Ethical Management

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The Structure of Ethical Management


In order to implement its ethical corporate management policy and conduct sound ethical corporate management, this Corporation shall designate the administration center as the solely responsible unit and in charge of the amendment, implementation, interpretation, and advisory services with respect to these Procedures and Guidelines, the recording and filing of reports, and the monitoring of implementation. The responsible unit shall be in charge of the following matters and also submit regular reports to the board of directors.

 

  1. Assisting in incorporating ethics and moral values into this Corporation's business strategy and adopting appropriate prevention measures against corruption and malfeasance to ensure ethical management in compliance with the requirements of laws and regulations.
  2. Adopting programs to prevent unethical conduct and setting out in each program the standard operating procedures and conduct guidelines with respect to this Corporation's operations and business.
  3. Planning the internal organization, structure, and allocation of responsibilities and setting up check-and-balance mechanisms for mutual supervision of the business activities within the business scope which are possibly at a higher risk for unethical conduct.
  4. Promoting and coordinating awareness and educational activities with respect to ethics policy.
  5. Developing a whistle-blowing system and ensuring its operating effectiveness.
  6. Assisting the board of directors and management in auditing and assessing whether the prevention measures taken for the purpose of implementing ethical management are effectively operating, and preparing reports on the regular assessment of compliance with ethical management in operating procedures

Implementing Ethical Corporate Management


In order to implement its ethical corporate management policy and conduct sound ethical corporate management, this Corporation shall designate the administration center as the solely responsible unit. The responsible unit shall submit regular reports to the board of directors. The implementation status was reported as below:

1.Reporting implementation:

According to Ethical Corporate Management Best Practice Principles, Ethical Corporate Management Procedures and Guide of Good Conduct, the implementation is reported to the board of directors at the end of each year.

2.Set up procedures for ethical corporate management:

  1. Corporate Governance Best Practice Principles, Ethical Corporate Management Best Practice Principles, Ethical Corporate Management Procedures and Guide of Good Conduct, Ethical Code of Conduct have been set up and anti-fraud measures established to incorporate ethical corporate management into TXC corporate culture.
  2. Internal Major Information Handling Procedure, Insider Trading Prevention Management Procedure. Risk Control Procedure and Procedure Governing Financial and Business Matters with Affiliated Enterprises were set up to define the standards of ethical conduct and provide a guide for conduct for all stakeholders of the company.
  3. Define the work duties of every department in the company. Clearly define the code of conduct for employees in the Code of Conduct and Employee Manual. Sign employment agreements with employees to implement ethical corporate management.

3.Supervision mechanism and incident channels

  1. The auditing office is in charge of auditing matters, to make sure that internal procedure process could be conducted in accordance with the law.
  2. The company has set up procedures for handling reported cases of unethical or dishonest conduct. If a company employee engages in illegal activities during the course of a transaction, the incident may be reported using the fair and honest transaction mailbox or an obstruction-free email communication channel has been established in the company website.

4.Implementation

To implement ethical corporate management related company procedures and honesty & ethics requirements are explained in detail to new employees. Ethical requirements are clearly stated in the employment contract. Ethical corporate management policies are continually announced in routine department meetings, business meetings and various speeches to stress the importance of ethical corporate management. A total of 116 related courses have been held with 2,920 persons attending.

 

Year Implementation of ethical management Meeting records of the board of directors
2015
2016
2017    

 

 

Ethical Management Relevant Laws and Regulations

   Ethical Corporate Management Best Practice Principles

   Procedures for Ethical Management and Guidelines for Conduct

   Codes of Ethical Conduct