Risk Management Policies, Procedures and Organization |
The Company established the “Risk Management Policies and Procedures Regulations”, which have been adopted by the Board of Directors, in 2020 to cope with the rapidly changing environment, reduce the impact on the business when risk occurs, and improve the resilience of the Company against the risk.
A 〝Risk Management Team〞 was formed under the Sustainable Development Committee in the same year for promotion and implementation of the risk management system.
Risk Management Operations |
The risk assessment of the Company was limited to the six business operation and manufacturing bases as the boundary, and the analysis was conducted based on the materiality principle in the sustainability report. We assessed material ESG issues to identify the items that must undergo risk management by reviewing internal and external relevant laws and regulations as well as research reports and communicating with internal and external stakeholders. The scope of the risk management assessment includes “material price and supply chain risk”, “operation hazard risk”, “financial risk”, “investment risk”, “information security risk”, and “climate change risk”.The risk identification and assessment are conducted by various risk management units. The assessment results are then consolidated by the Risk Management Subcommittee of the Sustainable Development Committee. Measures to address potential operational impacts are developed and continuously monitored and controlled. The goal is to keep the risks within an acceptable range.The Sustainability Committee reports the operational status of risk management to the Board of Directors at least once a year. The recent report was submitted on October 26, 2023.
For a detailed account of the execution, kindly refer to the Chipbond Sustainability Report.