The global business environment continued to transform at a record pace in 2022. During the year, FENC scrutinized credit risks by leveraging synergistic effects within the management, enhanced credit management by consolidating the information systems from its worldwide locations, improved the performance of the Credit Customer Information Management Platform and bolstered the credit check and credit lending practices.

1. Obtain the Latest Global Credit Data with SAP Data Streaming for Overseas Affiliates
The latest credit data from the SAP systems of subsidiaries from Vietnam, mainland China, Japan, Malaysia and the U.S. are consolidated and reported to the Headquarters. With 100% accuracy, the system maximizes the power of big data analysis.

2. Optimize Credit Customer Information Management Platform to Enhance Visualization and Digital Archiving
The Credit Customer Information Management Platform is enhanced with an optimized user experience, including data visualization, expansion of historical database, data streaming for real-time worldwide credit data and the option of an English interface. The platform facilitates the online browsing of nearly 150 key credit customers in import/export.

3. Create National Intelligence Sharing Platform for Opportune Geopolitical Risk Analysis
The platform shares information such as national intelligence, risk alerts, business intelligence and economic sanctions from 193 countries. Taking advantage of RPA, the system automatically updates the national risk atlas and national risk levels to reduce information gaps, keep the Company current on changes in the geopolitical sphere and control export risks with consistency.

4. Introduce Corporate Governance Evaluation into Customer Credit Rating System for Objectivity
Corporate Governance Evaluation, which is updated by Taiwan Stock Exchange (TWSE) annually, is one of the criteria for evaluating companies listed on TWSE and Taipei Exchange (TPEx). As the world zooms in on ESG, the evaluation sheds light on the performance of customers listed on TWSE and TPEx.

5. Establish Credit Risk Warning Indicators to Identify and Alert against Potential Risk Groups
FENC established multiple warning indicators and customized customer selection criteria. With the use of the Business Intelligence (BI) system, high-risk customers are identified in advance through the monthly automatic selection and risk marking functions, and business units are notified to activate overdue collection when appropriate.