Risk Management

 

The Company monitors the development of standards related to sustainable development and changes in the corporate environment domestically and internationally, to review and improve the Company's established sustainable development system; meanwhile, pursuant to the principle of materiality, the Company conducts risk assessments on environmental, social and corporate governance issues related to the Company's operations. For material risk events, specific response strategies are developed to reduce the impact of related risks.

 

 

   ▼ Material Topics and Risk Management Strategy of Tyntek

Dimension Material topic Risk management strategies and measures
Economics and Governance Aspect Information security management
1. Ensuring corporate information security meets regulatory standards enhances customer trust and guards against potential threats, promoting digital transformation and maintaining long-term stable operations.
2. Implement regular monitoring and an information security internal audit system, to ensure that information security management is implemented in daily maintenance, operation and business activities.
3. An information security management department was established, and in July 2023, the introduction of ISO 27001: 2022 information security management system was promoted, and the certificate is expected to be obtained in 2024.
Economic
1. Aggressively expand the sensing solutions business, achieve the economic performance promised by our core business and maximize shareholders' interests.
2. Through the introduction of overall economic and industrial development trend research, five-year plans, short-, medium- and long-term goal planning and management, and promotion of risk management, as well as multi-faceted deployment and transformation plans, the overall team's awareness of sustainable development is enhanced for the Company and the society as a whole.
3. Organize monthly operation report meeting to track and review the achievement of targets.
Innovation
1. Continue to invest in more high value-added and low energy consuming products and processes for the development of optical communication sensing components and sensing solutions for automotive, medical, and precision control applications to increase the revenue of new products and new markets.
2. We continue to invest in research and development personnel and the development of new processes and technologies, allocating an annual R&D budget that accounts for more than 5% of revenue.
3. Formulate sustainable technology and product R&D plans, set R&D schedule KPI, and have the responsible unit conduct performance reviews every year.
Business ethics
1. The Company shall establish policies based on integrity and establish good corporate governance and risk control mechanisms in order to create an operating environment for sustainable development, based on the business philosophy of integrity, transparency and accountability.
2. An "Ethical Corporate Management Promotion Team" has been established as a dedicated unit responsible for formulating and supervising the implementation of ethical corporate management policies and preventive programs.
3. The Company plans and manages compliance systems, and conducts compliance self-assessments at least once a year.
Supplier management
1. We actively focus on the sustainable performance of the Company and promote industrial excellence through product quality system evaluations, environmental safety and health evaluations, and labor and human rights evaluations. We pay attention to and improve the issues of corporate ethical management, labor rights and ethics, employees' health and safety, and banned hazardous substances, implement ESG management, reduce the risk of supply chain disruptions, and create value for the optoelectronics industry together with our supplier partners.
2. Annual supplier/sub-tier vendor risk assessment and audit evaluation is conducted by the Quality Assurance Unit on supplier quality, hazardous substances (HSF) management, and conflict minerals declarations. The Occupational Safety and Health Unit evaluates the environmental safety and health and labor rights of suppliers/sub-tier vendors.
Environmental Aspect Water resource management
1. Through water resources risk management, numerous water-saving and recycling efficiency measures have been formulated; meanwhile, waste water and sewage discharge management has been implemented to ensure the compliance with laws and regulations, to reduce the impact of operating water during the process on the environment.
2. We continue to introduce various water-saving technologies and carry out water-saving improvement plans for related facilities, aiming to enhance water recycling and reduce wastewater discharge.
3. Regularly tests the wastewater discharge standards and conducts performance reviews and improvements.
Energy management
1. Comply with energy regulations and implement energy management; improve energy efficiency and reduce energy consumption; implement energy management systems to reduce greenhouse emissions; promote full employee participation and establish an energy-saving culture.
2. Continue to introduce various energy-saving technologies and carry out energy-saving improvement programs for related facilities to enhance energy efficiency.
3. An energy-saving plan has been established, coordinated by the facilities management unit, integrating departments to promote energy-saving and carbon reduction strategies and plans, with regular performance reviews.
Greenhouse gas (GHG) emissions
1. According to the ISO 14064-1, the GHG self-inventory and verification are conducted to gradually establish an emission data database, identify, analyze, and formulate emission reduction plans and targets.
2. We have set targets and plans for greenhouse gas emissions management, coordinated by the occupational safety unit. This involves integrating departments to promote strategies and plans for reducing greenhouse gas emissions and regularly reviewing performance.
Waste management
1. Waste is properly disposed of to reduce the generation of waste and related costs, create revenue value and lower the impact of operations on the environment.
2. We allocate expenses for waste disposal management and transportation, collaborating with relevant units to implement process improvement technologies and reduce raw material usage and waste production through source management measures.
3. Establishment of waste reduction plans and regular performance reviews. The Company has passed the ISO 14001 environmental management system certification and conducts internal and external audits on a regular basis.
Social Aspect Employee health and safety
1. Introduce and establish an environment, safety and health management system, regularly evaluate the effectiveness of its implementation and make continuous improvements, and strengthen industrial waste reduction and prevention of injuries, diseases and pollution.
2. Establish a company-wide management plan and conduct regular performance reviews. The Company has passed the ISO 45001 Occupational Health and Safety Management System certification, and conducts internal and external audits on a regular basis.
Talent recruitment and management
1. Operates in compliance with the Labor Standards Act, and in accordance with the law, we have established employee handbooks; and various management rules and regulations, including employee benefits and retirement systems, training and continuing education, and safety protection measures in the working environment, etc. We also emphasize two-way communication between labor and management to ensure that the rights and interests of our employees are protected.
2. Regular employee performance assessments are conducted, supplemented by a comprehensive promotion and compensation system, to enhance company functional management and human resource development.
3. Provide employees with a safe and healthy work environment and development opportunities to enhance their willingness to stay.
Employee education and training
1. Continue to organize education and training to strengthen employee competency development and cultivate quality talents.
2. Formulate a professional training blueprint based on job title, seniority, and rank, organize courses according to the annual plan, and implement an education training satisfaction survey mechanism to conduct performance reviews.