of human rights and labor Anritsu respects human rights and promotes industrial hygiene, safety and security, and requests that suppliers and partners agree to this policy and promote these activities as part of their supply chain operations. Anritsu may reconsider relationships with suppliers and partners if their business operations are linked with human rights violations, such as the use of child labor, racial and sexual discrimination, etc. Responsible sourcing of minerals Anritsu carries out its due diligence responsibilities for tantalum, tin, gold, tungsten, cobalt, and other high-risk minerals in accordance with "OECD Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict-Affected and High-Risk Areas" issued by the Organization for Economic Co-operation and Development (OECD). When high risk is identified as the result of our due diligence efforts, we implement the corrective actions of urging trading partners to switch to a lower-risk supply chain as part of our efforts to promote the responsible procurement of minerals. We also disclose information about these efforts to our customers and stakeholders. Environmental considerations Anritsu stipulates Green Procurement Guideline and promotes green procurement by purchasing parts and materials that have been proven less damaging to the environment.

Anritsu Basic Rules for Procurement

Selection of suppliers and partners
Anritsu always keeps the door open to new potential suppliers and partners inside and outside Japan, in a spirit of fairness and impartiality. Anritsu objectively selects suppliers and partners based on proper standards - focusing on quality, price, delivery schedules and environmental measures.
Partnership
Anritsu builds mutually beneficial relationships with all suppliers and partners through sound business practices.
Compliance and secrecy protection
Anritsu conducts business in full compliance with relevant laws, and does not disclose information acquired through business with suppliers and partners to any third party without these suppliers’ and partners’ prior consent.
Activity based on ethical concepts
Personnel involved in procurement keep in mind at all times the importance of performing assignments fairly, free of personal interests with suppliers and partners, while maintaining sound relationships with these parties.
Considerations of human rights and labor
Anritsu respects human rights and promotes industrial hygiene, safety and security, and requests that suppliers and partners agree to this policy and promote these activities as part of their supply chain operations. Anritsu may reconsider relationships with suppliers and partners if their business operations are linked with human rights violations, such as the use of child labor, racial and sexual discrimination, etc.
Responsible sourcing of minerals
Anritsu carries out its due diligence responsibilities for tantalum, tin, gold, tungsten, cobalt, and other high-risk minerals in accordance with "OECD Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict-Affected and High-Risk Areas" issued by the Organization for Economic Co-operation and Development (OECD). When high risk is identified as the result of our due diligence efforts, we implement the corrective actions of urging trading partners to switch to a lower-risk supply chain as part of our efforts to promote the responsible procurement of minerals. We also disclose information about these efforts to our customers and stakeholders.
Environmental considerations
Anritsu stipulates Green Procurement Guideline and promotes green procurement by purchasing parts and materials that have been proven less damaging to the environment.

Requests to Suppliers

To promote our Basic Rules of Procurement, the Anritsu Group communicates the following requests directly to all suppliers as it seeks their cooperation in activities undertaken throughout the entire supply chain.

Requests
Observance of laws and social norms Observance of relevant laws, prohibition of child labor, forced labor and cheap labor; and prohibition of discrimination and transaction with antisocial forces Environmental considerations Realization of environmental measures in line with Anritsu's Green Procurement Guidelines, environmental requirements, etc. Ensuring good quality, supply at fair prices and maintenance of delivery schedules Preventing leakage of secret information and respect for intellectual property rights Prompt response to contingencies and timely, appropriate information disclosure

Requests

Observance of laws and social norms
Observance of relevant laws, prohibition of child labor, forced labor and cheap labor; and prohibition of discrimination and transaction with antisocial forces
Environmental considerations
Realization of environmental measures in line with Anritsu's Green Procurement Guidelines, environmental requirements, etc.
Ensuring good quality, supply at fair prices and maintenance of delivery schedules
Preventing leakage of secret information and respect for intellectual property rights
Prompt response to contingencies and timely, appropriate information disclosure

System

The Anritsu Group has established a procurement system by optimizing the concentration and decentralization of material procurement operations, with the Chief SCM Officer taking responsibility for global material procurement.

While local procurement is the basic policy at our main procurement locations in Japan, the United States, and China, we have standardized evaluation criteria for parts adoption on a global basis, enabling mutual use of parts certified at each location.

Target

Mid-Term Business Plan "GLP2026"

Target	Results for FY2024
Strengthening of supply chain due diligence: A cumulative total of 10 or more companies per year	Implemented at 10 companies
Developing awareness on CSR procurement to suppliers at least three times per year, and provide training at least twice each year	Developing awareness: 3 times/year Training: 2 times/year
To further promote green procurement, use environment-related education to increase the number of certified environmental partner companies and build an environmentally conscious supply chain starting from Anritsu	Number of certifications: 282 companies

Activities and Achievements

Anritsu Group CSR Procurement Guidelines

The Anritsu Group has established the Anritsu Group CSR Procurement Guidelines to promote CSR procurement in the supply chain. These guidelines are based on the "Responsible Business Conduct Guidelines" published by the Japan Electronics and Information Technology Industries Association (JEITA). Suppliers are informed of these guidelines at policy briefings. When signing contracts with new suppliers, we request the submission of a written agreement to promote CSR procurement.

Anritsu Group CSR Procurement Guidelines

Green Procurement Guidelines

The Anritsu Group established its Green Procurement Guidelines in FY1999 and has given priority to procuring environmentally friendly parts and materials. In FY2016, the guidelines were revised as the Anritsu Group Global Green Procurement Specification. Overseas production sites are now compliant with these guidelines. We are constantly reviewing our guidelines to ensure compliance with the RoHS Directive, REACH Regulations, and other chemical substance regulations that are spreading globally, especially in Europe.

The Anritsu Group uses chemSHERPA^*to conduct surveys of substances with environmental impact regarding parts and materials purchased from suppliers.

* chemSHERPA: Scheme for communicating information on chemical substances contained in products developed under the initiative of the Ministry of Economy, Trade and Industry

Supply Chain Due Diligence

■ CSR Procurement Survey

Anritsu conducts credit control, quality control, and environmental control surveys for new suppliers. For existing suppliers, Anritsu conducts CSR procurement surveys in the form of questionnaires for the purpose of confirming the status of their efforts to comply with the Anritsu Group CSR Procurement Guidelines, and then we select suppliers for onsite surveys based on their responses.

In FY2023, we added to the targets for surveys suppliers at production bases in China and Thailand, where human rights risks were identified based on human rights risk assessments.

The CSR Procurement Survey evaluates the following categories: "Compliance with Laws and Regulations and Respect for International Norms," "Human Rights and Labor," "Health and Safety," "Environment," "Fair Trade and Ethics," "Quality and Safety," "Information Security," and "Business Continuity Plan." Respect for human rights in the supply chain is evaluated in this survey under "prohibition of forced labor," "prohibition of child labor," "consideration for young workers," "consideration for working hours," "appropriate wages and benefits," "prohibition of inhumane treatment," "prohibition of discrimination," and "freedom of association and the right to collective bargaining."

In FY2024, we conducted a survey of 339 suppliers that were among the top 90% of suppliers in terms of transaction value in FY2023, and received responses from 335 companies (response rate: 98.8%). The answers are scored and the progress is monitored, and the results are used as a basis for selecting targets for on-site surveys.

CSR Procurement Survey Results

	FY2021	FY2022	FY2023	FY2024
Number of companies surveyed	418	422	399	339
Number of companies responding	372	363	356	335
Number of companies not responding	46	59	43	4
Response rate (%)	88.9	86.0	89.2	98.8

■ On-Site Survey of Suppliers

In FY2024, Anritsu conducted on-site surveys of ten suppliers in Japan, China, and Thailand. As a result, we achieved the FY2024 target in GLP2026. No significant risks regarding human rights, labor, or health and safety were identified for any of the suppliers. No suppliers have been found to be out of compliance in the surveys conducted to date.

In FY2025, we plan to conduct on-site surveys of seven companies in Japan and five companies overseas.

Number of On-Site Surveys Conducted

(Units: Companies)

	FY2021	FY2022	FY2023	FY2024
Japan	3	3	4	6
Overseas	3	3	4	4
Total	6	6	8	10

■ Responding to the Modern Slavery Act

The Anritsu Group complies with both the UK Modern Slavery Act and the Australian Modern Slavery Act, and discloses specific activities in its Statement on the Modern Slavery Act.

Anritsu Group Statement on "Modern Slavery"

■ Responsible Mineral Procurement

In order to promote responsible mineral procurement, Anritsu added a section on responsible mineral procurement to the Basic Procurement Policy and the Anritsu Group CSR Procurement Guidelines in FY2022, in accordance with the OECD Due Diligence Guidance.

In FY2024, we conducted responsible mineral sourcing surveys for 160 suppliers related to our major products, using the survey report templates (CMRT for conflict minerals and EMRT for minerals such as cobalt) provided by the Responsible Minerals Initiative, an international industry association.

The survey yielded responses from approximately 61% of suppliers.

Training for Purchasing Managers

The Procurement Division makes it a cornerstone of its CSR procurement activities to ensure that all Anritsu Group procurement personnel are fully aware of the CSR Procurement Policy. At the semi-annual policy briefing sessions and the twice-yearly information exchange meetings with our business partners, the head of the Procurement Division repeatedly raises awareness regarding current issues.

All procurement personnel in the domestic group take an e-learning course every year on subcontracting laws, which are particularly important under the relevant laws and regulations. We promote understanding of CSR procurement activities through discussions on case studies related to initiatives on human rights, labor, and the environment.

For newly assigned staff, we provide training in CSR procurement, the environment, and related regulations, and then conduct on-the-job training so that they can recognize the importance of promoting CSR procurement throughout the supply chain.

Partnerships with Suppliers

Global Recommended Supplier System

Anritsu has established a global recommended supplier system to recognize suppliers that can do business with the entire Anritsu Group. This enables us to streamline procurement activities and share development roadmaps and technical issues with suppliers to shorten the time-to-market.

Global recommended suppliers are selected based on the availability of key components, and cooperation in terms of quality, cost, delivery, and technical support. We have certified 12 suppliers so far.

Participation in the Declaration of Partnership Building

Anritsu has formulated and published the Declaration of Partnership Building in support of the aims of the "Council on Promoting Partnership Building for Cultivating the Future" promoted by the Cabinet Office and the Small and Medium Enterprise Agency. This is a declaration by companies that are committed to coexistence and new partnerships throughout the supply chain, and to compliance with fair and proper business transactions.

Anritsu expressly identifies the following as unique initiatives in this declaration.

Promote operational efficiency not only for Anritsu, but also for our suppliers through the operation of a common ordering and supply IT system
Distribute the Green Procurement Guidelines to suppliers, hold briefings on trends in environmental regulations, and collaborate throughout the supply chain to address RoHS and other environment-related laws and regulations
Work to promote health and productivity management throughout the supply chain

Partnership Building Declaration (Japanese only)

Exhibition of Suppliers Products and Technologies

Anritsu holds an annual product exhibition where suppliers' products and technologies are introduced to Anritsu engineers and information can be exchanged. In FY2024, a total of 59 suppliers exhibited their products and technologies over a two-day period. We held a technical exchange seminar, where 4 suppliers presented their solution proposals and the latest trends in technology.

Environmental Partner Certification System

Anritsu has established an environmental partner company certification program to evaluate environmental efforts and certify suppliers in good standing. The evaluation focuses on the management of chemical substances contained in products and assigns the management status a grade of A, B, or C. Suppliers with a grade of A or B are certified as environmental partner companies. For suppliers with room for improvement, we provide information on chemical substances contained in their products and advice on management methods.

As of May 2025, the number of certified environmental partner companies is 282.

Partner Quality UP (QU)

As part of our communication with suppliers, we promote Partner QU activities, in which we encourage our partners toprovide improvement suggestions and requests to Anritsu. In addition to procurement, we also accept proposals across a wide range of areas, including sales, engineering, manufacturing, services, health and safety, environment, and CSR, to help improve our operations. In FY2024, we received 10 proposals, which lead to improved delivery times, cost reductions, and improvements in quality.

Strengthening Partnerships through Information Exchange Meetings

Anritsu holds information exchange meetings to strengthen our partnerships with suppliers. In FY2024, we introduced Anritsu business policies and initiatives to 207 suppliers and asked them to promote CSR procurement. We also explained key points of environmental regulatory laws and regulations, tax laws, and foreign exchange laws.

At a social party that we held for our business partners in January 2025, we asked our 155 suppliers for their understanding of and cooperation with the newly established "Declaration of Partnership Building."

Maintaining Healthy Relationships with Our Suppliers

The Anritsu Group defines compliance for material procurement operations in the "Anritsu Group Charter of Corporate Behavior," the "Anritsu Group Code of Conduct," and the "Anritsu Basic Rules for Procurement." We conduct fair and transparent transactions with our suppliers by adhering to a code of conduct that includes "not accepting gifts" and "not trading stocks based on insider information."