Stakeholders
After all the stakeholders had been identified using the five attributes in the AA1000 Stakeholder Engagement Standard (2015) (AA1000 SES 2015): dependency, influence, responsibility, diverse perspectives, and tension. The major stakeholder groups were defined according to their importance. The results were used to assess the economic, environmental, social, and human rights significance of these issues for reference in planning sustainable development strategies and as a basis for information disclosures in this report. The process revealed the following major stakeholder groups: investors (shareholders, Board), competent authorities, customers, suppliers, local communities, and employees. There have been no significant changes in our primary stakeholders since the 2021 report was published. Regular and intermittent exchanges and engagement with stakeholders through many multifaceted channels revealed the expectations of the stakeholders. Stakeholder engagement was also a source of information about sustainability issues and impact assessment.
Stakeholder
Investor (including shareholders and the Board)
Significance to Chroma
Create steady profit and ROI while also demonstrating sustainable governance.
Approach and Frequency of Engagement
【Regular】
- AGM (once a year)
- Board meetings (7 in 2022)
- Annual report (once a year)
- Financial statements (quarterly)
【Irregular】
- Corporate website
Stakeholder
Competent authorities
Significance to Chroma
Abide by laws and regulations, cooperate with the government on policies, and address the stakeholder expectations from Chroma.
Approach and Frequency of Engagement
【Irregular】
- MPOS
- Government documents and policy outreaches
- Onsite audits
Stakeholder
Customer
Significance to Chroma
Each customer feedback item is an important nutrient for development and CRM optimization. Analyze and review the comprehensive needs and opinions of customers to gain an in-depth understanding of them to facilitate subsequent improvements.
Approach and Frequency of Engagement
【Regular】
- Internal quality and review meetings
- Customer satisfaction survey
【Irregular】
- Business visits
- Various sales meetings and technology review meetings
Stakeholder
Suppliers
Significance to Chroma
We have built a reciprocal value chain with our business partners that emphasizes balanced ESG collaboration to create a new business model and enhance competitiveness.
Approach and Frequency of Engagement
【Regular】
Supply conferences and guidance meetings are regularly held and suppliers are audited and rated periodically.
【Irregular】
Supplier grievance channels and supplier technology seminars.
Stakeholder
Local communities
Significance to Chroma
Fulfill CSR, build social contribution mechanism through operations, solve environmental and social problems, create positive influence.
Approach and Frequency of Engagement
【Irregular】
- Complaint hotline
Stakeholder
Employee
Significance to Chroma
We care about the needs of employees and have built a friendly workplace environment. Hazard identification and risk assessment has been implemented to reduce potential accidents and encourage organizational coherence and commitment in our employees. Our health checkup system is being continuously optimized and steps have been taken to improve gender equality measures. We care for the health and protect the human rights of our employees.
Approach and Frequency of Engagement
【Regular】
Labor-management meeting and monthly/weekly/labor representative meetings at each plant.
【Irregular】
- Immediate supervisors
- HRD responsible personnel
- A corporate bulletin board
- An employee suggestion box
- Employee seminars
- Employee grievance channels
- Training courses
- Policy outreach meetings
Survey of the Chroma Material ESG Issues
Material topic
Waste management
Meaning for Chroma
We periodically follow up and report the weight of waste, set reduction targets, and publicize the resource recycling achieved by our plant and the energy conservation goals for our facilities.
Material topic
Climate change and energy management
Meaning for Chroma
The reduction of GHG emissions is a vital necessity for global environmental protection. Chroma uses an inventory, quantification, monitoring, and reporting to control and reduce our GHG emissions. We have made a conscious effort to reduce resource and energy consumption in our operating processes to save energy conservation and to cherish our planet. Energy and resource management is a strategy that powers sustainable operations, while systemic management facilitates energy conservation to improve environmental performance.
Material topic
Green products and services (management of hazardous substances)
Meaning for Chroma
Chroma is committed to the development of green energy products and the reduction of hazardous substances in relevant processes by creating lead-free production lines.
Material topic
Employment
Meaning for Chroma
Employees are our most important partners and great emphasis has been placed on their work environment, its development, and health care. We have established diverse internal communications channels and carried out various employee relationship projects to create optimal employee workplaces.
Material topic
Occupational health and safety management
Meaning for Chroma
Chroma has maintained safe and healthy workplaces and has formulated an employee health management plan which provides front line protection for our employees.
Material topic
Talent development, education and training
Meaning for Chroma
With the long-term development of talented persons as an ultimate goal, we cultivate talent in new employees from scratch. Chroma has an excellent supporting mechanism and cultivation plan that accelerates the growth of talented vision and ability.
Material topic
Community engagement development
Meaning for Chroma
Chroma has always been actively involved in social care and charity. We also collaborate with academia to nurture promising talent and boost our domestic research capability. The Company will continue to give back to society with more concrete action, not only to facilitate sustainable development, but also to create more exposure for the Chroma brand.
Material topic
Customer privacy and information security
Meaning for Chroma
As a leading developer and supplier of precision monitoring and measurement equipment, we are committed to further technological development of an information security framework and close collaboration with key partners to protect the security of our important information assets and customer data. We have obtained ISO 27001 information security management certification in the face of increasingly severe information security threats and have realized process improvement through the plan-do-check-act (PDCA) cycle.
Material topic
Business ethics and ethical management
Meaning for Chroma
Chroma manages the business based on its stable operation and the principles of integrity and honesty, builds up a thorough corporate governance structure and carries out relevant tasks to protect the rights and interests of stakeholders.
Material topic
Economic performance
Meaning for Chroma
The Company is committed to maintaining a stable financial performance for all the stakeholders.
Material topic
Supplier management
Meaning for Chroma
Suppliers are important partners for sustainable growth, and we manage the supply chain in a sustainable way that reduces operational risks and costs. This is the only way we can continue to provide our customers with responsible and quality services.
Scope of Material Issues
Management Approach of Material Issue
Environmental aspects
Management Mechanism
GHG emissions in the base year were re-calculated according to the ISO 14064-1:2018 standard and further energy conservation measures were developed according to the quantitative inventory results.
Commitments and Policies
Office Net Zero 2030 Company Net Zero 2050 carbon reduction targets for hotspots based on the inventory results.
The mechanism and outcome of Assessment in 2022
Mechanism: After Chroma's first TCFD Report was published in 2022, we set targets and formulated countermeasures and counteractions. We will systemically disclose the achievements and progress of these counteractions.
Outcome: KPI setting and monthly review. Reduce carbon emissions by 3,891t CO2e over the base year.
Medium-term and Long-term Goals
Net Zero 2050 Target. (Base Year: 2021)
Social aspects
Management Mechanism
The ISO 45001 Occupational Health and Safety (OH&S) Management System was implemented and an Occupational Safety and Health Committee was established to review and coordinate all OH&S-related matters.
Commitments and Policies
Commitments: Continuous improvement in the workplace environment and full compliance with the occupational safety and health requirements helps to prevent industrial accidents and lowers the occupational safety risk.
Policies: ISO 45001 Occupational health and safety management system.
The mechanism and outcome of Assessment in 2022
Mechanism: Periodic external verification
Outcome:
- Occupational accident rate in 2022: 0.27%
- Workplace monitoring non-compliance in 2022: 0
Medium-term and Long-term Goals
- Zero severe accidents
- Zero fines
Corporate governance aspects
Management Mechanism
- Implement the Code of Business Conduct and Ethics, establish a culture of ethical corporate management, and optimize corporate sustainable development.
- Develop preventive measures such as setting up an unethical behavior report mailbox and the establishment of reward and discipline systems.
Commitments and Policies
Commitments: Establish a culture of ethical corporate management and provide customers with the best-quality products and services.
Policies: Code of Business. Conduct and Ethics.
The mechanism and outcome of Assessment in 2022
Mechanism: Periodic external audit
Outcome: 0 corruption and bribery case was reported in 2022.
Medium-term and Long-term Goals
- Continue to make integrity and probity the core values of our corporate culture, and ensure that all employees and officers engage in business activities that are based on business integrity and ethics.
- Continue to uphold Zero bribery and corruption as ultimate goals.