Climate Change Data

Environmental Metrics

ESG Focus Areas

• Environmental Protection
• Social Responsibility
• Governance

Environmental Achievements

• Reduced emissions of various pollutants such as atmospheric emissions and solid wastes
• Improved corporate environmental management
• Promoted green office and low-carbon travel

Social Achievements

• Provided high-quality healthcare services
• Established multiple channels to communicate with stakeholders
• Conducted various social charity activities and invested RMB348,828
• Improved medical quality and service standard

Governance Achievements

• Established a mature procurement system
• Formulated the “Regulations on Fraud and Violation of the Group”, defining the fraud and violation monitoring mechanism
• Developed a formal staff handbook with clear guidelines on aspects such as conflicts of interest, privacy and confidentiality, prevention of bribery and corruption

Climate Goals & Targets

Environmental Challenges

• Incomplete data collection mechanism for harmless waste
• Need for greater effort to achieve emission reduction targets and maximized control on consumption of energy and resources
• Handling of 43 service disputes across the country in 2017

Mitigation Strategies

• Plans to conduct survey for harmless waste data in the future
• Implementation of energy conservation, emissions reduction, consumption reduction and efficiency improvement policy
• Established medical malpractice handling procedures and management systems, including the “Doctor Patient Communication System” and “Complaints Management Approach”

Supply Chain Management

Supplier Audits: Annual assessment of 273 suppliers

Responsible Procurement

• Stringent access requirements for suppliers
• Strict inspection on the legal qualifications and quality reputation of pharmaceutical suppliers
• Signing of “Corruption-free Agreement” with suppliers

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: GRI Sustainability Reporting Standards

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• National Honest Private Hospital
• Advanced unit of medical insurance services of Nantong City
• Municipal clinical key specialty and first group of municipal care key specialty of Nantong City
• Annual advanced blood donation unit and excellent organiser
• Excellent performance award for annual critical care quality control information submission
• Group Third Grade Award of the First Practice Pharmacists Professional Skill Competition of Nantong City

Environmental Metrics

ESG Focus Areas

• Healthcare quality
• Customer privacy
• Employee benefits
• Environmental protection
• Green supply chain
• Integrity

Environmental Achievements

• Actively reduced consumption of various resources
• Increased recycling rate of resources
• Reduced emission/discharge of pollutants
• Promoted green office and low-carbon travel

Social Achievements

• Implemented measures to improve medical services (telemedicine, medical alliances, ambulatory care, MDT)
• Improved customer satisfaction with quality services
• Held many public benefit activities (COVID-19 control initiatives and voluntary diagnosis & treatment services)
• Provided free medical examinations for employees
• Ensured work-life balance for staff
• Spent RMB5,898,174.49 on personal protection devices for employees and RMB5,351,546.97 on medical examinations

Governance Achievements

• Established a three-tier ESG management structure
• Formulated anti-corruption policies and increased awareness of clean and compliant practice
• Established a sound organisational structure for risk control and formulated control procedures
• Formulated the “Regulations on Fraud and Violation of the Group” and “Internal Audit Management System of Rici’ Hospital Business”

Climate Goals & Targets

Environmental Challenges

• Insufficient support from head office for new expansions due to rapid business expansion
• Lack of an adequate expansion system
• Serious homogenization with competitors’ products/services
• Unscientific investment decision-making procedures
• IT construction and planning failed to meet future needs
• Staff structure/quality could not meet development needs
• High employee turnover rate
• Unauthorized transactions regarding capital operation
• Inherent risks of medical disputes
• Defective standard operating procedures
• Failure to obtain/renew licenses
• Possible fraud and other irregularities
• Ineffective execution of contracts
• Impact of pandemic control and prevention measures

Mitigation Strategies

• Optimized mechanism and standard operating procedures for managing and controlling business expansion risks
• Regularly evaluated internal business development plan
• Hired high-level professional consultants
• Expanded sales channels, increased online sales promotion
• Implemented “dual-brand strategy” for medical examination business
• Increased investment in customer services
• Optimized investment model, enhanced investment forecast
• Increased investment in informatization construction
• Upgraded customer management system
• Strengthened talent introduction and employee recruitment
• Enhanced employee training and education
• Improved incentive mechanism
• Strengthened internal communication mechanism
• Established corporate culture system
• Improved fund management mechanism
• Strengthened centralized management of funds
• Formulated standard operating procedures for business workflow
• Perfected customer complaint management system
• Established crisis public relations mechanism
• Improved standard operation manual for medical-related business
• Set up a sound compliance system
• Enhanced awareness of operating and maintaining licenses
• Perfected license management system
• Optimized anti-fraud system
• Improved management and execution of contracts
• Implemented prevention and control measures to strengthen quality and safety management
• Strengthened online training for employees

Supply Chain Management

Supplier Audits: Annual

Responsible Procurement

• Stringent access requirements for suppliers
• Strict inspection on qualifications and reputation of pharmaceutical suppliers
• Incorporation of “Corruption-free Agreement” into supplier contracting process

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather conditions

Reporting Standards

Frameworks Used: GRI