Partnership
BenQ Materials is a leading global display material solution provider, and the company'sproducts include functional film, advanced battery material, professional medical product,personal aesthetic medicine products, waterproof and breathable textiles. Since the product type is diverse, the type of customers also includes enterprises, distributors, and end users. The company is committed to providing satisfactoryproducts and quality service to customers. In addition, the company also values customer exchange, maintains excellent interaction with customers, in order to create maximum value for customers.
2023 Supply Chain Carbon Reduction Target
Completed ESG audits suppliers in 2023
Key suppliers
Green Procurement Amount in 2023
Tens of thousands of NT dollars
Supplier Management
BenQ Materials has established the sustainable supply chain management framework, and all suppliers are requested to comply with the sustainability policy or document regulations, including the signing of corporate social responsibility undertaking, guarantee for non-use of conflict mineral related regulations and requirements, and signing of hazardous substance management policy. For new suppliers or existing suppliers, field audit/improvement measures and supplier competence establishment methods are performed, in order to control the supply chain risk, to strengthen the sustainable performance of suppliers. Through a series of sustainable management processes, suppliers are driven to grow jointly in order to achieve greater sharing value and influential power.
2023 Objective
Completed the First-Stage Key Supplier ESG Audit Target
2023 Outcome
Completed the First-Stage Key Supplier ESG Audit Outcome
| Sustainability Policy Document and Regulation | New Supplier Searching and Evaluation | Existing Supplier Audit and Guidance |
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ESG Auditor
In 2023, we continued to conduct ESG audits on suppliers using the RBA framework. We arranged for training in RBA auditing for departments such as procurement, environmental safety, and human resources. Based on the transaction amounts with key suppliers, we identified highrisk targets. These high-risk suppliers were designated as necessary ESG audit targets. The audit criteria included supplier self-assessment scores and information from ESG/CSR reports. Suppliers were classified into A, B, C, and D risk levels, with C and D being medium-high and high risk, respectively, requiring mandatory audits. In 2023, we completed ESG audits for 4 suppliers, all of which passed.
From 2024 to 2026, we plan to complete ESG audits for 15 suppliers identified as medium-high and high risk. In 2024, we aim to complete audits for 30% of these suppliers. We will continuously adjust the annual ESG audit targets based on the actual progress to ensure the completion of our goals and mitigate risks related to the supply chain.
Local Purchase
Materials for functional film products (polarizers/optical films/separation membranes/smart window films) are mostly produced by overseas suppliers, with only a few local (Taiwan) suppliers unable to meet BenQ Materials' specifications. As a result, the number and proportion of local suppliers and procurement amounts have been relatively low. However, analyzing procurement amounts over the past five years shows a trend of increasing local procurement. In 2023, the proportion of local procurement in Taiwan was 19.7%, up 2.2% from 17.5% in 2022. BenQ Materials aims to continue collaborating with local suppliers to reduce transportation carbon mileage and promote the local economy.
For materials not related to functional films, the local procurement proportion in Taiwan was 25.0% in 2023, an increase of 11.7% from 13.3% in 2022. The proportion of local suppliers for functional films in China remained stable at 73.9% in 2023, with the local procurement proportion at 89.5%.
