Supplier Management

Chipbond is a downstream packaging and testing service provider in the semi-conductor industry. The major processes include manufacture, packaging and testing of various bumps.The major procurement items include raw materials, materials, equipment, and contracted services. To assure the quality of our products, we implement different quality activities aiming at primary raw material and material suppliers to strengthen their quality control. We work with them closely to form a partnership of collaboration and growth and create a win-win situation for both parties.

With the goal of sustainable management, the company leads suppliers to jointly practice corporate social responsibility and create sustainable value through the implementation of the existing supplier management system.

Supplier Management Policy

Comply with local regulations by positive actions and also take customers' needs into consideration simultaneously.
Carry out corporate social responsibility and adopt zero-tolerance policy in terms of conflict minerals.
List corporate social responsibility practices into supplier management mechanism gradually to motivate sustainable development of suppliers.
Strengthen suppliers' capacity by ample communication, practice exchange and cooperation.

Proccess of Supplier Management

The Company establishes the "Provision for Supplier Management" to create long-term and stable partnership with suppliers in the hope that, through definite management and operation mechanisms, suppliers can satisfy the exceptions of the Company and the requirements of the customer in the aspects of delivery time, quality, technology, and hazardous substance.Currently, the Company performs management and guidance of material suppliers at the following three phases.

Customer Service and Supplier Management

Supplier Audit

The audit covers the quality system, process, control of hazardous substances, and CSR. Audit results are classified into four grades of Outstanding, Good, Fair, and Not good. The supplier that does not meet the requirements shall present improvement actions and the Company may give guidance and conduct re-audit if needed.

Certified Certificates for Main Material Suppliers

In addition to requesting suppliers to acquire the ISO 9001 quality certificate, we encourage them to acquire the certificates under international standards in the respects of ESH, RoHS, CSR, etc. The percentage of the 25 major material suppliers in the acquisition of these international certificates in 2023 is described below.

To reduce the potential impact to the business operation due to supply chain risk, the Company established the "Supplier Code of Conduct Declaration" and "Supplier Integrity Commitment Letter" in 2014 and 2020. Through these document, we convey to our suppliers the requirements of our company regarding the Code of Conduct for Business Partners and the continuous improvement of supplier ESG risk assessment and management mechanisms. In 2023, 128 suppliers signed "Chipbond's Supplier Code of Conduct Declaration" and "Supplier Integrity Commitment Letter". The signing rate reached 100%.We will continue enhancing the supplier risk control and fulfill the CSR together with our business partners.