CSR-Supply Chain and Customer

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Customer Relationship Management

Customers are important stakeholders to FENC. Well-maintained customer relationship is beneficial for upholding the Company's leading status. We hold product quality to the highest standards, establish measures of customer relationship management and provide multiple channels for dialogue, including face to face meetings, teleconferencing and email to understand customers' needs and build long-term collaboration. Meanwhile, we formulate R&D strategies targeting market trends and share product information with our brand customers around the globe to create win-win. In addition to vertical integration of production process from upstream to downstream, we have introduced one-stop shopping to create higher added value for our customers.

Customer feedback is critical to the improvement of products and services. Hence we conduct 1 to 2 surveys each year to assess customer satisfaction. The survey is developed and conducted with joint efforts from the business and production units. The Presidents of the Petrochemical, Polyester and Textile Businesses serve as the highest ranking officers in charge of this task. The regular customer satisfaction surveys ensure that the Company understands their needs and comments. Decisions on improvements and follow up measures are made during the internal review meetings.

 Helping Customers Switch to Recycled Packaging Materials

FENC is the leading global supplier of recycled PET with the largest recycled PET bottle treatment plant in Taiwan. The Company's recycling technology is recognized by global name brands. In 2016, the Company assisted adidas in developing yarn spun from recycled plastic ocean waste, and received the Sustainability Award. In 2017, FENC assisted the famous toy manufacturer, Hasbro, to replace the clear plastic sheet on the packaging with eco-friendly PET. For this, the Company was invited to Hasbro's annual vendors meeting in January 2018, becoming the first vendor to win Hasbro Excellence in Sustainability. In addition, the Company has long-term business relationship with international brands such as Coca-Cola, PEPSI, IKEA, DANONE, L' Oréal and Method, which all use the recycled PET materials provided by FENC.

In 2018, FENC collaborated with Unilever, which ranked second in Household/Personal Care among Forbes global 2,000 companies, and replaced the PET packaging material with recycled PET material. Currently, the Company is the exclusive supplier of this material in Southeast Asia. Major brands in various industries are working with FENC to make the switch to green packaging materials, indicating strongly that the Company's recycled PET technology is highly trusted. We will continue to improve and assist more corporations to fulfill their green mission.

Customer Recognition

FENC has been the major supplier of many international brands. The Company's customers are also leading in the area of CSR. It is only natural that the Company is held to standards higher than industry and international regulations when it comes to fulfilling corporate social responsibilities, including labor conditions, human rights, occupational health and safety, environment, innovation, training as well as supplier management and auditing. FENC's overall performance has won the approval of our customers, who have given the Company high recognitions in various supplier evaluations, and reward us with long-term collaboration.

  FEDZ Awarded the Second Consecutive Accreditation of Gold Supplier from H&M  



H&M is an international name brand known for fast fashion. In 2018, the brand ranked second in the Interbrand survey on best global brands in the apparel sector. H&M evaluates and ranks suppliers based on management, quality and sustainability. Priority consideration is given to gold medal suppliers when it comes to product orders and development.

In 2017, FEDZ emerged out of over 300 Tier 2 suppliers of H&M and was received the honor of "Gold Medal Supplier". FEDZ is the only Gold Supplier of knitting fabrics among the 6 Tier 2 gold medal suppliers. FEDZ received the same honor again in 2018 and was the only supplier of knitted fabric among the 5 Tier 2 gold medal suppliers. During the award presentation, H&M referenced FENC's expanding production sites and complete industry chain. With the newly constructed knitted fabric plant, which is equipped with industry 4.0 equipment, FEDZ is ready to face future challenges with H&M.




 FEAZ Chosen as NIKE's Garment Supplier for Global Digitization and Modernization

Based on a 2018 Interbrand survey, NIKE ranked first as best global brands for sporting goods, and ranked 17 among the 100 best global brands. The Brand proposed the Triple Double strategy to complete the Consumer Direct Offense (CDO) project, which aims to promote digital growth in order to accelerate product innovation and production, form deeper bonds with customers and create profound one on one interaction.

In 2018, NIKE announced during the annual suppliers meeting that it will invest US$3 billion in multiple digital transformation projects. Among which, the Strategic Enterprise Capability (SEC) project was awarded to 2 suppliers, and FEAZ is one of them, which will assist NIKE with system upgrade and integration of interdepartmental flow.

In addition, to complete the CDO project – accelerate product innovation and creation, NIKE invited 9 global garment suppliers in turn to discuss the subject of modernization at the end of 2017. In March 2018, NIKE selected second group of partners for manufacturing modernization. FEAZ was among the 4 partnering corporations chosen for its independent R&D team, Smart Manufacturing Center, which focuses on automation. FEAZ will collaborate closely with NIKE to research and fulfill the vision of manufacturing modernization.

FEAZ's modernized plant facility was completed during the first quarter of 2019. Equipment and technology will continue to be upgraded after production begins. Without adding more manpower, the production capacity for this factory is expected to increase by 5%, 15% and 30% for 3 consecutive years starting from 2019, which will hopefully set a paradigm for garment suppliers with automated technology.


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