Stakeholder Engagement

In the course of transformation to sustainable development, ASUS not only creates the best profit for the investors but also takes the influence from related stakeholders into its decision-making process. The shifting of the gravity of operation from shareholders and stock price may affect short-term profit, but the inclusion of the opinions from stakeholders in different domains will help to depict a clear vision, which helps to ascertain the social role that ASUS should play and hence to pursue a distinctive strategy for tackling the challenges ASUS confronts. We hope that we could create our competitiveness and long-term profit through corporate differentiation and will bring about common prosperity and sustainability for ASUS and the society as a whole.

Sustainability has become a major trend across industries of all types. In August of 2019, the Business Roundtable organization in Washington, D.C., announced that 181 Chief Executive Officers (CEOs) had signed a Statement on the Purpose of a Corporation, signaling a commitment to leading their companies for the benefit of all stakeholders, including customers, employees, suppliers, communities and shareholders.

ASUS is committed to nurturing and caring for employees; to demonstrating the principle of accountability in regard to laws, regulations and investors; to meeting the expectations of consumers and business partners with ASUS products and innovations; and to showing our vision for promoting sustainability and effecting positive social impacts.

Listening to the voices of stakeholders helps ASUS establish a clear path forward and confirm our role in society, thereby advancing our sustainability strategy to create shared value. ASUS identified material topics with significant impacts, risks, and opportunities through stakeholder engagements. This allowed managers to effectively allocate resources, plan short-, medium-, and long-term sustainability strategies. We also disclosed both positive and negative information to provide a basis for stakeholders to optimize the quality of decision-making process.

Based on the 5 major principles (dependency, responsibility, influence, diverse perspective, tension) of the AA1000 Stakeholder Engagement Standard, ASUS identified 7 major categories of stakeholders, including employee, customer, supply chain and business partner, investor, government and NGO, academic and society (ex. community and media), and used multiple channels to communicate in a regular/irregular manner to understand the expectations of stakeholders.

Materiality

ASUS referred to the “Defining materiality” issued by GRI & ROECOSAM to identify material topics. We selected those that could bring potential risks to our sustainable development or significant impacts to ASUS. It helped to effectively allocate resources and plan short, medium and long-term sustainable strategies. At the same time, during the stakeholder engagement, we could respond to the concerns of stakeholders about ASUS and focus on our activities on corporate social responsibility.

Identification

We refer to the method recommended by AA1000 Stakeholder Engagement Standard 2015 to establish a quantitative evaluation method to screen out relevant stakeholders, including employees, customers, business partners, shareholders/investment agencies, government agencies, communities and media, based on five attributes: Dependency, Responsibility, Influence, Diverse Perspectives, and Tension. We ensure our stakeholders could communicate with us through various channel which we use to respond to the expectations of stakeholders.

Based on the Global Reporting Initiative (GRI) reporting framework, UN Sustainable Development Goals (SDGs), responsible investment, industry trends and stakeholder engagements, ASUS extracted 16 topics and investigated the level of concern from stakeholders and its impacts to ASUS' operation.

Prioritization by Level of Concern and Level of Impact

In order to prioritize the material topics, we quantified material topics into 2 types of impact level: the level of stakeholder interest and the level of impact, and located them in the materiality matrix. ASUS distributed more than 1,200 questionnaires to collect the concerns of all stakeholders on the aforementioned 16 topics. During the engagement process, we made sure they fully understand the scope and significance of each topic, and finally received 526 valid questionnaires.

Within ASUS, more than 15 first-level managers were invited to evaluate the impact of each issue on ASUS on a scale of 1 to 10, based on the following three principles:

  1. The environmental and social impacts of ASUS' activities on specific issues
  2. The environmental and social events of specific topics that could impact ASUS operations
  3. Although specific issues have no direct influence on ASUS, ASUS's actions will become the benchmark, exemplary or driving influence.

After going through the analysis of the above procedures and reviewed by the corporate sustainability unit and senior managers, we determined the materiality matrix for 2020, and the material topics including:

  • Climate Action
  • Circular Economy
  • Responsible Manufaturing
  • Innovation and Value Creation
  • Talent Cultivation
  • Social Contribution of the Technology Industry

At the same time, we voluntarily disclosed the relevant management approaches and achievements on topics where either stakeholders had higher interests or they had greater impacts on ASUS sustainable operation.

 

 

 

Validation of Material Topics

After consolidating the questionnaires, we defined the materiality matrix. Topics with both high level of concern and high level of impact were: circular economy, climate action, responsible manufacturing, and innovation and value creation. In addition, senior-level managers consider that we must accelerate the digital transformation and determine ASUS' corporate responsibility in a digital society, talent cultivation and training become crucial. Therefore, ASUS decided to raise the level of impact of social contributions of the technology industry and talent cultivation and set further goals and measurements to demonstrate how our sustainable development strategy is rooted in our core competitiveness.

For material topics, ASUS establishes management policies and action plans, sets goals and indicators accodring to data measurement strategies, and regularly track the performance. For general topics, we apply existing management processes and measures, and disclose relevant indicators to allow stakeholders to understand ASUS' overall sustainability performances.

Review

We regularly review the strategy, management, and indicators of the material topics in order to strengthen the communication with stakeholders, and their feedbacks will be used as the basis for the next sustainability report. Our experiences tell us that even through including the opinions of stakeholders may be time-consuming, it helps companies explore from different points of view that they haven't thought about before. The issues that stakeholders concern about are more likely to change due to the external environment, while those concerned by the companies are relatively steady. In order to remain sensitive to external signals and focus on the long-term corporate strategy, we conduct the materiality assessment every two years.

Develop Strategy and Take Action on Material Topics

Taking SDGs into the materiality assessment process will affect both ASUS activities in the value chain and SDGs. The positive impacts include the contributions of products, services and investment to SDGs and the corporate market, while the negative impacts bring risks to people, the environment or business operations. Such analysis helps companies integrate key SDGs and material topics to formulate relevant strategies and take actions in advance, and to allocate resources in areas that have long-term impact.

CSR Online Survey

From 2009, ASUS has established Corporate Social Responsibility Online Survey, looking for more interaction with our stakeholders. We welcomes and invites all our stakeholders to engage with our Corporate Social Responsibility issues more in depth. We appreciate your voice and will base on the priority to response to the inquiries or concerns through our Corporate Sustainability Report.

Please download the survey from the following link: CSR Stakeholders' Survey and send it to stakeholder@asus.com.

Your feedback is very valuable to ASUS. Should you have any comment, you could send them in.