Corporate Governance
・Based on company operating ideal and prospect, to fulfill our social duty, the Board has approved the new bylaw, Corporate Social Responsibility Policy. All of business operations follow up the bylaws and aggressively fulfill environment protection and energy saving.
Dedicated Units
The Company approved the establishment of a Sustainability Development Committee and a Sustainability Promotion Task Force at the 7th meeting of the 13th Board of Directors on August 7, 2024, The Chief Sustainability Officer coordinates subgroups on corporate governance, environmental sustainability, human rights/employee development, customer relations, and responsible supply chain. These groups are responsible for formulating sustainability-related policies, systems, and management guidelines; proposing and executing concrete promotion plans; and reviewing and improving implementation effectiveness. The Company also adopted the Organizational Rules for the Sustainability Development Committee and the Sustainability Practices Code to ensure systematic, organized, and long-term fulfillment of corporate social responsibility. The “Sustainability Working Groups” implement a top-down approach beginning with vision and sustainability strategy, developing corresponding implementation plans and targets for each area, and report annually to the Board of Directors on operations and execution. The recent report to the Board was made on December 16, 2025.
The descriptions of responsibilities for the four groups- the Operations Management Group, Social Care Group, Environmental Sustainability Group, and Green Products Group are as below:
| Management Group | Environmental Sustainability Group | Social Care Group | Green Products Group | Responsible Supply Chain Group |
| Regulatory compliance Board governance practices Implementation of internal control systems Ethical business practices Information security Information disclosure Risk management Shareholders' rights and interests | Environmental protection Green initiatives Energy conservation and carbon reduction Ecological sustainability Greenhouse gas inventory (GHG inventory) Occupational health and safety | Human rights protection Social welfare / Community engagement Employee care Training and development Workplace safety for employees | Product safety and quality Customer complaint handling process Customer satisfaction surveys Customer privacy and data protection | Supplier management policy Supplier evaluation Supplier audits Supplier training Supplier assessment and recognition |
Risk Assessment
In 2022 the Company’s Board approved a Risk Management Policy that defines organizational functions and division of responsibilities, establishes the scope of risk management based on the Company’s overall operating environment, and sets out risk management procedures. To effectively control identified risks, management measures are established according to materiality. The Sustainability Development Committee annually conducts identification and response planning for corporate social responsibility matters such as environmental, safety, and health, and labor–management relations, and supervises the organization’s management of economic and environmental impacts. The 2024 risk assessment boundary focuses on the Company, while an independent internal audit system periodically reviews operational and corporate governance risks and reports execution status regularly to the Board of Directors and the Audit Committee to ensure the risk management mechanisms function properly.
The Sustainable Development Committee conducts an analysis based on the principle of materiality in the sustainability report, communicates with internal and external stakeholders, and assesses significant ESG issues by reviewing domestic and international research reports, literature, and integrating evaluation data from various departments. This process establishes effective risk management policies for identification, measurement, assessment, supervision, and control, as well as concrete action plans to mitigate the impact of related risks.
Based on the assessed risks, the following relevant risk management policies or strategies have been established:：
| Major issues | Risk Assessment Item | Description |
| environment | Energy conservation and carbon reduction | 1.Energy conservation and carbon reduction are key measures for the company to address climate change and reduce environmental impact. 2.By optimizing production processes, introducing green technologies, and promoting low-carbon transformation, the company can not only effectively lower operational costs but also enhance its environmental image in the market. 3.Respond to the expectations of customers and stakeholders regarding sustainable development, and achieve the company's long-term environmental goals. |
| social | Safety and Health | 1.Health and safety is a concrete manifestation of the company's care and commitment to its employees. 2.By establishing a strict safety management system and implementing preventive measures, the company can effectively reduce the incidence of occupational injuries and accidents, ensuring the health and well-being of its employees. 3.A safe work environment not only enhances employee productivity but also helps establish a strong employer brand image, thereby increasing employee cohesion and loyalty. |
| Talent Cultivation | 1.Talent is the most important asset of a company. Continuously investing in talent development programs helps enhance employees' professional skills and job satisfaction, thereby improving the overall competitiveness of the company. 2.By providing comprehensive career development and training opportunities, the company can attract and retain outstanding talent, further creating an efficient work environment and a positive corporate culture. | |
| economic | Operational Performance | 1.Operational performance is the foundation of a company's sustainable development. Strong financial performance not only enhances shareholder value but also supports the company's long-term investment in the field of sustainability. 2.By enhancing operational performance, the company can strengthen its market competitiveness, maintain stable growth, and ensure that resources are effectively allocated to support other sustainability goals. |
| Innovation | 1.Innovative is an important competitive advantage for the company in facing market changes and technological challenges. 2.Continuously investing in research and development resources helps to create new products and services that better meet market demands, and enhances the company's technological threshold. 3.Innovation not only creates new business opportunities but also improves environmental benefits through technological advancements, achieving sustainable development goals. | |
| Product Liability | 1.Product responsibility pertains to the company's commitment to consumer health, safety, and satisfaction. 2.Through strict quality management and continuous improvement, the company can ensure that its products meet the highest safety and quality standards, thereby establishing customer trust in the brand. 3. Responsible product management helps to reduce potential risks and ensures the company's good reputation in the market. |
Exercising Corporate Governance
・Conduct regular corporate social responsibility (CSR) training.
・Coordinated by the Finance & Administration Department, oversee and implement corporate governance policies, participate in community welfare activities, develop company environmental and energy-saving measures, and carry out government energy conservation and carbon reduction programs.
・Communicate the code of conduct to employees through training and the company website, encourage participation in community welfare and energy-saving/carbon-reduction initiatives, and establish a rewards-and-discipline system for employee performance and conduct.
・To strengthen corporate governance, we review the corporate governance evaluation results each year and the latest published governance indicators, examine each item individually, and continuously improve any areas that fall short.
Promote environmental sustainability
・The Company establishes the relevant management process to improve the efficiency of resource utilization. In order for improving the utilization of water, the Company purchases the equipment and well maintained periodically, such as water chiller, and cooling towers, to enhance the recycle of water to reduce the consumption of carbon.
・The Company has established the environment management system. The Company's manufacturing process does not cause the air pollution, the Company has been qualified and certified for water pollution control measure plans and have invested in equipment to handle the waste water in manufacturing.
・The Company conducts several projects to reduce the impact on the environment within the daily operation, such as installation of LED light bulb, and paperless operation system.
・The company has been focusing on water resource conservation and environmental protection for many years. In terms of water-saving initiatives, we start by fully implementing water-saving practices in daily life, maximizing the benefits of available water resources. Additionally, we significantly reduce water resource waste through process improvements.
Water consumption in the past two years: (the information is the company's own estimate and has not been verified by a third party)
| Water consumption ( tons) | Water intensity ( tons / million in sales revenue) | |
| 2023 | 25,407 | 17.9639 |
| 2024 | 22,868 | 13.6427 |
・To achieve sustainable resource reuse, the company's waste management principles prioritize in-house reuse to reduce the consumption of raw materials. Next, we focus on recycling and reuse, and only as a last resort do we resort to incineration or landfill methods.
Waste generation in the past two years: (the information is the company's own estimate and has not been verified by a third party)
| The company | 2023 (tons) | 2024 (tons) |
| Hazardous waste | 0.8 | 0.97 |
| Non-hazardous waste | 58.35 | 67.35 |
| Total weight | 59.15 | 68.32 |
The Company has evaluated the potential risks and opportunities of the enterprise and in the future in view of climate change and has taken corresponding measures for climate-related issues:
| Risk | The corresponding response measures |
| The imposition of carbon tax/carbon fees which increased costs, affecting profitability. | 1.In response to the imposition of carbon tax/carbon fees, increase the procurement ratio of renewable energy to reduce the burden of taxes and fees. 2.Evaluate the procurement and utilization of renewable energy and green electricity to achieve energy transition. |
| The increase in water and electricity costs has led to an increase in operating expenses. | Through improvements in the production process, various energy and water-saving initiatives, and measures for water recycling and reuse, we aim to enhance the efficiency of water and electricity usage, further controlling the costs of water and electricity consumption. |
| The global economic situation is not optimistic, customers to reduce packaging costs in order to lower expenses. | Continuously optimize the production process to reduce production costs, and develop low-cost alternative materials to provide high-quality products at a lower price. |
| opportunity | The corresponding response measures |
| Growth in customer procurement for phthalate-free products. | 1.Continuously invest in research and development resources to create environmentally friendly or recyclable materials and products. 2.The implementation of the packaging plastic restriction law will make transfer films and cold stamping products the main drivers of market growth. We will continue to invest in research and development resources to develop transfer film and Cold foil products. |
Greenhouse gas inventory information
2024
| Scope | Company | Total emissions (metric tons of CO2e) | Itensity (metric tons of CO2e / million in sales revenue) |
| Scope 1 | K Laser Taiwan | 16.81 | 0.0100 |
| Scope 2 | 1,642.58 | 0.9801 | |
| Scope 3 | 971.45 | 0.5796 |
2023
| Scope | Company | Total emissions (metric tons of CO2e) | Itensity (metric tons of CO2e / million in sales revenue) |
| Scope 1 | K Laser Taiwan | 29.42 | 0.0208 |
| Scope 2 | 1,657.14 | 1.1715 | |
| Scope 3 | 1,145.03 | 0.8095 |
Greenhouse Gas Emissions is the company's own estimate and has not been verified by a third party.
Greenhouse gas reduction targets and strategies, and specific action plans
Policy/ Commitment:
(1) The company upholds the concept of environmental sustainability and is committed to implementing energy-saving and carbon-reduction policies in its daily operations.
(2) We have established carbon emission reduction targets and regularly monitor energy usage, adopting low-carbon technologies and efficient equipment to minimize the environmental impact of our operations.
(3) We are dedicated to collaborating with our supply chain to promote an environmentally friendly transformation of the entire industry chain.
・Short-term goals: ISO-14064-1 Greenhouse Gas Inventory.
・Medium to long-term goals: Reduce total greenhouse gas emissions by 0.5%.
・Specific actions: Greenhouse gas emissions in 2024 will be reduced by 7% compared to 2023.
・Evaluation mechanism: Monitor energy consumption monthly and conduct an annual carbon emission audit.
Protecting Public Interest
・ Pursue to the Labor Standards Law, the Labor Health Insurance Act, the Employees' Welfare Funds Act, and the relevant laws, the Company regulates the by-laws about human resources and fulfills them.
・ The procedures for employee appealing are included in the Company's Working Rule and the employee's appeals are well handled.
・We have periodically conducted the fire safety inspection and maintained the equipment such as drinking fountains for employee's health. Employee must take part in labor insurance and health insurance and pay the insurance premium according to the relevant regulations. Employees have the benefits such as regular health inspection and on-job training, which are compensated by the Company. The Company provides the safe and healthy working environment to keep the employees concentrated on job.
・In order to improve the labor relation and working efficiency, there are regular meetings for employee and employer as a way of communication.
・Since employee is the most valuable assets to the Company, the Company has established the effective career development plan for employee.
・Regarding the protection of Customer's right, the Company has established relevant policy and creates the channel for customers to handle the customer's complaint on a timely basis.
・ The Company has complied with regulations and international norms on marketing and marking for its products and services.
・The Company has reviewed and assessed records in regards to whether its suppliers had negatively impacted the environment and society in the past before interacting with them.
・The contract between the Company and its major suppliers included clauses of termination and removal of the contract should the suppliers be involved in violation of its CSR policies that cause a major impact to the environment and society.