Implementation of Ethical Business Practices
Ethical Business Policy
The Company has established the Ethical Corporate Management Best Practice Principles, Procedures for Ethical Management and Guidelines for Conduct to set standards for employees to follow in the course of business operations.Dedicated Unit
The Company has designated the General Manager’s Office as the dedicated unit responsible for overseeing and executing matters related to ethical business practices. The implementation status is reported to the Board of Directors at least once annually.Ethical Corporate Management – Implementation Status and Deviations from the Ethical Corporate Management Best Practice Principles for TWSE/TPEx Listed Companies and the Reasons
| Assessment criteria | Implementation status | Deviation and causes of deviation from the Ethical Corporate Management Best Practice Principles for TWSE/TPEx Listed Companies | ||
| Yes | No | Summary description | ||
| I. Establishment of integrity policies and solutions | No material difference | |||
| (I) Has the Company established a set of board-approved business integrity policies, and stated the policies and practices it implements to maintain business integrity in its Articles of Incorporation or external correspondence? Are the board of directors and the senior management committed to fulfilling this commitment? |
ˇ | (I) The Company has prescribed Ethical Corporate Management Best Practice Principles, and Procedures for Ethical Management and Guidelines for Conduct in 2021. | ||
| (II) Has the Company developed systematic practices for assessing integrity risks? Does the Company perform regular analyses and assessments on business activities that are prone to higher risk of dishonesty, and implement preventions against dishonest conduct that include at least the measures mentioned in Article 7, Paragraph 2 of the “Ethical Corporate Management Best Practice Principles for TWSE/TPEx Listed Companies”? |
ˇ | (II) The Company has established "Operating Procedures and Behavioral Guidelines for Integrity Management", which strictly prohibits managers and all employees from accepting bribes and engaging in any illegal behavior, and will penalize them according to the actual situation if they violate the law. | ||
| (III) Has the Company defined and enforced operating procedures, behavioral guidelines, penalties, and grievance systems as part of its preventive measures against dishonest conduct? Are the above measures reviewed and revised on a regular basis? | ˇ | (III) The Company has established "Employee Work Rules", which specifically regulates the matters that should be noted by the Company's employees when performing their duties. The Company has also established guidelines for employee reward and punishment. Employees who engage in unethical conduct will be penalized, and there is a reporting channel for any suspected fraud or malpractice. | ||
| II. Enforcement of business integrity | No material difference | |||
| (I) Does the Company evaluate the integrity of all counterparties it has business relationships with? Are there any integrity clauses in the agreements it signs with business partners? |
ˇ | (I) The Company conducts credit checks on counter-parties in accordance with internal control procedures before engaging in transactions with them and finds out through various channels whether counter-parties have engaged in any fraudulent transactions. | ||
| (II) Does the Company have a unit directly under the board of directors that enforces business integrity? Does this unit report its progress regarding the implementation of the business integrity policy and prevention against dishonest conduct to the board of directors on a regular basis (at least once a year) |
ˇ | (II) The company designates the General Manager's Office as the dedicated unit responsible for integrity management operations and supervision. The office reports on the implementation status to the Board of Directors at least once a year. | ||
| (III) Does the Company have any policy that prevents conflicts of interests, and channels that facilitate the reporting of conflicts of interests? | ˇ | (III) The Company has established procedures for managing the operations of the Board of Directors, and has set forth the rules related to the recusal of directors' interests. The Company has also provided a comment email so that the employees' opinions can be conveyed to the management. | ||
| (IV) Has the Company implemented effective accounting policies and internal control system to maintain business integrity? Has an internal or external audit unit been assigned to devise audit plans based on the outcome of integrity risk assessment, and to audit employees’ compliance with various preventions against dishonest conduct? | ˇ | (IV) The Company has established effective accounting policies and internal control system to implement ethical corporate management. Internal auditors conduct audit to ensure the compliance of the system based on the audit plan. | ||
| (V) Does the Company organize internal or external training on a regular basis to maintain business integrity? | ˇ | (V) Through different channels, the Company educates its employees and makes them clearly understand the Company's ethical corporate management concepts and rules. | ||
| III. Functioning of the Company’s whistleblowing system | No material difference | |||
| (I) Does the Company provide incentives and means for employees to report misconduct? Does the Company assign dedicated personnel to investigate the reported misconduct? | ˇ | (I) The Company has a whistleblowing channel for reporting suspicious fraud or misconduct, and the Audit Office is responsible for handling such reports. The Company has established a reporting channel for suspected fraud or misconduct, which is handled by the Audit Department. The Chairman of the Audit Committee also receives the reports. In case of any irregularities, a special audit will be initiated, and the results will be reported to the Board of Directors. | ||
| (II) Has the Company implemented any standard procedures for handling reported misconduct, and subsequent actions and confidentiality measures to be undertaken upon completion of an investigation? |
ˇ | (II) The Company has provided a whistleblowing channel in the Employee Work Rules. | ||
| (III) Does the Company have appropriate measures in place to protect whistleblowers from retaliation? | ˇ | (III) The Company has appropriate measures in place to protect whistleblowers from retaliation when receiving the report. | ||
| IV. Enhanced information disclosure | No material difference | |||
| Has the Company disclosed its integrity principles and progress on its website and MOPS? | ˇ | The Company disclosed the information on ethical corporate management in its annual report and website. | ||
| V. If the company has adopted its own ethical corporate management best-practice principles based on the Ethical Corporate Management Best-Practice Principles for TWSE/TPEx Listed Companies, please describe any deviations between the principles and their implementation: | ||||
| The Company has prescribed Ethical Corporate Management Best Practice Principles, and Procedures for Ethical Management and Guidelines for Conduct in 2021, and there are no material differences in the operations at present. | ||||
| VI. Other information relevant to understanding business integrity within the Company (e.g. review of business integrity principles amended by the Company): | ||||
| The Company always pays attention to the domestic and foreign ethical corporate management principles, conducts a review of the Company's rules and regulations, and urges all employees to comply with them. | ||||
Ethical Business Practice Implementation Results for the Most Recent Year
(1)As of November 30, 2024, a total of 120 employees have participated in ethical business training programs.
(2)No violations of ethical conduct provisions have been reported.
Codes of Ethical Conduct(.pdf)
Ethical Corporate Management Best Practice Principles(.pdf)
Procedures for Ethical Management and Guidelines for Conduct(.pdf)