Sustainable Risk Control
Conduct regular self-evaluation on compliance to reduce risk of violation.
Regulatory Compliance System
In 2014, the President of Administrative Headquarters served as the chief supervisor and established Company-wide Regulatory Compliance System:
Objective
- Enhance employees’ legal awareness to avoid illegality.
- Protect corporate interests and image.
- Reduce operational risks for the Board and management team.
- Improve corporate efficiency.
Organization
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System Detail
Category | Focus | Tasks |
Establish communication |
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Regulatory update |
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Regulatory training |
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Compliance evaluation |
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Target
Confirm key regulations concerning corporate operation. Regulations governing penalty for Board members and managers; damages to corporate image; major civil offense; administrative liability are given priority status for implementation. Areas prone to deficiency are listed as the focus for annual audit. Given the above criteria, 80 regulations and 590 control points are identified.
Target | Compliance Detail (Number of Control Point) |
Shareholder | Financial report (19), internal control (16), issuance of credit and endorsement / guarantee (17), acquisition and disposal of assets (42), convening of meeting (74) |
Customer and Competitor | Fair trade (5), import / export (8) |
Corporate Asset | Business accounting (9), tax management (60), patent and trademark (18), Copyright Act (13), trade secret (5), personal data protection (11) |
Employee | Labor condition (59), welfare and insurance (28), labor relations (33), labor retirement (19), health and safety (69) |
Society | Environmental protection (59), corporate corruption (18), political donation (8) |
Implementation
- Each department shall complete quarterly self-evaluation on regulatory compliance and report to Legal Department.
- Legal Department shall collaborate with Human Resources Department, Labor Safety and Health Department and Audit Department to complete on-site inspection, report to the Board, provide guidance for all departments on improvements and follow up.
- Establish the SOPs regarding violations and designate channels for reporting violations, such as emails for the regulatory compliance system, Audit Committee and Audit Department.
