Climate Change Data

Environmental Metrics

ESG Focus Areas

• Labor Management Culture
• Employee Well-being
• Community Engagement
• Supplier Relations
• Innovation
• Family-Friendly Workplace

Environmental Achievements

• Not disclosed

Social Achievements

• Received 2019 Government Award for Labor Management Culture (51 years of no conflict with employees)
• Organized various employee engagement activities (Thanksgiving celebrations, Family Day, department parties, charity events, etc.)
• Implemented a 'Thanks Tree' initiative to foster appreciation among colleagues
• Launched family-friendly initiatives resulting in family-friendly certification
• Conducted community give-back events (Rake and Run, Thanksgiving Drive)
• Supported employee weddings and provided gifts and recognition

Governance Achievements

• Not disclosed

Climate Goals & Targets

Environmental Challenges

• Gaps in New Product Development (NPD) leading to quality problems
• Rapidly changing automotive industry trends and manufacturing technology innovations

Mitigation Strategies

• Strategic Execution Roadmap focusing on closing the gap in NPD through improved communication and competency building
• Customer/Product Matrix strategy to discover new business opportunities
• Investment in smart factory technologies and automation
• Focus on recruiting and retaining talented employees

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: Null

Certifications: Family-friendly certification

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• 2019 Government Award for Labor Management Culture
• $300 million Export Tower Award
• $100 Million Export Tower Award (SL Mirrortech)

Environmental Metrics

ESG Focus Areas

• Environment
• Social
• Governance

Environmental Achievements

• Greenhouse gas inventory construction and emission management (2021~)
• Energy usage reduction management (2021~)
• Compliance with environmental regulations for air, water, and waste (2021~)
• Ecovadis and HKMC security certifications

Social Achievements

• Establishment and operation of a disability sports team (Bitchoori) (August 2020~)
• SL Seobong Foundation activities (established January 2006): scholarships, academic research support, charitable activities, religious organization support, etc.
• Support activities for rehabilitation centers
• Social contribution committee activities (helping the underprivileged, fundraising activities, free meal service activities, support for low-income adolescents' school uniforms and cultural performances, etc.)
• Operation of consultation desks and committees for resolving workplace bullying/sexual harassment issues
• On-site safety inspections and risk assessments (2021~)
• Analysis of causes of safety accidents and operation of preventive activities (2021~)

Governance Achievements

• Corporate governance report disclosure (2020~)
• Establishment of an external director nomination committee within the board of directors (2021~)
• Ethics management education for specific groups
• Internal/external whistleblowing system (ombudsman) operation
• Separate internal accounting management external audit conducted annually - SL Co., Ltd. passed in 2020
• Supplier competitiveness rating operation

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions
• Meeting customer needs and pain points
• Ensuring the effectiveness and results of activities
• Securing competitiveness and profitability through target costing activities from the bidding stage
• Strengthening proactive sales activities
• Maintaining secured products through seamless collaboration between the preceding, mass production, and partner stages
• Need for updating some content to match market and customer changes
• Need for company-wide perspective on talent development
• Need for refining talent development plans

Mitigation Strategies

• Improving the accuracy of drawing input through front loading
• Improving process and product completion through organic SCCAF activities
• Maintaining secured process capabilities through mass production SPC, and strengthening feedback to the design stage using collected data
• Improving material ratios through proactive design and manufacturing innovation in the new car development process, and securing profitability of new cars at each stage
• Strengthening proactive sales activities by understanding customer needs from the product planning stage to ensure that competitive specifications, parts, and technologies are adopted
• Improving work speed and value by removing and simplifying unnecessary and wasteful elements in work and reorganizing resources and processes optimally (Rearrange)
• Adding necessary activities (e.g., customer-specific USP, target costing) to reflect market changes and customer needs
• Deep diving into activities that need continuous improvement (e.g., drawing input accuracy, SCCAF activities) to achieve results
• Ensuring that the two strategic activities are implemented simultaneously
• Establishing a company-wide direction for talent development and re-examining SLCPs and refining talent development plans for continuous implementation

Supply Chain Management

Responsible Procurement

• Supplier competitiveness rating operation
• ESG management of suppliers
• Supplier ESG education
• Supplier ESG self-diagnosis & on-site evaluation (if necessary)

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: Ecovadis, HKMC

Sustainable Products & Innovation

• BMS (Battery Management System)
• Products using recycled materials