Supply chain management


In today’s business world, goods and services are sourced, shipped and delivered across the globe. Supply chains are dealing with issues such as sustainable production, environmental destruction, human rights including child labor and forced labor, and labor issues including working conditions and occupational health and safety. These issues have been reported frequently on the news and they raise awareness in consumers and NGOs. It is imperative that companies step up sustainability initiatives for their own good and their entire supply chain.    


Policy and Commitment

We are constantly looking out for business partners to share common profit and introduce new and innovative products useful for our society.

Purchasing Policy:

  • Fair relations based on an open door policy
    Provide open, equal, and fair opportunities for all companies, regardless of their locality, size, and sales results.
  • Look for good partners
    Procure from local as well as overseas vendors who provide innovative products at high quality and competitive prices.
  • Observe laws, and maintain confidentiality
    Observe laws on business dealings and respect the spirit of these laws.
  • Mutual growth through mutual trust
    Create open conditions for business dealings and respect free competition.
  • Promote CSR Procurement
    Work hand in hand with suppliers on fulfilling their social responsibilities, such as sustainable purchasing, environmental conservation, occupational safety and health, human rights, forced labor.

In our commitment to sustainable procurement, priorities will be given to vendors who share the same values.  

Green Procurement Policy


Initiatives and Actions

Potential partners are invited to complete our Vendor Evaluation Form to collect and assess information about the company. When considering the new vendor, priority will be given to the one who has obtained ISO 9001, ISO 14001 and is compliant with RoHS or REACH standard.

An Annual Green Procurement Inspection List is sent to our top suppliers to ensure that they have an environmental management system, comply with the applicable laws, manage chemical waste and take initiatives to reduce their carbon footprint.


Code of Conduct

Daikin is working with suppliers worldwide in ensuring responsible procurement in order to fulfill its social responsibility across the entire supply chain. We consider our suppliers as important partners, with whom we are promoting relationships of trust through open, fair, and equal trade. At the same time, Daikin promotes CSR procurement with consideration for the environment, quality, occupational safety, and human rights within its supply chain including our suppliers in order to earn society's trust as a global company.

Daikin Airconditioning (Singapore) Pte Ltd (“DSP”) is committed to conducting business in a responsible and sustainable manner and works towards successful supplier relationships built on trust, fairness and expected behaviour.

Our product and service suppliers (“Suppliers”) are critical to our success. DSP strives to select reliable organizations committed to providing superior products and services that meet our expectations in terms of ethics, business conduct, and social and environmental responsibility.

The Supplier Code of Conduct (“Code”) sets forth our expectations and requirements for our Suppliers. The Code is not intended to be an exhaustive list of all ethical and business conduct requirements, as DSP understands and expects our Suppliers to have their own internal codes of ethics and conduct.

1.           Human Rights

1.1 Respect the human rights of each and every employee, both those of your own company and those working for companies you outsource to, without regard to nationality, race, ethnicity, religion, color of skin, age, gender, sexual orientation, or disability. Strive to ensure a pleasant working environment and good human relations in the workplace.

1.2 Do not engage in harassment, including sexual or power harassment or harassment relating to pregnancy, childbirth, or childcare leave, and make every effort to create a fair and positive workplace. Furthermore, respect the human rights of people outside the company including your business partners and various stakeholders.

Child Labor & Forced Labor
1.3 Thoroughly comply with all labor laws and regulations (Labor Standards Law, the Industrial Safety and Health Law, the Labor Union Law, etc.,) and strictly prohibit the labor of underage employees, minors who do not meet minimum legal age requirements (child labor), or labor performed under compulsion or again a person's will (forced labor).

Respect Diversity
1.4 Pool the strength of all people concerned by respecting their diverse values and working philosophies and mutually accepting their differences, with the aim of building a workplace where you can maximize the talents of your human resource.

Principle Of Strict Legality
1.5 Have all your employees act in awareness of their responsibility as members of society. Do not commit any anti-social or illegal acts, and do not get involved with any companies or individuals committing such acts.

2.           Workplace Health and Safety

2.1 Take all possible precautions for safe operations and act with a mindset of "Safety First" to ensure the safety of the workplace and further gain the trust of people in the regions you serve.

2.2 Conduct daily inspections of workplaces for possible causes of disasters and implement prevention measures so that you can create a work environment where disaster risk is minimized and where your employees can thus work in safety.

3.           Environment

Preservation of the Global Environment
3.1 Comply with environment-related laws and regulations in each country and region, and implement activities to sustain and improve the global environment in all areas of business, including development, production, sales, logistics, and services.
Raise Environmental Protection Awareness

3.2 Work with Daikin and other business partners and suppliers to carry out environmental protection activities in all aspects of your business operations, including manufacturing, distribution, sales, and after-sales service.

3.3 Be aware of the environmental impact that your business has on your operations and its surroundings as well so that you do not cause environmental and health hazards in the community

Promote Green Procurement
3.4 Cooperate in all aspects of Daikin's Green Procurement Surveys, and continuously strive to improve your company's Green Procurement Score on these surveys.

4.           Quality and Product Safety

4.1 Always strive to ensure safety and quality of products for end users. If problems arise, take action promptly and appropriately.

5.           Information Security

Protection Of Intellectual Property
5.1 Acquire and protect intellectual property rights for your company, respect the intellectual property rights of other companies, and ensure you do not infringe upon the intellectual rights of other companies.

Data Protection & Confidentiality
5.2 Properly manage and efficiently utilize confidential information and personal information of your own and other companies, and always ensure that such information is obtained under lawful means.
5.3 Protect your company's IT system (computer systems, networks, and information property kept within the computer systems) from cyber attacks such as computer viruses from outside your company.

6.           Business Ethics

Proper Company Policies
6.1 Observe your working regulations and internal company policies and do not commit any dishonest or unfaithful acts. Moreover, maintain internal order and public morals and work diligently and with sincerity.
Honest Business Dealings
6.2 Pursue honest business activities by engaging in honest competition in abidance with Singapore's Competition Act and the relevant laws of other countries and regions, and by abiding with other laws related to business dealings.

Compliance With Laws & Regulations
6.3 Accurately comprehend and observe all business laws and regulations of each country and region applicable to our business activities. Comply with trade-related laws and regulations of each country and region, and under no circumstances get involved in dealings that risk endangering world peace and safety and the maintenance of world order.

Anti-Corruption & Bribery
6.4 Exercise moderation and perform within the acceptable range of social norms and obey the laws and regulations of each country and region in regards to entertainment, the exchange of presents, and invitation relating to your business. Prohibit any bribery, corruption, extortion and embezzlement. In particular, do not entertain, provide gifts of monetary value, or extend invitations to public officials in Singapore or abroad that violate the applicable laws and regulations in each country and region.

Anti-Monopoly & Fair Competition
6.5 Observe all applicable laws and regulations relating to fair competition and fair trade of each country and region, including antimonopoly laws. Furthermore, conduct fair sales and procurement activities based on proper corporate ethics and in accordance with sound business practices and social norms.
Prohibition of insider trading

6.6 To maintain trust as company, do not take a part in the buying and selling of stockshares with the aid of non-disclosed information obtained from your own or other companies (insider trading).

Proper handling of accounting procedures
6.7 Perform accounting procedures lawfully and properly according to accounting standards and tax laws, and strive for a high level of internal control.

7.           Communication
7.1 Have written rules such as business policy and code of conduct to inform employees of their social responsibilities in business practices and ensure they strictly fulfil them.

7.           Compliance with Supplier Code of Conduct
8.1 Suppliers are required to acknowledge that they have read and understood this code. We expect our Suppliers to communicate the content of this Code to their employees, suppliers and all third parties they engage to fulfil their contractual obligations with DSP, as well as to observe the Code’s principles when selecting subcontractors and ensure they comply with the Code’s requirements.



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