Value Chain Sustainability

Policy and Goal

The value chain is covered the entire services or products of ASUS provided, and the impact affect the upstream and downstream suppliers. ASUS profound understanding only with the value chain partners to work together in order to truly implement the business continuity, and create lasting value. ASUS Supplier Code of Conduct is in accordance with UN Global Compact, ILO core conventions, RBA code of conduct and implements parts of SA8000 and PAS7000 criteria, applicable to all suppliers, foundries, common good corporate social responsibility.

To implement the ASUS Value Chain Sustainability Management, we are committed to promoting and continuing to improve the use of conflicting minerals, safeguarding labor rights, improving production efficiency and reducing environmental pollution.

  1. The use of legitimate mining of metal, to avoid the poor working environment of human rights persecution, illegal slavery.
  2. Compliance with international and local labor regulations, refusal of child labor, forced labor, and inhuman treatment; and protection of labor benefits.
  3. Strengthen supply chain partnership, implement supply chain risk assessment, control, continuous improvement mechanism.
  4. Identify the product life cycle significant environmental impact, select low-pollution process operations.

Stakeholders have begun to pay more attention to whether companies consider fair labor, environmental protection, and cost reductions, as well as risks related to potential damage to the brand or supply disruption during the procurement and manufacturing processes. To build a more sustainable supply chain, corporations must consider environmental, social, and governance (ESG) factors. They must do this in addition to considering the five conventional aspects of quality, delivery, technology, cost and service when selecting suppliers, in order to improve sustainability performance across the supply chain.

We have established a responsible and transparent supply chain management framework that incorporates suppliers' ESG performance in the procurement decision process. The framework requires suppliers to have a safe working environment, no forced labor or child labor, respect and protection for employees, avoidance of environmental degradation, and compliance with business ethics. We also ensure suppliers' compliance with ASUS's Code of Conduct through annual audits and supervision projects, leading the supply chain towards sustainability transition. This will reduce potential risks in the supply chain while contributing to the UN SDGs.

Actions in 2021

  • Strengthen labor human rights protection and optimize the risk management in the sustainable supply chain
  • Integrate with the international climate actions to promote carbon reduction projects in key supply chains
  • Implement digital management for the supply chain and establish a sustainable supply chain platform

Performances in 2021

  • Completed annual ESG audit for 100% high-risk suppliers
  • Protected the labor rights of more than 390,000 works (Data from 2013 to 2021)
  • 100% of the key metals (tantalum, tin, tungsten, gold) are from qualified smelters

Impacts

We understand that we must collaborate with our value chain partners to truly achieve corporate sustainablity. We use the Code of Conduct, risk ranking management, audit and training support to lead the transformation of sustainability of the upstream and downstream supply chains and to continue to improve on issues such as environmental protection, human rights, and occupational safety. We established a platform for managing the data of supply chain in 2021 and we used it to analyze and optimize the risk assessment process, thereby starting from shortterm to long-term digital transformation projects for the supply chain management.