2022
Sustainability
Report
Stock code：600745
Protect Employees’ Rights and Interests andCreate a Blissful WorkplaceOpen up Promotion Channels, CultivateOutstanding TalentsImplement Safety Management to Ensure theHealth of Employees
Standardize Responsible Procurement and Builda Green Supply ChainManage Con?ict Minerals and PracticeResponsible ProcurementDeepen Industrial Exchanges and ShareIndustrial Development
Concept of Public WelfareAssist in Rural RevitalizationGive Back to Society with Love
/ 44/ 44/ 44
/ 31/ 35/ 37
/ 40/ 41/ 42
People-oriented to RealizeDreams for Employees
Join Hands Responsibly forCommon Bene?ts
Engage in Charitable Activitiesto Enjoy a Beautiful Life
Contents
About This ReportChairman's MessageAbout WingtechSustainable Development Management
/ 02/ 03/ 04/ 08Appendix. GRI Standards Index/ 46
Strengthen Environmental Management andConsolidate the Green FoundationAdvocate Energy Conservation and CarbonReduction and Combat Climate ChangePractice Green Operation and Facilitate GreenProduction
/ 24/ 24/ 28
High Quality Corporate GovernanceRisk ManagementBusiness Ethics and Anti-CorruptionInformation Network Security and PrivacyProtection
/ 12/ 12/ 13/ 14
Boost Product Innovation and LeadTechnological AdvancementDevelop Clean Technologies and Promote GreenProductsGuarantee Product Quality and Strictly ControlHazardous SubstancesFocus on Premium Services and Improve ClientSatisfaction
/ 17/ 18/ 18/ 22
Set an Example of IngenuityDriven by Innovation
Sustainable Governance forLong-standing Business
Low-carbon Developmentfor a Green Future
Be Upward, Be Kind, Be Sunshine.
About This ReportThis Report is the 2022 sustainability report released by Wingtech Technology Co., Ltd, with the aim of integrating the concept ofsustainable development into corporate governance and presenting the company's practice information and related performance insustainable development to our stakeholders.
Wingtech Technology Co., Ltd. and its subsidiariesWingtech Technology Co., Ltd.Wingtech Mobile Communications Co., Ltd.Nexperia B.V., an overseas operating entity under Nexperia GroupGuangzhou Delta Image Tech Co., Ltd. and Zhuhai Delta Image Tech Co., Ltd.January 1, 2022 to December 31, 2022Company Law of the People's Republic of ChinaSecurities Law of the People's Republic of ChinaArticles of Association of Wingtech Technology Co., LtdIntegrated Design & Manufacture，a semiconductor company operatingmode integrating design and manufacturingOriginal Design Manufacturer develops, designs and manufactures productsaccording to client's requirementsArti?cial Intelligence & Internet of Things
The GroupThe Company, we, us,Wingtech, Wingtech TechnologyWingtech CommunicationsNexperia, Nexperia SemiconductorDeltaReporting PeriodCompany LawSecurities LawArticles of AssociationIDMODMAIoT
refers torefer(s) torefers torefers torefers torefers torefers torefers torefers torefers torefers torefers to
Currency
USD
Exchange rate
6.964600
Reporting Scope
The content of the Report covers Wingtech and its subsidiaries. The report covers the period from January 1, 2022 to December31, 2022, with an annual publication cycle. To enhance the timeliness, comparability and completeness of the report, some ofthe content may be extended to the previous and future years.
Terms
De?nition of words
Data DescriptionUnless otherwise speci?ed, the amounts shown in this Report are presented in RMB, and amounts of foreign currencies havebeen converted into RMB according to the foreign exchange rate announced by the Bank of China on December 31, 2022.
Reporting PrinciplesThe Report was developed with reference to the GRI Sustainability Reporting Standards (GRI Standards) released by theGlobal Sustainability Standards Board (GSSB), Guideline No. 1 Self-Regulatory Rules for Companies Listed on theShanghai Stock Exchange - Regulated Operations and Guideline No. 2 Content and Format of Disclosure of Information forCompanies issuing Public Securities - Content and Format of Annual Reports (Revised 2021) released by the ShanghaiStock Exchange, Guidance on the Social Responsibility of the Information and Communication Technology Industry(SJ/T16000-2016) released by the China Electronics Industry Standardization Technology Association, Ministry of Industryand Information Technology, China and the disclosure requirements of the UN Sustainable Development Goals (SDGs).
Release MethodThe Report is released on our o?cial website (http://www.wingtech.com/) in electronic form. The Report is prepared inboth Simpli?ed Chinese and English. If there is any discrepancy between the two versions, the Simpli?ed Chinese versionshall prevail.
Contact InformationIf you have any questions or suggestions about the content of this Report, please contact us in the following ways. O?cial website: http://www.wingtech.com/cn Email: 600745mail@wingtech.com Address: No. 777, Yazhong Road, Nanhu District, Jiaxing City, Zhejiang Province Postal code: 314000
About This Report
Note：
The semiconductor business sector of the Group has published the sustainability report. For more detailed information on Nexperia‘s ESGperformance, please refer to Nexperia Sustainability Report.
Be Upward, Be Kind, Be Sunshine.
Wingtech 2022 Sustainability Report
Chairman's Message
Chairman's Message
As we look back on the year 2022, a time of complexity and di?culty for the global economy,Wingtech remained steadfast in its commitment to becoming a socially responsible multinationalcompany while embracing challenges and seizing opportunities. We have deeply incorporatedthe ESG sustainability concept into our strategic development, management, and operation. Inaddition, we never stop seeking improved methods to achieve economic, environmental, andsocial bene?ts.In the face of these challenges, we have taken unremitting actions to promote internationaloperations, improve our domestic and global strategy, and expand our capabilities intechnological innovation and new product development. This has laid a solid foundation for ourmid-and long-term goals, advanced the progress of strategic objectives in a practical manner,and continuously enhanced our core competitiveness and sustainable pro?tability. In 2022, theGroup recorded a business revenue of RMB 58.079 billion, an increase of 10.15% YOY, while ourasset scale reached RMB 76.69 billion, an increase of 5.67% YOY. Our solid growth demonstratesour strong resilience and sustainability. Notably, our semiconductor business achievedunprecedented pro?ts and growth during the period. Additionally, we keep improving ourgovernance capability, governance structure and risk control system, while strictly abiding bybusiness ethics. We are fully committed to eradicating corruption and promoting long-lastingand ever-prosperous development.Recognizing the importance of innovation to sustainable development, we leverage innovativeapproaches to drive business development and ful?ll our responsibility to pursue energyconservation and environmental protection. In 2022, the Group invested RMB 4.565 billion inresearch and development, and ranked 38th in China's Top 100 Innovative Large Enterprises in2022 based on our three major accomplishments in business innovation. In 2022, we also madesigni?cant strides in clean technology, securing a total of 260 valid patents related to cleantechnology to this domain. In 2022, we maintained e?orts to incorporate the green concept intoproduct innovation. For instance, we continued to launch a full line of environmentally friendly,high-performance, and low-power semiconductor chips, components, and terminal products,including the green and low-carbon semiconductor products developed with Nexperia'sadvanced silicon carbide and gallium nitride technology. Those products are utilized inenergy-saving servers, helping our clients build green data centers.We also place great emphasis on reducing the environmental impact of our production,operation, and products in the full lifecycle. We have implemented a comprehensiveenvironmental management system and organizational structure to ful?ll our commitment toreducing greenhouse gas emissions and improving energy e?ciency by taking further actions. In2022, the greenhouse gas emission density of our product integration business sector was 2.0tons of carbon dioxide equivalent/million revenue in RMB, a decrease of 9.86% YOY; thegreenhouse gas emission density of the semiconductor business segment was 18.9 tons ofcarbon dioxide equivalent/million revenue in RMB, a decrease of 10.17% YOY; the amount ofnon-hazardous waste decreased by 8.64%. We were rated as one of the Top 50 Forbes ChinaSustainable Development Industrial Enterprises in 2022 for our remarkable work inenvironmental protection.
We adopt a people-oriented policy where talents are treated as our most valuable asset for ourdevelopment. We have established a diversi?ed, fair, and inclusive talent introductionmechanism and a "double-pyramid" career development path. Also, we provide a fair andrespectful environment, continuously improve the compensation and bene?t system, and fullysafeguard the legitimate rights and interests of employees. Furthermore, we value everyemployee and place a high focus on providing humanistic care. We have organized a series ofactivities for employees, including family visits, birthday parties, and other festive celebrations,to demonstrate how much we care for and value our employees. We also received a number ofemployer-speci?c awards this year, including the "Most Promising Young Employer 2022" andthe "China's Best Employer of the Year 2022 - Best Employer in Smart Manufacturing".Upholding the concept of win-win cooperation, we cooperate with upstream and downstreampartners to construct a healthy, secure, green, and sustainable supply chain. We recognize theimportance of environmental management in the supply chain, and view it as an administrativemeasure towards ful?lling our supply chain social responsibilities. We actively seek partnershipswith suppliers who prioritize the use of environmentally friendly materials and technologies, treatstakeholders fairly and honestly, and respect and uphold human rights. Furthermore, we haveestablished a comprehensive con?ict mineral management system and work with suppliers toprevent the use of con?ict minerals. We are also dedicated to fostering industrial exchanges,cultivating industry talents, and realizing multilateral bene?ts and prosperity of the industry. Forinstance, we attended the China-Nordic Economic and Trade Cooperation Forum & Fortune 500Dialog with Hubei in 2022, and had exchanges and discussions with Shenzhen University, ChineseUniversity of Hong Kong, Shanghai University, Xi'an Technological University, Yunnan University,Kunming University, Jiaxing University, and other universities.In addition to actively supporting charity causes and keeping the principle of "giving back tosociety while realizing corporate value", we also engage in a series of voluntary activities andsocial assistance activities, such as blood donation, consolation to the elderly, etc. At the sametime, we support sports and educational initiatives to promote the sustainable development ofcommunities. To further our commitment to rural revitalization in 2022, we organized job fairs inSichuan, Gansu, and other remote and poverty-stricken areas and provided skills training to 1,119local employees, at a cost of RMB 21,683,200. We also donated RMB 500,000 to the CharityFederation of Nanhu District of Jiaxing City to support local charities, which marks our donation tothe local charity federation for the second consecutive year. Moreover, Nexperia partnered withthe Manchester Food Bank to address the pressing issue of hunger and poverty in the UK. In 2022,we won a number of awards and honorary titles in public welfare and our e?orts were recognizedby all walks of life, which fully embody our ful?llment of social responsibility.Looking forward to 2023, we will adhere to the "Be Upward, Be Kind, Be Sunshine." values andcontinue to advance through innovation! In order to promote the sustainable development of theeconomy, environment, and society, we will implement our sustainable development plan,actively assume our social responsibilities, and collaborate with our investors, clients, employees,and partners. Together, we can ensure a green future for humanity.
Zhang XuezhengChairman and CEO of WingtechChairman and CEO of NexperiaChairman and CEO of Delta
About WingtechWhile adhering to the values of " Be upward, be kind, be sunshine.", Wingtech is committed to becoming a highly competitive globalindustry leader in technology product manufacturing spearheaded by semiconductor innovation and is founded on a hardwarecirculation platform, giving back to shareholders, clients, employees, and society.
Group Pro?le
Wingtech stands as the world's foremost enterprise in product integration, basic semiconductors and optics, integrating R&D, designand manufacturing. We are an A-share listed company in China, with the stock code 600745. Upholding the great vision of " Wing thetech, win the world. To be a Great Product Company.", we continue expanding product applications. Our comprehensive industrialchain presence spans across chip design, wafer manufacturing, packaging and testing, semiconductor devices and components(imaging/display), communication terminals, laptops, AIoT, servers, and automotive electronics.
WafersEquipment/assemblyChips/devicesCamera moduleTerminalsGlobal customers
Transform into a great product company by empowering productintegration through semiconductor and component innovations
WingtechCommunications
NexperiaDeltaProduct integrationSemiconductorsImaging module
Global ODM leader ofcommunication products
The world's leading manufacturer ofanalog, logic and power devicesGlobally no.1 in terms of shipments with100 billion chips shipped annually
A core supplier of speci?c North Americanclients in terms of camera modulesA leading manufacturer of automotive
cameras
To motivate the innovation.To contribute to the society.
To change the world.
Mission
Wing the tech, win the world.To be a Great Product Company.
VisionCore values
Be Upward, Be Kind, Be Sunshine.
6 plants in operation
China's 1st largest discrete power device company;the 5th among global discrete power device andsemiconductor companies, up by a place from2021 (based on the research data of ICWISE).
6 plants in operation
Leading the global mobile phone ODM industry interms of shipment for years; the business hasshown a diversi?ed development pattern in mobilephones, tablets, laptops, AIoT, automotiveelectronics, servers and other ?elds.
1 plant in operation
We possess advanced capabilities in packagingand testing technologies, part of the packagingand testing equipment development capabilities,and the ability to supply world-class mobile phonebrands.
Semiconductorbusiness sector
Product Integration
business sector
Imaging Modulebusiness sector
Operating Condition
We keep innovating and boosting the accomplishment of our goals, and continue to increase our core competitiveness andsustainable pro?tability.
Operating status table of Wingtech in 2022
The operating income wasRMB 58.79 billionup by
10.15%
The net pro?t attributable toshareholders wasRMB 1.46 billionThe net pro?t attributable toshareholders of the listedcompany after deducting nonrecurring gains and losses wasRMB
1.54 billion
The R&D investment wasRMB 4.57 billionup by 23.51%
About WingtechBe Upward, Be Kind, Be Sunshine.
About WingtechBe Upward, Be Kind, Be Sunshine.
Global LayoutWingtech goes global through endogenous development and international mergers and acquisitions. We actively explore the new development path of Chinese enterprises toward globalization and accelerate their global layout.
About WingtechBe Upward, Be Kind, Be Sunshine.
2006,Wingtech wasfounded
2007,launchedgroundbreakingsingle-chip dual-SIMtechnology
2007,became the largestIDH company in China
2007,built theproductionbase
2008,became ?rst Chinese mobilephone ODM company
2012,became largestglobal mobile phoneODM company
2014,became serving globalbranded customers
2017,successfully listed inShanghai StockExchange
2018,further expandedbusiness scope
2019,we built the globaldelivery system
2019,acquired Nexperia
2020,launched worldpremiere 5G
2021,acquired theimagingbusiness
2022,through semiconductor andcomponent innovation,empower productintegration business,comprehensively boostproduct competitiveness,achieve sustainability, andpromote the company'sstrategic transformation intoa great product company.
Development HistoryWingtech Communications started to specialize in mobile phone solution design in 2006. Since then, we have beengradually transformed from an independent design house (IDH) to an ODM, integrating research, development, design,and manufacturing. We are now a world-leading mobile phone ODM. In 2019, we successfully acquired Nexperia to enterthe fray of the semiconductor IDM ?eld, connecting upstream suppliers with downstream clients, and became a globalproduct company (GPC). In 2021, we successfully acquired 100% of Delta, an imaging company, which has resulted inthree remarkable transformations. We established a presence throughout the industrial chain with "semiconductordevices at the upstream, camera modules at the midstream, terminal product integration at the downstream". We havebecome one of China's leading technology enterprises promoting integrated business and a global strategy. In 2022, weempowered the system integration business through innovation in semiconductors and components, enabling us tocomprehensively enhance product competitiveness, practice sustainable development, and further consolidate ourposition as a leading global enterprise committed to product excellence.
Looking ahead, Wingtech will accelerate vertical integration, increase investment and improve our innovation ability withsemiconductors as the leading capability. We will also empower part and product integration, comprehensively improvethe core competitiveness of complete products, provide clients with best-of-class products, and strengthen ourcompetitive advantage.
First curve2006-2007
Second curve2008-2013
Third curve2014-2019
Fourth curve2019~
ASPENCORE
2022 World ElectronicsAchievement AwardsCentury Power Network2022 International PowerDevice IndustryExcellence Award
FUTURUSStrategic Partner of
the Year 2022
"Best Managed Company"in the 4th China Best ManagedCompany Program
Top 500 ChineseEnterprises in 2022:
No.
China's Top 100 MultinationalCorporations and TransnationalIndex List in 2022:
No.
China's Top 500 Manufacturing
Enterprises 2022:
No.
China's Top 500 Private
Enterprises 2022:
No.
2022 Hurun China PrivateCompanies SDGReadiness 100:
No.
Fortune China 500
in 2022:
No.
Wingtech 2022 Sustainability Report
About WingtechBe Upward, Be Kind, Be Sunshine.
Honorable Moments
We have been included in a number of mainstreamindexes inside and outside China, including the FTSERussell Flagship Index, MSCI Global Standard Index,SSE 50 Index, SSE 180 Index, and CSI 300 Index. Thosehonors fully demonstrate our market position as ablue-chip technology stock and re?ect our in?uence inthe capital market.Meanwhile, we attach great importance to sustainabledevelopment as evidenced by our ESG ratings fromMSCI, Sustainalytics, Re?nitiv, Quantdata, Wind andother domestic and international institutions.
Honors of Wingtech
Capital market recognition
Customer Recognition
74.18 (AA)A
24.0 (medium risk)BB
LenovoBest QualityAward
HONOR
Excellent Delivery
Award 2022
Raytheon TechnologiesExcellent Partner 2022
OPPOPad Air ExcellentQuality Award 2022
OPPOProcess QualityProgress AwardSamsungProvider QualityAward 2022
SamsungSCM Operation ExcellenceAward 2022
OPPO
Best ODMDelivery Award
Forbes 2022Global 2000:
No.1993
Forbes 2022 China
Digital 100:
No.32
2022 Forbes ChinaSustainable DevelopmentIndustrial Enterprises:
Top 50
China's Top 500 PrivateManufacturingEnterprises 2022:
No.
China' Top 100 InnovativeLarge Enterprises in 2022:
No.38
China's Top 100 MostCompetitive ElectronicInformation Enterprises 2022:
No.
LenovoCollaborative Operation
Quality AwardrealmeOutstanding Project
Team Award
Continental2022 Supplier Day BestCollaboration Award
Zhuzhou CRRCTimes ElectricIntelligent DriveCore Power Award
Leapmotor2022 QualityRock Award
Rural revitalization investmentRMB21,683,200
Bene?ting people1,119
Proportion offemale employees36%
Be Upward, Be Kind, Be Sunshine.
Sustainable Development ManagementImplementing the concept of sustainable development and actively assuming social responsibility are important components of ourdevelopment strategy. Integrating the concept of sustainable development into our routine operations, we strengthen our sustainabledevelopment capabilities while continuously improving the business value to achieve sustainable operation goals.Sustainability Governance FrameworkIn order to ensure the continuous and e?ective operation of the sustainable development management system, we have incorporatedESG into our strategic planning and implemented it. We have established a three-tier sustainable development governance structureconsisting of the Board of Directors, the ESG Working Group, and the ESG implementation teams of three business sectors, spanningthe process of "decision-making, planning, and implementation".
? Identify the personnel responsible for ESG management and de?ne the Rules of Procedure? Review and approve the annual ESG strategy and monitor its implementation? Review and approve the Group's annual ESG report and disclose it
? Identify key ESG improvement directions and internal and external environments? Organize the planning, implementation and review of annual reports? Responsible for the reporting strategy for chapters of each area? Advise the Strategy Committee on ESG work
? Organize annual report work and its review of each sector? Responsible for organizing materials and training for subordinate departments? Organize material collection and review for the report work of respective departments
Board ofDirectorsESG Working Group
ESG Implementation Team of theThree Business Sectors(Product integration, semiconductors
and imaging modules)
To ensure that our sustainable development management system meets therequirements for labor protection, health, safety, environment, and ethics, andto ful?ll our bounden social responsibilities, Wingtech has complied and iscontinuously updating the Social Responsibility Management Manual withreference to the Responsible Business Alliance (RBA) Code of Conduct, the JACSupply Chain Sustainability Guidelines, the Business Social ComplianceInitiative, and the SA 8000 Social Accountability System while taking intoaccount our actual conditions. The purpose is to guide the sustainabledevelopment management of the Company. Wingtech (Wuxi) Co., Ltd. haspassed the Business Social Compliance Initiative (BSCI) certi?cation. Nexperiabecame a member of the Responsible Business Alliance (RBA) in 2017 andcompleted the annual RBA self-assessment in 2022 with a score of 89.6.
Social Accountability 8000
Leadership andsupervision
Promote ESG
related issues
Implement ESGrelated issues
Key Performance in 2022
Audited business revenue
58.079billon
Up by
10.15% YOY
Total number of employees34,048
Number of internal training lecturers2,385
Up by
19.91% YOY
GHG emissions intensity of product integrationbusiness sector
2.0 tCO2e / RMB Million of Revenue
GHG emissions intensity of semiconductorbusiness sector
18.9 tCO2e / RMB Million of Revenue
Total non-hazardous waste15,004.9 tons
Down by
9.86% YOY
Down by
10.17% YOY
Down by
8.64% YOY
Economicperformance
Environmentperformance
Socialperformance
Sustainable Development Management
Be Upward, Be Kind, Be Sunshine.Sustainable Development Management
Materiality AssessmentWe invited stakeholders to participate in the materiality assessment to determine issues that are important to our business andstakeholders, and disclose them more in the Report.Stakeholder CommunicationTaking the opinions of stakeholders into account, we have established a standardized communication mechanism to understand theexpectations and requirements of stakeholders in a timely manner through diversi?ed communication and exchanges. We also striveto maintain positive relationships with our stakeholders. When making strategic decisions, we prioritize the concerns of stakeholdersand work towards mutual bene?ts and positive outcomes for everyone involved.
Considering industrial features,stakeholders' expectations,sustainability reporting standards,and concerns of externalsustainability rating, we selected25 ESG topics in close connectionwith the Company based on ouroperation and strategic direction.
We submitted the materiality
assessment results to our senior
management, discussed the
assessment with considering the
opinions of external experts, and
eventually determined the
materiality assessment results
suitable for us and the
prioritization of ESG topics.
We invited stakeholders to rate theimportance of ESG topics through onlinequestionnaires, analyzed from theperspectives of "impact on the Company'sbusiness" and "impact on stakeholders"based on the survey results, prepared amateriality assessment matrix, andprioritized ESG topics.
Identify topics
Con?rmation ofevaluation resultsResearch analysis
Very High
Very High
High
Product safety and qualityBusiness ethics andanti-corruptionNetwork information securityand privacy protection
Customer serviceResponsible marketing
Talent growthEmission managementWater resourcemanagementFinished productpackaging
Employment managementCharityBiodiversity
Sta? activity
Climate change
Procurement practices
Intellectual property rights
Con?ict mineralsmanagementEnergy management
Supplier management
WastemanagementProhibition of child labor
and forced laborOpportunities inclean technology
Independent innovation
Health and safety
Environmental compliance
StakeholderExpectation and requirementOur responseCommunication channel
? Compliance operation? Environmental management? Promote employment? Community contributionProtect the rights andinterests of shareholdersGain investment returnsDisclose material informationProduct R&D and technicalinnovationProduct safety and qualitymanagementInformation security and privacyprotectionSupplier management andsustainable developmentAnti-corruption and anti-fraud
Employee recruitment and teambuildingEmployee development andtrainingRights, interests and protectionfor employeesOccupational health and safety
? Exchanges on conferences? Daily regulatory communication? Supervision and examination? Policy consultation? Regulatory information feed? News reports? Annual general meetings? Extraordinary general meetings? Periodic reports? Investor meetings
? Client satisfaction survey? Exchanges in seminars
? Annual supplier meetings? Supplier training sessions? Field audit against suppliers
? Volunteer service? Charitable donation? Promote employment? Support community construction
Congress of workers andemployeesEmployee satisfaction survey“Wingtech Culture” WeChatO?cial AccountRegular training
Strictly comply with laws andregulationsDevote to green operationActively provide job opportunitiesParticipate in communityconstructionEnsure the healthy developmentof the CompanyHold annual general meetingsand extraordinary generalmeetingsDisclose material informationStrictly control R&D, procurement,and production stagesRespond rapidly to clients’ needsComplete the quality managementsystemEstablish the information securitysystem and set permissionsApply the supplier admission anddelisting mechanismProvide supplier training and auditSign a letter of commitment to thehonest operation
Organize volunteer activitiesParticipate in communityconstruction
Follow labor guidelinesImprove the occupationaldevelopment and trainingmechanismEstablish labor union to protectrights and interestsProvide competitive salaries andbene?tsImplement the health and safetymanagement system
Governmentand regulatoryagencies
Shareholders
and investors
Employees
Clients
Suppliers
Community
Impact on stakeholders
Impact on the Company’s business
Environmental issuesGovernance issuesSocial issues
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Be Upward, Be Kind, Be Sunshine.Sustainable Development Management
Response to United Nations Sustainable Development GoalsResponding to the United Nations Sustainable Development Goals (UN SDGs), we continuously improve sustainability management fromthe environmental and social perspectives, contributing to the realization of the global sustainable development blueprint.
Engage in Charitable Activities to Enjoy aBeautiful Life——Assist in Rural Revitalization
? We partnered with enterprises of a poverty-strickencounty to create job opportunities for local residents,thus boosting local economic development andpromoting rural revitalization.
Set an Example of Ingenuity Driven by Innovation——Boost Product Innovation and LeadTechnological Advancement
People-oriented to Realize Dreams for Employees——Protect Employees’ Rights and Interests andCreate a Blissful Workplace
? We promoted research driven and innovationempowered development, and actively facilitatedthe research, development, and application of cleantechnologies.
? We created a fair and respectful workplace andprovided equal opportunities for all.
Engage in Charitable Activities to Enjoy aBeautiful Life——Return to Society with Love
? We engaged in volunteer services, social assistance,education assistance, psychological healthassistance and other charitable activities to o?erhelp to poverty-stricken and vulnerable populations.Set an Example of Ingenuity Driven by Innovation——Develop Clean Technologies and PromoteGreen Products
? We realized responsible production by facilitatingthe research, development, and application of cleantechnologies.
Low-carbon Development for a Green Future——Advocate Energy Conservation and CarbonReduction and Combat Climate Change
? We strengthened environmental management,established emission reduction action plans, andadopted energy-saving measures to achieveemission reduction targets.Sustainable Governance for Long-standingBusiness——Business Ethics and Anti-Corruption
? We conducted business ethics reviews,anti-corruption training, and other e?orts to foster adisciplined and clean-handed environment.
Join Hands Responsibly for Common Bene?ts——Deepen Industrial Exchanges and ShareIndustrial Development
? We built a responsible supply chain, activelyparticipated in industrial exchanges and boostcooperation and mutual bene?ts along the entireindustrial chain.
People-oriented to Realize Dreams for Employees——Implement Safety Management to Ensure theHealth of Employees
? We utilized safety management process control,and carried health and safety training to protect thephysical and mental health of employees.
People-oriented to Realize Dreams for Employees——Protect Employees’ Rights and Interests andCreate a Blissful Workplace
? We are dedicated to ensuring equal employmentopportunities for all and providing labor protectionand care for our female employees.
Low-carbon Development for a Green Future——Practice Green Operation and Facilitate GreenProduction
? We encouraged water conservation and recyclingto save water resources.
Low-carbon Development for a Green Future——Advocate Energy Conservation and CarbonReduction and Combat Climate Change
? We facilitated green production and tookenergy-saving measures.
People-oriented to Realize Dreams for Employees——Protect Employees’ Rights and Interests andCreate a Blissful Workplace
? We are fully committed to protecting the legitimaterights and interests of employees, and prohibitedthe use of child labor and forced labor.
People-oriented to Realize Dreams for Employees——Open up Promotion Channels, CultivateOutstanding TalentsEngage in Charitable Activities to Enjoy aBeautiful Life——Return to Society with Love
? We established a "dual-pyramid" position systemand implemented the talent review model tocultivate outstanding talents.? Our e?orts in education support involvecontributing high quality education resources tostudents and teachers in remote areas.
UN SDGsReport SectionsOur signi?cant milestones in 2022UN SDGsReport SectionsOur signi?cant milestones in 2022
SustainableGovernance forLong-standingBusinessSound corporate governance helps to enhance a company's corecompetitiveness and promotes sustainable development. We arecommitted to enhancing our internal control system andcontinuously improving corporate governance and operationalcapacity to ensure that the Company operates in the best interestof our shareholders and the organization as a whole.
5 General Meetings of Shareholders,16 meetings of the Board of Directors,and 14 meetings of the Board ofSupervisors were heldThe ISO 27001 InformationSecurity Management SystemCerti?cation was obtained
Female directorsaccounted for20%,female supervisorsaccounted for
66.7%
Be Upward, Be Kind, Be Sunshine.
Sustainable Governance for Long-standing Business
High Quality Corporate Governance
We strictly abide by the requirements of laws and regulations such as the Company Law of the People's Republic of China, theSecurities Law of the People's Republic of China, the Code of Corporate Governance for Listed Companies and the Rules Governing theListing of Stocks on Shanghai Stock Exchange. We have also established a governance structure composed of the General Meeting ofShareholders, the Board of Directors, the Board of Supervisors, and the Senior Management to e?ectively safeguard the interests ofinvestors and the Company.
Governance StructureIn order to safeguard the legitimate rights and interests of the Company, our shareholders, and creditors, and regulate ourorganizational behavior, we have formulated and continuously improved the Articles of Association, clari?ed the responsibilities andpowers, rules of procedure, and working procedures of units at all levels. In this way, we ensure the separation of decision-making,execution and supervision functions. During the Reporting Period, we held 5 General Meetings of Shareholders, 16 meetings of theBoard of Directors and 14 meetings of the Board of Supervisors.
Investor CommunicationIn order to ensure true, accurate, timely and complete information disclosure, we have developed the Information DisclosureManagement Regulations and the Internal System for Material Information in strict accordance with relevant laws and regulations,and we are continually enhancing the management of investor relations.Through various means such as the General Meeting of Shareholders, regular reports, sns.sseinfo.com, and investor meetings, we takethe initiative to strengthen communication and exchanges with shareholders, especially public shareholders. We carefully managethe relationships with investors and patiently respond to their inquiries. In addition, we make our ?nancial reports more accessible toinvestors by publishing them on our o?cial Weibo account, WeChat public account, and other platforms after the disclosure ofperiodic reports, providing timely and comprehensive updates to all investors on our operation and development progress.
Risk ManagementWe believe that the implementation of a comprehensive risk control system is the key to the steady development of a company.Therefore, we continuously identify and monitor potential risks across multiple areas including product export, technologydevelopment, work safety, sales management, quality control, and ?nancial accounting, and promptly take corresponding e?ectivecontrol measures. In addition, we have set up the International Situation Risk Response Team, which is made up of the rotating CEOand the heads of the supply chain, strategy, procurement, sales, manufacturing, products, ?nance, legal a?airs, investment and?nancing, capital market, and public a?airs, in order to identify operational risks in a timely manner and take e?ective measures todeal with them under complex international circumstances. Also, we have established and enhanced an operational riskmanagement and response mechanism alongside an e?ective communication mechanism, enabling us to address risk items in allbusiness scenarios and make sound judgments and decisions in a timely manner under various circumstances.
Board of Supervisors
The members of our Board of Supervisors are elected in strict accordance with the election procedures stipulated in the Company Lawand the Articles of Association. To further enhance the working e?ciency and scienti?c decision-making of the Board of Supervisors,we have also formulated and clari?ed the rules of procedure, the discussion method, and the voting procedure. We hold meetings ofthe Board of Supervisors on a regular basis to provide oversight and o?er feedback regarding the operation of the Company and theperformance of duties by the directors and the senior management of the Company. As of the end of the Reporting Period, we had atotal of three supervisors, two of whom were female, accounting for 66.7%.
Board of DirectorsAt Wingtech, we prioritize the interests of our shareholders and scienti?c decision-making. Our process for electing directors istransparent, fair, and independent, following the guidelines stipulated in the Articles of Association. We have a highly talented boardof directors composed of industry experts with diverse backgrounds in areas such as semiconductors, ?nance, accounting, marketing,etc. They have accumulated rich professional experience in their respective ?elds, enabling them to fully implement the policy ofdiversi?cation. As of the end of the Reporting Period, the Board of Directors consisted of ?ve directors, including two independentdirectors, and the proportion of female directors was 20%.The Board of Directors operates in full compliance with the legal requirements and provisions of the Company Law and the Articles ofAssociation and follows standard norms in terms of convening methods, procedures, voting methods and resolutions. The Board ofDirectors governs four professional committees, namely the Audit Committee, the Nomination Committee, the Remuneration andAppraisal Committee, and the Strategic Committee. Those committees support the Board of Directors in carrying out its decision-makingand supervisory duties, which is crucial for promoting the standardized operation and healthy development of the Company.
Corporate governance structure of Wingtech
Board of Directors
AuditCommittee
NominationCommitte
Remuneration andAppraisal Committee
StrategicCommittee
General Meeting of Shareholders
We strictly abide by the requirements of the Company Law and the Articles of Association to regulate the convening, holding andvoting procedures of the General Meeting of Shareholders. Shareholders are entitled to certain rights and assume certain obligationsaccording to the class of shares they hold. The rights and obligations assumed correspond to the class of shares held byshareholders. We enlist the services of legal practitioners to act as non-voting delegates in the General Meeting of Shareholders andto issue legal opinions and announcements on the convening and voting procedures of the General Meeting of Shareholders, whichembodies our unwavering commitment to uphold the lawful rights and interests of all shareholders.
Be Upward, Be Kind, Be Sunshine.Sustainable Governance for Long-standing Business
Business Ethics and Anti-CorruptionStrictly abiding by the Anti-unfair Competition Law of the People's Republic of China and other relevant laws and regulations, weadopt a zero-tolerance attitude toward any violation of business ethics, regardless of age and rank. We joined the "China EnterpriseAnti-Fraud Alliance" in 2021, and any dishonest candidate will be rejected from being hired.
Business Ethics SystemIn order to tighten the working disciplines, standardize the code of conduct, and preventany violation of laws and disciplines, we have formulated the Regulations on Supervision,the Code of Conduct and the Management Procedure for Labor and Business Ethics on topof strictly abiding by the Company law and other Chinese laws and regulations as well aslocal laws in other countries of operation. In those documents, we require all employees tobe honest and self-disciplined in operation and production activities, and construct aprogressive, healthy, and transparent corporate culture and atmosphere.
Business Ethics ReviewWe conduct a thorough review of the integrity records of employees eligible for promotion, salary increase, and commendation, andexercise veto power over the promotion and salary increase of any employee who has seriously violated business ethics. In 2022, wereceived 11 inquiries from the Human Resource Department regarding the integrity records of 139 employees up for promotion,ensuring a fair, just, and honest environment for the promotion and salary increase of managers. In addition, during the ReportingPeriod, we established the Labor and Business Ethics Control Indicators and Achievement Criteria to enhance our monitoringcapabilities and foster a culture of honesty and integrity in the workplace.
The Supervision Department, as a department specially assigned to investigate and handle corruptions, has been established tosupervise our internal activities. The department is vertically managed and directly reports to the chairman. Each department of thecompany designates a person at the director level or above as the "Department Monitor Interface person" who is responsible forcoordinating the supervision work of the Supervisory Committee. At the same time, the supervisory department evaluates thesupervision work carried out by the department's supervisory interface personnel, and continuously monitors the compliance with thecompany's internal normative documents.
Dishonest employees are dismissed and
announced in real nameThose in serious circumstances will never be hired or
will be included in the blacklist for dishonestyThose suspected of violations or crimes will be handed
over to the judicial organ
Zero tolerance
Corrupt practices such as soliciting andaccepting bribes, soliciting kickbacks,
embezzlement and bribery
Violation of the Company's information
security management system, theoccurrence of leakage of company secrets
Managerial misconduct andmisappropriation of dutiesThe behavior that causes great economic loss orgreat negative in?uence to the Company withoutbeing serious or responsible for the work
We pay close attention to the compliance of suppliers with business ethics, continuously publicize our business ethics requirementsand policies to suppliers, and require all suppliers to sign the Letter of Commitment to Integrity to oppose commercial bribery andunfair competition. Once suppliers are proven to have broken corporate ethics, such as by bribing Wingtech workers, they will beplaced on a blacklist and rejected from future collaboration.
Wingtech adopts "zero tolerance" for violations of business ethics
Business ethics control indicators
Zero leakage of complaints and reports
At least 1 anti-corruption training sessionparticipated in by full-time employees each year
100% of employees participating in theanti-corruption training before admission
Other actions that should be
punished according to thecompany's rules and regulations
Violationsprohibitedby Wingtech
Click to learn moreWingtech Employee Code ofConductNexperia Code of Conduct
Channels for Complaints and ReportsThe company has set up numerous reporting channels. By embracing the monitoring and reporting from all external stakeholders,including clients and suppliers, we can boost internal supervision while also identifying issues and enhancing our capacity forsupervision.
? Reporting mailbox: a mailbox hung at an appropriate location in the o?ce area.? Reporting email: wingtech_jc@wingtech.com? Report website: Wentai Technology o?cial website - integrity complaints channel? Reporting telephone: 0755-22905515-6013, 18922885225 (also the WeChat number)? Letters and visits: O?ce of the Supervisory Committee, 3/F, Podium Building, Kingkey Oriental Metropolis Tower, No. 1003, YanheNorth Road, Luohu District, ShenzhenOnce their claims are veri?ed, employees who have come forward to disclose wrongdoing as whistleblowers will be rewarded.However, in the event of a false accusation or malicious report, the whistleblower will be held accountable, which may include?nancial and legal consequences. Both real-name reporting and anonymous reporting are acceptable; however, we prefer realnames. Information about the whistleblower, including their identity, reporting material, or other details, will be kept strictlycon?dential and will not be disclosed to the reported unit, the reported person, or any other unrelated personnel in any case.Nexperia has established a Speak Up system that allows every employee, supplier, business partner and other stakeholder to submitcomplaints anonymous.
Be Upward, Be Kind, Be Sunshine.Sustainable Governance for Long-standing Business
Improvement of the Anti-corruption AwarenessWe attach great importance to raising every employee's anti-corruption awareness and commitment to ?ghting corruption. Therefore,to help all employees better understand the value of business ethics, regulations, and processes, we organize onboarding training,online training, and regular workshops.
Information Network Security and Privacy ProtectionWhile taking gradual steps to promote business development with digital technologies, we also deeply value the security ofinformation and data. Therefore, we have formulated the information security policy of "prevention-based fast response;responsibility of information security for everyone" to regulate our information security management.
Our measures to improve the anti-corruption awareness
ISO 27001 Information Security Management System Certi?cationDelta obtained the Integration of Informationization andIndustrialization Management System Certi?cate (Grade A)
Information Network Security Management System
We have formulated the Information Security Management System, the Product Network Security Management Procedure, theEmployee Red Line Management System and other regulations, and have established, implemented, maintained and improved ourinformation security management system in accordance with the requirements of the ISO 27001 Information Security ManagementSystem Certi?cation. With a three-tiered management structure consisting of the Compliance Management Committee, the DataCompliance Sub-Committee, and the Data Compliance Implementation Group that has been established, we can e?ectively guaranteethe practical implementation of various regulations under the data compliance system. Furthermore, we set up the Product NetworkSecurity Sub-Committee under the Product Security Committee to construct the product network security system and make decisionson routine a?airs, which are executed by the Product Network Security Implementation Group.
Anti-corruption posters on thebulletin board of Delta
Integrity and anti-corruptiontraining in Jiaxing Factory
The marketing department of WingtechCommunications is holding a compliancepublicity training session
All newly admitted employees receive honestyand integrity training and are required to signthe Letter of Commitment to Anti-corruption
Anti-corruption posters and circulars are posted onthe wall of the corridor and the bulletin board toimplant the values into the minds of employeesEmails are sent to all employees on importantholidays to remind them of integrity
Integrity and anti-corruption training videosare published on Wingtech School foremployees to learn
Case "Stay Vigilant to Anti-corruption" education training
In December 2022, Delta organized the "Stay Vigilant to Anti-corruption" training session to ensure its sustainable,healthy, and rapid development. Over 100 employees attended the training session, which covered a wide range oftopics, including an introduction to the Supervision Department, case brie?ng, interpretation of supervisoryregulations, laws and regulations, and re?ections on corrupted behaviors, to further strengthen the institutionalconstruction of the Company, standardize the behaviors of employees, and incorporate compliance requirements intodaily operation.
Compliance Management
Committee
Data ComplianceImplementation Group
Implementation of all regulations underthe data compliance system
Data Protection O?cer
Information SecurityManagement Committee
Review and decision-making on the datacompliance system and other major issuesPlanning, construction, implementation, andsupervision of the data compliance system
Organizational structure of our Compliance Management Committee
Data Compliance
Subcommittee
CaseNexperia's full training on the Code of ConductNexperia continuously updates the Code of Conduct and takes active actions in organizing new employee training andannual training on anti-corruption and other related topics. In December 2022, Nexperia organized online and o?inetraining on the updated version of the Code of Conduct during the Reporting Period, and all employees participated inthe training. During the training, employees were explained the meaning, principles and values of the Code of Conduct,requirements for employees and case sharing, aiming to improve their anti-corruption awareness and enable them tokeep abreast of our latest requirements for personal conduct.
Our subsidiaries also formulate relevant systems in line with both their business scope and our general principles of informationsecurity. For example, Nexperia formulated the Information Security Policy with reference to the Cyber Security Framework (CSF) of theNational Institute of Standards and Technology (NIST) of the USA. Similarly, Delta has developed multiple regulations, such as theBusiness Standard Information System Management Regulations of Guangzhou Delta Image Technology Co., Ltd. and the DeltaGuidelines for Business Standard Information System Management, to integrate information security into its business process. Oursubsidiaries have been certi?ed by the ISO 27001 Information Security Management System Certi?cation and passed the classi?edcybersecurity protection. In addition, Delta obtained the Integration of Informationization and Industrialization Management SystemCerti?cate (Grade A) in 2022.
Be Upward, Be Kind, Be Sunshine.Sustainable Governance for Long-standing Business
Information Network Security Training
We bolster our e?orts in information security publicity by regularly disseminating information security-related knowledge throughe-mail, online self-study courses and on-site training sessions. We also pay great attention to raising employees' awareness ofnetwork security. In order to achieve this, we carry out a series of training activities related to product network security, includingsecurity system training for new employees, project security strategy training, and product network security baseline training.Nexperia has also published articles on data protection in its in-house e-magazine X. Press, in an e?ort to enhance employees'awareness of information security and data compliance.
We continuously improve our network security capabilities in primary protection, basic protection, systematic control and otheraspects with the aim of "eliminating objective threats and subjective fear". We employ practical management and control means forinformation security management, such as routine inspection, audits, and reporting incentives.
Information security knowledge contest
Information Network Security and Privacy ProtectionWe prioritize the information security of clients, employees, and ourselves. To ensure con?dentiality, we require all employees to signa general information security con?dentiality agreement that outlines the repercussions and criminal liability for breach of contract,and key employees are required to sign a special con?dentiality agreement. It is strictly forbidden for anyone to illegally obtain,disclose, tamper with, damage or sell personal data and information of clients and other people of the Company, gain unauthorizedaccess to client systems and equipment, or collect, store, process and modify data and information within clients' networks andequipment. We have designated physical isolation areas and con?dential areas to safeguard clients' sensitive information. Our T&TCon?dential Material Tracking System, which has functions such as mandatory inventory checking and alarms, tracks and controlsevery piece of con?dential material. It also includes a face recognition permission veri?cation system to enhance security.
? Investigation of integrity record of new recruits? Background investigation of new recruits (work history, reasons for job-hopping, etc.),identi?cation of personnel safety risks? Establish a management team with professional information security awareness? Establish an information security system for direct sta?? Third-party information security
? Onboarding safety training, special on-the-jobsafety training? Con?dentiality Agreement for New Employees,Special Con?dentiality Agreement? Regularly evaluate the e?ectiveness of training? Workshop signs
? Standard system document developmentand management? Document acceptance - Transfer rules? Document printing, distribution, recyclingand destruction management? Records management
? Rules for con?dentiality on product appearance and parameters? Con?dentiality rules for the use and transportation of parts and products? Con?dential delivery of ?nished products? Rules for publishing classi?ed documents
? Control rules for storage media such as mobilephones, smart watches, USB ?ash drives, harddisks, and web drives/cloud drives? Photo/shooting equipment management
? Key design network isolation? Project information encryption processing? O?ce network access permission management? USB and I/O port access control? Outgoing mail permission control? Regional network isolation in the TrialProduction Area
? Physical security isolation and control inthe R&D Project Area and the TrialProduction Area? Access control, safety inspectionmanagement? Regional monitoring system andcon?dentiality management? Con?dentiality speci?cations for scrap area
Transportation
Training
File control
Physical area
IT system
Media control
HR Management
Wingtech information security management process
Information
SecurityManagement
Information security training for new employees
Case Information security training for new employees
Case Information security knowledge contest
In September 2022, we launched the annual information security knowledge contest to encourage all employees tolearn the most recent information security policies and procedures. During the early stage, we provided access toemail, on-site publicity, video and other channels so that employees could learn and comprehend the latestinformation security standards. In the later stage, we held online quizzes and selected experts in information securityknowledge. The purpose was to ensure that employees understand the latest information rules and regulations andimprove their awareness of information security.
Every month, we provide new hires with informationsecurity awareness training that covers topics such asthe information security management system, accessmanagement of con?dential areas, equipmentmanagement, information classi?cation management,permissions control, and application management.These training activities can lower the risk ofinformation leakage and ensure that new employeesbecome familiar with our information security policiesand procedures.
Set an Example ofIngenuity Drivenby InnovationWith a deep foothold in the ?elds of semiconductors, productintegration, and imaging module, Wingtech always holds thatinnovation is the key to a company's long-term success. Inresponse to growing market expectations, we make continuousinvestments to expand our e?orts in innovation-driven, green,and clean technologies, think about how to improve the qualitymanagement system, and promote outstanding and eco-friendlyproducts to win the trust of clients.
RMB 4.565 billionof R&D investment
1,725patentsobtained
valid patents relatedto clean technology
Rank38th in China's Top 100
Innovative Large Enterprisesin 2022
Be Upward, Be Kind, Be Sunshine.
Semiconductor business sectorAs an industry-leading innovator, Nexperia continues to improve and develop product applications that reduce energy andmaterial consumption, and is making progress in three generations of semiconductor technology to contribute to asustainable future. For detailed R&D and innovation progress in the semiconductor business sector, please refer to theNexperia Sustainability Report.
Set an Example of Ingenuity Driven by Innovation
Wingtech places a high value on technology research and development, and constantly develops innovative technologies. In 2022, weranked 38th in China's Top 100 Innovative Large Enterprises due to our advancements in semiconductors, imaging module, andcommunication product integration.
In order to safeguard our brand's reputation, goodwill, and intellectual property accomplishments, Wingtech is committed toenhancing the intellectual property system. While strictly abiding by relevant laws and regulations at home and abroad, we have alsoformulated and promulgated administrative documents including the Intellectual Property Risk Management System, the IntellectualProperty Reward and Punishment System, the Intellectual Property Audit Procedure, and the Patent Management System. We alsomaintain a sound intellectual property management system, and continuously optimize the management and operation ofintellectual property. Meanwhile, we continue to re?ne our intellectual property management measures and have introduced theintellectual property management system to streamline the whole process online. During the Reporting Period, the intellectualproperty management system of Wingtech Communications was certi?ed by the GB/T 2940-2013 Corporate Intellectual PropertyManagement System Certi?cation.We also occasionally conduct intellectual property training to raise employees' understanding of the protection of intellectualproperty. During the Reporting Period, we carried out a number of intellectual property training sessions, addressing important topicssuch as patent infringement risks, patent search and other topics, and invited American lawyers to give us practical training onAmerican patents, which e?ectively enhanced employees' awareness of intellectual property protection.
As of December 31, 2022Imaging Module business sectorIn 2022, Delta developed and validated many new products of varyingareas, produced the prototype of in-vehicle cameras, and shippedsupporting modules from the product integration sector. Those measuresprove our solid steps to expand clients and product portfolios.The industry-leading ?ip-chip technology applied by Delta can providestabler performance, stronger anti-interference capability, and smallerfootprints than the previously-used wire-bond technology. Delta'simaging module quality leads the entire world.
Product Integration business sectorIn 2022, Wingtech Communications replaced die-casting aluminum alloyswith front-shell stamped aluminum sheets in the structural design of smartphones. This modi?cation has resulted in an increase in the automationrate and yield of the process while ensuring the stability of stamping dies.The productivity of a die is increased by ?ve times and the costs are morethan 50% less when compared with cast dies. Moreover, the materialconsumption and the energy consumption for die heating have beenreduced during production, and there is no high-temperature environmentaround the workbench, thus improving the operational environment of theproduction line.
WT-N1M601
Front-shell stamped aluminum sheets
Progress of R&D Innovation
Case Smart manufacturing
Taking smart manufacturing as one of the important drivers for long-term development, we are committed to crafting
intelligent factories that are both high-quality and personalized, with a view to promoting energy conservation, and
improving production e?ciency and product quality. In 2022, Wingtech Communications' Jiaxing factory expanded its
automation equipment portfolio to encompass ten machine types, including an automatic current transplanting test
device, a CCD internal monitoring binding device, an automatic battery mounting and rolling device, an automatic
screw gap detection device, an automatic battery cover mounting and binding device, an automatic lens mounting
device, an automatic mainboard dispensing device, an automatic test manipulator, an automatic labeling, number
checking & upgrading device set, and an automatic standard test station.
Automatic test manipulator An automatic labeling, number checking & upgrading device set
Boost Product Innovation and Lead TechnologicalAdvancement
We owned a total of 1,725 authorizedpatents, of which 803, 838, and 84patents were authorized for the semiconductor,product integration, and imaging module businesssectors, respectivelyNo infringement of patents, trade secrets ortrademarks occurred
In November 2022, Nexperia expanded its power management expertise with theacquisition of Nowi to include energy harvesting solutions that capture energy in light,vibration, radio waves or temperature gradients. Nowi's power management chips(PMICs) combine outstanding capture performance, the world's smallest PCB package,and ultra-low BOM cost to replace batteries for low-power applications such as smartwearables and automotive wireless sensor nodes. Nowi will help Nexperia's customersin consumer electronics, automotive and other ?elds accelerate the production processof solutions, quickly achieve large-scale production and transportation, and providesustainable alternatives to batteries for customers' products.
Be Upward, Be Kind, Be Sunshine.Set an Example of Ingenuity Driven by Innovation
We hold steadfast in our belief in the importance oftechnology and respect for human development, and arealways committed to our global responsibility as a companywhile focusing on innovation to achieve sustainabledevelopment. By fully exerting our expertise, we activelyfacilitate the research, development, and application of newclean technologies, and take the initiative to study anddevelop clean technologies in consideration of the nationalstrategy of energy conservation and low carbon as well asour own needs for business development. We continue toreduce energy consumption in material manufacturing,improve product performance, and will help achieve carbonneutrality in the near future. In 2022, Wingtech was rated asone of the Top 50 of Forbes China Sustainable DevelopmentIndustrial Enterprises.
Guarantee Product Quality and Strictly Control HazardousSubstances
Wingtech keeps reviewing and updating quality management to uphold an e?ective quality system while demonstrating ourdedication to providing clients with premium products. While ensuring product quality, we also implement rigorous measures toregulate the presence of hazardous substances as a means of establishing a robust defense mechanism.
We have implemented an advanced environmentally-friendly technology to replace paints containing volatile organic compounds(VOCs) in two product models with environmentally-friendly low-VOC paints. Our clients have the option to switch to water-solublepaints at any time, which can help improve the atmosphere quality and better protect the health of users. The power semiconductorproducts we develop containing third-generation compounds such as gallium nitride ?eld e?ect transistor (GaN FET) can e?ectivelyextend the battery life of automobiles, speed up charging, reduce heat loss from integrated applications, reduce material usage, ande?ectively improve product e?ciency.
Improve Management Systems and Strictly Control Product QualityWe strictly abide by relevant laws and regulations domestically and internationally as well as international management systems inquality, environment, safety and other aspects. We are committed to the ongoing enhancement of technology and product qualityand have secured several quality system certi?cations, including IATF 16949 Automotive Industry Quality Management System, ISO9001 Quality Management System Certi?cation, IECQ QC 080000 International Electrotechnical Commission Quality Assessment Systemfor Electronic Components - Hazardous Substance Process Management, TL 9000 Telecom Quality Management System, ANSI/ESDS20.20 American National Standards Institute Electrostatic Discharge Association Standard Certi?cation, AS 9100 Quality ManagementSystems - Requirements for Aviation, Space, and Defense Organizations, etc.
IATF 16949 Quality Management SystemCerti?cation for the Automotive Industry
TL 9000 Quality Management System
Certi?cation for theTelecommunications Industry
ANSI/ESD S20.20 American NationalStandards Institute Electrostatic DischargeAssociation Standard Certi?cation
AS 9100 Quality Management SystemCerti?cation for the Aerospace and
Defense Industry
ISO 9001 Quality ManagementSystem Certi?cation
IECQ QC 080000 InternationalElectrotechnical Commission QualityAssessment System for ElectronicComponents - Hazardous SubstanceProcess Management System Certi?cation
As of December 31, 2022
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第 1 页共 2 页IATF证书号 0404057
| IATF证书号 0404057 |
| 此为证书 CN18/20621 译本 |
| 下述组织 |
中国浙江省嘉兴市南湖区亚中路777号
| 中国浙江省嘉兴市南湖区亚中路777号 |
| 的管理体系已经过审核，并被证明符合下述要求 |
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无24 月 认证有效期自 2021年06月09日至 2024年06月08日 并须经过符合要求的监督审核保持有效
| 24 月 认证有效期自 2021年06月09日至 2024年06月08日 并须经过符合要求的监督审核保持有效 |
Chris-HY Ding
| Chris-HY Ding | |
| Veto Power Authority | |
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This Certificate of Registration acknowledges
Wingtech Technology (Wuxi) Co., Ltd.(Central) No. 11, Changjiang South RoadXinwu District, Wuxi, Jiangsu 214028
China
is registered as a Campus Site quality management system in conformance with
ISO 9001:2015 and AS9100D
The audit was conducted in accordance with the requirements of SAE AS9104/1:2012-01. PRI RegistrarSMis accredited under the ICOP Scheme.
Scope of Registration:
Overall Scope: Design, Development, Manufacturing and Service of
Video Displa
Unit for Civil Aviation
y
(Central) No. 11, Chagjiang South RoadXinwu District, Wuxi, Jiangsu 214028China
Manufacturing and Service of Video DisplayUnit for Civil Aviation
4F-6F, No.4 Juxin Information Technology ParkNo.188 Pingfu Road, Xuhui District, Shanghai 200000China
Design and Development of Video DisplayUnit for Civil Aviation
Number: 14225Issued: 22-Nov-2020Expires: 21-Nov-2023
Page 1 of 2
Case Contributing to carbon neutrality
As part of our commitment to environmental protection and sustainable development, Wingtech has released a torrentof environmentally-friendly, high-performance, and low-power semiconductor chips, devices and terminal products,adhering to our carbon neutrality strategy. With Nexperia's advanced silicon carbide and gallium nitride technology, weprovide green and low-carbon semiconductor products and solutions carried on energy-saving servers, enabling ourclients to build green data centers.Wingtech recognizes that energy conservation and enhancing energy e?ciency are crucial steps towards achievingsigni?cant carbon dioxide emission reductions. Therefore, we are continually promoting the development of andinnovation in the liquid cooling technology of data centers. To improve the overall energy e?ciency of the refrigerationsystem, we have identi?ed and addressed the problems of high energy consumption and low e?ciency in traditionalcooling technologies such as cold plate liquid cooling and immersion liquid cooling. In addition, our Ark Lab hasinitiated a research and development project aimed at creating high-e?ciency server power supplies, which isexpected to reduce energy consumption and emissions for data centers. Taking a data center with 10,000 servers as anexample, our 98% e?cient server power supply can reduce carbon emissions by more than 10,000 tons every four yearscompared with 96% e?cient power supplies.
Wingtech Communication owned a total of260 valid patents related to cleantechnologiesAmong them, there were158 patents
related to energy consumption in variousapplication scenarios,57 related to the
improvement of charging e?ciency, and
45 related to the enhancement of
battery life
Develop Clean Technologies and Promote Green Products
Case Nexperia invests in developing sustainable alternatives to batteries
Be Upward, Be Kind, Be Sunshine.Set an Example of Ingenuity Driven by Innovation
Deepen Quality Management and Pursue Quality Excellence
We established testing positions to test and monitor product quality at key production points. As for non-conforming products, wede?ne the product processing procedures at each stage. We also ensure that reworked products meet our quality requirements byreviewing various documents. These documents include risk analysis reports and processing records of reworked and repairedproducts, as well as validation records of corrected non-conforming products. As for non-conforming products found in the process ofpicking-up, manufacturing, market circulation and all inspection stages, we require suppliers to rework them as soon as possible ortake other e?ective measures to improve them. If the results still fail after the rework, the products will be returned.
Continuous improvement encompasses the entire product life cycle, and also involvesevery employee and every production stage. In 2022, Wingtech Communications set upQCC promotion committees in all factories, conducted improvement group activities onan ongoing basis, and provided cash rewards for award-winning projects, toencourage employees to work together to improve product quality. During theReporting Period, numerous quality improvement initiatives were implemented tofurther enhance quality management. For example, regarding the welding problem inthe Circle of Excellence, the Jiaxing factory of Wingtech Communications successfullyreduced the defect rate of welding by 70% after analyzing the reason and the rootcause, devising and verifying countermeasures, and implementing them.
Incoming quality controlProcess managementOutgoing quality control
Manufacturing Execution System
? Daily inspection records? Timely analysis of defect reports? Equipment and tool management? … Organizational Structure
Top management is responsible for formulating quality policies and quality objectives, supporting other managers to play the leadingrole within their duties, and conducting annual management reviews of each management system. We appoint managementrepresentatives, client representatives, and safety a?airs representatives to protect the interests of clients and employees. Wecollaborate with the Product Center, the Manufacturing Center, the Quality Center, the Supply Center, the Procurement Center andmany other departments to jointly control product quality.
Process Management
We have established three procedures for incoming quality control, process management, and outgoing quality control to controlproduct quality across the board.
Case Quality Control Circle (QCC) quality improvement projects
Quality policy
Quality is the lifeline of Wingtech and the cornerstone for excellent products;Build an industry-leading quality management system to align ourselves with the corporate
development strategy of "pursuing excellence as an industrial leader";Promote quality-oriented values in Wingtech's industrial chain to jointly achieve high quality.
? Key part tracking? System alert? …
? Minimize defects? Uniformity control ofcomplete products, packaging,cartons and pallets? Delivery precision control? …
Be Upward, Be Kind, Be Sunshine.Set an Example of Ingenuity Driven by Innovation
Culture of quality
Through quality leadership construction, quality rewards and punishments, quality publicity, quality retrospection and accountability, Wingtech continues to improve the qualityawareness of all employees, and establishes and implements a quality culture that is customer-centric, doing things right at one time and continuous improvement.
Quality month activities
ISO 9001 internal auditor training
Case Wingtech Quality Month
In June 2022, Wingtech held the "Quality Month". This Quality Month included eleven activities, including quality class,knowledge quiz, process recap, excellent improvement case selection, skill contest, quality knowledge show, andquality practitioner selection. Those activities increased the engagement of all employees and fostered a culture ofexcellence.
Case ISO 9001 internal auditor training
Quality class
There were two segments of the qualityclass attended by 9,800 employees. In July2022, the Quality Director of Nexperiaintroduced how Nexperia achievedexceptional quality performance throughthe application of quality tools and thedevelopment of quality culture. In August2022, the head of Integrated ProductDevelopment (IPD) Operation ManagementDepartment presented the current situationand problems of product R&D, the conceptof big quality and how to establish thisconcept, quality management in the R&Dprocess, and product quality construction.In addition, we invited external experts totrain us on the TL 9000 Telecom QualityManagement System and improve thesystem operation capability. A total of 186employees attended the training, 131 ofwhom passed the examination andobtained the TL 9000 internal auditorquali?cation.
Quality class
Manage processes and systems
Through analyzing and auditing the key processesof the quality system, this activity evaluated theoperational status of the quality managementsystem. Diagnostic reports were generated as aresult, and responsible departments wereprompted to make improvements, ultimatelyenhancing the overall health of the system. A totalof 28 nonconformities were identi?ed during theactivity; all corrective and preventive measures wereimplemented e?ectively; and all cases were closed.
Manage processes and systems
Excellent improvement case selection
To e?ectively improve product quality and workquality, we compiled exemplary cases of qualityimprovement within the Group and enhancedthe capabilities of all employees in deployingquality tools, analyzing issues, and resolvingquality challenges. Five exemplary cases wereselected to better motivate all employees toengage in quality improvement.Quality modelTo recognize those who have made exemplarycontributions to quality management, welaunched a selection campaign to commend theindividuals who have made outstandingcontributions to our quality commitment and setan excellent example. Three employees werechosen as "Quality Models of Wingtech".
The ?rst QCC launch contest
The ?rst QCC launch contest
In November 2022, the Huangshi factory ofWingtech Communications carried out theinternal auditor training for the ISO 9001 qualitymanagement system. The training sessioncovered the interpretation of system standardsand clauses, the essential competenciesrequired for internal auditors of the system, andthe execution of internal audit procedures. Thetraining facilitated comprehension amongemployees regarding the latest qualitymanagement system requirements, therebyensuring the e?ectiveness of our quality system.
In order to improve thecapability of applyingquality tools and create ahealthy atmosphere forcontinuous improvement,each production baseconducts an internalevaluation of QCC topicsduring the secondquarter and recommendsexcellent topics to themanufacturing center. Sixexcellent topics wereselected and awarded.
Be Upward, Be Kind, Be Sunshine.Set an Example of Ingenuity Driven by Innovation
Strictly Control Hazardous Substances and Consolidate the Green Foundation
? We completely eliminated the use of cadmium, lead, mercury, hexavalent chromium,polybrominated diphenyl ethers, and polybrominated biphenyls
2007
? We established a RoHS laboratory and a self-monitoring system2008
? We developed corporate standards for restricting the use of hazardous substances, besting the requirements
of international regulations such as RoHS and REACH in terms of hazardous substance management
? We initiated the environmental protection system review for all quali?ed suppliers, including regulatory
compliance and process compliance2015
? We initiated the RoHS 2.0 supply chain compliance investigation for 4 phthalates2016
? We completed the switch to RoHS 2.0, and satis?ed corresponding requirements before the
deadline (July 22, 2019) of the switch to the EU RoHS 2.0
? We implemented the Standardization Administration of China's requirements for VOCs
released in 2020, and fully replaced non-conforming raw materials to ensure our compliance2020
? We added the control requirements of the US Toxic Substances Control Act (TSCA) and
the Toxics in Packaging Clearinghouse (TPCH)
2021
? New control requirements have been added for ?uorine compounds and French printing ink,
while requirements for vehicle-mounted and wearable products were also extended
2022
Organizational Structure and System
We have established organizational structures for hazardous substance management, and continuously follow up on the updates oflaws, regulations, and client requirements for hazardous substance management. We also evaluate and con?rm those requirements,transform them into internal management standards, timely identify key evaluation items, complete hazardous substance evaluationfor factories, suppliers, and processing plants, and receive examinations by clients each year.We have identi?ed all chemicals to make sure they meet RoHS and REACH requirements. Wingtech Communications has formulatedthe Standards for Limited Use of Hazardous Substances, Measures for the Management of Chemicals and other management systems,and Delta has formulated and promulgated the Rules for the Management of Hazardous Substances. Nexperia continuously developsits standards on restricted substances in manufacturing, products, and packaging to align with both internal regulations and nationallaws, as well as customer expectations. Compliance is veri?ed through analytical test reports obtained from independent third-partylaboratories and assessed as early as during the quali?cation of new materials. Notably, Nexperia’s scope of chemical analysissurpasses that of RoHS requirements. Demonstrating commitment to transparency and excellence, the most recent versions of thesestandards are publicly available. As part of supply chain engagement, suppliers and external manufacturers of Nexperia aremandated to uphold these high standards.We maintain a constant focus on the latest laws and regulations on hazardous substances, actively promote hazardous substancegoal management, and collect the requirements for hazardous substances speci?ed by clients. According to our standards for thelimitation of harmful substances, we categorize such substances, mark the source for management, and specify the permissiblethreshold of harmful substances contained in products.
Wingtech abides by many international regulations and client requirements, includingthe EU Restriction of the Use of Certain Hazardous Substances in Electrical andElectronic Equipment (RoHS), the Regulations Concerning the Registration, Evaluation,Authorization and Restriction of Chemicals (REACH), and the Stockholm Convention onPersistent Organic Pollutants (POPs). We have also acquired certi?cation for IECQ QC080000 Quality Assessment Systems for Electronic Components - Hazardous SubstanceProcess Management, realizing the management of hazardous substances in productsand production processes.
2008
2017
Be Upward, Be Kind, Be Sunshine.Set an Example of Ingenuity Driven by Innovation
Education and trainingEvery year, we collect training needs, formulate and implement annual training plans, integrate hazardous substance managementknowledge into our onboarding program, and provide online training on hazardous substance management to our suppliers. In 2022,we organized the training of hazardous substances tailored to meet client needs, intensi?ed the e?orts in providing targeted trainingin key areas such as R&D, quality and procurement as required by major clients, and e?ectively promoted the control of hazardoussubstances.
To establish a strong reputation in the industry, we are dedicated to delivering high quality products and services while continuouslypromoting and improving services for clients in the full lifecycle. We utilize the Integrated Product Development (IPD) methodology toprovide comprehensive services to our clients across the board throughout the product evaluation, product development, validation,and release stages. For every project, Wingtech Communications assigns contact people from di?erent ?elds to communicate withclients. The contact people include representatives from R&D, sales, products, manufacturing, quality, procurement, supply, and?nance. These representatives respond to clients' requests and serve them through inter-departmental teamwork. We haveformulated and promulgated the Business Guidelines for Client Satisfaction Control, the Business Guidelines for Response to Clients'Complaints, and other administrative documents, implementing a standardized procedure for reworking and analyzing defectiveproducts to facilitate continuous improvement of products.In addition, we pay regular visits to clients and collect their opinions on our products and services via client satisfaction surveys. Werequire corresponding departments to analyze the cause of de?ciencies and rectify them, thus ensuring premium services for clients.In 2022, our semiconductor business sector was highly praised by clients in terms of cooperative relationships, product performance,and responsiveness of sales representatives. Based on 1,021 client feedback forms we received, more than 90% of respondentsconsider Nexperia as a leading expert in essential semiconductors. The product integration business sector conducted clientsatisfaction surveys in R&D, commerce, quality, and delivery, with a score up to 87.88. The imaging module sector focuses on eightdimensions of product quality, with the client satisfaction up to 99.4%.
Focus on Premium Services and Improve Client Satisfaction Process Management
We manage the full process, covering supplier management, product design and development, incoming quality control, processcontrol, and exception handling. In addition, we accept annual audits of hazardous substances from clients, and complete the auditsof hazardous substances for our internal and external suppliers and processing plants to optimize and improve our operation basedon the audit ?ndings.
We develop action plans for hazardous substance control in accordance with laws, regulations, and client requirements.We also de?ne testing requirements in the trial and mass production stages and apply environmental protectionevaluation for the "three new" materials in the material selection period while recognizing and preventing risks in theearly stage.For new suppliers, we conduct special reviews of hazardous substances in terms of environmental protection systemmanagement, R&D management, and procurement management. Wingtech Communications has set a threshold thatsuppliers must obtain an HSF score above 70 to be quali?ed for being its suppliers.Quali?ed suppliers must sign environmental protection agreements and declare the substances controlled by Wingtech.Also, suppliers must establish a hazardous substance process management system according to the requirements ofIECQ QC 080000. They must also run environmental protection tests on raw materials each year, and accept ourevaluation and management. Furthermore, we require suppliers to declare substances of very high concern that they useon the SCIP database of ECHA. In 2023, we evaluated the environmental protection performance of 44 new suppliers ofour product integration business sector, and sifted out ?ve suppliers that failed to meet our requirements for hazardoussubstances.Incoming new materials are screened for hazardous substances according to our hazardous substance checklist. Ifsuspicious hazardous substances are identi?ed, the corresponding raw material supplier must provide the RoHS report,the halogen-free report and other third-party environmental reports. They must also provide the Material Safety DataSheet (MSDS), and evidential technical data to prove that the materials they supplied conform to our hazardoussubstance control requirements. If a supplier fails to meet our requirements, we will not use their materials. In addition,we run environmental protection tests on samples before they are admitted, which means satisfactory test results are amust for sample admission.We design tools and ?xtures according to hazardous substance requirements and run comprehensive examinationsbefore production to make sure every process point has been cleaned, isolated, and labeled, and all relevant personnelhave been properly trained.We have clear regulations regarding the application scope, design, and dimension of environmental protection labels.These labels are indicated on products, user manuals, batteries, and accessories. Some of the labels include the WasteElectrical and Electronic Equipment (WEEE) label, the recyclable battery label, the RoHS label, the halogenfree label, andthe lead-free label. During the warehousing process, materials and products are stored in designated areas based ontheir attributes and clearly marked; non-conforming products are isolated and labeled with "rejected" for disposal.To better serve clients, we help them with compliance assessment to facilitate their compliance with full substancedeclaration and hazardous substance disclosure requirements. We have evaluated the full substance informationmanagement scheme of products and gradually realized the connection with third-party declaration systems and toolssuch as GDX and IPC-1752 to better declare substances and disclose hazardous substances. Nexperia also releases thechemical compositions of its product portfolios. Clients can retrieve detailed chemical compositions from the generalproduct database.
Product designanddevelopment
Managementof suppliers
Materialinspection
ProcessmanagementIdenti?cationand StorageManagementFullsubstancedeclaration
Selection ofsuppliers
Semiconductorbusiness sector
Product Integration
business sector
Imaging modulebusiness sectorConducted clientsatisfaction surveys in R&D,commerce, quality, anddelivery, with a score up to
87.88.
Client satisfaction reaches
99.4%
based on the results ofthe client satisfactionsurvey in 2022.
Based on the results of the client satisfactionsurvey 2022, more than90% ofrespondents consider Nexperia as a leadingexpert in essential semiconductors.
ClientSatisfaction
Low-carbonDevelopment for aGreen Future
Climate change is becoming a shared challenge for all countries,industries, and enterprises worldwide. In response to the state'scall, we stick to the path of green and low-carbon development,actively assess climate resilience, and continuously intensify oure?orts to reduce greenhouse gas emissions. Together, wesafeguard the green future of all mankind.
GHG emissions intensity of productintegration business sector
2.0 tCO2e/RMB Million of Revenue
GHG emissions intensity ofsemiconductor business sector
18.9 tCO2e/RMB Million of Revenue
Total non-hazardous waste15,004.9 tons
Environmental protection policiesFacilitate energy conservation and emission reduction and continuously improveenvironmental protection capabilities in compliance with laws and regulations.Satisfy global clients' requirements for environmental protection in products and
production.Strengthen Environmental Management andConsolidate the Green Foundation
Advocate Energy Conservation and Carbon Reductionand Combat Climate Change
With a watchful eye on our operational performance in environmental protection and sustainability, the Group strictly abides bythe Environmental Protection Law of the People's Republic of China, the Law of the People's Republic of China on the Preventionand Control of Atmospheric Pollution, the Water Pollution Prevention and Control Law of the People's Republic of China, andother laws and regulations, and has formulated and promulgated the Business Guidelines for Environmental, Health and Safety(EHS) Goals, Indicators and Performance Measurement Management Control and other administrative documents.In order to mitigate the environmental impact of our business operations, the Group has established a comprehensiveenvironmental management system in accordance with ISO 14001. As of the end of the Reporting Period, our semiconductorsector, imaging module sector, and product integration sector were all granted certi?cation by the ISO 14001 EnvironmentalManagement System. Nexperia's factories in Hamburg, Germany and Newport, UK have been certi?ed by the ISO 50001 EnergyManagement System. Also, we provide environmental training to our employees and organized some employees to receivetraining on ISO 14001 to obtain the internal auditor certi?cate.The Group has established a sound environmental management structure to enhance the e?ciency and e?ectiveness of theenvironmental management system. Nexperia has assigned a global environment, health, and safety (EHS) manager to executethe global EHS management system and coordinate social responsibility management work. Furthermore, Nexperia hasassigned the VP of Front End Operations, Global Real Estate and Facilities Management to be responsible for the e?ectiveness ofthe EHS management system and social responsibilities. Wingtech Communications has established the Safety ProductionCommittee to supervise the safety and environmental protection management e?orts at all levels. The EHS implementation ofeach department is in the charge of the Safety and Environment Department and their own safety o?cer.
By taking actions in green transformation, Wingtech is proactively addressing the national requirements for carbon peak andcarbon neutrality and coping with the challenges posed by climate change. Moreover, we identify and evaluate potentialclimate-related risks and opportunities with reference to the Task Force on Climate-Related Financial Disclosures (TCFD)framework to facilitate low-carbon development.Response to and Management of Climate ChangeWe provide disclosure on our e?orts and advancements in addressing climate change risks, with reference to the TCFDframework. This includes our initiatives in governance, strategies, risk management, and indicators.
ISO 14001 Environmental Management System Certi?cation
Governance
Strategies and risk
management
Indicators and goals
Governance
To mitigate the potential impact of climate change on our business, Wingtech has implemented a comprehensive strategy thatinvolves the integration of resources and the establishment of a robust EHS management system. Additionally, we haveappointed a senior executive to oversee our e?orts to reduce carbon emissions. We have also set up a carbon emission reductionproject team to deeply integrate our operation and production with climate change response.
Click to learn more:
Wingtech Sustainable DevelopmentPolicyNexperia Sustainable DevelopmentPolicy
Be Upward, Be Kind, Be Sunshine.
Low-carbon Development for a Green Future
Strategies and risk managementThe sustainable development of Wingtech will be impacted by both risks and opportunities arising from climate change. Tobetter combat climate change in a strategic manner, we have identi?ed the following transformational risks, physical risks, andopportunities that may arise in the future.
With the action plan for carbon emission reduction already established, we continue to strengthen our risk identi?cation andresilience capabilities.
DescriptionCountermeasureCategory of risks
Policiesandregulations
Immediate
Reputation
Market
Technology
Potential
Practice energy-saving policies andindustrial standards & requirements
Establish a steeringorganization for energy
conservation
Facilitate green
production
Develop clean technologiesand explore green productsImplement majorenergy-saving projects
Apply an energymanagement platform
Organize personneltraining
Execution andsupervision
The action plan for
carbon emission
reduction ofWingtech
Following the implementation of carbon control policies andthe enhancement of combat against climate change anddisclosure requirements, Wingtech is facing greater risks inthe compliance with environmental protection laws,including but not limited to regulations of various countriesand regions on pollutant emission, waste water discharge,hazardous substance use and treatment. Violation of thoseregulations may lead to ?nancial penalties or sanctions.The use of clean technology and the implementation oflow-carbon emission technology requirements have the riskthat the technical speci?cations of products and productquality will not meet the standards after the newprocess/equipment is put into production.
Wingtech maintains investment in the research anddevelopment of clean technologies, and makes sure wecan satisfy customer demands in product quality andsupply capability by means of science-basedenergy-conservation renovation and standardized cleantechnology introduction.
Although Wingtech cannot predict extreme environments ornatural disasters caused by climate change or theireconomic impacts, we can guarantee product and businesscontinuity by means of reasonable supply and productionplanning as well as capacity distribution, thus reducing therisk to the minimum level.Wingtech adopts water-saving technologies to reduce thecost of using and processing water while expanding theproportion of renewable energy.All production departments are also well prepared to copewith the supervisory requirements of di?erentcountries/regions.
Wingtech hires experienced ?nancial specialists,strengthens the compliance system construction andrelated training, and will strictly comply with the latestinternational and national climate-related laws andregulations, timely evaluate our operation, products, andsupply chain, so as to understand the possible risks of newregulations and their impact on our business.
Technological improvement and renovation in theproduction process will be helpful in increasing ourmanufacturing e?ciency and reducingmanufacturing costs.
Wingtech will facilitate the introduction of new technologies in theproduction process, reduce the negative environmental impact ofproduction and manufacturing, and increase capacity utilizationand output e?ciency through technological improvement.Wingtech will take locally appropriate measures to install andtransform photovoltaic equipment, procure green electricity, andrealize energy recycling in various factories in line withinternational and national policies on renewable energy.
Wingtech will keep improving supplier access rules duringoperation and step up the control of climate change risks and therequirements for sustainable development. We will alsocontinuously strengthen the resilience of the supply chain with anaim of creating a green supply chain system.
Wingtech’s ESG and sustainability operation organizationformulates ESG promotion plans and indicator managementplans.
Wingtech will accelerate the research and development ofindustrial-grade and automotive-grade high-e?ciency powerdevices in the semiconductor business sector and expand thescope of product application. In the product integration andimaging module sectors, we will expedite product penetrationinto downstream electric vehicle manufacturers, green energyproducers, and server users.
The incentive policies of governments for renewable energywill help us accelerate the transformation of the energystructure and reduce operation costs.The transformation to low-carbon products has broughtabout a trend for products and services, which will give usopportunities in the development of electric vehicles andgreen energy.Wingtech maintains a smooth communication channel withexisting clients to keep us updated on their sustainabilityrequirements. The sustainability management workproceeds in an orderly manner. Carbon emissionmonitoring and reducing programs are promoted at asteady pace.With improved capability in the response to climate changerisks and in sustainability development, Wingtech will leadand enable upstream enterprises to some extent during theoperation, so that the operation of suppliers can be moresustainable and stable, thereby guaranteeing the resilienceof the supply chain system.The sustainability requirements of clients for product designinvolve the selection of materials, energy consumptiondesign, and product quality design in the process of productresearch and development. There is a risk that Wingtechmay not be able to fully satisfy clients' requirements forproduct performance in recycling and repair.
Wingtech maintains a smooth communication channel withexisting international and domestic clients to keep updatedon their sustainability requirements. The evaluation systemfor di?erent clients enables us to continuously communicatewith clients and iterate our response to their demands onsustainability planning, product design, and carbonemission control, so as to guarantee the continuity ofproducts and business.The failure of satisfying the evaluation requirements ofstakeholders during the transition to sustainabledevelopment may increase the risk in our reputationand litigation.
By establishing an ESG and sustainability operationorganization, Wingtech can maintain close communicationwith and active response to stakeholders from such aspectsas strategic planning system, legal compliance system,client marketing system, product research and developmentsystem, quality management system, security andenvironmental protection system, supply chain procurementsystem, human resource system, and public a?airs system.Bu publicizing our ESG information, we make sure thatstakeholders can evaluate and supervise our e?orts insustainable development.Extreme environments or severe natural disasters maydamage manufacturing facilities or even halt the operationand spread to distribution channels and the supply chain,which may pose a signi?cant negative impact on ourproducts and revenue.The degree of immediate disaster impacts depends on thegeographical location, and some of the Group's plants arelocated in areas vulnerable to storms and ?oods.Rising temperatures, rising sea levels, and water stressmay limit our access to water and energy resources,increase our cost, and heighten supervisory constraints.
Transformational riskPhysical risk
DescriptionCountermeasure
Category ofopportunitiesResourcee?ciency
Market
Productsand services
Energy
e?ciency
Resilience
Be Upward, Be Kind, Be Sunshine.Low-carbon Development for a Green Future
Indicators and goals
Carbon emission reduction targetsCarbon neutrality commitmentWingtech commits to achieving carbon neutrality for Scope 1and 2 emissions by 2050, with the Semiconductor businesssector reaching this goal by 2035. We will also incorporateScope 3 emissions into our future carbon neutrality programsto enhance the emission reduction performance of the valuechain.
2035
2050
Product Integration business sector
30% reduction in GHG emissions intensity by
2030 compared to 2015
Imaging Module business sector
30% reduction in GHG emissions intensity by
2030 compared to 2016
Semiconductor business sector
20% reduction in total GHG emissions by
2030 compared to 2017
2030
Science-based target setting
Wingtech is actively preparing for setting of thescience-based targets, will continuously work onstrategy and pathway planning, and will strengthenthe promotion of the use of clean/renewable powerin product development and manufacturingprocess. By referring SBTi's recommendations andguides, we will strive to improve the realizability ofour targets and pathways.
Having designed GHG emission goals, Wingtech
calculates GHG emissions every year and reviews
the progress of goal attainment, to help achieve
the carbon peaking and carbon neutrality vision.
Semiconductor business sector
Achieving carbon neutrality for Scope 1 and 2 emissions by 2035
Product Integration business sectorAchieving carbon neutrality for Scope 1 and 2 emissions by 2050Imaging Module business sectorAchieving carbon neutrality for Scope 1 and 2 emissions by 2050
Wingtech 2022 Sustainability Report
Be Upward, Be Kind, Be Sunshine.Low-carbon Development for a Green Future
Improve Energy E?ciency and Ful?ll Responsibility for Environmental Protection
We have formulated and promulgated administrative documents such as the Management Operation Speci?cation for ResourceConservation, the Management Speci?cation for Carbon Emission Reduction, the Greenhouse Gas Checklist, and the CarbonEmission Reduction Statistics Table. Also, we continuously improve energy-saving measures in various business sectors toenhance our energy e?ciency.For energy conservation and environmental protection measures in the semiconductor businesssector, please refer to the Nexperia Sustainability Report.
Our data-based performance of energy consumption and greenhouse gas emission in 2022 is shown as follows:
We also focus on the use of packaging materials in the production and operation process. We are committed to continuouslyimproving packaging technologies from multiple perspectives, i.e., the selection of sustainable materials, the optimization ofproduction processes, the recycling and reuse of packaging, and the extension of product life cycles, to improving the recycling rate ofmaterials, saving the consumption of packaging materials and reducing the impact on the environment.
Notes：
1. The data of energy consumption and greenhouse gas emissions in 2022 add the imaging module sector, so our energy usage data and
greenhouse gas emissions data increased.
2. The greenhouse gas emissions of the imaging module business sector are at a low level and therefore exempted from disclosing the emission
density for the time being.
3. As Wingtech Communications turned o? its steam heating system in 2021, there is no data on steam usage in 2022.
4. In 2022, we added the statistics and disclosure scope of lique?ed petroleum gas for the semiconductor business sector.
5. Direct greenhouse gas emissions (scope 1) are calculated according to the 2006 IPCC Guidelines for National Greenhouse Gas Inventories and the
GB/T2589-2020 General Rules for the Calculation of Comprehensive Energy Consumption.
6. In 2022, our indirect greenhouse gas emissions (scope 2) were calculated based on the emission factors of 2022 speci?ed in the Notice on Doing
a Good Job in the Management of Greenhouse Gas Emission Reports for Enterprises in the Power Generation Industry from 2023 to 2025 issued bythe Ministry of Ecology and Environment of China.
Indicator
1,2
Natural gas (10,000 cubic meters)Steam (GJ)
Gasoline (L)Diesel (L)Lique?ed petroleum gas (L)
Purchased electricity (10,000 kWh)Direct GHG emissions (Scope 1) (tCO2e)
Indirect GHG emissions from energy (Scope 2) (tCO2e)
Total GHG emissions (tCO2e)-GHG emissions intensity of product integration business sector(tCO2e / RMB Million of Revenue)-GHG emissions intensity of semiconductor business sector(tCO2e / RMB Million of Revenue)
2022
1,970.9
/100,629.5215,273.1
49,377.0 64,534.9115,776.0290,652.5406,428.5
2.0
18.9
? The Jiaxing factory of WingtechCommunications implementedthermal energy conversion on itsair compressors, saving 345,600kWh of electricity per year.? Nexperia's Newport-based factory inthe UK installed a high e?ciencywater chiller unit.
? The Jiaxing Factory of WingtechCommunications installed thephotovoltaic power generationequipment on the roof, with anaverage annual power generationcapacity of 1.8 million kWh.
Green electricity
Energy recovery
? The Kunming factory of Wingtech Communications installed anintelligent automatic control system and redesigned the park'slighting equipment to save energy and reduce consumption. Italso installed a timing controller on exhaust fans and otherfacilities, enabling remote control, timing and other functions.This resulted in an annual electricity saving of at least 1,006,670kWh without a?ecting production.Optimization of lighting and exhaust equipment
? Nexperia's Philippine factory inCabuyao launched the energyconservation publicity campaign.Publicity on energy conservation
? Wingtech Communications' Wuxifactory successfully optimized theirwater chiller unit by adjusting theoutlet water temperature and thereturn water temperature from 7℃and 12℃ to 9℃ and 14℃ respectively,saving 226,713.6 kWh of electricityper year.
Equipment modi?cation
Equipment installation
Energy-saving
measures
Be Upward, Be Kind, Be Sunshine.Low-carbon Development for a Green Future
2022 Water
564.1273.8
2022 Wastewater
(ten thousandtons)
(ten thousandtons)
Wingtech 2022 Sustainability Report
Practice Green Operation and Facilitate Green ProductionWe closely monitor the topics of water resource e?ciency and waste reduction while prioritizing the e?cient use of water and therecycling of resources. We also implement various measures to mitigate the environmental impact of operation and productionactivities and construct green o?ces and production sites.
Manage Water Resources and Reduce Water FootprintWe prioritize the protection and conservation of water resources and have implemented water-saving goals and measures in allour factories, o?ce areas, and living spaces to promote water conservation and recycling.
Business sectorWater-saving goal
All factories developed their own annual water-savinggoals. For example, the goal of the Hamburg factory in2022 is to reduce water consumption by 28.5 m
/m
;the goal of the Manchester factory in 2022 is to reducewater consumption by 43.3 m
/m
Goal attainment
During operation, we mainly consume water for production and living. The product integration business sector consumes lesswater than other business sectors and all wastewater produced during production is recycled instead of being discharged. Thewastewater produced in other business sectors is discharged in compliance with local laws and regulations.
Our data on water use and wastewater discharge of 2022 are shown in the table below:
Notes:
1.The Kunming Factory of Wingtech Communications was launched for production in June 2021, and the time span is prolonged (the data of 2021
covers half a year while the data of 2022 covers the whole year). The Jiaxing Factory of Wingtech Communications started to clean paint slag onthe bottom of wastewater pools, pipelines, and walls, resulting to the increase of water usage in 2022.
? When being engaged in planning,design, or renovation, the departmentresponsible for engineering shouldapply a circulating and cascadedwater supply and consumption systemalong with water-saving technologiesand measures.? Ensure an intact water reuse systemin production to prevent leakage anddischarge.
? Minimize the water in?ow into the water circulation systemduring production, improve the e?ciency of cooling waterdevices or other water devices, and reduce water loss.
? Use water-saving appliances to themaximum extent, and strengthen theirinspection and repair to preventdripping and long running water.
? Post signs of water conservation andimprove the water-saving awarenessof all employees.
? Establish and improve water-saving rules and regulations,and install water meters to measure water consumption.
Water-saving
measures
Case Air-conditioning system cooling water improvement project
One example can be seen at our site in Dongguan China. It previously used local mains water to cool itsair-conditioning system, consuming approximately 300 tons of fresh water every day. However, in 2020, the siteswitched to using recycled water from its wastewater treatment station. This initiative now saves 300 tons of freshwater daily and reduces the amount of wastewater discharged.
Water consumption of Wuxi Factory reducedby 27% in 2022 compared with that of 2021Product Integration business sector reducedwater use by 15.8% compared to 2020Water consumption reduced by 25% in 2022compared with that of 201719% water recycled in 2022
Be Upward, Be Kind, Be Sunshine.Low-carbon Development for a Green Future
Annual water consumption reduced by 2% YOYSemiconductorbusiness sector
Product integrationbusiness sector
Enhance Environmental Awareness in Green O?ce
The Group regularly implements measures to promote environmentally sustainable practices in our o?ce and integrates theconcept of green and low carbon into our daily operations to enhance the environmental awareness of our employees. Duringthe Reporting Period, Nexperia's Dongguan-based factory in China achieved paperless o?ces, resulting in a signi?cantreduction in the use of natural wood resources; Nexperia’s Hamburg-based factory in Germany organized with the EHS team anannual environmental activity on electronic and metal waste recycling, encouraging employees to collect unused and brokenelectronic products and the proceeds after recycling are donated to a local children’s charities; Wingtech Communicationsprovided training to its production and management personnel on environmental protection laws and regulations as well asenvironmental management priorities.
Compliant Discharge and Enhanced Environmental Risk ManagementWingtech is committed to reducing all kinds of emissions and discharges generated during our production and operationprocess. To achieve this, we have incorporated waste management into the environmental management system to promotesustainable production and operation. We employ professional equipment and innovative technologies to properly managevarious kinds of emissions produced during operation, and entrust quali?ed third parties to test those emissions to ensurecompliance with established standards.
Notes:
1. Our hazardous waste mainly includes waste degreasers, cleaning agents and paint grease generated in the production process. Non-hazardous
waste mainly includes industrial solid waste generated in the production process and waste such as miscellaneous materials, plastic, paper, wood,kitchen waste, construction waste, etc.
Wingtech Communications is holding a training session onenvironmental protection laws and regulations
Donation handover from Nexperia's electronic and metal
waste recycling activity
Solid waste
The solid waste generated by the Group includes hazardous waste, general industrial solid waste, and domestic waste. We haveformulated a series of management procedures and measures such as the Management Operation Speci?cations forWastewater, Waste Gas, and Solid Waste, the Waste Collection and Disposal Measures, and the Management Policy forHazardous Waste and a handful of administrative procedures and measures and continuously improve the waste managementsystem. To ensure proper waste management, we collect and classify solid waste according to the requirements of national lawsand regulations. We also entrust quali?ed third-party processors to process all the solid waste according to requirements andkeep ledgers of various kinds to ensure compliant treatment of waste. In 2022, we recycled and reused a total of 12,766.8 tons ofwaste.All factories of the Group have established waste management goals, such as a waste recycling rate of 80% in 2022 as set byNexperia's Hamburg factory in German. The goal of Nexperia's Manchester Factory in England for 2022 is to achieve 95% ofwaste recovery. The waste management goal of the product integration business sector is 100% compliant disposal of waste.Our waste emission and discharge performance of 2022 is shown in the following table:
Indicator
Total hazardous waste (tons) -Total hazardous waste in the product integration business sector (tons) -Total hazardous waste in the semiconductor business sector (tons)-Total hazardous waste in the imaging module business sector (tons)Total non-hazardous waste (tons) -Total non-hazardous waste in the product integration business sector (tons) -Total non-hazardous waste in the semiconductor business sector (tons) -Total non-hazardous waste in the imaging module business sector (tons)
2022
4,575.9
941.0
3,620.0
14.9
15,004.9
6,737.97,746.0
521.0
Waste Gas Emissions
We have formulated and promulgated the Measures for the Management of Waste Water, Waste Gas and Noise to standardizethe management of waste gas emissions. The waste gas generated during operation mainly comes from a small amount of VOCsgenerated in the spraying process. We use an advanced green treatment technology to combust the waste gas, such as thelatest ceramic regenerative catalytic combustion method with a waste gas treatment rate of up to 95%, which is higher than thenationally stipulated 90%. We also introduce the VOC online monitoring system to monitor the emission and treatment of wastegas and make sure they are up to standards. In addition, we collect gas in di?erent regions and environments and applyphotocatalysis along with activated carbon ?ltration to ensure compliant emissions in all production areas. In 2022, the JiaxingFactory of Wingtech Communications upgraded its original waste gas treatment facilities by installing a more e?cient secondaryactivated carbon treatment device, which improved the waste gas treatment performance of the factory.
Be Upward, Be Kind, Be Sunshine.Low-carbon Development for a Green Future
People-oriented toRealize Dreams forEmployeesAt Wingtech, talents have always been the most valuable assetfor our development. Upholding the "people-oriented" businessphilosophy, we prioritize the legitimate rights and interests ofemployees and strive to create a safe, healthy, harmonious andpositive workplace that fosters the all-around development andgrowth of our employees. By doing so, we hope to achieve theaspiration and goal that all employees will endeavor and prosperalongside us.
Total number ofemployees is
34,048
Number of internaltraining lecturers is2,385
Proportion offemale employees is36%
Be Upward, Be Kind, Be Sunshine.People-oriented to Realize Dreams for Employees
Protect Employees’ Rights and Interestsand Create a Blissful Workplace
We always abide by labor standards; safeguard the legitimate rights and interests of employees;extend support to their work and personal lives; strive to create a positive and harmoniousworkplace where all employees can trust, embrace, and respect each other.Employment Management Diversi?ed recruitment
To satisfy our need for talents to facilitate sustainable, stable, and rapid development, we haveformulated the Recruitment Management System to de?ne and standardize our recruitmentprocess and guarantee the quality of our talent pool. We employ a variety of recruitmentchannels and mechanisms to rapidly attract more high-performing young talents to join us,including internal recommendation, social recruitment, campus recruitment, headhuntingrecruitment, and school-enterprise cooperation.
Daily Management
Clinging to the employee management concept of "unity inlearning, working, creating, and sharing", we strictly abide bythe laws and regulations in countries of our operations, suchas the Labor Law of the People's Republic of China and theLabor Contract Law of the People's Republic of China. Inaddition, we actively respond to international conventionssuch as the Universal Declaration of Human Rights and theConvention on the Rights of the Child. To protect the rightsand interests of employees, administrative documents such asthe Recruitment Management System, the Employee TurnoverSystem, and the Employee Handbook have been formulated.
Diversity and anti-discriminationWe strongly endorse a corporate culture that is pluralistic and inclusive,and uphold the principles of inclusiveness, diversity and equalopportunities. We have created an environment where everyone istreated fairly and with respect and has access to equal opportunities.Every employee is able to leverage their unique talents and capabilitiesin our diversi?ed platform, without experiencing any form ofdiscrimination or unfair treatment on the grounds of race, religion, color,age, gender, sexual orientation and other factors.Furthermore, we recognize gender equality as an important part of ourcorporate culture of pluralism, inclusiveness, and equality. We haveformulated the Measures on Labor Protection for Female Employees toprotect their legitimate rights and interests. We fully implement laborprotection for female employees in every aspect of their life and workincluding recruitment and employment, training and physicalexamination, promotion and work arrangement, and other specialcircumstances. Lactating employees can enjoy maternity leave, extendedleave, as well as lactation bene?ts and care. A baby care room is alsoprovided. Delta has also developed the Protection Procedures for FemaleWorkers (Pregnant Women), and conducts regular training for managerson anti-discrimination.
/ Campus recruitment /We also keep expanding the coverage of our campus recruitment. In September 2022, we livestreamed the serial activities of campusrecruitment for senior students and carried out internal and external promotion campaigns to increase campus recruitment'snotoriety, thereby enhancing our employer brand. In 2022, Wingtech Communications recruited approximately 2,000 graduates from2021 to 2023.
Wingtech campus recruitment in 2022
As of the end of 2022, Wingtech had a total of 34,048 employees.
Sta?ng Structure（By Gender）Sta?ng Structure（By Region）
■ Male■ Famale
21,715
12,313
22,7873,701
7,424
■ China (including Hong Kong, Macao and Taiwan)
■ EMEA (Europe, Middle East and A?ca)
■ Asia (excluding China)■ America
unity inlearning
workingcreatingsharing
Be Upward, Be Kind, Be Sunshine.People-oriented to Realize Dreams for Employees
Salary and WelfareFollowing the principle of being "legal, fair, competitive, incentive, and economic", we have formulated and keep improving internalsystems such as the Salary Management System and the Bonus Management Measures. Our scienti?c, fair, and reasonable salarystructure can e?ectively motivate employees at all levels with corresponding rewards paid to employees with exceptionalperformance, enhancing our general competitiveness.In accordance with national labor laws and regulations, relevant industry standards, and in consideration of our businessmanagement and development needs, we have formulated the Company Welfare Management System to standardize welfaremanagement and ensure harmonious labor relations. We strictly abide by local laws and regulations and provide employees withstatutory bene?ts including pensions, unemployment insurance, medical insurance, work-related injury insurance, maternityinsurance and housing provident funds. We also provide employees with a range of statutory holidays, including marriage leave,funeral leave and annual leave. Moreover, we o?er various kinds of subsidies to employees, including transportation subsidies,commercial insurance, and travel subsidies, enhancing employees' sense of happiness and job satisfaction. Protection of human rights
We sincerely believe that respecting and protecting human rights is essential for ensuring sustainable business practices. We strictlyabide by relevant laws, regulations, and standards related to human rights. In the Handbook of Social Responsibility Management,we stipulate the strict prohibition of any form of corporal punishment, threat of violence, or any other form of verbal, physical,psychological or sexual disciplinary measures. This includes but is any form of sexual harassment, sexual abuse, physical punishment,mental or physical oppression or verbal abuse. By adopting this approach, we establish a professional environment and a communitythat upholds and safeguards human rights.We respect the rights and liberties of employees to participate in trade unions, associations, collective bargaining and equalconsultation. We do not interfere with or sanction employees who engage in negotiations. We carefully listen to the feedback andrequirements of our employees through the Congress of Workers and Employees while ensuring the communication channelsbetween employees and us remain unimpeded. In 2022, all employees of our product integration business sector joined the laborunion, with a 100% participation rate in signing the collective agreement; 99.9% of Delta's employees joined the labor union, with100% of them signing the collective agreement.
Compliant employmentWe prohibit the use of child labor and forced labor. We have formulated the Labor Protection and Management System for UnderageWorkers and Child Laborers and other relevant systems to regulate the identity veri?cation process for applicants and the correctiveprocedures for child labor. Prior to the interview, it is mandatory for all candidates to present their valid identi?cation certi?cates.Additionally, we ensure that all employees sign legal labor contracts. In the event of any violation of employment policies, we willtake timely measures to ensure a legitimate working environment.We make sure employees have the freedom to choose their career and work for a reasonable number of hours a day. We strictlyprohibit the use of forced, guaranteed, indentured or involuntary employees under the Management Procedures for Prohibition ofForced Labor that has been established. We also make public the procedures for reporting forced labor cases, and take serious actionagainst the use of forced labor.
Wingtech's Congress of Workers and Employees in 2022Wingtech employee bene?ts list
Incentive tours
Team building
Orientation week
Overseas training
Health checkups
Birthday care
Annual bene?tsFamily birthday
partiesPaid annual leave
Shuttle buses
Bene?ts & holidays
Subsidies
Trade unionactivities
Major diseasesupport
Employee Interactions
We are committed to creating a respectful and democratic workplace. In order to enhance e?ective communication amongemployees, we consistently implement various methods such as face-to-face policy explanation meetings, general managerreception days, sta? tea parties, and other initiatives to provide a robust communication platform for our employees. With thoseactivities, we e?ciently address the diverse needs of employees about work and life, create harmonious labor relations, and cultivatea sense of shared purpose and commitment between employees and the Company.
In addition, Wingtech Communications conducts quarterly employee satisfaction surveys to assess corporate culture, managementmethods, working environment, and salary & bene?ts. These surveys are conducted to gain insight into the needs of employees and todevelop and execute appropriate action plans for improvement. In 2022, the overall employee satisfaction of WingtechCommunications exceeds 90%, and that of Nexperia was 87.2%.Aimed at enhancing the quality of life for our employees, we o?er a diverse range of colorful cultural and sports activities to ?ll theo?-work hours of employees. We set up a number of sports associations and organize a variety of recreational activities for ouremployees. We strive to foster a happy, healthy, and harmonious work environment to promote cohesion and sense of belongingamong employees, organize thoughtful activities on Dragon Boat Festival and Mid-Autumn Festival and give warm-hearted gifts toour employees and their families, cultivating an image as a "loving and warm" employer.
We prioritize employee well-being by implementing a range of welfare initiatives. In order to cater to the speci?c needs of our femaleemployees, we have established fully-equipped and comfortable baby care rooms at multiple locations. Our baby care rooms areequipped with a refrigerator, a table, chairs, and a disinfection cabinet. In addition to providing comprehensive employee bene?ts,Delta has also taken a series of actions to o?er support to employees, such as visiting employees who are hospitalized, extendingcongratulations to those who have recently become parents, and expressing condolences to employees who have experienced a loss.
Face-to-face policy explanation meetingGeneral manager reception daySta? tea party
Gifts in the Dragon Boat FestivalBirthday party
Consolation for cross-border workersYoga activities
Be Upward, Be Kind, Be Sunshine.People-oriented to Realize Dreams for Employees
Wingtech 2022 Sustainability Report
Achievements and AwardsWe are committed to creating a positive brand image as an employer and enhancing our appeal to talents, employees'engagement and a sense of belonging, so as to continuously attract and retain talents and contribute to our long-termdevelopment. During the Reporting Period, we won a number of employer-speci?c awards, including the "Most Promising YoungEmployer 2022" and the "China's Best Employer of the Year 2022 - Best Employer in Smart Manufacturing", highlighting ourexceptional performance in talent recruitment and talent management.
Special activitiesDragon Boat Festival activitiesWe launch celebration activities in manyplaces to show our appreciation foremployees' enthusiasm and hard work,and to enhance communication amongemployees.
Dragon Boat Festival activitiesDragon boat regatta
We carry out Mid-Autumn Festivalactivities in many places, includingmovie viewings and exquisite culinarytastings, to strengthen internalcommunication among employees andincrease their sense of belonging.
DIY lantern activityFamily Open DayNexperia and Wingtech Communicationsorganized Family Open Day activities toencourage employees to interact withtheir children, and to introduce theirfamilies to their work values and ourcorporate culture.
Family Open DayActivities for women
We value the physical and mentalhealth of female employees and ?rmlysafeguard their legitimate rights andspecial interests. In 2022, we launcheda series of women's activities, includingthe "Female Star of Smart Manufacturing"selection and the care extension onWomen's Day, to continuously enhancethe senses of honor, happiness andsecurity of female employees.
Care extension on Women's Day"Female Star of Smart Manufacturing" selection
①②
③
Name of award: China's BestEmployer of the Year 2022 - BestEmployer in Smart ManufacturingAwarded by: Zhaopin.com①
Name of award: Most In?uentialEmployer 2023Awarded by: haitou.cc
Name of award: Most PromisingYoung Employer 2022Awarded by: CIWEI
②
③
Case Tribute to she-power
In Wingtech, more and more outstanding women have contributed their unique wisdom and demonstrated theirpositive, upward and good power in life and work. On March 8, 2022, we conducted interviews with outstandingfemale employees in di?erent departments and positions, invited them to share their work and learning experiences,and paid tribute to she-power of Wingtech.When asked how to handle all kinds of work con?dently and calmly, Cathy, secretary of the board of directors replied,"Everyone should constantly explore their own career concept in the company's values, ?nd their own shining point incontinuous e?orts and learning, and then give full play to it, the sense of value and satisfaction will naturally comewith your determination." Rowe, a department manager of SQA who develops technology platform, often encouragesteam members to learn together and cultivate the ability of deep thinking. "Time and age are never enemies ofwomen. Only by being their friends can we constantly surpass ourselves!"We continue to provide guidance and support for women's career development, encourage more female employees tobe positive and con?dent, and constantly form their own career concept in the company's values, so as to empowerwomen's career development.Mid-Autumn Festival activities
Be Upward, Be Kind, Be Sunshine.People-oriented to Realize Dreams for Employees
Open up Promotion Channels, Cultivate Outstanding TalentsWe pay close attention to the development of talents and the construction of the knowledge system. Therefore, we improve thecompetence of employees and boost their occupational development by providing them with a reasonable career development path,abundant training resources, and a well-designed occupational development system. By doing so, we can continuously provideprofessional talents for our steady development.
"Double-pyramid" CareerDevelopment PathWe have implemented a "double-pyramid"career development system, utilizing talentmanagement strategies employed by leadingglobal enterprises, to enhance our careerplanning and retention mechanisms for keypersonnel. This mechanism involves thedivision of a position's promotion channel intotwo distinct categories: managerial andtechnical, covering 7 groups, 32 categories and109 sub-categories, so as to meet thedevelopment needs of employees in di?erentbusinesses, regions and ?elds.
Performance AppraisalIn 2022, we implemented the Talent Reviewmodel company-wide. By aligning our DeepDive corporate strategy with individual KPIs ofemployees, we can accurately assess thecontribution of each employee towards theattainment of our strategic objectives. Werelease quarterly assessment results andprovide di?erentiated incentives to employeesbased on their performance to help us achievestrategic goals.
Talent Training SystemWe pay close attention to the development of talents and the construction of the knowledge system. Also, we continuously enhancethe talent "selection, employment, education and retention" mechanism while o?ering abundant training resources for employees. Toaccomplish our strategic goals and satisfy the needs for talent development, we have implemented a comprehensive,well-organized, and structured talent development system that is continuously enhanced in terms of its content, trainers, andplatform. We are committed to providing our employees with equal and ample opportunities for training and promotion, in order tocontinuously cultivate professional talent for our stable and sustainable development.
In order to establish a consistent approach to managing our position and rank system and create a comprehensive careerdevelopment pathway or employees, we have formulated internal systems such as the Wingtech Training Management System andthe Wingtech Organizational Structure and Cadre Management System. Those documents serve as the basis for job matching, talentdevelopment and promotion.
High-potentialmanagement talents
High-potentialprofessional talentsFunctionalmanagers
AIPBonus
Manager/rankpromotion
PIimprovement
Talentreview
Salaryadjustment
Performanceresult
Recruitmentallocation
Businessmanagers
First-linemanagers
Professionalcadres
Projectmanagers
Experts
Grassroots employees
Thought leadersStrategy leaders
Professional leaders
Technology family
Function family
Supply chain family
Sales family
Quality management family
ProfessionalismLeadership
New employees
Newcomer Boost Program
(social recruitment)
Wingtech School, an e-learning platform
Growth phaseIntroduction phase
MemberSupporting system
Help achieve the strategy + meet the needs of talent development
Build the talent supply chain
General competence (including the 630 Lecture & Wingtech Reading Club)
Senior - Succession ProgramMiddle and senior - Xingyao Program
Management trainees - Takeover Program
First-line - Xingyue Program
Our Talent Review model
Benchmarkdata
Incorporate
responsibilities
into the KPIassessment ofemployees atall levels via theperformanceassessment
Output of the Deep Dive strategyDeep Dive outputs annualoperation objectives
Application scenarios ofperformance results
Action plans ofemployees at all levels
Company/department/employee three-levelKPI indicator system
Output assessmentresults fromquarterly/annual review
Salaryincentives
Occupationaldevelopment
Boot Camp
(social recruitment)
Xingshengtai Boost Program
(campus recruitment)
Xingshengtai Training Camp
(campus recruitment)
Student development
organization
Trainingmanagement system
Student committee
organizationStudent committee
system
Lecturerorganization
Lecturer
system
Instructororganization
Instructor
system
CourseresourcesCourse management
regulations
Be Upward, Be Kind, Be Sunshine.People-oriented to Realize Dreams for Employees
? Xingshengtai Program
The Xingshengtai program enables us to design customized training paths and career development channels for newly recruitedemployees through campus recruitment and improve their senses of belonging and accomplishment, thereby discovering promisingtalents.Total number of trainees146,882
530,505total hours of employee training
11,942 times of course training16 hours of training per capita2,385 internal training instructors
Introduction to featured programs? Xingyue Program - a leadership training program
As a leadership training program tailored for ?rst-line managers, "Xingyue Program" aims at improving organizational capacity,achieving performance goals, and creating a team of outstanding talents. The program consists of ?ve parts, namely talent review,talent training, talent certi?cation and entry into the talent pool, continuous empowerment, and selection & promotion. It aims tostreamline the promotion channels of managers and facilitate full-process cadre management. In 2022, we held seven intensiveface-to-face training sessions, successfully equipping over 300 front-line managers and exceptional personnel with enhancedmanagement skills. This initiative not only bolstered their capabilities, but also fostered a positive, learning-based environment.
Face-to-face instructionGroup photo upon completion of the face-to-face instruction
Training performance in 2022
Wingtech School
The Wingtech School (univ.wingtech.com) is an onlinelearning platform that incorporates resource management,training organization, learning operation, self-learning ofemployees, instructor management, and communitycommunication. With more than 1,000 premium coursesprovided internally or externally, this platform continuouslyimplements talent development programs to facilitate alearning-based organization.
Training cycle of Xingshengtai
Xingshengtai training program in 2022
The "Xingshengtai" Training Camp is an important part of the training program. In the ?rst week after admission, we will provide a?ve-day o?ine face-to-face instruction to help new graduates better adapt themselves into the company. In 2022, 15 training sessionswere conducted in the ?rst Xingshengtai Training Camp and 745 new graduate employees completed the learning and assessment forthe ?rst stage "Professional Training".
The program helps new graduate employees transit from the school to the company throughthe training methods of onboarding training + outward bound training + on-the-job practice.
New employees are comprehensively reviewed and top 25% are selected as managementtrainees to receive prioritized cultivation.
After completing their training, management trainees are further screened to single out thebest-performing employees, who will be included in the succession plan, providedpossibilities for quick advancement, and personally instructed by the Chairman of the Board.
Stage 1Xingshengtai
Stage 2Management
trainee
Stage 3Elite program
630 Lecture Hall
The 630 Lecture Hall regularly carries out a variety ofcourses, focusing on various ?elds of professionalknowledge/skills/information transmission, careerquality improvement, positive attitude shaping, etc., tohelp sta? quickly adapt to new changes, cope with thenew environment, master new knowledge, andconstantly strengthen the construction of Wingtechtalent team.
Be Upward, Be Kind, Be Sunshine.People-oriented to Realize Dreams for Employees
Implement Safety Management to Ensure the Health of Employees
We are committed to providing a healthy and safe workplace for employees and continuously improving our management of theiroccupational health and safety. We strictly abide by the Law of the People's Republic of China on Work Safety, the Law of the People'sRepublic of China on Prevention and Control of Occupational Diseases and other laws and regulations, maintain a soundenvironment, health and safety (EHS) management structure in place, and have been certi?ed by the ISO 45001 Occupational Healthand Safety Management System.Safety FirstIn recognition of the importance of safety management, we have formulated a number of administrative documents such as theSafety Operation Procedures and the Safety Management System for Special Operations. We also strengthen employees' awareness ofsafety risks and standardize safety management and safety operation behavior, so as to e?ectively prevent and eliminate safetyaccidents and control the safety management process. Also, we are committed to integrating process control with our goals. Everyyear, we revise and update the Tracking Table of Environment, Occupational Health and Safety, CSR Target Indicators andManagement Scheme, create improvement reports for nonconformities, and constantly track the improvement progress. We takeconcrete steps to ensure the e?ective implementation of work safety management at all levels of the Company.
In addition, we have formulated the Control Procedure for Hazard Identi?cation andEvaluation to identify the potential hazards that may impact occupational health and safetyin our activities, products, services or operations; evaluate the hazards and risk factors;determine and update major risk factors; create the Hazard Identi?cation and RiskAssessment Form to manage and control hazards. As a member of the EuropeanSemiconductor Industry Association (ESIA), Nexperia shares safety data with ESIA every year,including recordable accidents, days absent, hours worked, full-time equivalent (FTE),recordable case rates, severity rates, and other safety-related indicators.In 2022, we had 19 work-related injuries, 579 lost workdays due to work-related injuries, and0 work-related deaths. We will continue to strengthen employee safety awareness to reducethe number of work-related injuries and lost working days due to work-related injuries.
We value the establishment of a safety culture and regularly provide a three-level safety education, ?re safety emergency drills, safetyknowledge training, and other activities for all employees, aiming to develop and strengthen employees' capability of handling safetyemergencies and ensure a safe atmosphere.
Wingtech safety production measures
Establish strict safety operation procedures for the distribution, routine management,storage and disposal of hazardous chemicals.Practitioners of hazardous chemicals must receive professional training; suppliers ofhazardous chemicals must provide business licenses, material safety data sheets (MSDS),inspection reports, and other reports or certi?cates; personnel engaged in transportation,loading, and unloading must receive training from relevant departments, pass theexamination, and hold valid certi?cates before assuming their positions.Special equipment operators must all be certi?ed and strictly abide by the operation rules.Special equipment must receive annual inspections and generate inspection reports. Acomplete list of special equipment must be established and maintained.
All subsidiaries formulate and implement the emergency handling procedure andcontingency plan for production safety accidents.An emergency rescue steering and leading group is set up to take charge of matters relatedto emergency management.Annual emergency drill plans are developed, and special emergency drills are organizedevery year, such as hazardous chemical leakage drills.
Management ofhazardouschemicals
Management ofspecial equipment
Emergencymanagement
??
??
???
Joint ?re drill on 11.9 for the FireAwareness Month
Chemical leakage emergency drillMechanical injury emergency drill
Work safety training in Wuxi Factory
Occupational health and safety policyCompliance to the law, safe production every second；Continuous improvement, healthy production every day.
Case Work safety trainingIn 2022, the Wuxi factory of WingtechCommunications carried out a safetytraining session titled "Abide by WorkSafety Laws and Assume Responsibilitiesas the First Responsible Person" fordepartment heads and higher-levelmanagers. The purpose of the trainingis to enhance awareness of safetyresponsibility for all managers as wellas to enhance our safety managementlevel.
Be Upward, Be Kind, Be Sunshine.People-oriented to Realize Dreams for Employees
Health Concerns
In order to manage and prevent occupational diseases caused by toxic and harmful factors in the production process, improve theworking environment, and strengthen personal protection for employees, Wingtech Communications has formulated theManagement Regulations for Occupational Diseases, the Management Regulations for Safety Protection Equipment and other internalguidelines related to occupational health; Delta has formulated the Guidelines for the Management of Labor Protection Articles, theGuidelines for the Management of Occupational Diseases and Infectious Diseases, and other relevant regulations to protect theoccupational health and safety of employees in daily work. In addition, we invite a distinguished third-party organization to identifyoccupational-disease-inductive factors every year, and produce and disseminate the Report on the Detection and Evaluation ofOccupational Disease Inductive Factors. Also, we continuously monitor and assess the improvement progress and closely track anyassociated problems, so as to reduce or prevent the occurrence of occupational diseases.
Occupational health training
We encourage employees to actively participate in health training courses, improve their awareness and skills of occupational healthand safety, and prevent and reduce the incidence of safety accidents and occupational diseases.
Special training for Red Cross paramedicsEarplugs are worn by workersin a noisy environment
Post noti?cations and warning signsof occupational hazards
Provide pre-post, in-post ando?-post occupational healthexaminations for employees,and ask them to sign theNotice of Occupational HealthExamination
Occupationalhealth examination
Provide all employees withnecessary labor protectionarticles such as safety helmets,goggles and earplugs, andclosely monitor compliance withtheir correct usage
Provision of laborprotection articles
Posting of warning
signs
Post warning signs andnoti?cation of occupationalhazards at locations whereoccupational hazards mayoccur
Our measures to prevent occupational diseases
Case Special training for Red Cross paramedicsThe Huangshi factory and Huangshi Red Cross Society jointly organized a special training to certify Red Crossparamedics in order to enhance emergency rescue knowledge among employees, improve their ability to handleunforeseen incidents, and reduce personal injuries and property losses. A total of thirty employees participated in thetraining, which covered aspects including the introduction to Red Cross ?rst aid, basic knowledge and operationtechniques of cardiac resuscitation, AED operation, common emergencies, trauma rescue, etc.
Be Upward, Be Kind, Be Sunshine.People-oriented to Realize Dreams for Employees
Join HandsResponsiblyfor Common Bene?ts
Join HandsResponsiblyfor Common Bene?tsWe prioritize mutual bene?ts through cooperative collaboration,insist on shared development with both upstream anddownstream partners, and construct a healthy, secure, green,and sustainable supply chain. Also we actively participate inindustry exchanges to promote the prosperity and advancementof the industry.
Have landed andimplemented school-enterprisecooperation projects with 5
colleges and universities
Total numberof suppliers6,228
%of Wingtech's suppliershave signed socialresponsibility commitments
200+
suppliers conductedcon?ict mineral surveys
Be Upward, Be Kind, Be Sunshine.
Standardize Responsible Procurement and Build a GreenSupply Chain
Insisting on responsible procurement, we standardize the management of the supply chain, strictly control the admission of suppliers,strengthen communication with them, and work with them to build a green and sustainable supply chain.Standardize Procurement Management and Control Supply Quality
We have developed a sophisticated procurement system and supplier management system to strictly control the introduction, routinemanagement, and performance assessment of suppliers, thereby ensuring premium and stable supplies. Wingtech Communicationshas established a procurement committee, which is responsible for the procurement strategies of all categories and the evaluationand decision-making of suppliers when they are admitted and selected. The committee also works with other departments to improveand complete the supplier system. The Procurement Department of Nexperia is responsible for the selection and management ofsuppliers, while the Supplier Quality Department and the EHS Department oversee auditing procedures. The EHS and CSR departmentsare accountable for supervising the implementation of the audit plan and rectifying any noncompliance issues that may arise.
Admission of suppliers and quality assurance
We select suitable suppliers according to the New Supplier Selection and Certi?cation Procedure, which stipulates that new suppliersare required to be certi?ed in ISO 9001 and ISO 14001 or hold other equivalent certi?cations, adhere to industrial or nationalstandards, and ensure their deliverables meet quality and environmental requirements. Nexperia also requires new suppliers tocomplete a self-assessment questionnaire, which includes CSR assessment and grading, before being admitted. Each questionnairemust be thoroughly reviewed and signed by a member of the supplier's top management and approved by Nexperia's EHS and CSRdepartments.
Exchanges with suppliersWingtech values communication with suppliers and maintain close cooperation with global elite partners for the bene?t of mutualsuccess. In 2022, Wingtech Communications organized and conducted online training and exchanges with suppliers, with 500suppliers participating in those events.
By the end of 2022we had had6,228 suppliers,
of which2,664 were located in MainlandChina, Hong Kong, Macao, and Taiwan.
Submit business licensesalong with ISO 9001, ISO14001,and other systemcerti?cation materials
Sign documents includingthe ProcurementAgreement, the QualityAgreement, theCon?dentiality Agreement,and the Standard forLimited Use of HazardousSubstances
Fill in the SupplierAppraisal Checklist forself-evaluation in terms ofR&D, HSF management,procurement management,CSR management, andquality management
Receive informationaudit or on-site auditby the Company
Thresholdinvestigation
Agreement signing
Supplierself-evaluation
Audit scoring
Number of suppliers
2,664
3,564
■ Mainland China, Hong Kong, Macao and Taiwan■ Other regions
To ensure product quality, we design quality indicators for suppliers and hold quality communication meetings with the seniormanagers of those suppliers that participate in key projects or that are not meeting our quality requirements. Together we identifyquality risks and develop preventive measures. In necessary circumstances, the Quality Department assigns personnel to the site ofsuppliers to monitor their processes. When a supplier doesn't achieve our quality standards, we arrange quality review meetings andrequire their top quality managers to report on their quality improvement e?orts. If no improvement is made, we will reduce theirsupply proportion, downgrade them, or disqualify them, and we also have the right to ask them to bear corresponding losses.
We have formulated the Supplier Monitoring Procedure for admitted suppliers. We enable the layered management of suppliers, aswell as the quarterly performance evaluation and annual appraisal to rate suppliers in multiple dimensions based on their materialquality, delivery capability, commercial service, and R&D support capability. We divide them into ?ve grades of ABCDE according to theassessment results, namely, great suppliers, good suppliers, general suppliers, risky suppliers, and highly-risky suppliers. Theassessment results will be linked to follow-up cooperation as a part of our continuous management of the supply chain.
Procedures for supplier admission
2022WingtechCommunications removed
suppliers from the listdue to quality issues
Grant opportunities
Ouota guarantee
No opportunity
Survival of the ?ttest
Improvement under guidance
Set sponsors and SMPrioritize early involvement injointinnovation
Controlled granting ofopportunitiesSigning ofagreement
Quota guarantee, resource priority
Strategy
Preference given
Limited selectionEliminated
Quali?ed
Quality indicators for suppliers
Proportion of conforming sampling batches in total sampling
batches in monthly inspectionsReject ratio per one million incoming materialsReject ratio per one million products on the production line
Client complaint ratio
Major/batch quality incidents
Join Hands Responsibly for Common Bene?ts
Supply Chain Social Responsibility Management
We are committed to the sustainable development of the supply chain. We require oursuppliers to abide by the relevant laws and regulations where they operate and preferto work with those who employ environmentally friendly materials and technologies,treat stakeholders fairly and honestly, and respect and uphold human rights.We have formulated the Code of Conduct for Suppliers and other administrativedocuments. We also ask suppliers to sign the Commitment to Social Responsibilitiesand other relevant agreements when signing procurement agreements with us. Forexample, Delta mandates that suppliers to sign the Social Responsibility,Environmental Health and Safety Agreement of Suppliers to make sure that they followour CSR management requirements. Additionally, Nexperia extends its responsibility ofresponsible procurement and supplier management to the management team,including Chief Operating O?cer, Chief Procurement O?cer, Vice President of Quality,and Senior Director of Global Environmental Health and Social Responsibility,strengthening the social responsibility management of the supply chain. In addition,we include CSR evaluation in the new supplier evaluation, quarterly performanceevaluation of suppliers, and annual appraisal of suppliers. The special CSR appraisalallows us to rate suppliers' social responsibility performance.Wingtech is fully aware of the importance of environmental management in the supplychain, and take supply chain environment management as an administrative measureto practice supply chain social responsibility. We strictly control the admission ofsuppliers and require them to comply with our environmental requirements,preferentially use pollution-free or low-pollution production technologies andequipment as well as environmentally friendly materials, and provide supportingmaterials to prove their quali?cation. Only suppliers satisfying our environmentalrequirements can be quali?ed as our suppliers. In the process of suppliermanagement, we employ a variety of approaches for monitoring and checking theenvironmental management methods and measures taken by suppliers. Meanwhile,we monitor the commercial water and wastewater of suppliers, actively review thewater footprint of products from key clients, as well as identify and manage water risksduring the manufacturing process. Additionally, we work with suppliers and otherstakeholders to reduce water footprints, thereby lowering the water consumption perunit of product and heightening the recycling of water resources. We also providetraining for suppliers around environmental protection. We require suppliers toformulate and implement an environmental protection training system for employees,continuously improve their environmental protection awareness and managementcompetence, and deeply practice the concept of sustainable development.Regarding social risk management by suppliers, we require suppliers to make everye?ort to provide a list of diversi?ed candidates for every position regardless of theirrace, gender, age, or other factors irrelevant to their performance at the position.
? Examine of their waste emission permits and other documentsrequired by law, environmental impact assessment reports,conforming processing of exhaust gas/wastewater/solid wasteand relevant records?Reduce environmental impact by calculating and monitoring theusage of various resources and the emission volume of greenhousegases
Supplier Environmental Risk Management
? Prohibit using child or forced labor? Prohibited from harassing, abusing, or discriminating against anyemployee, including but not limited to temporary workers, interns,contract workers, and direct employees? Prohibit any working conditions that pose a serious risk to thesafety or health of employees, establish an occupational safetymanagement procedure and provide personal protection articles? The wages and bene?ts of suppliers' employees must complywith all applicable laws and regulations? Employees must have the freedom of association and the right tocollective bargaining. They must be allowed to openlycommunicate and share their thoughts regarding workingconditions and management practices
Supplier Social Risk Management
Main contents of annual audit of social responsibility for suppliers
Manage Con?ict Minerals and PracticeResponsible Procurement
The percentage of suppliers who have signedthe Commitment to Social Responsibilities is100%
The percentage of suppliers who havecompleted the CSR review is
100%
Delta CMRT training
Click to learn more:
Wingtech Code of Conduct for SuppliersNexperia Code of Conduct for Suppliers
In 2022, Wingtech Communications achieved:
By the end of 2022, we had completed con?ict mineral investigations of more than 200 suppliers, andfound no supplier involved in con?ict minerals.
We have established a complete con?ict minerals management system, including the ManagementMeasures of Con?ict Minerals, the Operational Guidelines for the Management of Con?ict Minerals andother institutional documents. We also openly disclose the Statement on Policies for PurchasingCon?ict-free Minerals to avoid using con?ict minerals obtained from illegal operations. Meanwhile, wealso note our commitment to responsible mineral sourcing in our Code of Conduct for Suppliers. Inaddition, we have a specialized organizational structure to manage con?ict minerals and speciallydesignated personnel to collect, sort out, and evaluate standards and client requirements related tocon?ict minerals, cobalt and mica while overseeing the implementation of the con?ict mineralmanagement. We transform the standards and requirements into our internal management measuresof con?ict minerals, and deliver them to our suppliers as soon as possible to facilitate agreementsigning and due diligence.In terms of supplier management, we require suppliers to complete the Con?ict Minerals ReportingTemplate (CMRT) and the Extended Minerals Reporting Template (EMRT), both of which are issued byRMI and to report the source and the chain of custody of con?ict minerals. We also audit the sourceand the chain of custody of con?ict minerals in the supply chain in an e?ective and risk-based mannerbased on the OECD Due Diligence Guidance for Responsible Supply Chains of Minerals fromCon?ict-A?ected and High-Risk Areas. Wingtech Communications runs a company-wide evaluation ofcon?ict minerals for suppliers every year based on the most recent Smelters & Re?ners Lists from RMI'so?cial website. As a member of the Responsible Minerals Initiative (RMI), Nexperia also reviews theCMRT statements of suppliers through the Responsible Mineral Review Procedure. If RMI updates theSmelters & Re?ners Lists or a supplier's CMRT statement has expired for more than a year, Nexperia willbegin the evaluation to determine supply chain risks.CaseAs a member of the Responsible Business Alliance (RBA), Nexperia requiresall suppliers to sign the Statement of Suppliers on Compliance and asksthem to always comply with Nexperia's Code of Conduct for Suppliers.Nexperia also continuously monitors suppliers' performance in socialresponsibility, and regularly audits them in terms of labor, human rights,environmental management, business ethics, governance and compliance.Nexperia has developed a social responsibility risk assessment process forall suppliers, contractors, and service providers. Suppliers that fall beyondthe risk threshold or have low performance in ESG are subject to socialresponsibility audit procedures, and Nexperia would take measuresagainst suppliers that violate business ethics. In 2022, Nexperia audited 20suppliers for their social responsibility performance and plans to increasethe number every year. In addition, a 24/7 hotline is available forstakeholders to anonymously report unethical supplier actions.
Case CMRT training
We o?er regular training and information on con?ictminerals to ensure employees and partners have abetter and more complete understanding of the con?ictmineral issue. In June 2022, Delta continued training onCMRT to allow key position holders understand CMRTknowledge better and familiarize themselves withrelevant policies and guidelines.
Policies of con?ict mineralsWe do not support nor use con?ict minerals.We require all suppliers to comply with regulations on con?ict-free minerals.We conduct due diligence on suppliers whose products contain con?ict minerals and identify the
source of those metals.We monitor and ensure suppliers sign agreements for not supporting or using con?ict minerals.
Nexperia's supply chain social responsibility management
Be Upward, Be Kind, Be Sunshine.Join Hands Responsibly for Common Bene?ts
Deepen Industrial Exchanges and Share IndustrialDevelopment
Through our close and mutually bene?cial cooperation with global elite partners, Wingtech strives to enhance industrial exchanges,cultivate industrial talents, and achieve coordinated and multi-bene?cial industry growth.
Cultivation of Industrial TalentsWingtech kept expanding the school enterprise integration platform to accomplish extensive school enterprise cooperation via internbases, scholarship programs, campus competitions, and co-construction of scienti?c research and technology capabilities. Withe?orts made to advance the integration of industry and education and cultivate talents for the industry, in 2022, Wingtech engaged inexchanges and negotiations with Shenzhen University, Chinese University of Hong Kong, Shanghai University, Xi'an TechnologicalUniversity, Yunnan University, Kunming University, Jiaxing University, and other universities. We concluded cooperation with ?ve ofthose universities to build our own ecosystem of universities.We also worked with Tsinghua University to establish the Joint Research Center of Industrial and Automotive-grade SemiconductorChips. The center fully exerts the advantages of both parties to break the bottlenecks of key technologies in automotive-gradesemiconductor chips, and boost the integration of industrial and academic resources as well as industrial development.
Wingtech's servers became a benchmark for Intel
Industrial Exchange and Cooperation
Wingtech actively expands the channels of industrial exchanges and cooperation to demonstrate our innovative technologicalachievements, boost exchanges and cooperation between upstream and downstream entities, and promote jointdevelopment.
Cooperation and exchange with Jiaxing University
Case Wingtech's servers became a benchmark for IntelIn January 2022, the Intel IPDC Summit was held andattended by more than 300 Intel solution experts,server system manufacturers, server systemdesigners, and independent software developersfrom all over China. At the meeting, our G660T6 andG660T7 server products were chosen, for the ?rsttime, as the Common Design Standards of generalservers in the Greater China Region by their highenergy e?ciency, high cost performance, highscalability, high reliability, and other characteristics.
Case
In November 2022, Wingtech attended the China-Nordic Economic and Trade Cooperation Forum & Fortune 500 Dialogwith Hubei 2022 held in Wuhan. During the event, we showcased the core technologies and latest semiconductor,imaging and communication products.
Case Wingtech made a debut at the Fifth China International Import Export
On November 11, 2022, our subsidiaries Nexperia,Wingtech Communications, and Delta made a jointpresence at the Fifth China International ImportExpo. During the event, we showcased numerouscore technologies and the latest semiconductor,imaging, and communication products, as well ascutting-edge solutions in many ?elds includingautomobile, industry (including 5G), mobile phones,computers, and consumer electronics.
Wingtech made a debut at the Fifth China International Import Export
Wingtech attended the China-Nordic Economic and Trade Cooperation Forum & Fortune500 Dialog with Hubei 2022
Be Upward, Be Kind, Be Sunshine.Join Hands Responsibly for Common Bene?ts
Engage in CharitableActivities to Enjoy aBeautiful LifeWhile realizing our corporate value, Wingtech is enthusiastic aboutparticipating in various public welfare activities, gathering positiveand kind forces, actively giving back to society, and fostering theharmonious development of society.
bene?ting1,119people
Charitable investment amounts to about1,775,032.65RMB
21,683,200RMBis invested in rural revitalization
Be Upward, Be Kind, Be Sunshine.Engage in Charitable Activities to Enjoy a Beautiful Life
Concept of Public Welfare
With the mission of "contributing to society while realizingenterprise value", Wingtech believes in and insist on undertakingpublic welfare activities. The Company has carried out a series ofvoluntary activities and social assistance activities, such as blooddonation, visits to the elderly, etc. We have also actively supportededucation and poverty areas to promote the harmonious andsustainable development of the community. In 2022, the Groupdonated a total of approximately RMB 1,775,032.65 to the public.We have also won a number of awards and honorary titles thathave been recognized by the community, fully demonstrating theGroup's social commitment.
Give Back to Society with LoveIn 2022, we gave back to society and promoted our positive values by carrying out charitable activities such as voluntary blooddonation, education support, consolation to the elderly, and donations to the community.Assist in Rural RevitalizationWith a sustaining focus on the rural revitalization cause,Wingtech supports the community with practical actionsand promote the high-quality development of rural areas.We actively provide jobs and employment opportunities forthose in poverty-stricken areas as a way to promoteregional economic development and rural revitalization.During the Reporting Period, we organized job fairs inSichuan, Gansu and other remote and poverty-strickenareas, and provided skill training for 1,119 employees, witha total investment of RMB 21,683,200.
In September 2022, Wingtech and eight other listedcompanies participated in the Symposium on Cooperationof Listed Companies in the Electronic Information Industry2022 initiated by the Susong County Government, duringwhich the Shanghai Stock Exchange held a training classfor secretaries of listed companies in the electroniccomponents industry in Susong County, Anhui Province.During the event, we o?ered guidance and suggestions forthe development of the electronic information industry inSusong County. Wingtech actively exchanged andcooperated with local electronic information enterprises toshare industrial development and cooperationopportunities with them, helping to boost the developmentof industrial clusters in Susong and e?ectively supportinglocal social and economic development with high quality.
Charity Donation Certi?cate
Volunteer activities
Blood donationConsolation to the elderly on the Double Ninth Festival
Accurate support fruit farmers in Yangshan
Case Care for children
Nexperia launched a volunteer program that encourages employees to contribute 1,000 hours per year forselected charities or community projects during working hours. Concerned about the health, happiness, andgrowth of children in need, Nexperia's volunteers prepared beautifully packaged Christmas gifts for the childrenfrom Wish List Tree Campaign, brightening their spirit on Christmas Day 2022.Nexperia also attaches great importance to the happiness and development of impaired children. In 2022,Nexperia donated money to Bator Tabor for High Rope site renovation. The new site allows those impaired toclimb ropes in wheelchairs and provides opportunities for children with disabilities to climb high ropes.
Wingtech supports our community through practical actions and help people inneed. In 2022, we donated RMB 500,000 to the Charity Federation of NanhuDistrict, Jiaxing City to support local charities, marking our contribution to thelocal charity federation for the second year. In addition, we donated RMB 50,000to many sub-districts in Tieshan District of Huangshi City for communityconstruction.
Community Support
We value the development of education in variousregions, and provide high quality education resourcesto students and teachers in remote areas. In 2022, wedonated RMB 20,000 to the Education Bureau of HuzhuCounty, Qinghai Province to purchase stationery andfacilities. We also launched an education supportcampaign in Luquan County, Kunming City, donatingRMB 200,000 to help poverty-stricken students withtheir study.
Education Support
We are committed to helping people of all ages overcome psychological issuesand live a happy life. In May 2022, Nexperia participated in the Charity CanoeChallenge held by Beacon, a psychological consulting company, in an e?ort toraise people's awareness of psychological health. Throughout this event,Nexperia raised GBP 4,640 of donations for Beacon, which will help those inneed by o?ering psychiatric therapy services.
Pay Attention to Psychological Health
The pennant was presented to us by the Zhangshan Sub-district,
Tieshan District, Huangshi City
The Education Bureau of Huzhu County,Qinghai Province is granting theCerti?cate of Appreciation
Wingtech is consoling the needy students in Luquan County
Case
In June 2022, Wingtech conducted an executive symposium on talent support inLuquan County, Yunnan Province to learn about the talent support program'sprogress. Meanwhile, we donated RMB 200,000 to 88 students from low-incomehouseholds to inspire them to live determinedly, pursue their studies with joy,and grow healthily. Students were also encouraged to change their destiny withknowledge and contribute to the future development of their hometown.
CaseIn 2022, Nexperia partnered with the Manchester Food Bank tocombat hunger and poverty across the UK. Nexperia not onlyorganized an on-site food collection fair, but also donated aconsiderable amount of food. Nexperia's employees alsoprovided volunteer services in the Food Bank to help people inneed overcome poverty and hunger.
Employee volunteers assist the Manchester Food Bank
Wingtech carried out donation and educationsupport campaigns in Luquan County
Be Upward, Be Kind, Be Sunshine.Engage in Charitable Activities to Enjoy a Beautiful Life
Be Upward, Be Kind, Be Sunshine.
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Appendix. GRI Standards Index
Instructions for the use of GRI: Wingtech Technology has disclosed the contents described in the GRI Content Index for the period fromJanuary 1, 2022 to December 31, 2022 with reference to the GRI Standards.
Appendix
Be Upward, Be Kind, Be Sunshine.Appendix
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Be Upward, Be Kind, Be Sunshine.Appendix
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