GMI Technology Inc.
Climate Impact & Sustainability Data (2021, 2022)
Reporting Period: 2021
Environmental Metrics
Total Energy Consumption:145,267 MWh/year (FY2021)
ESG Focus Areas
- Environmental Protection
- Employee Well-being
- Ethical Corporate Management
Environmental Achievements
- Office lighting completely replaced with LED energy-saving lamps, resulting in electricity consumption reduction of 49,613 kWh (approximately 25.46%) from FY2020 to FY2021.
- Implementation of waste separation, recycling, and reduction measures.
Social Achievements
- Established employee work rules and management practices to protect employee rights.
- Implemented various salary and benefit measures, providing market-competitive benefits.
- Provided a safe and healthy working environment, including regular health checks and a smoke-free environment.
- Implemented a career development training program for employees.
- Established a product contact window and email address on the company website, as well as a stakeholder area for customer inquiries, complaints, and suggestions.
- Donation of protective clothing and masks to Taipei City Hospital.
Governance Achievements
- Established the "Code of Conduct for Ethical Management", posted on the company's internal/external website and the Market Observation Post System.
- Established the "Code of Ethics for Employees", prohibiting unethical conduct.
- Established the "Rules for Internal and External Reporting of Illegal and Unethical Conduct of the Company".
Climate Goals & Targets
Long-term Goals:
- Be the best provider of information technology, consumer electronics, communication products and other high-tech "product application solutions" in the Asia Pacific and Greater China regions.
Medium-term Goals:
- Complete the marketing service network in the Asia-Pacific region.
- Develop products with high added value and in line with market trends.
Short-term Goals:
- Strengthen product application development capability.
- Provide complete supply of master parts for application products.
- Strengthen the Company's operation and operation management system.
Environmental Challenges
- Global COVID-19 pandemic and the formation of regional trading blocs.
- Persistent material shortages.
- Global port congestion.
- Increase in the cost of electronic components and cancelled orders.
- Post-pandemic era and inflation leading to structural changes in demand.
Mitigation Strategies
- Prudent management of expenses.
- Conservative management approach.
- Actively exploring markets outside the Greater China region.
- Developing new applications and markets related to network communications.
- Strengthening the supply chain and the development of applications related to rising demand.
- Enhancing integrated functions on the existing information system data.
- Establishing the integration management of BI inventory system management and financial information.
- Launching OKR project execution tracking system/KPI performance assessment system.
- Strengthening the integration of customer information services.
- Strengthening the management of the current online sign-off system.
- Strengthening the interaction between central warehousing and logistics and customer's temporary storage.
- Strengthening the monitoring and control of slow-moving inventory surplus materials.
- Building a company culture, recruiting professionals, strengthening internal training, and improving work efficiency.
- Strengthening the integration of financial information and inbound/outbound shipments coordination.
- Strengthening the risk management of customer/factory credit and accounts receivable.
- Introducing the management concept of ROWC.
Supply Chain Management
Climate-Related Risks & Opportunities
Reporting Period: 2022
Environmental Metrics
ESG Focus Areas
- Environmental protection
- Employee welfare
- Ethical corporate management
- Corporate governance
Environmental Achievements
- Office lighting completely replaced with LED energy-saving lamps
Social Achievements
- Participated in the "Long-term Campus Mental Health Program" of National Chengchi University and donated NT$1 million
- Purchases mooncakes from charitable organizations for the mentally disabled
Governance Achievements
- Established a Sustainable Development Committee
- Appointed a Chief Corporate Governance Officer
- Regularly evaluates the independence of the attesting CPAs
- Regulations restrict directors from trading their shares during the closed book period
Climate Goals & Targets
Long-term Goals:
- To be the best provider of information technology, consumer electronics, communication products and other high-tech "product application solutions" in the Asia Pacific and Greater China regions
Short-term Goals:
- Increase market share in Mainland China communications equipment market by 10%
- Increase new projects and new customers in the electric vehicle market by 10%
- Increase new projects and new customers in the NB/PCs/servers related computer peripheral application market by 10%
- Increase new projects in WiFi 6/VDSL/XPON by 20%
- Increase the number of new customers in the Indian market by 10 to 20 active customers
- Increase the gross margin of high-end TWS headphones by 5%
Environmental Challenges
- High inventories in the electronic components sector
- Uncertain demand in the electronic components sector
- Intense competition in the telecommunications equipment tender market
- Changes in trade relations between countries
Mitigation Strategies
- Minimize inventory levels
- Ensure the transparency of the supply chain
- Strengthen risk management
- Ensure quality and delivery time
- Improve the flexibility of stock preparation and shipment
- Establish an effective quality control mechanism with suppliers
- Establish solid relationships with customers
- Keep up with the pace of technology innovation
Supply Chain Management
Climate-Related Risks & Opportunities
Reporting Standards
Frameworks Used: IFRS
Certifications: ISO9001
Third-party Assurance: KPMG Taiwan