DENSO's Procurement Policy

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Others
Major Worldwide Customers
Toyota
Honda
Isuzu
Subaru
Mazda
Daihatsu
Hino
Suzuki
Mitsubishi
Nissan
Hyundai
Kia
Volkswagen
GM
Chrysler
Ford
Volvo
Jaguar
Land Rover
OPEL
BMW
Mercedes-Benz
Volkswagen
Audi
Renault
PSA
Fiat
Tata
Tesla
John Deere
Caterpillar
Cummins
CNH
Harley-Davidson
Perkins
Paccar
Volvo Trucks
Freightliner
© 2009
Major North American Customers
GM
Chrysler
Ford
BMW
Mercedes-Benz
Hyundai
Kia
Tesla
Volkswagen
Toyota
Honda
Isuzu
Subaru
Mazda
Hino
Suzuki
Mitsubishi
Nissan
John Deere
Caterpillar
Cummins
CNH
Harley-Davidson
Perkins
Paccar
Volvo Trucks
International Truck & Engine
Polaris
Mack Trucks
Freightliner
© 2009
Product Flow
Vehicle Purchaser
OEM Customer
First Tier Supplier
DENSO
Second
Tier
Supplier
Second
Tier
Supplier
© 2009
DENSO’s Procurement Policy
© 2009
Purchasing Process Flow
SUPPLIER
DENSO
First
Contact
Issue of
Quotation
Presentation
Prototype
Production
Issue of
Final
Quotation
First Contact
Preliminary Review
Second Review
Quotation Request
Evaluation of Quotation
Initial Plant Visit
Prototype Order
Evaluation of Prototype
Quality Process Audit
Final Quotation Request
Overall
Evaluation
Final Selection
Contract
Order Placement
Regular Production Setup
© 2009
DENSO Culture in North America
Culture Blending
Management Principles
American
Culture
Development
for Every
Associate
DENSO
Philosophy
Good
Company
Japanese
Culture
Community Commitment
© 2009
DENSO Corporate Culture
American Culture
DENSO Philosophy
Creativity
Long-term vision
Entrepreneurial spirit
Continuous improvement
Equality
Volunteerism
Recognition
DENSO Culture
Respect humanity
Consensus
Japanese Culture
Teamwork
Long-term vision
Continuous improvement
Equality
Recognition
Participation
Consensus
Teamwork
Participation
© 2009
Monozukuri (Making Things)
DENSO is committed to making high-quality components.
© 2009
Employee Education/Development
We invest unsparingly in the training and
development of approximately 126,000 DENSO
employees worldwide.
• First training center set up in 1954.
(Just five years after DENSO’s founding)
• Approximately 45 technical
training center/rooms globally
for technicians and engineers.
• Extensive training
courses for employees.
• Supplier training if needed.
© 2009
Corporate Social Responsibility Goals
© 2009
Corporate Social Responsibility
Framework
© 2009
CSR Group Management
© 2009
Contributing to North America
Major Focus Areas for Community Contribution
Education
Contribute to economic and personal development
through education
Environmental Conservation
Support organizations which engage, educate and
activate people to contribute to environmental
conservation
Health and Welfare
Support the well-being of community
© 2009
Contributing to North America
DENSO helps the communities through employee
volunteer activities and corporate philanthropy. Doing
our part as a caring corporate citizens of the world.
North American Support
To date, more than US$30 million to help its communities prosper.
Employee Volunteer Time
Through FY10, DENSO has contributed 47,413 volunteer hours.
© 2009
Contributing to North America
Major North American Community Activities
• For Inspiration and Recognition of Science and Technology
(FIRST): A high school robotic competition to inspire interest in
engineering technologies. DENSO and ASMO provide small motors to all
participating teams.
• A World in Motion (AWIM): Educational outreach to elementary and
secondary schools. DENSO is a major financial contributor and provides
volunteers.
• Rouge River Rescue: River clean up activity (DIAM)
• Relay for Life: Fund-raising activity for cancer (DMAR)
• United Way day of Caring: Providing volunteer assistance to nonprofit organizations. (DMMI, DMAT, DMTN, DMCN)
• Thanksgiving/Christmas Food Drive: (DSCA, DIAM)
© 2009
Contributing to North America
DENSO North American Foundation Outline
Distinction
First Japan-based automotive parts supplier in North
America to establish a corporate foundation.
Focus
Provide grants to colleges and universities throughout
North America for education and/or scientific purpose.
Total Contributions
DENSO North America Foundation has donated $4.8 million to
local universities and the American Red Cross. ($495, 000 to
ARC and the rest to schools)
Established
Jan. 1, 2001
© 2009
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