Climate Change Data

Environmental Metrics

ESG Focus Areas

• Greenhouse gas emissions reduction
• Waste reduction and recycling
• Environmental compliance
• Efficient use of energy and resources
• Equal and compliant employment
• Fair and open procurement
• Supplier and distributor assessment
• Supply chain risk management
• Information security protection
• Customer privacy protection
• Anti-corruption supervision and management

Environmental Achievements

• Promoted waste separation and reduced white waste pollution.
• Promoted the use of electronic contracts and advocated a paperless office, nearly 170,000 documents were signed electronically in 2021.
• In the printing area, there are baskets for recycling of printed paper. Internal documents are printed on both sides or printed on one side of the paper for recycling, we actively promote the concept of paper saving.
• The use of electronic advertising instead of paper for promotional materials in the administration, personnel, information security and regional departments.
• For site relocation and renovation of old sites, the use of usable materials such as glass whiteboards, glass partition walls, floors and ceilings, are prioritised to reduce discarded waste. In 2021, 2,436 pieces of materials were reused in the renovation of sites.
• Electronic waste is scientifically sorted and handed over to a qualified third party or electronic equipment recycler for disposal.
• Leasing of electronic equipment to reduce the generation of electronic waste equipment.
• Regularly check water pipes, taps and other equipment and renew old equipment in time to reduce waste from leaks and drips.
• The “six switch-off” system is implemented, requiring staff to switch off computers and display screens before leaving their work stations.
• Require all new office space to use LED energy-saving lamps, and gradually replace LED energy-saving lamps in former office space.

Social Achievements

• Actively promoted the use of systems such as “Practical Courses” and Learning Platform, training and community activities such as the Digital Night School, the “Iron Army Lecture Hall on Cloud”, Project Manager Community and Quality Conference, covering management, technical and professional skills.
• Organised its staff to participate in blood donation, traffic warden volunteering services and the formation of volunteer teams.
• Participated in the environmental protection public welfare project “Sending used clothes with love to make a forest” initiated by the “Feimayi” Internet environmental protection recycling platform.
• Actively participated in the Seeds of the Future Project, a project under Project Hope’s aesthetic education and tree planting programme, initiated by the China Youth Development Foundation to support the aesthetic education of young people.

Governance Achievements

• Established the ESG Working Group under the Executive Committee of the Board, which is responsible for implementing the Board’s strategies and policies and coordinating with all business departments to carry out daily ESG work and implement ESG objectives.
• Formulated and implemented the internal “Administrative Measures on Procurement and Tendering of the Company”.
• Strengthened the assessment on suppliers’ environmental and social risks, entering into “Anti-corruption Agreement” with suppliers, and perform sustainable development performance evaluation on the suppliers every year.
• Established the Integrity Monitoring Department to build the Group’s integrity monitoring system, combat corruption and malpractice and ensuring the implementation of the Company’s internal control rules and regulations.
• Formulated the management standards for the Company’s internal intellectual property protection and enterprise qualification certification processes.

Climate Goals & Targets

Environmental Challenges

• Intensifying market competition with the development of new technologies and new forms of business.
• Disruption of business due to emergencies such as natural disasters, public health emergencies and social security issues.
• Inadequate implementation of corporate social responsibility.
• Market’s competition for talents.
• Improper maintenance of information security.

Mitigation Strategies

• Constantly explore and practice new technologies and methods while striving to provide high-quality products and services to its customers.
• Established the BCM organization structure with top-down distributed management structure, and constantly optimised the system, as well as formulated and implemented BCM mechanisms and special contingency plans in respect of high-risk scenarios.
• Adheres to the SA8000 Standards and is committed to strengthening the construction of its key CSR modules.
• Constantly explores and optimises its systems of value creation, value assessment and value distribution, so as to promote the employees’ sense of responsibility and mission.
• Puts a lot of focus on key customers’ businesses and major risks. Risks in business operation pertaining to information security, network security and privacy protection are identified with compliance as bottom line. Control measures are put in place to ensure solutions or contingency plans are formulated with 100% coverage.

Supply Chain Management

Supplier Audits: 547 suppliers, audits conducted based on a scoring system.

Responsible Procurement

• Strict supplier access system
• Supplier inspection and assessment
• Requirement for ISO14001, OHSAS18001 or ISO45001 certifications for certain suppliers
• Online tendering to reduce carbon emissions

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather

Reporting Standards

Frameworks Used: GRI

Certifications: ISO9001, CMMI 2.0 L5, TMMi Level 3, ISO27001, ISO27701

Awards & Recognition

• Top 100 Software and IT Services Competitive Enterprises for 2021
• New Fortune “Best IR Hong Kong Listed Company”
• “Golden Hong Kong Shares”
• First in HUAWEI Cloud Public Cloud Channel Ecology
• HUAWEI HDC Developer Conference 2021 “Excellent Partner in Full-scenario Smart Living” Award
• The 9th Global Cloud Computing Conference “Yunding Award”

Environmental Metrics

ESG Focus Areas

• Low carbon emission
• Water management
• Responsible management
• Value chain partners
• Environment
• Employees
• Society
• Digitalization facilitating low carbon development and empowers green transformation of industries
• Empowering the development of the smart energy industry and creating a new digital energy engine
• Innovative smart zero-carbon solutions, opening a new chapter of zero-carbon smart brain
• Intelligent guarding of urban water security, setting a new paradigm of healthy water veins

Environmental Achievements

• Reduced overall energy consumption of the industrial park by 15%
• Amount of paper used during the Reporting Period was 29.87% lower than that of the previous period
• 18,809 pieces of computer spare parts were recycled and reused during the Reporting Period
• Purchased 48,000 kWh of green electricity

Social Achievements

• Talent demand satisfaction rate of 98.18%
• More than 1,500 employees had obtained various professional qualification certificates
• Organized employees to participate in voluntary activities such as blood donation, community services and charity clinics

Governance Achievements

• Established an independent compliance management organizational structure
• Strengthened the supervision over the behavior of cadres and employees who use their influence on their duties for personal gains
• Improved the regulations on the employment of its employees

Climate Goals & Targets

Environmental Challenges

• Reduction in demand from core customers
• Intensifying market competition
• Disruption of business due to emergencies
• Inadequate implementation of corporate social responsibility
• Market’s competition for talents
• Improper maintenance of information security
• Potential impact of climate change on its business

Mitigation Strategies

• Management reforms and development
• Continuous exploration and practice of new technologies and methods
• Established the BCM organization structure
• Strengthening the construction of its key CSR modules
• Optimises its management systems of value creation, value assessment and value distribution
• Strengthened its information security management mechanism and system construction
• Implemented the “Chinasoft International’s Earthquake Disaster Emergency Plan”, “Chinasoft International’s Fire Emergency Plan” and the “Chinasoft International’s Typhoon and Rainstorm Disaster Emergency Plan”, and other emergency plans

Supply Chain Management

Supplier Audits: 46 supplier on-site assessments

Responsible Procurement

• Comprehensive assessment of suppliers
• Bidding (invitation), competitive negotiation, price comparison and single-source negotiation
• Annual evaluation of suppliers

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events such as earthquakes and floods
• Increased average air temperatures
• Changes in rainfall patterns and weather patterns

Transition Risks

• Policy and legal risks
• Market and technology risks
• Reputational risks

Opportunities

• Green energy
• Digital energy
• Smart energy

Reporting Standards

Frameworks Used: GRI

Certifications: ISO 9001, CMMI 2.0 L5, TMMi Level 3, ISO 14001, SA8000, ISO 45001, ISO 27001, ISO 22301, ISO 27701, PIPA

Third-party Assurance: Not disclosed

Sustainable Products & Innovation

• Smart Zero Carbon One-Stop Solution
• Digital Water Management Integration Platform

Awards & Recognition

• Best IR Team
• Best Hong Kong Stock Connect Company
• 2023 Best Cloud Computing Partner
• Excellent ToG Market Partner
• Product Portfolio Solution Best Practice Partner Award
• 2022 Shanghai Industrial Research Institute Industrial Excellence Partner