Climate Change Data

Environmental Metrics

ESG Focus Areas

• Not disclosed

Environmental Achievements

• Reduced carbon emissions from power consumption by approximately 1.4% year on year in 2022. Goal for 2023 is a 1% reduction.
• Passed ISO 14001 and QC080000 certifications.

Social Achievements

• Various employee benefit measures including Labor Insurance, National Health Insurance, group insurance, regular health checkups, massage service, book subsidies, travel leave, and various subsidies for life events.
• Organized skill and knowledge courses and offered training subsidies.
• Organized domestic/overseas group trips and department gatherings.

Climate Goals & Targets

Environmental Challenges

• Global economic uncertainties including trade conflicts, war, inflation, exchange rate instability, and economic recession.
• Shortage of key components in the network and communications industry.
• Competition from Chinese manufacturers, particularly in low-priced products.

Mitigation Strategies

• Strengthening supply chain management, improving supply quality, reducing costs and lead times.
• Strengthening inventory control.
• Focusing on high-end, high-performance, and high value-adding products.
• Expanding collaboration with Chinese ODM service providers and focusing on areas of competitive advantage (marketing and software development).
• Outsourcing production activities to offset cost disadvantages.
• Introducing new technologies to create a competitive barrier.

Supply Chain Management

Supplier Audits: Annual audits of key suppliers for environmental protection, health and safety management, and human rights.

Responsible Procurement

• Code of conduct; supplier sustainability requirements; requirements regarding environmental protection, human rights, safety, health, and sustainable development; “Declaration of Green Product” required from raw material suppliers.

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather; threats to employee safety.

Transition Risks

• Resource shortages; increased raw material costs; greenhouse gas emission reduction regulations.

Opportunities

• Development of energy-efficient products and green energy technologies.

Reporting Standards

Frameworks Used: Null

Certifications: ISO 14001, QC080000, ISO/IEC 27001:2013, CNS 27001:2014

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Energy-efficient products; green energy technologies.

Awards & Recognition

• Taiwan Excellence Award

Environmental Metrics

ESG Focus Areas

• Environmental
• Social
• Governance

Environmental Achievements

• No violations of environmental laws in 2023.
• No significant difference in total energy usage compared to the previous year in 2023.
• No serious waste leakage incidents in 2023.

Social Achievements

• Held ESG training courses in 2023 (3 hours, 29 participants).
• Conducted 5 on-the-job training courses including health lectures in 2023 (80 participants).
• 251 employees participated in health and safety checks in 2023.
• Employee performance appraisals conducted in 2023 (99.68% completion rate).
• Held 4 labor-management meetings in 2023.
• No occupational injuries or illnesses among employees or non-employees in 2023.

Governance Achievements

• Company governance ranking in 2023: 36%~50% (listed companies); 2%~10% (market capitalization under NT$5 billion).
• Board of directors convened 7 times in 2023 (98.70% average attendance rate).
• 16 female senior executives (20.51%), 87 female non-executives (37.66%) in 2023.
• Total training hours for board members in 2023: 78 hours.
• 12 software R&D innovations in 2023.
• Supplier assessment of 9 companies in 2023 (88.89% pass rate).
• Conducted 4 sessions of information security training in 2023 (9.5 hours, 80 participants).
• No customer data breaches or losses resulting in customer rights violations in 2023.

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to the pandemic (partially resolved).
• Economic downturn, high inflation, and rising interest rates impacting revenue and profitability.
• High inventory levels in North America due to previous year's stockpiling.

Mitigation Strategies

• Strengthening supply chain management to improve supply quality, reduce costs, and shorten lead times.
• Focusing on high-value, high-margin products and solutions.
• Developing new products and expanding into new markets (Industrial Grade Networking Solutions, AIoT).

Supply Chain Management

Supplier Audits: 9/year

Responsible Procurement

• Compliance with local laws, including labor and human rights regulations.
• Requirement for suppliers to provide information on raw material sources.
• Requirement for suppliers to provide a “Green Product Declaration”.

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events impacting supply chain and transportation.

Transition Risks

• Changes in regulations regarding carbon taxes/fees and renewable energy standards.
• Need to adjust or change suppliers to meet low-carbon product trends.
• Need to replace energy-efficient production equipment.
• Increased demand for low-carbon products.

Opportunities

• Development of green energy technologies and low-carbon products.
• Improved resource use efficiency to reduce operating costs.

Reporting Standards

Frameworks Used: GRI Standards 2021, TCFD, SASB

Certifications: ISO 9001, ISO 14001, ISO 27001, ISO 45001, IECQ QC 080000

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Multiple Taiwan Excellence Awards (31 in total)