Climate Change Data

Advantech

Climate Impact & Sustainability Data (2022, 2023)

Reporting Period: 2022

Environmental Metrics

ESG Focus Areas

  • Governance
  • Environmental
  • Social

Environmental Achievements

  • Reduced carbon emissions (Specific figures not provided in the excerpt)
  • Progress towards RE100 goals (Specific figures not provided in the excerpt)

Social Achievements

  • Launched ABLE digital employee care platform
  • Increased employee satisfaction scores (Specific figures not provided in the excerpt)

Governance Achievements

  • Promoted ESG Corporate Sustainability Committee to board-level SDC Corporate Sustainability Committee
  • Improved information security management (Specific figures not provided in the excerpt)

Climate Goals & Targets

Long-term Goals:
  • Net zero carbon emissions by 2050
  • Advantech Global renewable energy utilization rate reached 100% by 2040
Medium-term Goals:
  • Various goals for 2025 across different ESG areas (Specific details provided in the report but not extracted here due to length)
Short-term Goals:
  • Various goals for 2023 across different ESG areas (Specific details provided in the report but not extracted here due to length)

Environmental Challenges

  • Supply chain disruptions (Specific details not provided in the excerpt)
  • Climate change related risks (Specific details not provided in the excerpt)
Mitigation Strategies
  • Supplier audits and coaching
  • Development of alternative sourcing strategies (Specific details not provided in the excerpt)
  • Climate change strategy and management (Specific details not provided in the excerpt)

Supply Chain Management

Supplier Audits: 271 suppliers identified, 11 high-risk suppliers audited and coached, 88 existing suppliers planned for audit (77 completed)

Responsible Procurement
  • Advantech’s Supplier Code of Conduct

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: GRI Standards, UN Sustainable Development Goals (SDGs), Responsible Business Alliance (RBA), Sustainability Accounting Standards Board (SASB), DJSI, MSCI ESG Ratings, CDP, TCFD

Certifications: ISO 27001

UN Sustainable Development Goals

  • SDG 4 (Quality Education)
  • SDG 7 (Affordable and Clean Energy)
  • SDG 13 (Climate Action)
  • SDG 17 (Partnerships for the Goals)

Awards & Recognition

  • Taiwan Stock Exchange 8th Annual Corporate Governance Evaluations, Top 5%
  • CommonWealth Magazine Corporate Citizen Award, Large enterprise group 27th
  • GCSA Global Corporate Sustainability Award, Bronze Award of Sustainability Report Award
  • Taiwan Corporate Sustainability Awards (TCSA), Taiwan Top 100 Sustainability Model Enterprises Award
  • Taiwan Corporate Sustainability Awards (TCSA), Silver Award of Sustainability Report Award
  • Best Taiwan Global Brands – 5th
  • Eco Vadis – Silver medal
  • BCCTaipei Better Business Awards, Best Innovative Health and Wellbeing Award
  • Buying Power Social Innovation Product and Service Procurement Awards, Second prize
  • Women's Fan DEI Vision Award for Diversity and Inclusion, DEI Vision Award for Diversity and Inclusion
  • Veken Cup · OFweek 2022 Artificial Intelligence Network Industry–Most Innovative Product Award
  • The 18th CONTROL ENGINEERING China - Best Product Award
  • The 30th Taiwan Excellence Award
  • 2022 VDC Research's Gold Award
  • 2022 Bloomberg Green Gold ESG
  • 2022-2023 China Automation + Digitalization
  • 2022 AIoT New Dimension Award
  • 2022 Polaris Cup
  • Included in Yuanta FTSE4Good TIP Taiwan ESG ETF, TWSE Corporate Governance 100 Index, and TIP Taiwan Environmental Sustainability Index
  • CDP Carbon Disclosure Program - Climate Change B Level

Reporting Period: 2023

Environmental Metrics

ESG Focus Areas

  • Corporate Governance
  • Talent Cultivation and Development
  • Social Good
  • Green Operations
  • Innovation and Sustainable Services

Environmental Achievements

  • Included in the Dow Jones Sustainability Index (DJSI)
  • Achieved a B Level in the CDP Carbon Disclosure Program
  • EcoVadis Bronze Medal

Social Achievements

  • Launched volunteer leave system resulting in 1,062 volunteer hours
  • 90.07% budget implementation rate for employee welfare activities
  • Over 15,000 registrations on the ABLE Club website

Governance Achievements

  • Improved governance mechanisms year by year
  • Selected for Yuanta FTSE4Good TIP Taiwan ESG ETF, the TW CG100 IDX, and the TIP Taiwan Environmental Sustainability Index
  • Top 5% in TWSE Corporate Governance Evaluation

Climate Goals & Targets

Long-term Goals:
  • Advantech's global renewable energy usage reaches 100% by 2040
  • Net zero target by 2050
Medium-term Goals:
  • AKMC and ACL use at least 50% renewable energy by 2030
  • Achieve A for the CDP carbon disclosure score by 2025
Short-term Goals:
  • Co-creation partnerships established with 50 universities worldwide by 2025

Environmental Challenges

  • Climate change
  • Supply chain disruptions
  • Information and cyber security management
Mitigation Strategies
  • Climate change strategy and management including mitigation and adaptation
  • Sustainable management of the supply chain including supplier assessments and ESG management evaluations
  • Information and cyber security management initiatives

Supply Chain Management

Supplier Audits: 61 audits completed in 2023

Responsible Procurement
  • Supplier ESG evaluation
  • Supplier code of conduct training (716 attendees)

Climate-Related Risks & Opportunities

Opportunities
  • Development of energy-efficient products and solutions

Reporting Standards

Frameworks Used: GRI 2021 Standards, TCFD, UN Global Compact, OECD Guidelines for Multinational Enterprises, Responsible Business Alliance Code of Conduct (RBA Code of Conduct)

UN Sustainable Development Goals

  • SDG 3 (Good Health and Well-being)
  • SDG 4 (Quality Education)
  • SDG 9 (Industry, Innovation and Infrastructure)

Advantech leverages its core competencies in IoT technology to contribute to these goals through initiatives in smart healthcare, IoT education, and sustainable solutions.

Sustainable Products & Innovation

  • Energy-efficient products and solutions
  • Sustainable intelligent solutions for renewable energy, climate mitigation, climate adaptation, telemedicine, and education

Awards & Recognition

  • Taiwan Excellence Awards
  • Taiwan's Excellence in Corporate Social Responsibility Award
  • Global Views ESG Corporate Sustainability Award
  • Dow Jones Sustainability Index Company by All Industries Top 5%