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)

Management Mechanism
Demonstrate the outcome of technology innovation on outstanding performance and the function of new products and implement green design at all stages of the product life cycle to reduce environmental impact and realize responsible production and consumption.

Commitments and Policies

Commitments: Develop low carbon products through green design.
Policies: We have assumed responsibility for the cherishment of our planet and in doing so continue to provide total solutions for electrical energy and have become an excellent business, shared and prided upon, by our customers, employees, shareholders, and suppliers.

Medium-term and Long-term Goals
We continuously develop different types of technologies that can fulfill customer need and reduce energy consumption at the same time. An example of this is energy recovery technology for electrical and electronic equipment. Energy dissipated in the form of heat is feedback into the grid as electrical energy to significantly reduce total energy consumption.

Management Mechanism
We abide by all local environmental regulations by sorting, waste and carbon reduction, and pollution prevention, to ensure full compliance with the requirements of the waste management regulations. We also reduce waste production through active sales, reuse, and the paid disposal of scrap.

Commitments and Policies
Commitments: Environmental policy and commitment to the environmental management system.
Policies: Facilitate energy conservation through systemic management to improve environmental performance, make continual improvement, and prevent pollution.

The mechanism and outcome of Assessment in 2022
Mechanism: Receive third-party (SGS) verification and carry out periodic audits of the ISO 14001 management system and disclose environmental performance each years and progress of these counteractions.
Outcome: 0 leakage, environmental violation and fine in 2022

Medium-term and Long-term Goals
Continue to maintain a zero-non-compliance record

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

Management Mechanism
A Talent Quality-Management System (TTQS) was implemented in coordination with the existing well-established education and training development system and e-learning platform.

Commitments and Policies
Commitments: TTQS was set as a benchmark for training quality and has also been combined with corporate vision, goals, and strategies to build a training system for multidimensional development to enhance workforce quality and competitiveness.
Policies: Procedures for Education and Training Management, Regulations for Internal Instructor Development and Appointment, and linking performance with a reward system.

The mechanism and outcome of Assessment in 2022
Mechanism: Internal audit
Outcome: Average hours of training per employee in 2022: 10.34 hrs

Medium-term and Long-term Goals

• Continuous professional and multifaceted education and training enhances workforce quality and corporate competitiveness
• Digital transformation courses (classroom) account for over 50% of all courses

Management Mechanism
Remuneration and benefits are managed according to corporate/personal annual target achievements, the remuneration policy, and internal/external salary assessments.

Commitments and Policies
Commitments: Glory sharing allows all employees to share the fruit of business operational performance that results from the efforts of all employees.
Policies: Remuneration policies

The mechanism and outcome of Assessment in 2022
Mechanism: Internal audit
Outcome: Average range of salary increases in 2022: 8.82%

Medium-term and Long-term Goals

• The remuneration system was optimized to uphold the principle of "same pay for the same job and pay by competence"
• Review the level of various salary items periodically and provide employees with encouraging salary rewards

Management Mechanism
Engage in various social welfare activities based on a strategy of integrating core business competency with social welfare.

Commitments and Policies
Popularize science education and climate action and actively develop talent.

The mechanism and outcome of Assessment in 2022
Collaborations with Academia: 
(1) Supported Formula Student Taiwan (FST) to promote student formula engineering design competition safety
(2) Sponsored student formula teams
(3) Premier University Plan
(4) Chroma Elite Scholarship
(5) Industrial Technology Graduate Programs
(6) The 1st Chroma Precision Machinery and Measurement Technology Paper Award
Social welfare and engagement: 
(1) Fun & Love with the Chroma Charitable Donation Campaign
(2) Taiwan Railways of Popular Science
(3) Supported the "Coastal Clean-up" held by Business Today
(4) Chroma Breach Cleanup Round 2
(5) Charitable Donations

Management Mechanism
Implement customer document management in compliance with the Information Processing and Customer Data Protection SOP, Code of Business Conduct and Ethics, Regulations for Management of Technical Documents.

Commitments and Policies
Commitments: Protect internal and external information and establish customer trust.
Policies: Information Processing and Customer Data Protection SOP, Code of Business Conduct and Ethics.

The mechanism and outcome of Assessment in 2022
Mechanism: Internal audit
Outcome: No customer privacy violation was reported in 2022

Medium-term and Long-term Goals
Continuously improve the data protection mechanism and enhance data security awareness in employees.
Maintain zero customer privacy violations.

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.

Management Mechanism
Establish complete strategies and management actions to improve operational performance and to achieve steady sustainable corporate growth.

Commitments and Policies
Commitments: Provide a better welfare system to repay stakeholders and ensure labor retirement benefits the best-quality products and services.
Policies: Labor policy, remuneration policy

The mechanism and outcome of Assessment in 2022
Mechanism: CPA audit and certification
Outcome: 2022 revenues: NT$22,067,242 thousand

Medium-term and Long-term Goals
Enhance corporate governance and increase revenues and profit

Management Mechanism

• Define and manage environmental controlled substances in the company in accordance with the regulations for the "Standards for Controlling Hazardous Chemical Substances in Materials and Products".
• Include corporate sustainability management in new supplier evaluation in accordance with the "Regulations for Management of Suppliers", that cover environmental, occupational safety and health, CSR, and hazardous substances management.

Commitments and Policies
Request suppliers to sign the "Statement of Environmental Protection" and the "Statement of SVHC Substance-Free and Conflict-Metal-Free" to ensure continuous legal compliance of mass production.

The mechanism and outcome of Assessment in 2022
Ensure high-efficiency and versatility of the supply chain by maintaining local Taiwan procurement of more than 85%.

Medium-term and Long-term Goals

• Ensure the inclusion of sustainability in the procurement process and assume responsibility for the social, economic, and environmental impact resulting from procurement.
• Seek more sustainable procurement methods in a review of demand taking cost and efficiency of the life cycle into consideration.
• Establish transparent, fair, and honest procurement principles and prohibit unethical behavior. 
• Comply with the law, international codes of conduct, and international human rights policies, and ensure that suppliers do the same.