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Corporate Social Responsibility

Supplier Management

With the aim to achieve a win-win business model, Taiflex and its suppliers work together to maintain competitive production expense, prevent risks in supply chain and gain a competitive advantage both at home and abroad.

Full implementation of audit to ensure quality supply

Taiflex has implemented an audit mechanism to conduct annual audits to ensure the quality of supply, comprising:
  • Control of hazardous substance
  • Compliance of quality system
  • Prevention, correction and tracking of irregularities

Aspects for evaluating suppliers

Taiflex also requires its suppliers to respond to surveys and agreements related to social responsibilities so as to fulfill corporate social responsibilities, quality and environmental protection, safety and health policies. The surveys cover several fundamental constructs of the evaluation of Taiflex’s suppliers as well as the implementation of Taiflex’s quality and environmental protection, safety and health policies, which include:
  • Protection of the rights of employees
  • Audit of suppliers to be in compliance of various certification criteria and regulations related to labor, environmental protection, safety and health regulations required by the government as well as client’s requirements
  • Conformity of international standards such as ISO14001, OHSAS18001 and TOSHMS
  • Energy-saving, pollution reduction, waste reduction and reuse, carbon emission reduction principles.

Aspects for evaluating suppliers

Taiflex publishes and announces quality policies and objectives on the bulletin boards of every subsidiary every year.

In addition, we have implemented various measures to ensure all suppliers meet Taiflex requirements:

Management system certification

Taiflex requires its suppliers to obtain international certifications regarding environmental protection and safety & health management system such as ISO14001 and OHSAS18001.

Audit and guidance

Taiflex audits major suppliers’ sites and conducts on-site audits every year based on the visit plans proposed by the suppliers. If a specific defect were found, Taiflex requires an improvement plan and a specific objective and deadline from the responsible suppliers to correct such defect. On the other hand, Taiflex also provides special technical assistance to some of the suppliers. On a quarterly and semi-annual basis, Taiflex holds review meetings with specific suppliers to review the overall performance of the suppliers in terms of price, quality, delivery, technical competency, new businesses, new materials and so on, which will serve as a basis for Taiflex and its suppliers to sustain their improvement and ensure supply consistency.

Establishing a sustainable supply chain management for Taiflex

Taiflex, as one of the global leaders in flexible print circuit and solar power industries, upholds the belief in sustainable development in supply chain to demonstrate its operating performance. In practice, Taiflex conducts regular audits on its suppliers regarding the regulation of hazardous substances, occupational safety & health, etc. As a result, Taiflex can produce continuous performance and create value along with its suppliers by incorporating risk management of every sector into the respective supply chain.

Reducing the scraping rate and improving the recycling rate of materials

In the early stages of product development, Taiflex’s supplies department, research department and product department choose materials and components that are replaceable and similar in characteristics. By doing so, Taiflex is able to reduce the scraping rate resulting from the irreplaceable components and materials and the pollution from wastes, and thus to be compliant with environmental protection regulations or laws. By the same token, Taiflex’s production department has set scraping rate criteria based on different wastes to reduce wastes from production and lower procurement and replacement costs on different materials. Furthermore, Taiflex has initiated a management processes to oversee the processes of recycling.

Hazardous substances investigation in Taiflex suppliers

Taiflex has announced not to produce products containing six hazardous substances as restricted by the European Union (EU) and initiated management processes on hazardous substances (QP-QA-43) ever since the restrictions took effect. Taiflex also conducts regular audits on its suppliers based on such restrictions. In order to strictly impose hazardous substance restrictions, Taiflex has required suppliers to provide reports conducted by third-party notary organizations on the materials provided to ensure there is no hazardous substance in every material, packaging material and products.

Management plan of the restrictions on using conflict minerals

As summarized by the research conducted by NGOs such as Enough and SOMO, the demand for minerals from the Democratic Republic of Congo and the neighboring countries to produce electronics resulted in the most casualties ever since WWII. In accordance with the Non-use of conflict mineral policies, Taiflex will require specific suppliers to sign documents related to “conflict mineral report”(QP-QA-43-06) to ensure the country of origin of materials provided by suppliers are not conflict minerals mined and extracted from the mines in the Democratic Republic of Congo and neighboring countries. Taiflex also supports OECD’s “Model Supply Chain Policy for a Responsible Global Supply Chain of Minerals from Conflict-Affected and High Risk Areas”.

Taiflex publishes and announces quality policies and objectives on the bulletin boards of every subsidiary every year.