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Environmental, Social and Governance Report
About This ReportThis report is the third Environmental, Social and Governance (ESG) Report issued by LongShine Technology Group Co., Ltd.Based on the principles of objectivity, standardization, transparency and comprehensiveness, it discloses in detail the practiceand achievements of LongShine Group in practicing sustainable development.
Time Frame
Organizational Scope
Compilation References
Abbreviation Description
Data Description
Report Acquisition
The time frame of this report is from January 1, 2023 to December 31, 2023, with part of its contents traced back toprevious years.
This report takes LongShine Technology Group Co., Ltd. as the principal part, and further includes its branches,subsidiaries and directly a?liated organizations.
This report is compiled and edited with extensive reference to the Shenzhen Stock Exchange Guidelines for Self-regulation of Listed Companies No. 1 - Standardized Operation of Listed Companies on the Main Board Market, theShenzhen Stock Exchange Guidelines for Self-regulation of Listed Companies No. 17 - Sustainable DevelopmentReport (For Trial Implementation) (Draft for Advice), GRI (Global Reporting Initiative) Standards and the S&PGlobal Corporate Sustainability Assessment (CSA).
For ease of expression and reading, LongShine Technology Group Co., Ltd. is also represented by “LongShineGroup”, “Company” and “we” in this report.
All information and data quoted in this report are quoted from the Company’s o?cial documents, statistical recordsand nancial reports. The content of this report is provided by employees and partners of LongShine Group. Thesole purpose of this report is to disclose the progress of sustainable development management of LongShineGroup, not for commercial purposes.
E-mail: ir@longshine.comAddress: LongShine Technology Industrial Park, No. 118, Jinghui East Road, Xinwu District, Wuxi CityWebsite: https://www.longshine.com/
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Environmental, Social and Governance Report
Message from the ChairmanLongShine Group is a leading technology enterprise focusing on energy digitization and the Internet of Energy(IoE). We harness the power of new quality productive forces generated by cutting-edge technologies such as next-generation digitization, articial intelligence, the Internet of Things (IoT), electric power, and electronics. Throughinnovative platform operation models, we continuously drive the transformation and upgrading of the energyindustry, fostering green and low-carbon development. Committed to digitization to make the world a better place,we enhance energy supply e?ciency, elevate operational intelligence, and promote greener consumption practices!In 2023, we seized the important opportunities presented by reforms in the electricity market, the development ofnew electric power systems, and the expansion of charging infrastructure networks. We integrated new energyvehicles, advanced cloud computing technology, and smart highway infrastructure into our new energy operations.Additionally, we embraced the concept of virtual power plants, zero- or low-carbon industrial parks, and urbanenergy and carbon management. Through relentless innovation, LongShine leads the industry forward, striving forsustainable, robust, and steady development.As China advances its "carbon peaking and carbon neutrality" goals and prioritizes high-quality development, theenergy sector faces a growing challenge in balancing safety, economic e?ciency, and green initiatives. China isactively pursuing infrastructure development, particularly in new electric power systems, while also deepening
reforms in the electric power sector. This coincides with the deepening integration of electric power with digital,intelligent and the Internet of Things (IoT) technologies. In the Big Energy industry, innovation in technology,business practices, and models is advancing, driven by market demands and the adoption of digital and intelligentsolutions across various scenarios. This innovation is creating new, high-tech, e?cient, and high-quality productiveforces, poised to signicantly boost energy e?ciency and address the challenges of safety, economic e?ciency, andgreen development. Consequently, it unleashes substantial innovation potential and business opportunities withinthe energy sector!LongShine Group focuses on the Big Energy industry, prioritizing a people-centric approach. Our commitmentextends to establishing a comprehensive talent development framework, covering employee welfare, training,promotion, and benet-sharing, while also enhancing safeguard measures to protect employee rights, interests,health, and safety. Through these initiatives, we strive to bolster employee pride, engagement, and sense ofbelonging, fostering a collaborative environment for mutual growth. We adhere to a long-term, sustainable andsystematic approach to employee development. In 2023, we launched the "Future Team" growth program, aimedat nurturing a cohesive talent pool aligned with our company's values and objectives, supporting our sustainablegrowth trajectory. Additionally, we made steady progress in the second-phase construction of the LongShineTechnology Industrial Park and its intelligent projects, both of which are expected to be put into operation in2024. This endeavor will provide our employees with a green, low-carbon, and technology-driven industrial park,promoting a more humane and technologically advanced work and living environment!In 2023, LongShine Group fully embraced the artificial intelligence (AI) revolution. We established LongShineResearch Institute to empower business and management with AI, driving technological research and development,and model creation based on real-world scenarios and business needs. At the end of 2023, we initiated theLongShine digitization project, aimed at digitizing various elements of our business operations, including the owof business opportunities, strategies, workflows, and controls. This project focuses on building competitivenessby leveraging a "data + AI model algorithm" approach at its core, ultimately establishing a digitized operation andmanagement system.The Company continued its efforts to enhance ESG governance standards, reinforcing the foundation ofgovernance across various aspects including business ethics, product quality, information security, intellectualproperty protection, and responsible supply chain management. Additionally, we focused on rening our internalcontrol systems, bolstering risk management practices, and augmenting decision-making capabilities. In 2023,LongShine Public Welfare Foundation actively embodied the corporate ethos of "Beneting the Society" on behalfof the Company. The foundation fullled the Children’s Day wishes of 100 children from remote areas who were leftbehind by their parents. With a particular focus on underprivileged girls, it organized a summer camp in Wuxi Cityfor girls from the Xinjiang Uygur Autonomous Region. During the year, the Company was listed as one of the rst"Wuxi Charity Practice Stations" and among the 2023 Top 500 Chinese Enterprises in Charity.As the sun rises, illuminating the sky with brightness and freshness, LongShine Group remains steadfast amidst thewaves of energy and digital revolution. We are committed to relentless innovation, dedicated to creating value forour customers, fostering the well-being of our employees, delivering returns to our shareholders, and contributing tothe betterment of society!
Chairman:
2024.4
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Environmental, Social and Governance Report
As a leading energy technology company, LongShine Group has long been dedicated to serving the electric power industry.Operating on a B2B2C business model, the Company focuses on growth propelled by energy digitization and the Internetof Energy (IoE). On the one hand, LongShine Group delves deep into the energy sector, contributing to the development ofnew power systems. It provides comprehensive core business software solutions to esteemed clients such as State Grid,China Southern Power Grid, and CHN Energy, aiding them in their digital and intelligent transformation endeavors, enhancing"Middle O?ce" capabilities, and fostering innovative development. On the other hand, it is committed to establishing its ownInternet of Energy (IoE) platform through continuous technological, business, and model innovations. By integrating resourcesincluding distributed photovoltaic systems, electric vehicles, charging infrastructure, energy storage solutions, as well as smalland medium-sized industrial and commercial users, and households, it offers a diverse range of energy-related services.Furthermore, it facilitates the interaction between electricity supply and demand, optimizing resource allocation to support themarketization of the electric power industry.Headquartered in Wuxi City, Jiangsu Province, LongShine Group has eight research and development (R&D) centers acrossChina. Its operations and branches extend across 31 provinces and regions within the nation, as well as spanning more than 10countries and regions globally. The Company delivers long-term technical and operational services to over 12,000 governmentaland corporate clients, serving more than 460 million public users. LongShine Group holds a prominent position nationally invarious sectors including digitized electric power marketing, household energy payment solutions, aggregated charging for newenergy vehicles, and distributed photovoltaic cloud services. In recent years, the Company has spearheaded exploration andinnovation in integrating transportation and energy industries, establishing virtual power plants, implementing urban energycarbon management systems, developing zero-carbon industrial parks, and offering comprehensive energy operation andmanagement services. These e?orts have facilitated the transition towards green and low-carbon energy, beneting numeroushouseholds. The Company was successfully listed on the Shenzhen Stock Exchange in 2017 under the stock code 300682.
Performance Indicators
Operating revenueNet prot attributable
to the parent company
Honors and Awards
About LongShine Group
Company Prole
Corporate Culture
Missionstatement
Valueproposition
Five principles ofbusiness operation
Digitization makes the digital world a better place.
Rely on digital services and digital operation, create new value, share new value
Insist on creating value through technological innovationAdhere to a customer-centric approachAdhere to lawful and legally compliant operationAdhere to the mission of enabling employees to gain the sense of fulllmentAdhere to the establishment of a sound corporate ecology
LongShine
LongShine, which originated from the phrase in the book Huainanzi: The sun rises and clears the sky, bringing a senseof brightness and freshness. Its meaning is to describe the fresh and clear weather of the universe’s formation at thebeginning of heaven and earth. LongShine Group, inspired by the spirit of the dragon, constantly makes breakthroughs,boldly innovates, focuses on digitization, creates new value, and makes the digital world a better place.
2023 Top 500 New Economy
Chinese Enterprise Evaluation Association
First-prize New Product at the2023 China International Digital Economy Expo
China International Digital Economy Expo
2023 Public Welfare Project AwardThe 13th
Philanthropy Festival
2023 Top 100 Software and IT ServicesEnterprises with Competitive StrengthChina Electronic Information Industry Federation
2023 “BJX Cup” Inuential Enterprise inCarbon Peaking and Carbon Neutrality Practice
www.bjx.com.cn
2023 ESG Pioneering Enterprise AwardThe 13th Philanthropy Festival
RMB
4,727
million
Cash dividendTotal number of
employees
RMB
million
RMB
million
5,812
2023 “Polaris Cup” Excellent Service Provider of the Integrated Energy Service Platform
www.bjx.com.cn
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Environmental, Social and Governance Report
For over a decade, LongShine Group has been at the forefront of delivering pioneering services within the Internet ofEnergy (IoE) domain. Through strategic adoption of digitization, intelligent technology, the Internet of Things (IoT), and othercutting-edge technologies, coupled with a platform operation model, LongShine Group has led the charge in developinggroundbreaking scenarios across various energy services. These include utility payment solutions, aggregated electricvehicle (EV) charging, integration of new energy vehicles, advancements in the new energy industry, smart highwayinfrastructure, and cloud computing technology, alongside the establishment of virtual power plants. The overarching goal isto enhance energy supply e?ciency, boost operational intelligence, and advocate for greener consumption practices.
Internet of Energy (IoE):
O?ering diverse energy service scenarios for electric power consumers
Accumulated meteredusers served:
million
Registered users:
More than
million
PV power stations connected:
200,000
Daily active users:
Over
million
Cumulative charging volume:
Over
6.6
billion kWh
Installed capacity:
13.5
GW
Cumulative green electricitytraded: More than
million kWh
Public service agenciesconnected: More than
6,200
Number of aggregated chargingequipment: More than
1.1
million
Business Layout
As a leading energy technology company, LongShine Group focuses on growth driven by energy digitization and the Internetof Energy (IoE), employing a B2B2C business model. On one hand, we deliver comprehensive solutions to governmentaland corporate clients, including State Grid, aiding them in their digital upgrades and contributing to the development of newpower systems. On the other hand, leveraging our proprietary Internet of Energy (IoE) platform, we aggregate resources suchas distributed photovoltaic systems, electric vehicles, charging infrastructure, energy storage solutions, as well as small andmedium-sized industrial and commercial users and households. This enables us to o?er a diverse range of energy services andsupport the marketization of the electric power industry.
LongShine Group boasts over 26 years of experience serving the energy sector. In the electric power industry, weprovide comprehensive solutions, including core power service systems, to major corporate customers such as StateGrid and China Southern Power Grid. In the gas industry, we o?er core system solutions to prominent gas enterpriseslike China Resources Gas and China Gas. Actively expanding our customer base in the energy industry, we providedigital energy products, solutions, and SaaS services to both traditional and new energy power generation entities.
Energy Digitization: Providing comprehensive software solutions to electric power customers
Online TV users:
million
Daily active users:
million
In the virtual power plant business, LongShine Group provides a distributed photovoltaic cloud platform equipped with
comprehensive monitoring, intelligent alarm systems, AI fault diagnosis, big data analysis, and refined operation andmaintenance capabilities, all supported by the Internet of Things technology for energy. This platform enhances powergeneration e?ciency at power stations, ultimately aiming to reduce costs and increase e?ciency. Additionally, leveraging theaggregation of distributed new energy sources and load resources such as electric vehicles, charging infrastructure, energystorage, and small to medium-sized industrial and commercial users, the Company engages in green electricity trading, market-oriented electricity sales, demand response, and integration of PV power generation, storage and charging via its Internet ofEnergy (IoE) platform. This has led to the establishment of a typical "virtual power plant" business model. LongShine Grouphas aggregated 820 distributed photovoltaic power stations for green electricity trading within the electric power market.Furthermore, the Company has obtained electricity sales licenses in 25 provinces and has acquired demand response or virtualpower plant qualications in provinces and cities including Jiangsu, Sichuan, Guangdong, and Shenzhen, among others.
In the eld of household energy consumption, the Company has created a utility payment scenario. In collaboration withAlipay and other online platforms, which provides residents, industrial, and commercial users with comprehensive onlineclosed-loop services covering "Inquiry, Payment, Billing, and Invoicing" for public utilities such as water, electricity, gas, andheating throughout China.
In the Smart TV sector, LongShine Group has cultivated mutual trust and forged win-win partnerships with ChinaMobile's operators, Smart TV license holders, and regional radio and television stations, aiming to better serveSmart TV users. As a provider of technical services, the Company ensures standardized business practices,e?cient operations, and positive user experiences. It takes responsibility for building the Smart TV platform, systemmaintenance, operational support, big data analysis, business promotion, and after-sales and customer service,all geared towards ensuring a seamless, stable, and high-quality viewing experience for Smart TV users. TheCompany's intelligent terminal business mainly includes Smart TV intelligent terminals and other products.
Smart TV
In the field of energy consumption by vehicle owners, the Company is dedicated to developing a third-party aggregatedcharging platform called "Xindiantu." This platform aims to o?er owners of new energy electric vehicles enhanced, faster,more efficient, and cost-effective charging services. To date, the "Xindiantu" platform has established collaborativepartnerships with leading charging pile operators and vehicle manufacturers across China, including State Grid, ChinaSouthern Power Grid, TELD (charging pile operator), Star Charging, BYD, Li Auto, and XPENG Motors. It has emerged asone of China's largest aggregated charging platforms with an extensive online operational network.
As the integration of new energy vehicles, the new energy industry, smart highway infrastructure, and cloud computingtechnology continues, LongShine Group leverages its "Xindiantu" aggregated charging platform to o?er a comprehensive rangeof services. These services include platform construction, integrated parking and charging operations, energy management,user engagement, and asset oversight. Through integrated innovation in big data, articial intelligence, the Internet of Vehicles(IoV), and new energy technologies, the Company actively contributes to establishing a robust charging infrastructure network,promoting intelligent and environmentally friendly travel practices. To date, LongShine Group has initiated pilot projects orformulated collaboration plans in cities across Hubei, Jiangsu, Henan, Guangdong, and other provinces.
Provinces/autonomous regions/municipalitiesdirectly under the central government with electricpower customers served by LongShine Group:
Power end users served byLongShine Group:
Over
million
0910
Environmental, Social and Governance ReportSustainable Development Management
Aligned with our mission to enhance the digital world through digitization, fostering greener, more practical, and energy-e?cient energy consumption, we embed the principles of sustainable development into our business management practices.We actively strive to create economic, social, and environmental value for our customers, employees, investors, partners, andother stakeholders as we pursue sustainable development goals. To develop a strategic plan for sustainable development,oversee and guide the formulation and implementation of ESG objectives, and coordinate the management of ESG matters, theCompany relies on a sustainable development management system. This system is overseen by the Board of Directors, guidedby the ESG Working Group, and executed by relevant functional departments. By establishing a sustainable developmentmanagement system, the Company aims to enhance performance in environmental, social, and corporate governance aspects,thereby elevating overall management standards.
LongShine Group’s ESG Governance Structure
Stakeholders Communication
Stakeholder communication and engagement play an important role in achieving sustainable development. Recognizing theunique characteristics of our company and the dynamics of the market, we identify and engage both internal and externalstakeholders. Through channels such as performance presentations, shareholders’ meetings, participation in investor seminars,and hosting visiting investors from the Chinese mainland and overseas, we proactively communicate with both internal andexternal stakeholders. Our aim is to establish long-term mutual trust and partnerships with all relevant parties, ensuring aninclusive and balanced approach to addressing substantive issues.To facilitate open dialogue, the Company provides direct communication channels for stakeholders worldwide. Any partyinterested in our business and development can reach out to us directly at ir@longshine.com. We highly value the concerns andsuggestions of all stakeholders and are committed to responding promptly and appropriately to their feedback.
Board of Directors
ESG Working Group
Governance GroupSecurities Department
Human ResourcesDepartment
Procurement ServiceDepartmentLegal A?airs Department
Public Welfare Service
Department
AdministrativeDepartmentAccounting and Internal
Control Department
Brand MarketingDepartment
Operation andManagement DepartmentQualicationManagement Deparment
Corporate Development
Department
Information Technology
DepartmentSafety and QualityManagement DepartmentCompliance andSupervision Department
Social A?airs Group
Environmental A?airs
Group
StakeholdersIssues of concernsResponse channelCommunication e?ectiveness
Governmentand regulatoryauthorities
●Lawful operation
●Pay taxes according to law
●Increase employment opportunities
●Promote sustainable and soundeconomic development
●Daily report andcommunication
●Special research andonsite meeting
●Forum and exchangeproject
●Strategic cooperation with local governments
●Create a good external environment forcorporate development
Shareholders andinvestors
●Satisfactory return on investment
●Good market value
●Annual report andannouncement
●Roadshow
●Investor conference
●Shareholders’ meeting
●Establish good relationships with investors
●Improve investor trust
●Obtain support from shareholders and investorsin major decisions
Customers
●Stable product supply
●High quality and safety products
●Considerate and convenient service
●Smooth communication channels
●Customer symposium
●Telephone service hotline
●Customer satisfactionsurvey
●Continuously improve the business accordingto customer feedback
●Address customers’ demands in an e?ectiveand timely manner
●Constantly improve customer serviceBusiness partners
●Fair procurement
●Integrity and mutual benet
●Long-term stable cooperation
●Supplier conference
●Strategic cooperation
●Strengthen supplier management and improvesupply chain e?ciency
●Drive the common development with partners
Sta?
●Complete protection of rights andinterests
●Good career development platform
●Work-life balance
●Occupational health
●Sta? congress
●Complain mailbox
●Communication and interaction betweenemployees
●Clear career development path
●Create a harmonious working environment
●Build a healthy and safe working environment
Communities and
NGOs
●Community development
●Build a harmonious community
●Community publicity
●Participation in publicwelfare undertakings
●Establish good community relations
●Create a good external environment forcorporate development
Media
●Financial performance
●Corporate governance
●Information disclosure
●Annual report andannouncement
●Press conference
●Press releases andpublications
●Media interview
●Establish good relations with the media
●Maintain the Company’s image and obtainpublic recognition
Environment
●Practice energy conservation andemission reduction
●Practice green operation
●Develop environmentally friendlyproducts
●Annual report andannouncement
●Public survey of projectand environmental impact
●Communication withenvironmental protectionorganizations
●Practice energy conservation and emissionreduction plan
●Launch environmentally friendly products
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Environmental, Social and Governance Report
Importance to the sustainable development of LongShine Group
We have prioritized the sustainable development issues of LongShine Group by considering ESG rating indicators in the capitalmarket, the evolving trends in the software service industry, the Company's development priorities, and input from internaland external stakeholders. We have also assessed the importance that stakeholders place on these sustainable developmentissues. As a result, we have determined the extent and scope of disclosure for these issues. Based on this analysis, we havecreated an analysis matrix outlining the material issues surrounding LongShine Group's sustainable development e?orts.
Sources of topics
Contribution to sustainable developmentGeneral concerns of stakeholdersFocus of social responsibility guidelinesAlignment with the Company’s strategic
development needs
Screening CriteriaSuggestions from the Company’smanagement teamAnalysis and suggestions from internal
and external expertsMedia information analysisResearch on peer benchmarkingdomestically and internationallyStandard guidelines for social
responsibility
Screening process of social responsibility topics
Importance to stakeholders
E1E2
E3
S1
S3
S4S5S6S7
S8S9S10S11
S2
G1G2
G3
G4
E4
E6E5
EnvironmentalSocialGovernance
Low-importance issuesModerately important issuesHighly important issues
G1 Anti-corruption
G3 Operational complianceG2 Communication with
stakeholders
G4 Corporate governance
S1 Supplier management
S6 Privacy and information security
S2 Occupational health and safety
S7 Employee rights protection
S3 Social welfare
S8 Employee training and education
S4 Intellectual property protection
S9 Leading industry development
S5 Employee care
S10 Exceptional customer service
S11 Product R&D and innovation
E1 Pollutant dischargeE5 Low-carbon productsE6 Green operationE2 Greenhouse gas emissionsand managementE3 Resource utilizationE4 Addressing climate change
By incorporating input from the Company's management team, conducting peer-to-peer benchmarking research domesticallyand internationally, analyzing media information, and conducting on-site research, LongShine Group gains valuable insightsinto stakeholders' concerns, expectations, and requests regarding the Company's sustainable development e?orts. Througha rigorous screening process, we have identied material issues spanning the three dimensions: governance and economy,society, and environment, forming an issue tank.
Determination of Material Issues
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Environmental, Social and Governance Report
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Environmental, Social and Governance Report
SourceNetworkLoadStorage
Facilitate Digital Transformation of the Energy Sector
Marketing Business Application System
Digital service capabilities
Integrated Energy Service Platform
Gas Customer Information Management System
LongShine Group has developed a new marketing business application system tailored for the electric power industry.Drawing from innovative industry practices, typical experiences, and development trends of energy public utilities, this productembodies advanced service concepts and leverages information and communications technologies (ICT) such as Internet+,cloud computing, big data applications, the Internet of Things (IoT), mobile applications, and artificial intelligence. Thesystem encompasses various marketing business areas including customer service, meter reading management, electricitybill accounting, business expansion management, metering management, power sales, line loss management, electricityconsumption inspection, le management, and auxiliary analysis and decision-making.Furthermore, the system seamlesslyintegrates with corporate internal systems like distribution network production, power grid scheduling, personnel and propertyERP, while also establishing connections with banks and other collection agencies to e?ectively broaden external online servicechannels such as Alipay and WeChat. Designed to enhance modern electric power marketing and operational capabilities, thesystem prioritizes information sharing, business synergies, convenient services, real-time online management and control, aswell as automated and intelligent analysis and decision-making functionalities.
LongShine Group boasts over 26 years of experience serving the energy sector. In the electric power industry, we delivercomprehensive solutions, including core power service systems, to key corporate clients such as State Grid and China SouthernPower Grid. Our reach extends to over 460 million electric power end-users across 25 provinces, autonomous regions, andmunicipalities directly under the central government. In the gas industry, we provide core system solutions to renownedenterprises such as China Resources Gas and China Gas. Continuously broadening our clientele in the energy sector, we o?erdigital energy products, solutions, and SaaS services to both traditional and new energy power generation entities. Leveragingextensive business acumen and top-notch technical services, LongShine Group has solidified and continually maintains aleading position in the realm of energy digitization.
Next-generation Electricity Acquisition System
The next-generation electricity acquisition system is highly adaptable, and capable of interfacing with diverse equipmentassociated with electricity source, network, load, storage, and utilization. Centered around the core principles of "on-demanddata acquisition, dynamic device status sensing, and flexible and efficient data sharing", the system enables seamlessintegration with various equipment types and comprehensive acquisition and control of electricity. It is designed to fulll data andoperational requirements across all levels of power grids, thereby facilitating energy and digital transformation initiatives.
Flexibleand e?cientdata sharingNext-generationelectricityacquisitionsystem
Dynamicdevice status
sensing
On-demand
full dataacquisition
Value-addeddata application
Digital business
capabilities
Real-time
collection and
monitoring of
consumptiondata
Using distributed technology to support accessto 1-million-level source, network, load, storageterminals of di?erent types and protocols.Supporting customized, minute-level acquisition andsecond-level control of full data and multi-dimensioncontrol modes including orderly power consumptionand new energy management.Massive data analysis capabilities to achieveminute-level response control and judgement ofpower outage and support trading decision-makingon electricity purchase and sales in the market.
Applicationscenarios
Integrated energy customerEnergy service providerGovernment departmentIndustrial alliance
......
The integrated energy service platform facilitates regional-level energy management by leveraging real-time acquisition andmonitoring of integrated energy consumption data (including electricity, water, gas, heat, etc.) at the equipment level. Thisenables the establishment of digital business services capabilities such as intelligent operation and maintenance, energye?ciency management, demand response, and multifunctional synergies for equipment, systems, customers, industrial parks,and regions. With its robust big data capabilities, the platform can extend application scenarios to include energy utilizationoptimization, energy e?ciency services, and the development of virtual power plants.
The gas customer information management system is a large-scale intensive software platform boasting over 1,000 functions,catering to various aspects including market development, business processing, contract management, customer filemanagement, meter reading management, card management, gas price administration, billing, payment, arrears tracking,reminders, bill management, accounting, value-added services, meter management, security, maintenance, supervision, control,and call center operations. This extensive platform facilitates mobile o?ce functionalities such as mobile meter reading, securitychecks, maintenance, and work orders. Additionally, it o?ers internet access through online business portals, mobile businessportals, WeChat o?cial accounts, and Alipay service channels. Furthermore, the platform seamlessly integrates with peripheralapplications related to human resources, materials, nance, engineering, and operations.
Case
LongShine Group cooperated with the Nepal Electricity Authority (NEA) to establish a national electricity marketingsystem aimed at enhancing the electricity consumption experience for Nepal's 6 million users. This comprehensivesystem includes functions such as meter reading management, billing management, access management, energyaudit, customer relations, mobile applications, and customer service systems. The objective is to achieve "ve majorintegrations" within the application system, namely application system, data structure, business processes, businessprocessing, and management standards.
Nepal Project
Improved energyconsumption for
buildings
Corporate energye?ciency
Park e?ciency
Digital business
capabilitiesIntelligent operation
and maintenance
? Energy e?ciency
management? Demand response? Intelligent operation
and maintenance
? E?ciencymanagement? Marketized trading? Intelligent operationand maintenance
? Energy e?ciencymanagement? Intelligent operationand maintenance? Demand response
Virtual powerplant
Integratedvehicle-pileoperation
DigitalbusinessManagementapplication
Project managementOperation management
Integrated energy collection and control（SCADA）Customer relations management
Basic
support
Energy e?ciencymanagement
Multi-energy synergies
Energy nanceDemand response
Data acquisition accessAccess to third-party dataControl policy deliverySourceNetworkLoadStorage
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Environmental, Social and Governance Report
Utility Payment
Xindiantu
LongShine Group is dedicated to fulfilling its mission of "providing considerate public services to everyone" and "promotingenergy conservation in every household". To achieve this, the Company has developed an online utility payment platformoffering a variety of convenient services. This platform allows the majority of the public to inquire about bills, make onlinepayments, request business changes, and access other services without needing to leave their homes. Additionally, LongShineGroup provides a comprehensive range of Internet products and operational services to hundreds of public utility providers inthe water, electricity, and gas sectors. This assistance helps them undergo Internet-based transformations, reshape businessprocesses, enhance service experiences, and improve digital operational and management capabilities. Regarding internationalmarket expansion, building on the successful business experience in Bangladesh, the Company will focus on Southeast Asiaand Africa in collaboration with Ant International. The aim is to promote and replicate mature domestic mobile payment products,technologies, and operational capabilities such as utility payment solutions.
Drawing upon its strengths in business model innovation, technical prowess, operational strategies, services, and partnernetwork, LongShine Group has prioritized the development of the "Xindiantu", a third-party aggregated charging platform thatholds a prominent position in the public charging market. By consolidating industry resources such as charging operatorsand car service companies, the platform harnesses digital technologies to design the layout of the charging pile network andestablish an "integrated national charging network".With the continuous development of AI technology, LongShine Group's AI Research Institute has enhanced its AI capabilitiesbased on existing products. In 2023, the Company integrated its self-developed, proprietary Large Language Model (LLM) forcharging into the "Xindiantu" charging solution. This enhancement enables the platform to deliver three key functions: chargingpile recommendation, site selection, and risk assessment. These digital and intelligent services cater to vehicle owners,simplifying and streamlining urban new energy transportation.
O?er Convenient Energy Services
CaseIn 2023, LongShine Group exerted significant efforts to establish the UBP public payment platform in Bangladesh.Through deep collaboration with bKash, the country's largest electronic wallet provider, the Company aimed to o?er localresidents more convenient, environmentally friendly, and green online utility payment services. This initiative resulted ina notable 50% surge in monthly transactions. Simultaneously, the Company continued to explore markets in Indonesiaand Saudi Arabia. Collaborating with local governments and enterprises in various sectors such as urban life andtransportation, LongShine Group endeavored to introduce smart and low-carbon living experiences to local communities.
Bangladesh Project
AI Charging PileRecommendation
Intelligent SiteSelection
Risk Assessment
The platform utilizes a sophisticated charging Large Language Model (LLM) to analyze extensive data on vehicleowners, electricity consumption behaviors, and road tra?c patterns. By establishing user travel proles and tra?cdemand models, the platform predicts users' charging preferences, including time and location. Through intelligentcomputation, it recommends the most suitable nearby charging stations. This functionality alleviates concernsamong new energy vehicle owners regarding battery range anxiety, ensuring a seamless journey experience.The platform utilizes a sophisticated charging Large Language Model (LLM) to analyze the diverse chargingrequirements of users, forecast the trajectory of charging demand growth, and integrate factors such as urbanplanning, tra?c congestion areas, and user distribution into its computational model. This approach optimizes theplacement of charging stations, maximizing space utilization e?ciency, and mitigating conicts between users'charging needs and ine?cient charging station layouts.The platform utilizes a sophisticated Large Language Model (LLM) for risk assessment, intelligent diagnosis ofthe health of equipment at charging stations, real-time detection of the operational status of charging equipment,stations and vehicles, as well as risk prevention and control by means of early warning and abrupt suspension incase of high risks.
“Xindiantu” charging pile“Xindiantu” web page display
For over a decade, LongShine has been a trailblazer in delivering groundbreaking services in the Internet of Energy (IoE) sector.Through strategic adoption of digitization, intelligent technology, Internet of Things (IoT), and other cutting-edge technologies,along with a platform operation model, LongShine is committed to developing innovative scenarios across various energyservices. These include utility payment solutions, aggregated electric vehicle (EV) charging, integration of new energy vehicles,advancements in the new energy industry, smart highway infrastructure, and utilization of cloud computing technology, alongsidethe establishment of virtual power plants. The overarching objective is to enhance energy supply e?ciency, elevate operationalintelligence, and promote environmentally friendly consumption practices.
2023 China International Electric Vehicle Charging and Swapping Industry Conferenceand China International Electric Vehicle Supercharging Industry Conference
2023 Best Operation and Service Innovationfor Charging and Swapping Award
2023 Top 50 Operators in Charging andSwapping with the Highest Brand Value
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Environmental, Social and Governance Report
S
o
cialPhysical Information
Sys
tem
Current
E
cology
of
Vehicle-Network
Intera
ctionVehiclemanufacturer
Batterymanufacturer
Commercial choice
LongShine Group's solution, "Integrated New Energy Vehicles, New Energy Industry, Smart Highway Infrastructure, andCloud Computing Technology", places a strategic focus on urban charging and swapping infrastructure. By leveraging urbantransportation stations and spaces as primary scenarios and utilizing a micro-network of distributed power generation andconsumption, this solution facilitates interaction among end-users, power grids, and the market. In the key scenario of vehicle-network interaction, the Company aggregates charging pile resources to operate as a virtual power plant operator, targetingthe power regulation market. Our e?orts are directed towards exploring and establishing a trading mechanism for virtual powerplants that facilitate seamless interaction between vehicles and the power network.At present, LongShine Group is assisting Wuhan and other cities in building an integrated network of PV power generation,storage, parking and charging based on a Big Data site selection model and a platform operation model. By addressingenergy strategy formulation amidst uncertainties and providing guidance on random charging behaviors, we aim to optimizethe advantages of integrated PV power generation, storage, and charging. This approach facilitates the promotion of greenelectricity consumption through enhanced interaction between vehicles and the power network.
In 2023, LongShine Technology Industrial Park commenced operations, marking our commitment to establishing it as JiangsuProvince's rst zero-carbon industrial park. Anchored in the momentum generated by energy digitization and the Internet of Energy(IoE), the Company continues to spearhead innovation in integrating new energy vehicles, the new energy industry, smart highwayinfrastructure, cloud computing technology, virtual power plants, zero-carbon industrial parks, and urban energy and carbonmanagement system. This strategic direction positions us to seize new opportunities of the era. Our objective is to aid customersand partners in creating low-carbon and environmentally friendly working and living environments. Through the development of agreen industrial park, we aim to contribute signicantly to the national objectives of carbon peaking and carbon neutrality.
LongShine Group has developed an integrated TV platform called “YSTEN” and created a new smart TV operation modelbased on Internet TV and IPTV. Collaborating closely with telecommunication and radio-television operators, the Companyhas intensied research and development e?orts in core technologies such as cross-screen services, intelligent terminals, andarticial intelligence. This collaboration aims to integrate new media, technologies, business formats, content, and channelsto cater to the evolving needs of TV users. As a leading technology and operational service provider in the industry, YSTENis dedicated to upholding business standards, ensuring efficient operations, and delivering a seamless user experience. Byprioritizing responsible content dissemination, system maintenance, high-quality after-sales service, and consumer rightsprotection, the Company has fostered strong partnerships with operators and consumers. This approach aims to cultivate anopen and sustainable pan-screen Internet business ecosystem.
Ecology of "Integrated New Energy Vehicles, New Energy Industry,Smart Highway Infrastructure and Cloud Computing Technology"
Explore Low-carbon Paths
Case
LongShine Group and Wuhan East Lake High-tech Zone jointly developed the "Integrated Tra?c Management ServicePlatform for the East Lake High-tech Zone". The platform focuses on urban parking, new energy vehicle charging andpublic travel scenarios, aiming to build an "integrated travel and transportation network". On this basis, the platformintegrates various energy elements such as distributed photovoltaic and energy storage in East Lake High-techZone, to simultaneously build an "integrated energy network". The Company aims to achieve upgraded green urbantransportation by establishing a collaborative operation platform for urban transportation and energy, and creating newservice scenarios such as integrated PV power generation, storage and charging, microgrids, virtual power plants, andcarbon asset development.
New Smart TV
Integrated OperationProduct with large bearing capacityUnied product systemUnied user experience
Wuhan’s Project of “Integrated New Energy Vehicles, New Energy Industry, Smart HighwayInfrastructure and Cloud Computing Technology”
Intelligent Operation
Accurate matchingRecommendation by time and groupReal-time data analysisClosed-loop Operation
Family TV Service
AI Service for TV
Value-added Servicesfor Family Scenarios
Data-driven and closed-loop empowerment
Technical constraint
Demand adjustment
PeopleVehicleNetwork
Chargingpile
Core Elements
of Vehicle-
NetworkInteraction
Price signalElectricpowermarket
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Environmental, Social and Governance ReportVirtual Power PlantsHarnessing the Internet of Things (IoT) technology tailored for the energy sector, LongShine Group offers a distributedphotovoltaic cloud platform equipped with comprehensive monitoring, intelligent alarm systems, AI-driven fault diagnosis, bigdata analysis, and rened operation and maintenance capabilities. This solution aims to bolster power generation e?ciency,curb costs, and enhance overall e?ciency. Meanwhile, leveraging the aggregation of numerous distributed new energy and loadresources such as electric vehicles, charging infrastructure, energy storage systems, and small to medium-sized industrial andcommercial users, the Company is actively involved in green electricity trading, market-based electricity sales, demand responseinitiatives, and integrated PV power generation, storage, and charging through its Internet of Energy (IoE) platform. As a result, adistinctive "virtual power plant" business operation model has emerged.CaseThe LongShine PV monitoring, operation andmaintenance management cloud platformfollows the value concept of "making powergeneration more efficient", and uses technicalmeans such as the Internet of Things (IoT) andbig data to provide integrated services to PVpower stations. These services encompasselectricity acquisition, monitoring, operation andmaintenance, management, analysis, reporting,revenue management, and bill management. Theplatform can continuously enhance the powergeneration e?ciency and improve operation andmaintenance at PV power stations. Throughconnections with the industry, it can empower awide variety of customer scenarios. The platformboasts outstanding advantages such as security,massive data, connectivity, exibility and openness.
LongShine PV Monitoring, Operation and MaintenanceManagement Platform
Case
In the Shenzhen Virtual Power Plant Management Center, LongShine Group relies on the self-developed virtual powerplant platform, covering PV power generation forecast, exible adjustable load forecast management, comprehensivecharging pile operation, and integrated energy storage operation. The first phase of the platform aggregates 14charging stations and 4 energy storage stations, with an access resource capacity of more than 50MW. The platformparticipates in the regulation of the Shenzhen power grid on a regular basis.
Charging stations:
Total electricity volume adjusted:
7.65
MWh
Energy storage stations:
Revenue: more than RMB18,000
Capacity of connected resources:
over
MW
Urban Energy and Carbon Management System
Zero-carbon Industrial Park
LongShine Group has developed a digital service platform for energy and carbon operation and management, setting a newbenchmark for "digital carbon control". This innovative platform, guided by energy consumption and carbon emissions indicators,formulates periodic governance plans to support government efforts in energy and carbon control. Furthermore, it assistsenterprises in achieving their respective goals in these areas. By driving the low-carbon upgrading of the industry, the Companyaims to empower green and low-carbon development.
As the most representative construction project in Wuxi Zero-carbon Industrial Park, LongShine Technology Industrial Parkhas emerged as a pioneer in green and low-carbon development, leveraging digital technology as a key driver and fosteringsynergies throughout the industrial chain. The self-developed energy and carbon management system serves as the backbonefor establishing a comprehensive closed loop of energy ow within the park, encompassing "green power generation - storage -consumption". This system plays a pivotal role in promoting e?cient, safe, and reliable clean energy recycling. With its advancedcapabilities, the energy and carbon management platform can accurately monitor the generation and consumption of greenelectricity, as well as the status of power storage and an overall reduction in carbon emissions within the park, in real time.Furthermore, leveraging AI-driven big data analysis, the platform can forecast energy demand and carbon reduction trajectoriesacross various time intervals. This enables the formulation of intelligent strategies and recommendations to optimize digitalenergy and carbon management practices. Based on demand response, the energy and carbon management platform can beused as a scheduling node to realize the dynamic balance calculation of power reserve between the park and its surroundingareas and the city where the park is located, and participate in the city's virtual power plant business and urban tra?c scenarios.
"Ganquan Cloud" Enables Green Development of Industrial Parks
Concerted E?orts to Build the Qinghai Zero-carbon Industrial ParkLongShine PV Monitoring, Operation and Maintenance Management Platform
Virtual Power Plant Operation
Case
Case
LongShine Group has developed the "Ganquan Cloud" digital service platform for energy and carbon operationand management for Xinjiang Ganquanbao Economic and Technological Development Zone. It is a digital energymanagement platform that covers five service systems: low-carbon service, integrated energy and carbonmanagement, energy operation services, integrated energy services and green development services. The platformuses AI tools to record water, electricity, heat, gas and other energy data in the zone, analyzes its carbon emissions,trend changes, and carbon emission structure data, and nally generates energy utilization suggestions and carbonreduction strategies for the zone.
LongShine Group will leverage digital technology, multi-scenarioapplication practices, and its overall human resource capabilitiesto collaborate with Qinghai Haidong Industrial Park. Together,we aim to establish a new model of "interlocking" collaborationcharacterized by win-win industrial development, platformsharing, and emotional alignment. Through joint efforts, we willexplore the construction of zero-carbon industrial parks within thecontext of "carbon peaking and carbon neutrality". We will takethe initiative in building a zero-carbon technology cluster andpilot demonstration zone that integrates energy supply, industrialdevelopment and carbon emission management, aiming to createa new model of cooperation between East China and West China.
Award Ceremony
In 2023, the "Ganquan Cloud - Energy and Carbon Digital Solutionin the Context of Carbon Peaking and Carbon Neutrality" jointlydeveloped by Xinjiang Ganquanbao Economic and TechnologicalDevelopment Zone and LongShine Group was honored with theExcellence Award of the National New Emerging Group in the 5thChina Industrial Internet Contest (Xinjiang).
In Jiangsu Province, the virtual power plant of LongShine Group was involved in the medium and long-term auxiliaryservice transactions of Jiangsu Province. Based on market demand and energy resources of LongShine TechnologyIndustrial Park, the virtual power plant used AI algorithms to generate the optimal adjustment plan, and intelligentlycontrolled the participation of energy storage equipment, air conditioners and charging piles in transaction response.The adjusted electricity totaled 7.65MWh, earning more than RMB18,000.
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Environmental, Social and Governance Report
Improve Corporate Governance
LongShine Group strictly abides by the requirements of the Company Law of the People’s Republic of China, the Securities Lawof the People’s Republic of China, the Listing Rules of Shenzhen Stock Exchange, the Shenzhen Stock Exchange Guidelinesfor Self-regulation of Listed Companies No.2 - Standardized Operation of Listed Companies on the Growth Enterprise Market,and other relevant laws, regulations and normative documents. We continuously enhance our corporate governance mechanismto protect the rights and interests of investors while also accommodating and balancing the Company’s operational prospectswith shareholders’ return on investment.Three-Meeting Operation
LongShine Group has established a legal and operational structure in accordance with the requirements of laws, regulations,and normative guidelines issued by the China Securities Regulatory Commission and the Shenzhen Stcok Exchange. Weconstantly improve the composition of the shareholders’ meeting, the Board of Directors, the Board of Supervisors, and seniormanagement. The proportion of women on the Board of Directors, the Board of Supervisors, and senior management continuedto increase.
Board of Directors
Shareholders’ meetings represent the highest decision-making authority of the Company.In accordance with the requirements of the Company Law, the Securities Law and otherlegal regulations, as well as the Articles of Association and the Rules of Procedure ofshareholders’ meetings, the Company convenes shareholders’ meetings and upholdsthe principle of equality among all shareholders. To safeguard the legitimate rights andinterests of all shareholders, particularly small and medium-sized shareholders, weengage legal professionals to witness the meetings. Throughout the reporting period, theCompany convened ve shareholders’ meetings.
As the primary decision-making body responsible for the Company’s daily management, the Board of Directors operates in strictaccordance with the Company Law of the People's Republic of China, the Securities Law of the People's Republic of China,the Shenzhen Stock Exchange Guidelines for Self-regulation of Listed Companies No.2 - Standardized Operation of ListedCompanies on the Growth Enterprise Market, and the Articles of Association, the Rules of Procedure of the Board of Directorsand other rules and regulations, to convene and conduct Board meetings. Directors, with an average tenure of 4.55 years,are elected or replaced by the General Meeting of Shareholders and may be reelected at the end of their term. The Board ofDirectors diligently fullls its obligations to foster the Company’s growth and safeguard shareholders’ rights and interests. Itensures the implementation of resolutions approved at shareholders’ meetings and oversees the Company’s daily operationsto foster steady, e?cient, and long-term growth. Throughout the reporting period, the Company convened 14 meetings of theBoard of Directors.The Company places significant emphasis on diversity in the composition of the Board of Directors, striving to enrich thediverse backgrounds of its members and enhance the Board's competency and overall governance level. At present, the Boardcomprises eight directors, including three independent directors, with two female directors, accounting for 25% of the total boardmembership. Board members possess extensive industry expertise, professional financial audit experience, or substantialcorporate management experience, providing a robust foundation for fullling their duties e?ectively.The Board of Directors consists of the Strategy Committee, the Audit Committee, the Nomination Committee and theRemuneration and Appraisal Committee. Board members hold the following positions in the various committees.
Board of SupervisorsAs the Company’s decision-making supervisory body, the Board of Supervisors operates in strict accordance with the CompanyLaw of the People's Republic of China, the Securities Law of the People's Republic of China, the Rules Governing the Listingof Shares on the ChiNext Market of Shenzhen Stock Exchange, and the Articles of Association, the Rules of Procedure of theBoard of Supervisors, and other rules and regulations. It independently and impartially oversees the Company’s operations, fullysafeguarding the legitimate rights and interests of both the Company and its shareholders. To ensure the independence andimpartiality of their duties, the Company’s Board of Supervisors comprises three supervisors (two female supervisors), includingone employee representative supervisor. In 2022, the Company's Board of Supervisors held 11 meetings.
Shareholders’ Meeting
Throughout the reportingperiod, the Companyconvened
shareholders’ meetings
Corporate Governance Structure
Shareholders’ Meeting
Board of Directors
Management Team
StrategyCommittee
AuditCommittee
NominationCommittee
Remuneration andAppraisal Committee
Board of Supervisors
Board MemberGender
IndependentDirector or not
StrategyCommittee
AuditCommittee
NominationCommittee
Remuneration andAppraisal CommitteeXu ChangjunMale No√
Zhang MingpingMale No √
Zheng XinbiaoMaleNo √
Peng ZhipingMaleNo √Ni XingjunMaleNo
√
Lin LeFemale Yes
√√√
Lin ZhongMaleYes
√
√Yao LijieFemaleYes
√√
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Environmental, Social and Governance Report
Investors’ Rights and Interests
Internal ControlIn accordance with the Basic Norms for Corporate Internal Control and other relevant rules and regulations, LongShine Grouphas established an internal control system based on the actual operations of the Company. We continuously rene internalcontrol policies to ensure legal compliance in operations and management, asset safety, the accuracy and integrity of nancialreports and related information, as well as to enhance operational e?ciency and performance. This framework also facilitatesthe implementation of our development strategy. In 2023, the Compliance and Supervision Department of the Companydiligently reviewed and sorted through 38 newly promulgated and updated rules and regulations. Additionally, they conductedfour specialized internal audit projects, issuing corresponding internal audit and investigation reports. Identied problems andrisks were detailed in these reports, with relevant opinions, suggestions, and improvement measures communicated to internalaudit subjects. Subsequently, the department completed the necessary risk prevention and rectication tasks.
LongShine Group adopts an investor-oriented approach, consistently enhancing investor returns through measures such ascash dividends, buyback cancellations, and other methods, all while prioritizing sustainable protability and strengthening thefoundation for investor returns. We place signicant emphasis on addressing investor concerns and have established variouscommunication channels to strengthen our relationships with investors. This ensures that all investors have equal access toinformation and upholds their legitimate rights and interests.
LongShine Group pays attention to the opinions of shareholders and protects their interests.In drafting the shareholder return plan, the Company thoroughly considers input fromshareholders, independent directors, and supervisors, with particular attention to feedback andsuggestions from minority shareholders. In devising prot distribution policies, we prioritize thelong-term interests of all shareholders, emphasizing cash dividends to ensure sustained andstable returns while promoting the Company's growth and beneting shareholders. In 2023, theCompany repurchased 11.147 million shares for cancellation, amounting to RMB229 million.Since its public listing in 2017, the Company has consistently distributed six consecutive cashdividends, totaling RMB456 million.Shareholders’Return
Since its public listing in 2017,
Business EthicsThe Company has set up the Compliance and Supervision Department to conduct internal audits, and perform compliance andsupervision work within the Company. to oversee internal audits and ensure compliance within the organization. This departmentcomprises the internal audit and control team, compliance team, supervision team, and joint working group. We have designatedinternal control and compliance officers in all major business units to provide a reasonable guarantee for legal compliance,asset safety, financial reporting accuracy, and the integrity of related information pertaining to the Company's operationsand management. This structure ensures that the Company's overall internal control is free from signicant defects, therebyenhancing corporate governance and e?ciency.
In 2023, the Company reportedno
corruption-relatedlitigation cases throughout the year
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Strengthen ComplianceLongShine Group rmly believes that sound internal control is paramount to ensuring stable and e?ective corporate governance.In compliance with the Company Law of the People's Republic of China, the Securities Law of the People's Republic of China,and other pertinent laws and regulations, as well as adhering to the Basic Norms for Corporate Internal Control and otherrelevant guidelines, we have established an internal control system tailored to our operational and managerial needs. Thissystem aims to regulate business conduct, mitigate operational risks, and ensure compliant operations of the Company.
LongShine Group adheres strictly to rigorous standards of business ethics, fosteringa culture of integrity and transparency. We are committed to cultivating a fresh, open,transparent, and welcoming business environment. The Company has establishedand consistently enforced the Anti-Commercial Bribery System and the Integrityand Compliance Management Regulations. These regulations outline detailedrequirements concerning procurement, conflict of interest, violation reporting, anti-corruption measures, fair competition, information condentiality, and other relevantaspects of our operations and management. Furthermore, we require employees tosign the Integrity Commitment. These initiatives are aimed at continuously enhancingthe Company's business ethics management. In 2023, the Company reported nocorruption-related litigation cases throughout the year.
LongShine Group places significant emphasis on fostering communication and interactionwith investors, employing a diverse range of communication channels to engage with bothcurrent and potential investors. Alongside traditional avenues such as investor mailboxes,hotlines, and interactive platforms, we leverage new media and other platforms to establishopen and transparent communication channels with investors. Additionally, the Companyorganizes regular performance exchange meetings and roadshow activities to facilitate in-depth exchanges with the market and investors. In 2023, we hosted an annual performanceexchange meeting to promptly announce our annual performance to investors and the market,further strengthening communication with our investor base.
InvestorCommunication
the Company has consistentlydistributed
consecutive cash dividends,totalingRMB
million
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Environmental, Social and Governance Report
LongShine Group joined the Trust and Integrity Enterprise Alliance
In 2023, LongShine Group o?ciallyjoined the Trust and IntegrityEnterprise Alliance and took anactive part in an array of trainingand exchange activities organizedby the alliance to jointly create asound and transparent businessenvironment.
LongShine Group organizes publicity campaigns and training programs both online and o?ine to foster the concept of integrityand compliance. Online, the Company gave a series of publicity lectures themed "Integrity and Compliance in LongShine Group"via its intranet, and published articles related to integrity and compliance on the "LongShine Family" public account, includingthe Accident Triggered by Two Bottles of Good Wine and Proactively Declaring Conicts of Interest with Caution. A wide varietyof novel publicity means have been taken to promote and popularize knowledge about integrity. In addition, the Company alsoactively organizes o?ine publicity activities on integrity and compliance, such as those for employees in Zhongchang Technologyand Shandong Center, to further popularize the concept of integrity and compliance.
Lectures on Integrity and ComplianceCaseIn March 2023, the Compliance and Supervision Department of LongShine Group gave publicity lectures on integrityand compliance both online and o?ine for all employees of its subsidiary Zhongchang Technology, to popularize theCompany's integrity and compliance requirements to employees.
Integrity and compliance publicity lecture
The Company facilitates various reporting channels, including letters, visits, telephone reports, and online platforms, andprovides contact details such as reporting telephone numbers, email addresses, and online channels to ensure seamlessreporting processes. We exercise disciplinary functions in accordance with the Integrity and Compliance ManagementRegulations. During investigations, employees strictly adhere to confidentiality and avoidance protocols, limiting access toinformation and clues related to reports and prohibiting their unauthorized disclosure. No one is allowed to access clues withoutapproval. We strictly safeguard information about whistleblowers and control the verication process to ensure the safety ofwhistleblowers and prevent retaliation.
Integrity and Compliance Reporting Center of LongShine GroupAddressBuilding No. 1, 118 Jinghui East Road,Xinwu District, Wuxi City, Jiangsu Province
According to the Company's Integrity and Compliance Management Regulations,employees in key positions are expected to set an example by upholding integrity andcompliance. They are required to report conicts of interest (including potential conictsof interest) to the Company annually in writing. In 2023, a total of 2,098 key employeesfulfilled this obligation by completing the regular declaration of conflicts of interest.Among them, 63 employees proactively disclosed a total of 89 foreign investment andemployment items.Declaration ofConicts of Interest
The Supervision and Compliance Department receives reports on integrity andcompliance matters, conducts investigations and collects evidence, carries out anti-corruption investigations, and organizes publicity and education activities. LongShineGroup investigated and addressed six cases of employee violations. These investigationsunderscore the Company's commitment to fostering a culture of integrity and combatingcorruption, demonstrating our unwavering zero-tolerance stance towards employeemisconduct.Supervision
Reporting emailcompliance@longshine.comReporting hotlineReporting via DingTalk0510-66676900Mobile DingTalk APP-LongShine OMS-Integrity Reporting
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Environmental, Social and Governance Report
Guarantee Information SecurityIn the digital era, ensuring sustained operation and long-term development requires LongShine Group to e?ectively protect thelegitimate rights and interests of users and enterprises, comply with regulatory requirements, and establish a comprehensiveand reliable information security guarantee system. The Company has made continuous progress in building a security systemand implementing targeted improvements in basic capabilities, product safety, service security, data security, and comprehensivemanagement capabilities. Additionally, adhering to the spirit of innovation and leveraging ISO 27001 information securitymanagement system certication and a series of CCRC information security service certications, we have introduced advancedtechnical tools and management processes. Our commitment remains steadfast in providing customers with high-quality, safe, andreliable products and services.
LongShine Group strictly abides by the Cybersecurity Law ofthe People’s Republic of China, the Data Security Law of thePeople’s Republic of China, the Personal Information ProtectionLaw of the People’s Republic of China, Information SecurityTechnology and Personal Information Security Specificationsand other laws and regulations. We have advanced theconstruction of an information security management system,actively managing and enhancing the Company's securityposture in a dynamic, comprehensive, e?ective, and sustainedmanner. These e?orts are aimed at ensuring the security andstability of the Company’s overall operations.In 2023, the Company restructured its organizational structurefor safety management, establishing the Safety and QualityManagement Department. Within this department, theSafety Management Office was created to oversee safetymanagement, technical system construction, safety internalcontrol, capability enhancement, and culture developmentacross the Company and its subsidiaries.
The Company has processed personal information in strict compliance with the provisions of the Civil Code, the PersonalInformation Protection Law of the People’s Republic of China and other laws and regulations on personal information protection,following the principles of legality, legitimacy and necessity. To regulate our personal information processing activities, weformulated the Management System for Personal Information Protection, the Assessment System for Personal InformationProtection Impact, the Personal Information Power Response Mechanism, and the Employee Information Protection System.Our procedures dictate that prior to collecting personal information, the individual should be informed about the processingactivities and provide explicit authorization and consent. Moreover, only the minimum necessary information is collected. TheCompany strictly implements organizational and technical measures related to personal information protection and conductsimpact assessments of personal information protection. Employees receive regular training and education on personal informationprotection, conducted annually or in case of signicant changes to the Company's personal information security system.
LongShine Group attaches full importance to data securityand the protection of personal privacy. The Company hasdeveloped the Sensitive Information Desensitization Standardsand the Standards for Source Code Security Management.These standards mandate that all Internet product developmentdepartments undergo training and integrate these regulationsinto their development and design standards. We emphasizethe desensitization of sensitive information and the encryptionof important data during product design, functional testing, andproduct rollout safety testing stages. In 2023, the Company strictlyadhered to the Methods for Identication of Illegal Collection andUse of Personal Information via APPs. We formulated the APPCompliance Checklist and conducted self-checks. Additionally,privacy compliance testing has been incorporated into the securitydevelopment process of App mini programs. The Companyconducts annual personal information security risk assessmentson the Internet and important systems. We have standardized theprocessing of personal information in the collection, storage, use,sharing, forwarding and other links to protect the legitimate rightsand interests of individuals and social public interests.LongShine Group regards safety as the core consideration forproduct development and operation. Continuously enhancingproduct safety control is vital for ensuring product safety,building user trust, mitigating risks, and enhancing brand value.The Company has incorporated safety into the entire ProductLifecycle Management (PLM) process of product development.We have formulated and implemented the Product LifecycleSafety Management, the Third-party Product Safety ManagementSystem, the Third-party Product Safety Management Rules,the Project Safety Management Standards, and the Operation
Security System Building
Personal Information Security
Product and Service Safety
LongShine Group strictly abides by the Data Security Law, theManagement Measures for Industrial and Information DataSecurity and other data security-related laws and regulations.It has formulated and implemented the Management Measuresfor Data Classication and Grading, the Management Measuresfor Data Utilization Security, the Management Measures forLongShine Group’s Core Platform Data and Authority, and theSensitive Information Desensitization Standards to manage datasecurity within the Company.According to data condentiality, LongShine Group has classiedthe Company's data into three levels: secret, internal and public.The Company has established specific requirements regardingthe authorized use, storage, external transmission, destruction,and decryption of data at each level, while clearly defining theauthority of core accounts to ensure comprehensive data security.Employees are required to adhere strictly to the Company'scondentiality regulations and exercise stringent management ofcondential documents and content. Transmission, forwarding, orcopying of the Company’s secret information via emails is strictlyprohibited without proper authorization. The Company mandatesthat data usage follows the "minimum necessity" principle and canonly be provided with approval and authorization in place.To standardize the authority of system management accountson the Company's core platform, LongShine Group hasoutlined specific requirements regarding the authority and datamanagement of these core accounts. These requirements are in
Digital Asset Security
accordance with the Internal Management Standards and Normsof the Information Technology Department and the LongShineGroup Core Platform Data and Authority Management Measures.These measures are implemented to safeguard internal datasecurity. To prevent the leakage of sensitive information, theCompany has instituted various measures. These includeconducting checks on office equipment and server terminals,encrypting and securely storing important sensitive data, revokingthe account authority of departing employees, inspecting thecomputer room, and setting passwords for authorized accounts.The Company's Information Technology Department employsvarious technical measures, including transparent encryption,cloud platform protection, and database backup, to uphold datasecurity. Transparent encryption software enables real-time,intelligent encryption of any document, ensuring that encrypteddocuments cannot be accessed outside designated environmentswithout authorization, thereby bolstering data security. In 2023, thetransparent encryption project achieved full coverage throughoutthe Company. For cloud platforms, the Company strictly adheres tothe principle of minimizing access authority and applies for accessas needed. Additionally, cluster servers are backed up regularly,and the opening of ports to external networks is prohibited tomaintain cloud platform security. The Information TechnologyDepartment conducts daily full data copies of systems such asKingdee, operation, transparent encryption, among others, andmonthly collective audit backups and regular data recovery teststo ensure the e?ectiveness and integrity of backup data.
The Company has conducted comprehensive reviews ofsecurity-related laws, regulations, and standards. Drawing fromour operational characteristics and business development, wehave formulated and rened a series of rules, regulations, andstandardization documents. Examples include the SecurityManagement Measures for Data Utilization, Data SecurityResponsibility Statement for Key Positions, and ComplianceChecklist for Personal Information and Data Security. Theseinitiatives are designed to further enhance the Company'sinformation security compliance system.In 2023, the Company revised and refined the SafetyPerformance Assessment Standard Form and the InternalWorking Mechanism for Safety and Quality AccidentInvestigation. We integrated the results of project safety testinginto the department's annual performance assessment indexsystem in compliance with relevant regulations. Additionally,we disseminate safety testing information to safety specialistsand department heads of all departments thrice annually.These measures aim to ensure that assessment indicatorsare more rational and that safety initiatives receive heightenedattention from all departments.
Regulations on Product Roll-out Safety Inspection. We have alsoimproved the network security emergency plan for importantsystem platforms, and continuously rened and improved securitymanagement measures to respond to changing security threatsand challenges.The Company has vigorously advanced the establishment andenhancement of the Product Lifecycle Management process forproducts manufactured by its subsidiaries. In 2023, it introducedthe Xindiantu and Zhongchang SDL process systems, andenhanced the SDL process systems of Bangdao and LongShinedata. These efforts aim to achieve more comprehensive safetymanagement awareness throughout the entire product lifecycle.The Company has intensified product safety testing initiatives.In 2023, the Company provided repeated guidance on safetyprecautions and requirements. It adjusted the granularity ofproduct safety testing from the project level to the project-productlevel, expanded the scope of product testing for baseline andonline safety testing, and engaged in third-party safety appraisals.These measures encompassed comprehensive safety testing ofproducts manufactured by its subsidiaries.LongShine Group prioritizes the security control of Internetproducts every year. The Company has formulated andimplemented the Management System for Internet BusinessServices. We have incorporated baseline and online safety testingof Internet products and services, as well as AB role penetrationdetection, into our protocols. These measures ensure that Internetproducts and services undergo inspection and audit by the securitydepartment before being listed and operated externally.
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Environmental, Social and Governance Report
The Company implements internal control measures forinformation security across various facets, including securityrisk assessment, monitoring and inspection audits, earlywarning and rectification of vulnerabilities, Internet exportcontrol, security management of internal personnel andpartners, and special initiatives addressing key securityissues.LongShine Group carries out annual inspections and reviewsof network security and data security, identifying potentialsecurity risks at all levels and links while evaluating theCompany's security capabilities. To bolster overall safetyawareness and capabilities, LongShine Group conductedsafety inspection audits of 19 units in 2023. Among these, 10units were graded as excellent and 9 as well-performing. Atotal of 140 individuals were sampled, and 3,082 items werechecked. In 2023, the Company reported no major informationsecurity incidents.The Company has prioritized the protection of securityvulnerabilities within projects. In 2023, it successfully identiedand resolved over 130 security vulnerabilities through earlywarning systems and implemented 38 special rectificationprograms targeting high-risk security vulnerabilities. Notably,100% of security loopholes and hidden dangers weree?ectively addressed.In 2023, the Company launched 22 key special initiatives(including regular special initiatives) to enhance internalcontrol of information security. These initiatives encompassedvarious aspects such as network, data, code, equipment,industrial park, and personnel security. Additionally, theCompany continued to bolster security awareness and elevatesecurity protection levels through proactive measures.LongShine Group imposes stringent requirements onemployees to safeguard data and information security. Allemployees are mandated to sign Condentiality Agreementsand Network Security Commitment Letters. Senior executivesare required to sign the Network Security ResponsibilityStatement, while personnel in key positions are obligated tosign the Data Security Responsibility Statement. External
LongShine Group places emphasis on fostering a corporate safety culture and encourages active participation and cooperationfrom employees, instilling the idea that safety awareness is a collective responsibility. The Company conducts ongoing securitytraining and education programs to ensure that employees comprehend and adhere to security policies, enabling them to identifypotential security threats and respond appropriately.Proactively cultivating a safety culture, LongShine Group enhances employees' safety awareness through various initiativessuch as safety publicity and Safety Month activities. In 2023, LongShine Group and Xindiantu initiated a series of Safety Monthactivities, including publicity campaigns, competitions, emergency drills, and training sessions. These activities aim to nurtureemployees' safety awareness, behaviors, and habits through diverse engagement opportunities. The Company also disseminatessafety information and best practices through safety microjournals, safety awareness videos, and discussions on safety topicsshared via the LongShine Knowledge Library. These e?orts contribute to creating a positive safety culture and atmosphere withinthe organization.
Safety Inspection Audit
Safety Education and Training
LongShine Group’s Safety Month EventsCase
June 2023 is a Safety Month of LongShine Group. During the month, the Company organized a series of activitiessuch as safety knowledge competition, safety themed video and poster publicity, phishing email drill and emergencydrill, "I have something to say about safety" discussion, and source code security management training.
LongShine Group organized security themed video andposter publicity, focusing on security themes including"o?ce environment security", "email security", "accountpassword security" and "personal information protection".The event shared network security knowledge throughvivid and interactive videos, contributing to building thesecurity system. More than 500 students studied onlinein the cloud classroom.In the "I have something to say about safety" discussion,employees focused on discussions about safety issues,shared experiences and insights, and jointly exploredbest practices and safety strategies to improve safetyawareness and skills. 434 people participated in thesafety discussion.The Company conducted phishing email drills andemergency drills, and randomly sent 989 phishingemails. These drills helped employees improve theirrisk identification ability and learn how to cope withemergencies.The Company also organized source code securitymanagement training, which covered the importanceand potential risks of source code security, and theCompany's source code security management process,to enhance the security awareness of source codeprotection.
Security Management E?ects
With the core objective of supporting and advancingbusiness development, LongShine Group's securitymanagement system proactively aligns with national laws,regulations, and regulatory requirements. It encompassesall business and key areas in a comprehensive,systematic, efficient, and sustained manner, therebyfurnishing a robust guarantee for the stable developmentand expansion of the Company's business endeavors.This approach has garnered high recognition and trustfrom our customers and partners. The Company hasobtained the ISO 27001 information security managementsystem certification and the Information Security ServiceQualification (Security Integration, Software SecurityDevelopment, and Security Operation and Maintenance).
ISO 27001 information securitymanagement system certication
personnel are also required to sign targeted SecurityResponsibility Statements. Moreover, departing employeesinvolved in crucial projects are obligated to sign ResignationStatements to ensure comprehensive protection of customerinformation security and privacy.LongShine Group places significant emphasis on theinformation security management of its partners. TheCompany has developed and implemented ConfidentialityClauses within Third-party Security Contracts for ImportantProjects. Additionally, it has organized third-party developersto sign security commitments, and formulated securityschemes. LongShine Group conducts reviews of third-partydevelopment access, such as the LongShine Industrial Parkproject system, the Jindie financial system, and the unifieddigital platform project. These reviews ensure that relevantsecurity technical measures effectively address associatedrisks. Furthermore, the Company integrates the VPN ofoutsourced personnel into the zero-trust unied managementand control system. It rigorously controls the authority of thirdparties to access the network and hosts, prioritizing datasecurity when third parties are involved.
More than
students studiedonline in the cloud classroom
people participatedin the safety discussion
LongShine Group conducted safety inspection audits of
units in 2023
were graded as excellent
as well-performed
3,082
inspections were conducted
3536
Environmental, Social and Governance Report
3738
Environmental, Social and Governance Report
LongShine Group is dedicated to building a highly e?cient quality system characterized by outstanding cost-e?ectiveness andvalue. The Company imposes rigorous standards on product quality, consistently strengthens R&D innovation capabilities,renes quality management practices, addresses quality risks proactively, and enhances product quality across all stages todeliver exceptional services to users.
LongShine Group has consistently prioritized R&D innovation. Leveraging extensive practical experience in R&D management,the Company has established a robust qualication system. To further bolster its R&D innovation capabilities, the Companypersists in refining the qualification system framework and augmenting R&D investments to better meet the demands ofcustomers and the market.LongShine Group boasts extensive practical experience in R&D management. In 2011, the Company introduced the industry-leading concept and management system for product development known as Integrated Product Development (IPD).Subsequently, in 2014, LongShine Group obtained certification for information security services based on the SecurityDevelopment Lifecycle (SDL).Aligned with its corporate and business development strategies, LongShine Group has devised a comprehensive plan for thedevelopment of its qualification system. We have formulated a set of regulations encompassing various aspects, includingthe Full Process Management Standards for Construction Projects, Measures for Project and Product Output Management,Standards for Version Release, Marketing 2.0 Personalized Research and Development Standards, Quality AccidentInvestigation and Reporting System, Management Measures for the Evaluation of Project Development Costs. These regulationsserve as the foundation for our robust qualication management standard system. Considering both internal requirements andexternal factors, we have convened qualification management experts and specialists to establish norms and standardizedprocesses. Furthermore, we have collaborated with technical experts from subsidiaries or business units to undertake pre-research, planning, certication, and maintenance of requisite qualications in a meticulously planned manner.
Adhere to Innovation
Research and Development (R&D) Innovation
Research and Development (R&D) System
Investment in Research and Development (R&D)
The Company attaches great importance to the development of an adept R&D talent team and has amassed a substantial poolof highly skilled R&D professionals. We have 3,298 R&D personnel, accounting for 56.74% of our workforce. The Companycontinues to invest in the digitization of energy and maintains a talent pool for emerging technologies such as the Internet ofThings (IoT), cloud computing, and blockchain. In 2023, our talent pool comprises over 100 industry technical leaders boastingmore than 20 years of experience, alongside over 600 senior experts with over a decade of expertise in their respective elds.
Proportion to the Company'sworkforce:
56.74%
R&D personnel in 2023:
3,298
5.85
5.67
5.18
12.6
12.45
10.96
%RMB100million
202120212022202220232023
Total investment is R&D
3738
Industry technical leaders with over 20 years of experience:
More than
Senior experts with over 10 years of experience:
More than
Proportion of R&D expenses to operating revenue
3940
Environmental, Social and Governance Report
Intellectual Property Protection
LongShine Group strictly abides by laws and regulations governing intellectual property protection. The Company has revisedand implemented the Intellectual Property Management System and Intellectual Property Reward System, aligning them withour evolving business landscape. We have also enhanced our intellectual property work system to safeguard independentintellectual property achievements while valuing the intellectual property rights of customers and business partners. In 2023, theCompany focused on framework design, overall planning, and the formulation of intellectual property action plans. We identiedappropriate departments to spearhead patent management pilot projects. Over the past three years, the number of intellectualproperty rights owned by the Company has steadily increased year by year, and our e?orts in applying for and protecting theserights have yielded commendable results.
To foster employee motivation and creativity, LongShine Group actively fosters an IPR culture. In accordance with the IntellectualProperty Reward System, we have established an inventor incentive mechanism that rewards employees based on the type andcomplexity of patent applications. Furthermore, the Company conducts diverse IPR awareness campaigns tailored to di?erentemployee groups. Specialized IPR training programs covering various topics such as information security management, open-source legal risk prevention, and relevant patent knowledge have also been organized to empower our workforce.
朗新集团为激发员工的能动性和创造力，积极推进公司内部知识产权文化建设，依据《知识产权奖励制度》，设立发明人奖励机制，根据专利申请类别及难易程度向员工发放奖励。此外，公司还开展形式丰富的知识产权宣传活动针对公司不同员工群体，有针对性地开展关于信息安全管理、开源法律 风险防范、相关专利知识等不同主题的知识产权专项培训。060015003009001200
202320222021
The IPR protection demonstration site of Wuxi Intermediate People's Court was established inLongShine GroupCase
Number oflicensedcopyrights
1,2281,033
Both parties will utilize the IPR protection demonstration site as a collaborative platform to facilitate seamlesscommunication and collaboration between the court and the Company. Together, they will explore additional newexperiences and methods of IPR protection that can be disseminated and replicated. Through these endeavors,they aim to provide a consistent flow of information, talent, and service support for overall IPR development. Thiscollaborative e?ort will continually bolster awareness of IPR protection and enhance the legal framework surrounding it,thereby contributing valuable insights to the advancement of the digital economy.
Numberof majorpatents
Number ofauthorizedpatents
Numberof appliedcopyrights
Number oftrademarks
4142
Environmental, Social and Governance Report
Consolidate Quality Management
In 2023, LongShine Group continued its e?orts to strengthen its quality management standards. The Company introduced severalnew measures to enhance its quality management system, including the Measures for Project and Product Output Management,Standards for Version Release, Marketing 2.0 Personalized Research and Development Standards, and Measures for ProjectDevelopment Cost Evaluation Management. Additionally, the Company revised and improved the Full Process ManagementStandards for Construction Projects.In 2023, the Company established the Safety and Quality Management Department, comprising the Safety Management O?ce,Quality Improvement O?ce, and Baseline Management O?ce. These departments collectively oversee the Company's qualitysystem development, project quality control, development operation and maintenance management, baseline management ofcore business operations, and other quality management and improvement initiatives.The Company has extended the scope of its quality management projects to comprehensively oversee project quality. In 2023, itcontinued to expand the number of integrated and self-developed construction projects while bringing more consulting operationand maintenance projects under its purview. Additionally, the Company enhanced quality management for projects initiated byits subsidiaries, aiming to o?er users more dependable services. As a result, there was a signicant increase in the number ofintegrated projects, self-developed projects, and consulting operation and maintenance projects under its control.
Integrated projectsSelf-developed projectsConsulting operation and
maintenance projects
20222023
Changes in the number of projects under control by the Company
To further enhance product quality, the Company implementedtargeted quality control initiatives. Quality assurance effortswere deeply integrated into project activities to promotestandardization, resulting in an overall project standardizationrate of 98.5%. Through special quality measures implementedat key control points, the average product qualification raterose to 83%.The Company has exerted significant efforts to enhanceits digital quality management capabilities and establish acomprehensive platform. It has transitioned the project gradingevaluation model online and implemented di?erentiated quality
Framework of the construction process of a full-process digital platform
Practical function
development
OnlinevericationProjectinclusion andmanagement
Targetmanagement
Businessdemand
Businessdemand
Functiondemand
Codewalkthrough
FaultManagement
Casemanagement
Special qualitycontrol initiative
control practices. By enhancing integration between front-and back-end development and the online work system, theCompany has streamlined development processes, facilitatingunified quality management. In 2023, the pilot collaborativeonline work system expanded to encompass networks in 13provinces.
network provinces were included into the pilotproject of the collaborative online work system in 2023
The Company exercised strict control over the safety andquality of products, requiring that both the baseline versionand the online version of products pass an internal securitytest. It organized A and B role penetration testing basedon the security test report to address all mid- and high-level vulnerabilities, aiming to minimize product risks andassociated losses due to security loopholes. In 2023, theCompany conducted 340 baseline security tests for Internetprojects, successfully addressing 100% of security loopholesand hidden dangers.LongShine Group attaches great importance to quality riskmanagement. In 2023, the Company formulated the QualityAccident Investigation, Handling and Reporting System. Thissystem encompasses the entire process of quality accidentacquisition, emergency response, solution implementation,prevention measures, and evaluation, ensuring a closed-loop approach to risk management measures and enhancingthe Company's ability to address quality risks e?ectively.The Company coordinated with subsidiaries and businessdepartments to conduct numerous quality training sessionsand project reflection activities. These initiatives aimed toenhance employees' awareness of quality and safety whiledeepening control measures. In 2023, the Company led 36project reection activities involving business and technicaldepartments, surpassing the required targets.
Completion rate of repair of security loopholes andhidden dangers:
100%
Number of project reection activities led by theCompany in business and technical departments:
LongShine Group organized a special quality management trainingCase
In September 2023, the Safety and Quality Management Department of LongShine Group conducted trainingand publicity campaigns for all project management members across various network provinces. These initiativesencompassed construction project management, utilization of the Archimedes platform, and deployment of testspecications for construction projects. A total of 515 full-time project managers in the front-end network provincesunderwent assessment. The Company issued Certicates of Completion for those who completed the training andpassed the examination. Additionally, the Company issued certificates to individuals who applied their acquiredknowledge into practice, following the benchmarking tracking of case studies. This approach aimed to incentivizeemployees to apply the principles learned during quality management training in their daily practices.
persons assessed
Online function
progress
Number of baseline security tests for Internet projectsconducted in 2023:
4344
Environmental, Social and Governance Report
Build a Responsible SupplyChain
LongShine Group is dedicated to creating a fair, transparent,efficient, and well-organized supply chain while activelyimplementing compliance traceability management for suppliers.In accordance with the Supplier Management Procedures andother relevant regulations, the Company has developed standardprocesses, agreements, or contracts to oversee suppliersthroughout their life cycles, ensuring compliance throughout theprocurement process. As of 2023, LongShine Group collaboratedwith a total of 1,663 suppliers.Recognizing the necessity for digital transformation in supplychain management due to rapid business growth, the Companyhas prioritized this initiative. By implementing an online operationsmanagement platform, LongShine Group can enhance procurementprocess compliance, streamline procurement activities, anddeliver improved and more efficient products and services tocustomers through full-time and electronic end-to-end procurementmanagement.LongShine Group has continued its efforts to standardize thesupplier access system. It has established corresponding accessconditions for various types of suppliers during the supplier reviewand entry stage, requiring suppliers to complete the SupplierSurvey Form and submit relevant qualification documents. Onlyafter thorough review can suppliers be included in the "QualifiedSupplier Directory." The Company has also implemented a "Review-Access-Appraisal-Evaluation" mechanism for managing suppliers,aimed at building a stable supplier base. We have also informedsuppliers about the requirements of the ISO 14001 EnvironmentalManagement System and the ISO 45001 Occupational Healthand Safety Management System, to jointly maintain a soundenvironment and protect employees against occupational injuries.The Company conducts regular evaluations of suppliers fromvarious perspectives, including product quality, pricing, personnelqualifications, financial status, technical capabilities, after-salesservice, and customer satisfaction. We provide fair and justifiedevaluation results to encourage suppliers to further enhance qualitystandards. To support suppliers in their quality improvement e?ortsand facilitate growth, the Company offers targeted rectificationsuggestions based on individual circumstances for supplierswith unsatisfactory evaluation results. In cases where supplierspersistently deliver substandard products or violate laws andregulations, the Company takes necessary measures to removethem from the supply chain to ensure its smooth operation.LongShine Group continues to reinforce suppliers' integrityawareness, rigorously preventing commercial bribery, and fosteringan environment of fair competition. As of the end of 2023, 100% ofthe suppliers collaborating with the Company signed the Honestyand Integrity Agreement.
In 2023,LongShine Group partnered with1,663
suppliers
Enhance Customer ServiceLongShine Group upholds a customer-centric service philosophy,aiming to deliver efficient, professional, and high-quality servicesacross various facets, including products, markets, and services. Ourobjective is to comprehensively meet customer needs. In accordancewith the Law of the People's Republic of China on the Protection ofConsumers' Rights and Interests, as well as other applicable laws andregulations, the Company has established internal systems such as theCustomer Complaint Handling Management System and the Operationand Maintenance Service Handling Process. Moreover, we continuallyenhance our service system, encompassing consultation, planning,implementation, and after-sales operation and maintenance, to ensuresustained improvement in service quality.The Company attaches special importance to the quality of after-salesservices We have dedicated professional operation and maintenanceteams to address various service requests, including consultation,operation, data, and configuration. The Company has established ahierarchical management system to ensure prompt responses ande?cient resolutions to these requests. Additionally, we actively engage incommunication and dispute resolution with users to mitigate any adversee?ects on them. We monitor the progress of operation and maintenanceservices to ensure their completion and conduct satisfaction visits tocustomers.To further enhance service quality, the Company takes a proactiveapproach to address customer complaints. We have establishedvarious complaint processing channels and corresponding standardizedprocedures to ensure the timely and appropriate handling of customercomplaints. Following the resolution of a complaint, we conduct follow-up visits to customers and provide feedback and suggestions forimprovement to relevant departments, aiming to prevent the recurrenceof similar complaints.To enhance the service experience for our customers, the Companyregularly conducts customer satisfaction surveys to gather theirsuggestions and feedback regarding the rationality, safety, stability, andother dimensions of our product design. This feedback serves as a guidefor continuous improvement in both products and services. In 2023,the customer satisfaction performance of the Company's products andservices surpassed that of the previous year.
As of the end of 2023, all thesuppliers in cooperation signed the
Honesty andIntegrityAgreement
The signing ratio reached100%
4546
Environmental, Social and Governance Report
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Environmental, Social and Governance Report
关注人数
Create a Harmonious Work EnvironmentLongShine Group recognizes the paramount importance of talent. We prioritize safeguarding the rights and interests of ouremployees and nurturing a culture of respect and equality in the workplace. The Company has implemented an effectivecommunication mechanism to support the mental well-being of each employee and foster an enjoyable office environment.Additionally, we have established the LongShine Culture and Publicity Interactive Platform to facilitate exchanges andinteractions between new and existing employees.Safeguard Employees' Rights and Interests
Create a Pleasant Atmosphere
LongShine Group abides by the Labor Law of the People's Republic of China, the Labor Contract Law of the People's Republicof China, and other laws and regulations. The Company has formulated a number of systems to protect the basic rights andinterests of the employees, including the Remuneration Management System and the Working Hour Management System.
LongShine Group places signicant emphasis on promoting corporate culture. Through organizing a variety of recreational andemployee care activities, we strive to enhance the work atmosphere and foster organizational cohesion.
Employee Recruitment
Cultural Communication
LongShine Group emphasizes the principle of equal employment. We rmly prohibit any form of discrimination in employmentassessments based on gender, age, race, religious beliefs, or any other factors. Additionally, the Company strictly prohibits theuse of child labor or forced labor in any aspect of its operations.
We attach great importance to the dissemination of corporate culture by establishing an interactive platform for diverse culturalpromotion. Our goal is to deepen employees' understanding of LongShine Group and facilitate the seamless integration of newemployees into the Company. Through promoting our outstanding corporate culture, we aim to foster employees' alignment withour values, encourage interaction, and enhance cohesion among them.
Provide the orientation of culturalvalues and build up the brand ofLongShine Group as an employerthrough the publicity of companyinformation, excellent benchmarksand featured cultural activities.
LongShine Group's internal portal,which can help new employeesquickly integrate into the Companyand experience the LongShineculture.
Remuneration System
Free Association
LongShine Group advocates for "gender equality" and "position equality" as fundamental principles of employee remuneration,rejecting any form of differential treatment. The Company has established a fair remuneration and incentive mechanismwherein rewards are distributed to employees with outstanding performance in a timely manner, based on the principle of"aligning responsibility with interests, ability with value, risk with reward, and performance with income". LongShine Groupensures comprehensive social security coverage for its employees, covering ve types of social insurance and the housingprovident fund in accordance with local standards, with a 100% coverage rate. Additionally, the Company o?ers supplementarycommercial insurance, such as supplemental health insurance, for its employees. In addition to the national holidays stipulatedby law, LongShine Group provides each employee with 12 days of paid sick leave and paid annual leave per year.LongShine Group has unequivocally communicated to all employees its commitment to respecting the rights of employeesto free association and collective negotiation. The Company operates under a democratic management structure, ensuringthat employees have the right to know, participate, express opinions, and supervise operations. LongShine Group activelyencourages employees to provide suggestions or requests for improvement to their direct superiors, departments, and seniormanagement.
Total number of employees
Male employees
Female employees
Employees holding adoctoral degree or above
Employees holding amaster's degreeEmployees between31 and 40 years old
Employees more than51 years old
Employees holding a collegedegree or belowEmployees between41 and 50 years old
Employees holdinga bachelor's degree
5,812
2,454
2,662
75621
4,180
1,229
4,142
1,670
LongShine Culture and Publicity Interactive Platform
"Family" Public
Account
A Comprehensive
Platform(ls.longshine.com)
DingTalk Intranet(For topic interaction)
10,946
followers
messages releasedRelease content: Companyinformation, benchmark stories,outstanding characters wall, culturalactivities video, etc.1,228
viewers of articles on average180k+
viewers in total
Employees less than
30 years old
An open platform forcommunication and interactionamong employees, which cancreate an open, dynamic andyoung team community culturethrough regular topic interaction.
6,075
followers on varioustopics
participants in interactionTopics: information security, powerof role models, pleasant times,personal growth and gains, etc.
4950
Environmental, Social and Governance Report
Employee CareDiversied Recreational Activities
Career AnniversaryBirthday PartyCaseCase
Outstanding Employee TravelCaseFamily Open DayCase
ConcertCaseSummer Holiday Childcare ProgramCase
We value the well-being of our employees and organize a diverse range of activities to enrich their leisure time. These activitiesinclude commemorating career anniversaries, arranging annual trips for outstanding employees, and hosting recreational eventssuch as concerts, all aimed at enhancing employee satisfaction and enjoyment.
We organized employee care activities such as employee birthday parties, family open days, summer holiday childcareprograms to enhance the employees and their families' understanding and recognition of the Company, and constantly enhancetheir sense of belonging.
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New Star Program for Fresh Graduates
Facilitate Career DevelopmentLongShine Group firmly believes in the symbiotic growth of talents and the Company, recognizing that their development isinterconnected and mutually reinforcing. To support this, we have outlined clear promotion pathways for employees, fostering self-motivation and o?ering various training and evaluation opportunities. Through these initiatives, we aim to incentivize employees to growwhile simultaneously creating benets for the Company.The Company provides dual career paths for both professional and managerial employees and has implemented internal promotion androtation mechanisms to harness the strengths and potential of our workforce fully. We regularly conduct annual merit evaluation activitiesand adjust remuneration incentives for employees based on their performance assessment, o?ering them well-performed promotionchannels and broad space for career development.Resource Platform Construction
Improve the Talent Training System
LongShine Group is committed to improving the leadership, professional, and technical capabilities of its employees comprehensively.The Company has allocated signicant resources to establish an internal lecturer platform, LongShine Intelligence Tank, and a cloud-classroom learning platform, o?ering employees e?cient and diverse learning resources.Internal trainers play a key role in "cultivating countless talents and driving business growth". They are required to possessa deep understanding of the Company's culture and operations, delivering knowledge and skills tailored to the Company'sspecific needs to achieve targeted training outcomes. In terms of the composition of trainers, the Company employs 215trainers, 335 knowledge sharers, and 137 tutors, covering 83 training programs and 133 sharing sessions.
The Company's course library comprises a total of 567 courses, spanning 15 job categories including consulting, businessresearch, solutions, project management, system integration, design, research and development (R&D), quality assurance,operation and maintenance, human resources, nance, risk management, administration, and business and sales.
In 2023, LongShine Group introduced and released 140 courses or training programs in the cloud classroom. A remarkable82% of employees logged into the cloud classroom for learning, demonstrating a strong response to the training needs oftheir respective departments, with many engaging in learning activities more than 30 times. Additionally, 140 individuals wererewarded for their outstanding learning performance in 2023, collectively accumulating more than 20,000 learning hours.
The Company has constantly improved its employee training system and systematically fostered a culture of learningand personal development. Leveraging our technological capabilities, we have implemented digital training initiatives andsystematized talent development through our internal resource platform. Key training programs targeting managers, technicaltalents, and emerging talents at all levels have been conducted, along with value-sharing activities organized for all employeeson an irregular basis. By offering a comprehensive platform for personal development, we are committed to supportingemployees in realizing their full potential and personal aspirations.New Employee Training
Management Training
The New Star Program is designed to facilitate the swift integration of employees into the Company and their respective teams,enabling them to acquire the necessary knowledge and qualifications for their positions. This program assists employees incompleting skill training to meet the requirements of their roles, empowering new hires to unleash their full potential and achievetheir personal growth objectives progressively, ultimately enabling them to work independently.
Business and Technical Training
Knowledge Sharing Activities
An Internal Lecturer Platform Ecosystem
Course Library Development
Cloud-Classroom Learning Platform
The New Force Program utilizes both online and o?ine training methods to facilitate newly recruited employees' understandingof LongShine Group's corporate culture, values, and strategic goals. The program aims to accelerate their integration into theCompany, bolster their sense of belonging, and foster team cohesion.
Special Training Camp for Grassroots Managers
Double-wing Training Program for Grassroots Managers
Future Team Training Program for Senior Executives
Star General Training Program for Project Managers
Special Training Camp for Solution-seeking
CTO Technical Exchange and Sharing Sessions
The training camp covers 42 grassroots managers within the energy digitization business segment. Following a series of processesincluding learning, testing, practice, review, and consolidation, the training camp achieved a 100% delivery rate. The programsuccessfully developed 65 managers across 19 departments of the Middle O?ce, achieving a coverage rate of 52%, as well as 23managers across 11 operation centers, achieving a coverage rate of 65%.The Double-wing Training Program is designed to nurture technical management talents, primarily focusing on fresh graduates.Through reality sand table simulations, the program aims to provide trainees with a comprehensive understanding of the criticalpoints and key aspects to be managed across all stages of project management. By extracting experiences, the programaccumulates successful work practices and models within the Company, assisting fresh graduates in planning for experienceextraction in their respective roles. A total of 42 students in the Internet of Energy (IoE) business segment participated in theDouble-wing Training Program.
The Star General Training Program (Standard Course) is designed to cultivate project managers for LongShine Group, encompassingjob categories such as project management, operation and maintenance, design, research and development (R&D), and qualitymanagement. This program involved a total of 189 trainees, out of which 79 successfully completed the course, with 10 beingrecognized as outstanding trainees. The Star General Training Program (Advanced Course) covers a total of more than 360 trainees.The Special Training Camp for Solution-seeking is designed to assist trainees in reshaping their perceptions, delving deeper intoindustry insights, exploring customers' strategic values, refining conceptual thinking patterns, and enhancing pre-sales decision-making skills. These capabilities are instrumental in creating opportunities for innovative business development and translating theminto reality, thereby fostering consensus on business goals, dening strategies and development paths, and expanding businessoperations. The program comprised three o?ine sessions, engaging over 120 trainees in solution-seeking endeavors.We are committed to establishing a technical and cultural community within LongShine Group to cultivate a technical consensus thataligns with the Company's needs and fosters a platform for technical exchanges and interaction. In 2023, we organized four CTOsalons, ve CTO roundtable meetings, three AI workshops, and one ChatGPT Big Model machine discussion, with participation from330+ employees.
New Force Program for Newly Recruited Employees from the Society
To identify and cultivate future leaders capable of guiding LongShine Group'strajectory, the Company is committed to a three to five-year initiative to develop acadre of management talents deeply aligned with the Company's vision. These talentswill share the Company's goals and values, possess the ability to lead teams, createvalue, foster innovative business growth, navigate business cycles, and achievesustainable development. In 2023, four offline training programs and three classactivities were successfully completed, involving 120 trainees in total.
Star Sharing Sessions
1024 Programmers' Day
The Star Sharing Sessions are designed to facilitate employees in building knowledge and enhancing business capabilities throughe?ective knowledge sharing, while also accumulating and preserving valuable experience. These sessions serve as a platform toidentify internal trainers and promote the continuous growth of the organization. In 2023, a total of 16 Star Sharing Sessions wereconducted, involving 1,400+ employees.The "Power of Programming" Technical Exchange and Sharing Session was heldonline and offline simultaneously, with 50 offline participants and more than 1,000online viewers.
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Environmental, Social and Governance Report
Ensure Employee Health and Safety
LongShine Group attaches great importance to the physical and mental well-being of its employees. We strictly abide by China'slaws, regulations, and requirements concerning occupational health and safety, and have implemented a robust emergencyresponse system to safeguard the lives and health of our employees. Through a diverse range of fitness activities andpsychological courses, we are dedicated to preserving the physical and mental well-being of our workforce.Strengthen Emergency Management
Improve Physical Health
The Company has formulated preventive measures and emergency plans to outline the emergency management system andinformation reporting mechanism for various safety incidents involving employees in the workplace, including natural disasters,accidental injuries, or emergencies. In 2023, to enhance employees' understanding of re safety and rst aid procedures, weconducted a re drill and enlisted professional doctors to provide training on topics such as cardiopulmonary resuscitation.
The Company offers complimentary annual physical examinations for all employees and encourages them to participatein sports and fitness activities. Various sports clubs have been established, encompassing activities such as ball games,swimming, yoga, tness, and outdoor pursuits. Additionally, we organize a variety of sports PK (Player vs. Player) competitionsincluding ball games, walking, and weight loss challenges. These initiatives aim to cultivate employees' interest in tness, fostermutual understanding and cooperation among colleagues, and bolster team cohesion.
Fire Drill
Care Lecture
Sports Club
Cardiopulmonary ResuscitationCase
Case
Case
Case
The Company opened the Sunshine Chat RoomCase
The Company opened the Sunshine Chat Room and set up a team of physiotherapist. We hired three "physiotherapist"with professional background in psychological counseling and career planning to provide psychological listeningand emotional grooming services for the employees. The purpose of the chat room is to create an organizationalatmosphere of caring for employees. In 2023, we provided psychological listening and counseling services to 17employees, with the employee evaluation satisfaction rate reaching more than 99%.
Protect Mental Well-being
The Company has taken proactive measures by organizing employee care lectures and establishing channels to listen toemployees' feedback, aiming to strengthen their sense of belonging and foster team cohesion. We have conducted variouspsychological lectures, with the participation of psychological experts, to address and safeguard employees' mental well-being. We also conducted employee satisfaction surveys on a regular basis and gave timely feedback on problems. No majorcomplaints were reported during the reporting period.
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Environmental, Social and Governance Report
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Environmental, Social and Governance Report
Build a Low-carbon EnterpriseLongShine Group has always been a rm practitioner of emission reduction and decarbonization. Through the establishmentof a low-carbon industrial park, adoption of clean energy sources, and comprehensive management of emissions and energyconsumption, the Company has continuously diminished its carbon footprint and mitigated the adverse e?ects of productionand operations on the environment. We have taken tangible steps to fulll our environmental protection obligations and areintensifying our endeavors to navigate the "carbon neutrality and carbon peaking" era, paving the way for a sustainable future.
In 2023, following the successful demonstration by LongShine Group, nearly all enterprises within the Group relocated toLongShine Technology Industrial Park. To further enhance energy operations within the park and advance energy conservationand carbon reduction e?orts, we have implemented a series of renovation measures:
The intelligent induction lighting equipment was replaced for 502lanes of the garage in the first phase of the industrial park. Theoriginal monthly energy consumption was 3,456kWh of electricity. Thereplacement can save 2,764kWh of electricity, with a comprehensiveenergy saving rate of more than 85%.916 downlights in the toilets of the rst phase of the industrial parkwere replaced with intelligent induction downlights. The old downlightsconsumed 6.732kWh of electricity per hour. The new ones consume
2.546kWh per hour, saving 1,883.7kWh per month and 22,600kWh
per year, with a comprehensive energy saving rate of more than 60%.The remote switch of the Internet of Things for outdoor landscapelighting was upgraded in the first phase of the industrial park. Thelighting will be automatically controlled according to the work and restcalendar. After renovation, the monthly electricity consumption hasdropped from 5,898.7kWh to 3,932.47kWh, with a comprehensiveenergy saving rate of more than 33%.The lighting of the exhibition hall in the industrial park was replacedwith adjustable lamps, and human body sensors are used to realizedynamic and static induction control. Only the basic lighting is turnedon when there is no one there, with a comprehensive energy savingrate of more than 40%.The integrated interface of the air conditioner was replaced to achieveremote control. It can work with the environment and human bodysensors to achieve unmanned low-energy operation and adjust thetemperature automatically according to the flow of visitors, with acomprehensive energy saving rate of more than 25%.
Low-carbon Industrial ParkLongShine Group actively embraces the principles of low-carbon and environmentally friendly practices. By focusing on energyconsumption and carbon emissions, we have utilized digital technologies to establish a green industrial park, thereby fosteringthe creation of a more environmentally sustainable city. As one of the pioneering "zero-carbon" science and technology parksin Jiangsu Province, LongShine Technology Industrial Park has proactively embraced the ethos of green architecture. We havecontinuously enhanced our infrastructure to expand the scope for sustainable development within the park. Simultaneously, theCompany has adopted green, low-carbon solutions to promote environmentally conscious development within the LongShineTechnology Industrial Park.In terms of hardware ecology, the industrial park prioritizes the use of top-grade environmentally friendly building materials tosafeguard the surrounding ecological environment. The buildings are constructed with a large-area breathing glass curtain wallstructure, aimed at reducing energy consumption. Moreover, the roofs and cornices are covered with distributed photovoltaicpanels, generating 1.05 million kWh of clean energy annually for the park's consumption. Additionally, the park incorporatesa "Sponge City" system, capable of recycling hundreds of tons of rainwater yearly to facilitate green irrigation and real waterreplenishment functions.
In terms of software ecology, LongShine Technology Industrial Park seamlessly integrates PV power generation, energystorage, and charging to establish a complete closed loop of green electricity. This cycle encompasses generation, storage, andconsumption, thereby fostering a zero-carbon green electricity cycle characterized by the "integration of PV power generation,storage, and charging". The park has implemented various independently developed systems, including the intelligent micro-gridoperation and management platform, energy consumption monitoring platform, and dual carbon digital management platform.Through these systems, we can comprehensively regulate electric power, gas, water, heating, and other energy sources withinthe park, e?ectively enhancing the overall utilization e?ciency of green energy. In doing so, we have established a pioneeringmodel for the widespread adoption of the "integration of PV power generation, storage, and charging" within the industry.
Green Courtyard Space
1.05MWp photovoltaic coverage
Glass Curtain Wall Structure
630kW / 1,000kWh
"Sponge City" System
88 charging piles
Green Industrial Park
Integration of PV Power Generation, Storage and Charging
Renovation for Energy Conservation and Carbon Reduction
Energy-savingRenovation ofGarage LightingEnergy-savingRenovation of ToiletLighting
Energy-savingRenovation ofLandscape Lighting
Energy-savingRenovation ofExhibition HallLighting and AirConditioning
LongShine Technology Industrial
Park Incubator
LongShine Group Zero-carbon Smart
Energy Industrial Park
| 2023 Science and Technology Enterprise Incubator in Jiangsu Province | 2023 Typical Case of Coordinated Digital and Green Transformation and Development in Jiangsu Province | |
Honors Granted to LongShine Technology Industrial Park in 2023
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Low-carbon LifeEmissions Management
Energy Consumption Management
LongShine Group remains steadfast in its endeavors within the energy industry, continuously exploring new ecological modelsand advocating for the efficient utilization of new energy sources to foster a green and low-carbon lifestyle. Embracing themission of "leading low-carbon digitization and shaping a low-carbon future", we have implemented a series of internallydeveloped green and low-carbon solutions, leveraging the Company's distinctive technical and operational strengths in energydigitization and the Internet of Energy (IoE). Through these e?orts, we are dedicated to expediting the journey towards carbonneutrality comprehensively, while simultaneously propelling the high-quality, sustainable development of the industrial economy.
LongShine Group's operational emissions primarily stem from office activities. We strictly abide by the Law of the People'sRepublic of China on the Prevention and Control of Environmental Pollution Caused by Solid Waste and the EnvironmentalProtection Law of the People's Republic of China. Moreover, we actively embrace a green approach to work and lifestyle.The Company encourages employees to conserve water and electricity, opt for eco-friendly travel options, and participatein intelligent and paperless o?ce practices. Through the promotion of green o?ce concepts, we advocate for environmentalprotection, energy conservation, and intelligent office solutions, aligning with the Company's objectives for sustainabledevelopment, including energy e?ciency, carbon reduction, and e?cient operation and maintenance. As of December 31, 2023,LongShine Group did not record any environmental accidents or emissions violations.
To enhance energy management, minimize energy consumption, and eliminate waste, LongShine Group abides by the EnergyConservation Law of the People's Republic of China. We have established clear management responsibilities for administrativedepartments, implemented a digital energy consumption management system, and standardized daily practices such asthe use of air conditioners, electricity, and paper in o?ce areas. These measures enable us to achieve precise and dynamicmanagement of energy consumption throughout the entire process. As of December 31, 2023, the Company acquired the1SO 14001 Environmental Management System Certification. Its operations and production have exerted no impact on theenvironment and natural resources.
The Integrated "PV PowerGeneration, Storage and
Charging" ProjectLongShine TechnologyIndustrial Park has built afour-in-one microgrid systemthat integrates PV powergeneration, energy storagesystem, charging pile andV2G, creating a one-stop"green electric cycle" solutionthat incorporates storage,charging and discharge. Thesystem can carry out uniedmanagement and scienticscheduling of new energy. Itcan also select the optimalstrategy based on data suchas weather, electricity priceand vehicle battery status, andmake intelligent scheduling ofPV, energy storage and orderlycharging and discharging ofvehicles. The system is aimedat supporting low-carbonoperation of the industrial park.
Low-carbon Life System
Data of Emissions and Energy Consumption in 2023
Advocate Green and Low-carbon O?ce
Longshine Cloud Helps Save Energy for Servers in the Green Industrial Park
Case
Case
In order to encourage enterprises and employees based in LongShine Technology Industrial Park to get used to green andlow-carbon life and work, the Company will set up some interesting "rewards" in the park. For instance, if you charge thetram in the low-tra?c period, walk for a certain number of steps every day, climb the stairs back to the o?ce, etc., you will berewarded "carbon coins", which you can use in the canteen, co?ee shop or other places of the industrial park.
In 2023, LongShine Group migrated all of its core platforms to the cloud, including its core business systems (JindieReimbursement System, Operation Management System, platforms & front-end machines of banks and bank-relatedenterprises) and the o?cial website of YSTEN. Before the migration to the cloud, all the business systems were distributed inWuhan, Beijing and the public cloud platform. There were more than 20 units deployed in single-machine mode. If calculatedby 550w of power each unit, the annual energy consumption will be 11,000w. After migration to the LongShine Cloud, energyconsumption of all the units is integrated into that of the cloud platform, which is reduced by more than 90% compared withthe traditional physical machines. At the same time, the Company terminated investment into public cloud and third-partymaintenance costs.Project category
Types of emissions, energyconsumption and utilization
Unit202320222021
Waste andContaminants
Waste batteriesKg9.711 9Waste selenium drumsKg21.993 71
Kitchen wasteLitre147,840//
Household wasteLitre1,452,720//Use ofResources
O?ce paper consumptionTonne4.75.01 4.42Fresh water consumptionTonne23,4849,760 9,458
Electricity consumption10,000kWh544.84436.54 157.32Note: In 2023, LongShine Technology Industrial Park in Wuxi head o?ce of the Company was o?cially put into operation, and employees from other o?ceswere relocated to the Wuxi head o?ce, resulting in a decreasing proportion of emissions and consumption. Therefore, the data in 2023 only covers theWuxi head o?ce.
Energy Management SolutionLongShine Group appliesthe "IoT+AI" new technologyto develop a complete setof intelligent urban carbonmanagement system, whichcovers carbon detection, trackingand emission reduction. It canachieve dynamic management ofenergy generation, transmissionand distribution, utilization andenergy consumption equipmentbased on comprehensive energymanagement. The system canmake carbon data visuallyvisible and carbon emissionstraceable. Carbon emission,reduction, assets, neutrality andinclusiveness can be displayedin the form of carbon o?setting,reecting the green and low-carbon development concept ofthe industrial park.
Low-carbon Digital PlatformThe low-carbon digital platformindependently developed byCHANGELIFE, a subsidiaryof LongShine Group, usesthe new generation of datacollection technologies suchas big data, cloud computingand the Internet of Things (IoT)to combine digitization and"carbon peaking and carbonneutrality" in an orderly manner.The platform can provide low-carbon solutions and servicesfor governments, enterprises,industrial parks and individuals.By building a "green, energy-saving and e?cient" low-carbon platform, we arecommitted to promoting urbandevelopment with industrialoperation and digitization, anddriving the early realization ofurban carbon neutrality.
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Environmental, Social and Governance ReportData Center ConstructionIn 2023, leveraging the data center within LongShine Technology Industrial Park, LongShine Group successfully launched theLongShine Cloud Cluster. The Company's core business systems, including the official portals of key products such as theYSTEN website, and certain national development and testing activities, were migrated to the LongShine Cloud Platform. Thistransition signicantly enhanced the Company's capabilities for unied information resource management.The rst phase of the data center at LongShine Technology Industrial Park spans approximately 570 square meters, with plansfor the second phase covering a total area of 530 square meters, making it the largest data center within LongShine Group.In terms of power supply, the computer rooms now have access to photovoltaic power generation and energy storage withinthe park. With fully loaded energy storage, the computer rooms can sustain operations for approximately two hours, ensuringsustainable support for core data operations. In terms of storage resources, an integrated module design has been implementedto reliably accommodate the Company's core data operations while catering to the increasing business demands. For networkresource planning, the data center employs multi-line cross-interconnection to achieve automatic redundancy at both device andpath levels. It o?ers 1G, 10G, 25G, and 40G ports for server access to the network. Additionally, security devices equipped withanti-virus and anti-intrusion functions are deployed at the data center's perimeter to lter tra?c directed toward servers, therebyensuring network and information security.
LongShine Cloud Platform
The installed capacity was
at the beginning of operation in 2019
The installed capacity reached
1,598
in 2023Installed capacity
Performance Indicators of LongShine Cloud Platform Construction
Key Outcomes of LongShine Cloud
in 2023Customer technical inquiries -
Platform operation and maintenance support service --
times
Service to recover the user's actual data -
times,each response time does not exceed
minutes
Inspection of platform hardware and software --
times
Retrieved old equipment
Investment in public cloud
Scattered old machinesretrieved for relocationto LongShine CloudPlatform:
The Company's public cloud resources have been relocated to Longshine Cloud step bystep, with a decrease in investment in public cloud year by year.Total investment made by the Company inpublic cloud in 2023: RMB
1.338
million
Year-on-year decrease:
35.07%
New projects of externalinterconnection that canbe supported by theequipment after renovation:
Investment saved for purchasingnew equipment:
About RMB500,000
Faults repaired -
times, with zero data loss
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Environmental, Social and Governance Report
Engage in Public Welfare UndertakingsLongShine Group has consistently placed equal emphasis on corporate development and social responsibility, recognizingtheir mutually reinforcing nature. As we apply science and technology to facilitate digital transformation for governments andenterprises, we concurrently engage in public welfare initiatives and take tangible steps to give back to society. In 2023, ourfocus was on supporting individuals facing special challenges, aiding rural revitalization efforts, and organizing educationaloutreach programs for public welfare. We mobilized the Company's resources and leveraged our industrial strengths to executethese public welfare endeavors.
Public Welfare Strategic Layout
Pass life care
LongShine Group adheres to the principle of utilizing science and technology for the betterment of society, considering ita cornerstone of our long-term business development strategy. In line with this commitment, the Company established theLongShine Public Welfare Foundation and initiated the Beijing Daisy Public Welfare Foundation. Public welfare initiatives areingrained in our corporate development trajectory. We persistently explore avenues for public welfare, amalgamating innovativetechnologies with social resources. Through initiatives such as elderly care, compassionate companionship programs,educational support for youth, and charitable donations, we continuously infuse goodwill and warmth into society.
In 2023, LongShine Public Welfare Foundation launched a series of life care projects, which targeted at individuals facing specialchallenges in their entire life cycle:
Total Investment in Public Welfare(RMB10,000) in 2023
1,457219LongShine Group’s Total Investment in Public Welfare
Public Welfare Strategic Layout
Aiming to "promote charity undertakingsempowered by science and technology andfacilitated by digitization", LongShine PublicWelfare Foundation takes life care, greendevelopment and rural revitalization as the maindirections of its work. In active response toChina’s assistance policies for the central andwestern parts of the country, the foundation iscommitted to helping the disadvantaged groupsin the society get more support and attention.
Beijing Daisy Public Welfare Foundation focuseson parts of the country, looking into the commonproblems of "family loss, learning failure,psychological imbalance, and lack of safetycare" among left-behind children, helping themto broaden their horizons and enlightening theirhearts, so that they can feel love and care, andgrow healthily.
LongShine Public WelfareFoundation
Beijing Daisy Public WelfareFoundation
"Rainbow of Dreams·Light of Wish" project
"Hand in Hand with Heart·Companion with Love" project
Case
Case
In 2023, LongShine Public Welfare Foundation carried out the "Rainbow of Dreams·Light of Wish" project, focusing onpatients at the nal stages of their diseases. Through humanistic care activities such as family photos, birthday partiesand food tasting in the intensive care unit, the project aims to deliver care and love to these patients and their families,and help them fulll their dreams. As of December 2023, the project carried out seven activities, beneting 121 people.
LongShine Public Welfare Foundation started to carry out the "Hand in Hand with Heart·Companion with Love" projectin September 2023. We organized themed care activities such as the Mid-Autumn Festival, the Double Ninth Festival,and birthday parties in communities and nursing institutions for the aged, to deliver care and love to the elderly withspecial di?culties, helping them rebuild condence in life and spend their remaining year in comfort and warmth. As ofthe end of 2023, the project had organized seven activities, beneting 494 people.
"Love with Flowers in Full Bloom" Activity"Time Memory, Happy Photo-taking" Activity
"Shopping for New Year Goods" Activity
Double Ninth Festival Activity at Nursing Institutions forthe Aged
Total Investment in Public Welfare(RMB10,000) in 2022
Total Investment in Public Welfare(RMB10,000) in 2021
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Case
CaseCase
Case
Case
Case
Promote Rural RevitalizationEscort the Growth of the Youth
LongShine Group proactively implements China’s national requirements for rural revitalization. Through LongShine PublicWelfare Foundation, we initiated the "Life Escort·Warmth Alongside" project aimed at advancing rural development. In 2023,this initiative launched the "Caring for the Elderly in Rural Areas" and the "Clothing Donation" programs, providing essentialliving materials and clothing to individuals facing special challenges in Caijiabao Village and Taizi Village, the focal points of theproject. This assistance has beneted a total of 104 households in need.
LongShine Group has taken proactive steps to participate in public welfare education initiatives. In this regard, the Companyestablished the Beijing Daisy Public Welfare Foundation to o?er sustained support and aid to young individuals. The foundationorganizes a diverse array of care programs for left-behind children, encompassing wish fulllment, educational summer camps,school visits, and book donations.Caring for the Elderly in Rural Areas InitiativeClothing Donation Initiative
"Fullling a Wish for Left-behind Children" activity
Wuxi - Shanghai Summer Camp
School Visits in Xinjiang
Book Donation
On September 22, 2023, Dai Qinglin, Director ofLongShine Public Welfare Foundation, togetherwith officials from the Party Working Committeeand General Office of Xin'an Street, went toCaijiabao Village (a Mutual Assistance County),Haidong City, to carry out the Caring for theElderly in Rural Areas Initiative themed "Life Escort? Warmth Alongside", donating living materials to53 senior citizens with special difficulties in thevillage.
On October 9, 2023, LongShine Public WelfareFoundation held the Clothing Donation Initiativethemed "Life Escort ? Warmth Alongside" ,delivering clothes to the poor people in CaijiabaoVillage and Taizi Village, Haidong City, QinghaiProvince, to help them overcome difficulties andwithstand the cold winter. The foundation set updonation points in LongShine Group, calling uponemployees of the Company to make use of idleclothes and deliver love and care to families inpoor areas. A total of 14 boxes of clothes werecollected in this initiative, which were uniformlypacked and mailed to Caijiabao Village and TaiziVillage after being sterilized and cleaned by thefoundation.
On June 1, 2023, LongShine Public Welfare Foundation and BeijingDaisy Public Welfare Foundation jointly launched the second phase ofthe "Fulfilling a Wish for Left-behind Children" activity, helping 100 left-behind children from the Aiding Lake Hope Primary School of ZhonghaiGroup in Qiatekale Village, Gaochang District, Turpan City, Xinjiang UygurAutonomous Region, and Gongya Boarding School in Dege County, GanziPrefecture, Sichuan Province to fulll their wishes for the Children’s Day.
On August 1, 2023, Beijing Daisy Public Welfare Foundation held theWuxi-Shanghai Summer Camp in Wuxi LongShine Technology IndustrialPark. 40 girls from four schools spent a wonderful summer vacationvisiting the industrial park. These four schools include the Central Schoolin Langan Town, Huocheng County, Yili City; No. 89 Regiment PrimarySchool, Shuanghe City; Xinjiang production and construction Corps fthdivision Shuanghe City; the Aiding Lake Hope Primary School of ZhonghaiGroup in Qiatekale Village, Gaochang District, Turpan City; No. 1 MiddleSchool, Fuyun County from Xinjiang Uygur Autonomous Region.
On September 26, 2023, Beijing Daisy Public Welfare Foundationlaunched school visits to Xinjiang Uygur Autonomous Region, led byZhang Mingping, Chairman, Shao Yongsheng, Vice Chairman, andZhao Tao, Secretary-General of the Foundation to Huocheng PrimarySchool in Yili City, No.5 Corps Primary School, and Fuyun Middle School,respectively. In addition to school visits, the teams also visited thechildren's families to get a overall understanding of their families and livingconditions.
In 2023, LongShine Group continued to donate books to schools through Beijing Daisy Public Welfare Foundation. Wedonated more than 1,000 books worth RMB58,000 to the No. 3 Primary School in Huade County. In order to supportrural revitalization in Miyun District, we signed a contract on site with representatives from the villages and towns inMiyun District to donate 200 books to the People's Government of Miyun County. In addition, we donated more than3,000 books to Xinjiang University of Science & Technology, contributing to the cause of education.
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Environmental, Social and Governance Report
Case
Case
Case
Participate in Community Development
LongShine Group has played an active role in community development, fulfilling our social responsibilities with dedication.Leveraging our digital capabilities and understanding the needs of local communities, we have sponsored community events,initiated projects for the betterment of residents, and provided support for educational endeavors. Through tangible actions, westrive to extend care and compassion while making meaningful contributions to the development of communities.
Xin'an Governance Development Fund
"Yiban E-school" Online University Project for the Elderly
Voluntary Seedling Care Activity for Environmental Protection Purpose
In 2023, LongShine Group leveraged its strengths in digital technology to develop a mini program called "Digital Schoolfor the Elderly" which offers an online customized teaching platform to create a "university at the doorstep for theelderly" in the community. The platform enables the elderly to participate in course learning anytime and anywhere. Notonly does it resolve the di?culty for the elderly to register for and go to the university, but also helps them adapt to lifein the digital age faster and better. In 2023, 150 students were enrolled in the program, with 96 courses generating 4,921views. The average viewing time was 53 minutes, with an average attendance rate of 70%.
On April 17, 2023, LongShine Group organized volunteers from Beijing Daisy Public Welfare Foundation to participatein the 2023 Voluntary Seedling Care Activity for Environmental Protection Purpose, which was organized by BeijingCifu Public Welfare Foundation in the Ecological Garden of Dongjiang Park, Shunyi District. More than 30 peopleparticipated in this activity. Sta? volunteers were actively involved in planting and caring for seedlings to help improvethe ecological environment of the community and contribute to community development.Helping the community carry out
projects
Students enrolledin the course:
Helping the community organize
activities
Total courses:
Total views:
4,921
Average viewing time:
minutes
Average attendance rate:
70%
Beneting1,800
people
6768
In 2023, LongShine Public Welfare Foundation engaged in exchanges and cooperation with Xin'an Street, with a focuson setting up community funds and making innovation in community governance. The Company donated funds to the"Xin'an Governance Development Fund", inspiring more people from the society and community residents to contributeto innovation in community governance. At the same time, the employees of LongShine Group actively participated inthe "Xin'an Governance" volunteer activity which involved one senior citizen and one child, helping the community carryout 10 projects and organize 85 activities, which beneted 1,800 people.
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Future ProspectAs a leading energy technology enterprise, LongShine Group is atthe intersection of the digital revolution and the energy revolution. Weharness the new quality productive forces generated by next-generationdigitization, artificial intelligence, the Internet of Things (IoT), electricpower, and electronics technologies, along with platform operationmodels, to drive continuous transformation and upgrading of theenergy industry while promoting green and low-carbon development.Our commitment is centered on enhancing energy supply efficiency,increasing operational intelligence, and fostering greener consumptionpractices. In light of China's "carbon peaking and carbon neutrality"goals and high-quality development strategy, digital technologyassumes a critical role in supporting the rapid growth of distributed newenergy, electrification of energy demand, construction of new powersystems, and reform of the electric power market. The Internet ofEnergy (IoE) emerges as an inevitable product of the convergence oftechnology, market dynamics, and institutional reform.LongShine Group remains steadfast in its commitment to achievinggrowth propelled by energy digitization and the Internet of Energy(IoE). With a solid foundation in business layout, market expansion,and the accumulation of technologies and talents, the Company hassecured a leading position in the industry, poised to capitalize onopportunities presented by the prevailing trends. Moving forward,LongShine Group will continue to actively engage in the energyindustry. Leveraging its comprehensive suite of software solutions andservice support capabilities in technology and operations, it will assistcustomers, including State Grid, China Southern Power Grid, andCHN Energy, in their digital and intelligent transformation endeavors,thereby contributing to the construction of new power systems. Inthe meantime, LongShine Group will harness its Internet of Energy(IoE) platform to aggregate resources such as distributed photovoltaicsystems, electric vehicles, charging infrastructure, energy storagesolutions, as well as small and medium-sized industrial and commercialusers and households. Building upon this foundation, the Companywill o?er a diverse array of new energy service scenarios, including theintegration of new energy vehicles, advancements in the new energyindustry, smart highway infrastructure, and cloud computing technology.Furthermore, LongShine Group will establish virtual power plantsand zero- or low-carbon industrial parks. By enhancing its platformcapabilities and delivering value to customers, the Company aims tosupport the marketization of the electric power industry.
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Environmental, Social and Governance Report
Appendix
Key Performance Indicator
IndicatorUnit2023 data2022 data2021 data
Economic performanceOperating revenueRMB100 million47.2745.5246.39Net prot attributable to the parent
company
RMB100 million6.045.148.47Cash dividendRMB100 million5.331.332.32Total investment in R&DRMB100 million5.185.675.85Proportion of R&D expenses within
operating revenue
%10.9612.4512.6
Environmental performance
Waste andcontaminants
Waste batteriesKg9.7119Waste selenium drumsKg21.99371
Domestic wasteLitre147,840// Kitchen wasteLitre1,452,720//
Use ofresources
O?ce paperconsumption
Tonne4.75.014.42Fresh waterconsumption
Tonne23,4849,7609,458Electricity consumptionKWh544.84436.54157.32
Social performanceNumber of patents applied Set460406313
Number of major patentsSet288264196Number of authorized patentsSet239193122
IndicatorUnit2023 data2022 data2021 data
Social performance
Number of licensed copyrightsSet1,2281,033880Number of trademarksSet476483348Number of cooperative suppliers -1,663934396Total number of employeesPerson5,8125,7166,020Female employeesPerson1,6701,7291,645Male employeesPerson4,1423,9874,375Domestic employeesPerson5,8105,7146,018Overseas employees (including Hong
Kong, Macao and Taiwan)
Person
Employees less than 30 years oldPerson2,4542,6873,060Employees between 30 and 50 years oldPerson3,2832,9752,913 Employees more than 50 years oldPerson755447Senior managementPerson463437Middle managementPerson911436516Ordinary employeesPerson4,8555,2195,467Training hours to employeesHour82,573.52119,134.7648,321.52Training hours to employees per capitaHour/Person
14.0120.254.43Total investment in public welfareRMB10,0001451,457219
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Environmental, Social and Governance Report
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