Procurement Policy
TBK conducts global production and procurement activities both in Japan and overseas.
In these global operations, we offer fair opportunities to all companies, domestic and international, and procure high-quality parts that meet our requirements through impartial evaluation.
Our procurement activities are based on this fundamental principle. We comply with international and domestic laws as well as social norms, and strive to build mutually cooperative and trusting relationships with our suppliers while pursuing optimal quality and cost.
Furthermore, we actively promote initiatives to fulfill our social responsibilities—such as global environmental conservation—with the cooperation of our suppliers.
TBK Group Sustainability Procurement Guidelines
The TBK Group aims to be a company that contributes to a circular society through a stable supply of essential safety components that support the safety and reliability of logistics, as well as through the development of electrification solutions. To achieve this, procurement activities that fulfill social responsibilities throughout the supply chain are essential. The TBK Group emphasizes compliance with laws and regulations, respect for human rights, environmental conservation, and fair business practices, and promotes procurement that contributes to the realization of a sustainable society. The guidelines apply to all business operations of the TBK Group, and we expect all business partners, including suppliers of materials and components and contractors, to support and comply with the guidelines. Furthermore, we encourage them to promote initiatives aligned with the intent of the guidelines to their own upstream suppliers, thereby enhancing sustainability throughout the supply chain.
Supplier Communication Activities
To strengthen trust and improve communication with our suppliers, TBK holds annual policy
briefings.
These sessions clearly communicate our management and procurement policies, and cover a wide range of topics including sustainability initiatives and requests for BCP (Business Continuity Planning) cooperation. We also recognize and commend outstanding suppliers during these events.
In addition, we host an annual production briefing session aimed at further enhancing quality across our supply chain.
Executive ForumImplementation of Supplier Assessments
We conduct comprehensive evaluations of our suppliers to verify the status of their initiatives
and identify potential risks and opportunities. For suppliers who do not meet our internal standards, we develop corrective action plans and provide guidance to encourage improvements.
Training for Purchasing Personnel
To ensure the smooth execution of procurement activities, we regularly provide training for employees assigned to the Purchasing Department. The training content varies according to each employee’s career stage and covers topics such as essential knowledge and skills for purchasing operations, risk management in procurement, and leadership in global sourcing. In addition, we are expanding the scope of our initiatives from green procurement to clean procurement.
The following flowchart outlines the basic procedure for initiating transactions. Please note that actual steps may vary slightly depending on the case.
- Step
- 1．Proposal for Business Transaction
- 2．Request for Quotation
- 3． Quotation Evaluation / Adoption Review
- 4．Order for Sample Products
- 5．Quality Evaluation / Supplier Visit / Production Process Audit
- Supplier
- Submit a proposal via the contact form
- Prepare quotation documents
- Submit quotation documents, make a presentation
- Produce and submit sample products
- submission of samples
- TBK
- Evaluate and review the proposal
- Conduct preliminary review and request submission of quotation documents based on evaluation of quality, technical capabilities, cost, delivery time, management status, and stability
- Evaluate the quotation and consider adoption
- Place sample order
- Conduct quality and technical assessments, visit supplier, and inspect production processes
- 6．Negotiation of Transaction Terms
- 7．Contract Signing
- 8．Start of Business Transactions
- Negotiate transaction terms
- Sign the contract
- Begin business transactions
Quality Policy
To manufacture and deliver safe, highly reliable products to our customers.
In order to realize this fundamental philosophy, we commit to the following actions:
- We will consistently supply products that meet customer requirements and comply with applicable laws and regulations, while striving to improve the "quality" of both our operations and products, thereby gaining customer satisfaction and trust.
- To achieve our quality policy, we will establish quality objectives, evaluate our activities and results in accordance with defined rules, and continuously improve the effectiveness of our quality management system.
- We will regularly review the appropriateness of our quality policy and assess the need for revisions
Quality Management System
Quality Management Structure As part of its quality improvement framework, the TBK Group holds two monthly meetings: the Company-wide Quality Meeting and the Factory Quality Review Meeting.
The Company-wide Quality Meeting is chaired by the Head of Quality Management and includes executives at the department head level or higher from subsidiaries. It is designed to review product quality conditions and the effectiveness of the quality management system for the President of TBK, who holds ultimate management responsibility. These meetings facilitate cross-departmental information sharing on quality issues and allow for the formulation of solutions. The outcomes, including directives from top management, are shared across the entire TBK Group to promote improvement.
The Factory Quality Review Meeting consists of plant managers, section chiefs, and quality department members. The meeting addresses quality issues in manufacturing processes, postshipment problems, and material defects including those from the supply chain. It aims to implement countermeasures and drive continuous quality improvements.
These meeting bodies embody the company-wide quality initiatives and play a critical role in maximizing the effectiveness of the Group’s quality management system.
Quality Management System Certification
Since acquiring ISO 9001 (the international standard for quality assurance systems used by automakers) in 1999, the TBK Group now operates under the IATF 16949 standard. This enables the Group to maintain a production system capable of delivering high-quality, high-precision products both domestically and globally.To enhance safety, the Group has achieved ISO 26262 certification and will incorporate it into its product development.
From TPS to NPS – Evolution in Manufacturing
TBK has joined the NPS (New Production System) Study Group, an organization supporting
Japanese manufacturing industries. Through active engagement in learning the latest production management methods and industry best practices, TBK continues to enhance its original production system to build a more flexible and efficient manufacturing structure.
While inheriting the TPS (TBK Production System) philosophy of “delivering the right products in the right quantities at the right time,” the Group minimizes lead times, inventory, and resource input across the supply chain — from raw material procurement to final sales.
With the NPS production system, TBK promotes a manufacturing approach that achieves higher quality and productivity by eliminating waste thoroughly, integrating Just-in-Time, automation with a human touch, and a respect-for-people philosophy at its core.
Lightweight SAW Brake Assembly Line
Lightweight SAW Shoe Assembly Line
Synchronized Shoe Supply (Directly Connected to Brake Assembly Line)
Expander Convergence Checker
Automated Expander Sleeve Assembly Line
Automated Water Pump Assembly Line
Oil Pump Function Checker
Gas Soft Nitriding Furnace
Gas Carburizing FurnaceResearch and Development
Planning / Development / Design
At TBK, we collaborate with vehicle and engine manufacturers from the early planning stages through to design and development. This cooperation contributes directly to reducing costs and shortening development timelines for our clients.
In the brake division, our key R&D themes include environmentally friendly brakes, linings, and pad materials. In the pump division, we pursue greater lightness, higher efficiency, and reduced noise while developing electronically controlled energy-saving pumps that operate with minimal energy to maximize engine performance—thereby supporting the development efforts of engine and vehicle manufacturers.
In the new product development division, we are promoting R&D to meet emerging application needs as part of our initiatives toward carbon neutrality. We are leveraging our accumulated mechanical water and oil pump technologies to realize mass production of electric pumps and are working on the development of thermal management systems for commercial vehicles centered around these technologies.
Furthermore, to improve production efficiency and reduce costs, we consistently apply a design philosophy that emphasizes standardization of parts and processes.
Development SceneBench Test
Before launching a new product to the market, we conduct rigorous performance and durability tests that simulate actual vehicle operation. In addition, we perform environmental tests—including temperature, humidity, water immersion, and vibration—to ensure product reliability
Brake Performance Test(In this test, with dust cover attached)
Autonomous Driving Control Room
Water Pump Performance Test
Oil Pump Performance Test
Vibration Durability TestVehicle Testing
In addition to a wide range of performance and durability tests conducted using bench testing equipment, we also perform extensive real-world vehicle testing. Our high-speed circuit allows us to conduct tests under diverse conditions, from low-speed to high-speed driving environments, ensuring comprehensive validation of product performance in actual vehicle operation.
Tokachi Proving GroundThe TBK Group implements a variety of training programs aimed at raising employee awareness of quality. From startup courses that teach the basics of quality standards to advanced courses for mid-level employees focused on continuous skill improvement, we provide customized education tailored to each organizational level, reinforcing the foundation of quality management.
【Key Initiatives】
- Quality Manual Education
Target:Team leaders and above
Purpose:Understanding TBK's QMS (Quality Management System) - In-house Measurement Skill Certification System
Target:Manufacturing operators
Purpose:Enhancing measurement skills - QC Certification Training (Level 3 & 2)
Target:Manufacturing team leaders, indirect departments
Purpose:Acquiring appropriate usage of statistical tools and understanding quality control - Visual Inspection Skills Improvement Using Limit Samples
Target:Manufacturing operators, quality control workers
Purpose: Preventing the outflow of defective products - Correspondence Education
Target:All employees
Purpose:Qualification improvement and self-development - Internal Auditor Training
Target:Departments involved in QMS, manufacturing processes, and product audits
Purpose:Enhancing TBK's QMS - Training for Certified Operators of Critical Safety Parts
Target:Workers handling critical safety components
Purpose: Ensuring quality assurance for products critical to human life - Training for Operators of Special Processes
Target:Workers engaged in special processes
Purpose: Ensuring the quality of products whose defects cannot be detected by appearance and only after use
Human Resource Development Policy
In order to enhance corporate value amid a constantly changing external environment, it is essential for employees with diverse values to demonstrate initiative, creativity, and a sense of responsibility as they work to realize our management vision. To this end, we have developed an educational framework tailored to the skills required at each career level, aiming to establish a system where each individual can fully demonstrate their capabilities.
Ideal TBK Personnel Profile
Individuals who possess:
● Initiative
● Creativity
● A sense of responsibility
● Strong execution capabilities
In line with our human resource development policy, TBK has established a system that supports employee growth. Centered on the General Affairs Department and training personnel,
we plan and implement training programs to enhance the skills and knowledge of every employee, while also focusing on fostering globally minded talent. At each production site, we are also committed to nurturing the next generation of talent through workplace education and support for technical intern trainees. By ensuring close coordination between headquarters and each plant, we strive to provide diverse growth opportunities and create an environment
where all employees can realize their full potential.
Planned Development for Career Formation
Aiming to nurture individuals with autonomy, creativity, a strong sense of responsibility, and execution capabilities, we clearly define the skills required at each career stage, from junior employees to management. We implement planned and systematic training programs to support the acquisition of these skills.
Additionally, to foster the next generation of leaders, we actively implement personnel rotations and secondments to domestic and international group companies to provide diverse experiences and perspectives.
Through training programs, we also promote communication across departments and sites within the group, aiming to vitalize the organization and cultivate a corporate culture that embraces new challenges.
Global Talent Development
Our group promotes global human resource development and the utilization of diverse talent through domestic and international group companies.
Specific Initiatives Include:
- Establishing a joint research and development system among Japan, Thailand, and India to enhance the group’s overall development capabilities
- Promoting the global deployment of diverse talent through inter-site personnel exchanges, creating an environment that encourages innovation through the unique strengths of employees with varied perspectives (overseas trainee program)
- Holding global HR meetings and formulating strategies for talent exchange across locations
- Introducing group factories through online factory tours and incorporating initiatives and ideas from other sites
- Developing training programs in Japan for overseas engineers to support their professional development
Training and Education Programs
Education & Training Map
TBK Group Diversity, Equity & Inclusion Policy
Under the management philosophy of “Creating products that bring joy to our customers and contribute to society,” the TBK Group supports the safety and reliability of logistics by ensuring a stable supply of essential safety components such as brakes and functional components including pumps for engine cooling and lubrication.
In addition, by focusing on manufacturing that leverages the casting and machining technologies we have cultivated over many years and on the development of electrification solutions for a new era, we aim to be a company that contributes to a circular society.
We believe that in order to achieve sustainable growth and contribute to society,
it is essential to embrace diverse values and perspectives, and that new ideas and technological innovation generated by people from different backgrounds will become the driving force that supports a company’s growth.
Accordingly, to create a workplace where all employees can fully demonstrate their individual abilities, we will establish an environment in which everyone can work as their authentic selves with a sense of fulfillment, regardless of age, gender,
nationality, race, religion, disability, sexual orientation, or gender identity. We will also provide a place where diverse talent can take on challenges together and grow while respecting each other’s strengths.
This policy has been approved by the Sustainability Committee, a body reporting directly to the Board of Directors, and has been signed by the President & CEO.
January 27, 2025
TBK Co., Ltd.
Kaoru Ogata, President & CEO
Support for Balancing Childcare and Nursing Care
We have established childcare and nursing care leave systems to foster a corporate culture where all employees, regardless of gender, can utilize these systems.
Proactive Hiring of Women
We actively disclose information related to the success of female employees to attract more applicants.
Promotion of Women in the Workplace
We encourage the promotion and advancement of female employees and work to eliminate
wage disparities.
Initiatives for the Utilization of Diverse Human Resources
We are working to create an environment where diverse personnel can fully demonstrate their abilities.
To promote the active participation of senior employees, we have introduced a “Post-Retirement Reemployment” system for those aged 60 and over. This system provides flexible working arrangements based on individual career plans, allowing seniors to continue contributing.
For foreign employees, we offer “in-house Japanese language classes,” which help them learn communication methods and workplace guidance necessary for smoother daily operations and foster mutual understanding across cultures.
We are also actively promoting the employment of people with disabilities and are developing workplace environments tailored to their individual needs. Through such efforts, we aim to provide a comfortable working environment and enhance organizational diversity.
We will continue to promote a work environment where people from diverse backgrounds can thrive and perform to their full potential.
Workplace Environment Policy
To create a fulfilling workplace, we are committed to improving employee health, promoting work-life balance, and enhancing employee satisfaction.
Implementation of Employee Awareness Surveys
We regularly conduct employee awareness surveys. Based on the results of these questionnaires, we identify issues and reflect them in future measures and initiatives.
Basic Approach to Occupational Health and Safety
We recognize the safety and health of our employees as a critical priority. We are committed to thorough occupational health and safety management, accident prevention, and continuous improvement of the workplace environment.
Occupational Health and Safety Promotion System
Our company promotes occupational health and safety management through the “Occupational Health, Safety, and Environment Committee.”
This committee is composed of representatives from both management and labor, an occupational health nurse, and an industrial physician, and meets monthly at each site.
Key agenda items include safety patrols, incident reports, interviews with the occupational health nurse, and sharing of health and safety information from other companies.
Risk Assessment for Occupational Health and Safety
We conduct risk assessments related to occupational health and safety. Through these assessments, we identify potential safety and health risks and implement multifaceted measures such as education, training, and emergency response planning. Our goal is to ensure a safe workplace environment for all employees.
Implementation of Safety Experience Training
New employees are provided with safety experience training using actual factory equipment
to help them recognize potential hazards. This hands-on approach raises awareness and strengthens their understanding of workplace safety.
Deployment of Occupational Health Nurses
We have assigned occupational health nurses to our Head Office, Fukushima Plant, and Tsuruoka Plant. These professionals provide health consultations, conduct interviews upon request, and share health-related information, all aimed at creating a workplace where employees can work with peace of mind.
Health Management Declaration
Our long-term goal is to “contribute to society through sustainable growth.” We believe that
promoting employee health and creating a work environment where everyone can fully realize their potential are essential to invigorating the organization and achieving sustainable growth. To enrich the lives of our employees and ensure continuous corporate development, we position the promotion of employee health as a key management strategy and are committed to supporting both physical and mental well-being.
Health Management Promotion Framework
Our health management initiatives are led by the President of TBK, with designated health management officers playing a central role in driving these efforts.
Efforts to Maintain Employee Health
We are actively engaged in maintaining employee health through the implementation of regular health checkups.
Key Focus Areas for Health Checkups
- Ensuring 100% participation in periodic health checkups by thoroughly following up with employees who have not yet received the exam
- Encouraging employees to undergo detailed examinations when necessary
- Promoting awareness of subsidy programs for optional medical tests
Recognized as one of the “2026 Outstanding Organizations of KENKO Investment for Health (Large Enterprise Category)”
We have been recognized as one of the “2026 Outstanding Organizations of KENKO Investment for Health (Large Enterprise Category)” under the recognition program promoted by the Ministry of Economy, Trade and Industry (METI) and the Nippon Kenko Kaigi.
Implementation of Stress Check
We conduct annual stress checks for all employees. Based on the results, employees are categorized into four risk levels. If an employee is identified as having a high stress risk, occupational health nurses provide interviews and support aimed at improving mental health. All results are handled in accordance with relevant laws and regulations, with full protection of employee privacy.
Interviews with Occupational Health Nurses
Our group is also committed to enhancing health management through occupational health
nurses. In accordance with our internal health interview rules, occupational health nurses assess workplace safety and hygiene conditions, and provide advice to managers regarding any identified issues.
Furthermore, employees facing mental health challenges receive personalized support, including individual counseling and return-to-work assistance. Through these initiatives, we aim to improve overall workplace health and create an environment where all employees can work with peace of mind.
Basic Approach to Social Contribution Activities
As a corporate citizen, our company is committed to the development of local communities and environmental conservation. Through these efforts, we aim to contribute to the realization of a sustainable society that grows in harmony with the community.
Registered as a Tsuruoka SDGs Promotion Partner
The Tsuruoka Plant has been registered as a “Tsuruoka SDGs Promotion Partner,” a program aimed at promoting the awareness and achievement of the SDGs in Tsuruoka City.
At networking events, topics such as “Challenges to be addressed in Tsuruoka,” “Creating a city where young people want to live,” “Fostering people who will support the local community,” and “Building a safe and secure town” have been discussed. Based on the insights gained from these exchanges, our company will further advance its initiatives toward achieving the SDGs in collaboration with the local community.
Participation in the Tsuruoka Zero Waste Operation
The Tsuruoka Plant took part in the "Tsuruoka Zero Waste Operation" in response to a call from the Waste Management Division of the Tsuruoka City Citizens’ Affairs Department. On May 30, known as “Zero Waste (530) Day,” employees participated in a beach clean-up activity at Yunohama Beach.
This initiative provided an opportunity to think about the issue of marine plastic waste while collecting litter along the coastline together with other local companies and organizations.
※ It is estimated that about 80% of marine plastic waste originates from land. Much of it comes from litter carelessly discarded on roads, garbage overflowing from collection points, or waste left behind during leisure activities—eventually washed into the sea by wind and rain.
Yunohama Beach, Tsuruoka City
Marine Debris Collected on the DayTree Planting Activities
TBK INDIA PRIVATE LTD. has carried out tree planting activities over the past three years, planting approximately 164 trees within the factory premises to date.
Tree Planting SceneRenovation of the Showroom at Fukushima No. 2 Plant
The showroom located within the Fukushima No. 2 Plant has been renovated. With the theme of “Creating Sustainable Cities and Communities,” the showroom serves as a space to communicate the TBK Group’s corporate philosophy to all stakeholders, including the local community.
In addition to displays of products such as brakes, pumps, and engine assist systems, the exhibition area features a special collaboration zone with Tamakawa Village, symbolizing regional cooperation. Through this showroom, TBK will continue to deepen engagement with stakeholders and further promote initiatives toward achieving the SDGs.
Showroom
Brake Area
Pump and Other Components Area
TBK Group Human Rights Policy
Under our corporate philosophy of “creating products that please customers and contribute to society,” the TBK Group supports the safety and reliability of logistics by ensuring a stable supply of critical safety components such as brakes and functional parts like engine cooling and lubrication pumps.
We are committed to manufacturing that utilizes our long-cultivated casting and processing technologies, and are also focusing on the development of electrification solutions for the new era, aiming to contribute to a circular society. As a member of the international community, we consider it our social responsibility to respect human rights and not be complicit in any human rights violations.
We support and respect international norms such as the International Bill of Human Rights and the ILO Declaration on Fundamental Principles and Rights at Work, and have established the following policy in line with international guidelines such as the UN Guiding Principles on Business and Human Rights
1.Basic Stance
The TBK Group is committed to respecting internationally recognized human rights and to protecting and promoting them in all business activities. We declare to avoid any acts that infringe on human rights or may lead to such violations.
2.Scope of Application
This policy applies to all officers and employees of the TBK Group (including contracted employees, fixed-term employees, and temporary staff). We also expect our suppliers and business partners to share and comply with the principles of human rights respect.
3.Human Rights Due Diligence
We will periodically assess human rights risks and respond promptly to any identified issues. Additionally, we will implement risk mitigation measures as necessary.
4.Remedy and Correction
If any human rights violations occur, we will take appropriate remedial and corrective actions promptly.
5.Dialogue with Stakeholders
We will engage in regular dialogue with stakeholders and reflect their input in our human rights policies.
6.Information Disclosure
We will transparently disclose information on our human rights initiatives and progress through our website and other means on a regular basis.
7.Awareness and Education
We will ensure that all employees are made aware of this human rights policy and will provide regular training to promote understanding and awareness.
8.Legal Compliance
We will act in accordance not only with the laws and regulations of each country but also with international human rights standards, and comply with legal requirements regarding human rights risks in our business operations.
This policy has been approved by the Sustainability Committee, a body directly reporting to the Board of Directors, and has been signed by the President and Representative Director.
October 21, 2024
Kaoru Ogata
President and Representative DirectorTBK Co., Ltd.
Received the “Human Rights Awards” for Three Consecutive Years
TBKK (Thailand) Co., Ltd. has received the Human Rights Awards 2025 from the Ministry of Justice of the Kingdom of Thailand for the third consecutive year in recognition of its contributions to human rights initiatives.
The Ministry of Justice praised TBKK (Thailand) Co., Ltd. as a “model for other companies,” acknowledging its strong commitment to respecting human rights and contributing to the realization of a sustainable society.
The TBK Group will continue to uphold international human rights standards, contribute to the development of a sustainable society through its business activities, and promote responsible initiatives as members of a society where every employee walks together with mutual respect.