Code of Conduct for Sustainable Development of Suppliers

SDGs

Code of Conduct for Sustainable Development of Suppliers

With reference to relevant international specifications and initiatives including the RBA Code of Conduct, SA8000 social accountability standards, the UN Guiding Principles on Business and Human Rights, the UN Universal Declaration of Human Rights, and the Ten Principles of the UN Global Compact, Qisda has established the “Code of Conduct for Sustainable Development of Suppliers” that includes labor, health and safety, environment, ethics and management systems. In terms of environmental management, we have also established and published Commitment to No-Deforestation and Biodiversity to lessen impact on the environment.

We require that all suppliers understand and obey the content of the “Code of Conduct for Sustainable Development of Suppliers”.

The signing rate of the Code of Conduct for Sustainable Development of Suppliers

99.7 %

Code of Conduct for Sustainable Development of Suppliers

Labor	Health and safety	Environment	Ethics	Management system
Human rights risk	Occupational Safety and Industrial Hygiene	Permits and Reporting	Business Integrity	Commitment,Accountability and Responsibility
Freedom to choose an occupation	Emergency Preoaredness	Pollution Prevention and Resource Reduction	No Improper Advantage	Risk Management and Improvement Objectives
Child labor and Young workers	Occupational Injury and Illness	Hazardous Substance	Disclosure of Information	Training, Communication and Grievance
Working hours	Physically Demanding Work and Machine Safeguarding	Solid Waste and Air Emissions	Intellectual Property	Assessments, Corrective Action, Documentation and Records
Wages and Benefits	Sanitation, Food and Housing	Water Management	Fair Business,Advertising and Competition	Supplier Responsibility
Humane Treatment	Communication and Grievance	Material Restrictions	Whistleblower protection
Non-discrimination/Non-harassment		Energy Consumption and Greenhouse Gas Emissions	Responsible Sourcing of Minerals
Freedom of Association and Collective Bargaining		Biodiversity	Information Security and Privacy
Layoff

Proactive Screening

We appreciate that supplier sustainability performances may indirectly affect Qisda's reputation and even bring potential risks. Therefore, we have established evaluation criteria for new suppliers and proactively screens suppliers to reduce potential risks. Our assessment factors include ESG, operations-related factors, country of location, industry-related, and product-related risk factors. When significant international events occur, we also conduct investigation and assessment on affected regions, industries and supply sources to secure the stability and sustainability of the supply chain.

Factor	Content
Environment	Carbon footprint investigation, investigation of five persistent, bio-accumulative and toxic (PBT) chemicals under the US Toxic Substances Control Act (TSCA), ISO 14001 or relevant environmental management procedures.
Social	Human rights and ethics, labor rights
Governance	Education and training on financial status, operational competitive edge, and occupational safety and health
Operations related	Basic data, product information, major customers, production and equipment status, investment, and product planning
Country of location	Status of the supply (whether affected or not) in the located region, conflicts between countries (military coup related problems), local policy constraints, natural disasters and epidemic
Industry related	RBA Code of Conduct assessment, sustainability risk assessment, parts and components suppliers, human resources agency/ on-site service providers
Product related	Procurement fee, supply category, no legal documents related to restriction of hazardous substances, conflict mineral investigation

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