Sustainable Operations

Sustainable Operations

Message from the Chairman

Climate change-induced climate issues are gradually impacting the global economy and human existence, raising awareness that extreme weather not only affects the environment we live in but also tests the operational resilience of businesses. According to the IPCC's Sixth Assessment Report, human activities have caused a global temperature rise of approximately 1.1°C. To achieve the target of limiting the temperature increase to 1.5°C, reaching net-zero emissions globally by 2050 will be a critical turning point. Currently, more than 137 countries or regions have made commitments to achieve net-zero emissions, covering 88% of global greenhouse gas emissions. Taiwan also released the "2050 Net-Zero Emissions Roadmap" in March 2022, which is based on technological research and climate governance. It involves gradual transformations in energy, industry, lifestyle, and society to achieve the goal of net-zero emissions by 2050. Furthermore, the Legislative Yuan passed the amendment bill of the "Greenhouse Gas Reduction and Management Act" on January 10, 2023, and it was officially renamed the "Climate Change Response Act". The "Climate Change Response Act" is Taiwan's first law that incorporates policies to address climate change. It sets a target of achieving net-zero emissions by 2050 and includes measures such as the implementation of carbon pricing. This demonstrates Taiwan's commitment to achieving net-zero emissions by 2050.
 

Initiating Two Major Transitions and Moving Towards Sustainable Development


In order to ensure the long-term sustainable development of SOLAR, we have embarked on two major transitions since 2022: digital transformation and zero-carbon transformation. These transitions are aimed at aligning with the future global trends and customer demands for carbon reduction and carbon neutrality. In 2022, we introduced the globally leading commercial software, SAP, as part of our transformation project. Through this initiative, we aim to undergo a comprehensive digital transformation and achieve precise data management. By optimizing our management systems, we aspire to contribute to the United Nations Sustainable Development Goals (SDGs) of “Industry, Innovation and Infrastructure”. Furthermore, this transformation is expected to effectively reduce costs and enhance our gross profit margin. As global businesses continue to embrace digital and cloud technologies, they are transforming their business models and facing challenges such as supply chain disruptions and emerging regulatory constraints. It is crucial for companies to cultivate agility and adaptability to respond to environmental changes. They need to actively incorporate scientific and data-driven assessments as the foundation, leveraging technological advantages and fostering continuous innovation. This enables them to continuously evolve and strive for excellence.

To fulfill the commitment to achieving net-zero emissions, it is not enough to focus solely on carbon accounting. It is crucial for businesses to leverage technology to drive industry innovation. In the past, customer demands primarily revolved around "price", but in the future, they may also require information about a product's "carbon footprint". To conduct a thorough carbon inventory, it is necessary to encompass the production, usage, and disposal stages, as well as calculate the entire product lifecycle. The immense amount of data involved makes it impractical for manual operations. That is why SOLAR initiated our digital transformation, followed by the implementation of zero-carbon transformation. By combining zero-carbon transformation with digital transformation, we aim to establish an electronic database and digital collaboration system, enabling more efficient and effective operations.
 

The Spirit of Mutual Prosperity, Mutual Benefit, and Mutual Goodness


As a local leading brand in the local material manufacturer of precious and rara metals supplier supply for industry application, SOLAR hasremains committed to promoting sustainable development and integrating it into our core business operations and value creation. The spirit of mutual prosperity, mutual benefit, and mutual goodness is not only the essence of SOLAR but also the embodiment of our beliefs. Over the past four decades, SOLAR has weathered rapid environmental changes and intense competition. Together, all colleagues have overcome numerous challenges and viewed them as opportunities for self-improvement, enabling SOLAR to become more resilient and competitive. Throughout the years, we have always aimed to help our employees find their sense of belonging on the stage of SOLAR and radiate the brilliance of SOLAR outward, reaching all stakeholders and instilling in them a sense of trust in us. Lastly, we have high expectations and are have been committed to working together with all colleagues to strive for sustainable development.


 Visions of Sustainability
SOLAR adheres to our core values, builds our corporate culture and management philosophy, and proactively implements actions of sustainability and the expectations of stakeholders by operating with integrity and focusing on environmental friendliness and social contribution, and achieves our corporate social responsibility through creating value for clients, helping employees in their self-realization, benefiting shareholders, and achieving sustainable development.

Organizational Structure of Sustainability

 
The Sustainable Development Committee is the highest-level sustainability management organization within SOLAR's internal organization. The Chairman of the Board of Directors is the chief convener of the Committee, and it is divided into two major groups, namely, the "Economic and Governance Group" and the "Environmentally Friendly and Employee and Social Care Group", with the top executives of each unit acting as the key members of the Committee.

The Sustainable Development Committee aims to formulate strategic sustainability directions, establish annual sustainability policies and goals, and drive sustainable activities and projects regularly through regular meetings. annual sustainability policies and promote sustainability-related activities, Additionally, the Committee utilizes diverse and effective communication channels to understand the thoughts and needs of stakeholders. The Committee incorporates stakeholder concerns into its action guidelines, and actively promote and implement environmental, social, and governance issues in order to continuously fulfill its corporate citizenship responsibilities. In 2022, SOLAR established a dedicated sustainability unit to consolidate the progress of sustainability projects. The unit reports the annual sustainability key initiatives and project execution effectiveness to the Board of Directors on a regular basis. The Board of Directors plays a supervisory and guiding role in overseeing the progress and outcomes of the sustainability strategy.

Communication with Stakeholders

SOLAR values communication with the stakeholders and firmly believes that establishing good relationships with stakeholders is the top priority for sustainable operation, and gaining more trust and support from the stakeholders will effectively help SOLAR's operation and sustainable development. We welcome your suggestions on corporate sustainability issues.

◆ SOLAR Sustainable Development Committee

Tel:06-5110123

E-mail:service@solartech.com.tw 

 

Main Topics of Concern and Communication Effectiveness of Stakeholders


Our definition of stakeholders is "internal and external groups or organizations which affect or are affected by SOLAR". The Sustainable Development Committee of SOLAR has identified six categories of stakeholders based on the context of sustainability, characteristics of the industry, and the practical experiences of  SOLAR, and they are: shareholders, clients, employees, suppliers, government agencies, and community organizations. We further carefully examine the importance of stakeholders to SOLAR, gain an in-depth understanding of the main concerns and needs of these stakeholders, and communicate effectively with them through a variety of appropriate channels.

利害關係人關切議題與溝通成效(英)


Material Topics Analysis
 

Process of Material Topics Analysis

Through formal and informal channels, we communicate with various categories of stakeholders in real time, collect and manage all issues, and discuss them with members of the Sustainable Development Committee annually. Meanwhile, SOLAR follows the reporting principles of GRI Standards and carries out the process of material topics analysis, namely, identification, analysis and confirmation, so as to identify material topics of SOLAR as the important foundations for strategy and goal setting for sustainability management.

The forthcoming questionnaire design will align with the double materiality principle, collecting evaluations from stakeholders on the following dimensions: the magnitude of the impact/effects of materials issues on society, the environment, and individuals, along with evaluations by the management regarding the impact/effects of material issues on operations. Furthermore, SOLAR has integrated significant sustainability issues with Enterprise Risk Management (ERM), identifying sustainability issues that may pose risks from an organizational resilience perspective and incorporating them into the sustainability management process.
 

Matrix of 2023 Material Topics Analysis Results


Impact Description and Scope of Material Topics

2023重大主題衝擊說明(英)
 

Management Approach of Material Topics




 

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