Case study: How SINBON creates economic value for its stakeholders
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Founded in 1989, SINBON Electronics Co., Ltd. is a leading provider of integrated design and manufacturing services for electronic components, serving the global market with four production bases in Taiwan, Mainland China and Hungary. SINBON is committed to continuous improvement and sustainable management, and to creating profits and long-term growth for its shareholders, employees and all stakeholders.
This case study is based on the 2021 ESG Report by SINBON, prepared in accordance with the GRI Standards, that can be found at this link. Through all case studies we aim to demonstrate what CSR/ ESG/ sustainability reporting done responsibly means. Essentially, it means: a) identifying a company’s most important impacts on the environment, economy and society, and b) measuring, managing and changing.
Abstract
SINBON is committed to communicating with its stakeholders in a transparent, honest and objective manner, generating sustainable value for all. Tweet This! In order to create economic value for its stakeholders SINBON took action to:
- create economic value for employees
- create economic value for shareholders
- create economic value for the state
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With this case study you will see:
- Which are the most important impacts (material issues) SINBON has identified;
- How SINBON proceeded with stakeholder engagement, and
- What actions were taken by SINBON to create economic value for its stakeholders
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What are the material issues the company has identified?
In its 2021 ESG Report SINBON identified a range of material issues, such as environmental management, integrity and compliance, innovation and R&D, occupational safety and health. Among these, creating economic value for its stakeholders stands out as a key material issue for SINBON.
Stakeholder engagement in accordance with the GRI Standards
The Global Reporting Initiative (GRI) defines the Principle of Stakeholder Inclusiveness when identifying material issues (or a company’s most important impacts) as follows:
Stakeholders must be consulted in the process of identifying a company’s most important impacts and their reasonable expectations and interests must be taken into account. This is an important cornerstone for CSR / sustainability reporting done responsibly.
Key stakeholder groups SINBON engages with:
Stakeholder Group | Method of engagement (Inform) |
Employees
| · Announcements / updates · Suggestion box · Staff symposium |
Investors
| · Board of Directors · General Shareholders’ Meeting |
Customers
| · Exclusive services · Customer service section |
Suppliers
| · Supplier meeting · Document · Audit |
Government/ School
| · Official correspondence · Government dissemination meetings |
Media
| · Newspaper and magazine · Diversified communication channels |
Community/ Non-profit organisation | · Social charity event |
How stakeholder engagement was made to identify material issues
To identify and prioritise material topics SINBON engaged with its stakeholders through online questionnaires.
What actions were taken by SINBON to create economic value for its stakeholders?
In its 2021 ESG Report SINBON reports that it took the following actions for creating economic value for its stakeholders:
- Creating economic value for employees
- In 2021, SINBON paid NT$ 3,623,780 thousand in salary expenses, NT$ 372,883 thousand in labour and health insurance expenses, NT$ 61,472 thousand in pension expenses and NT$ 228,174 thousand in other employee benefit expenses.
- Creating economic value for shareholders
- In 2021, SINBON paid NT$ 7.0 in dividend expenses.
- Creating economic value for the state
- In 2021, SINBON paid NT$ 540,871 thousand in income tax expense.
Which GRI Standards and corresponding Sustainable Development Goals (SDGs) have been addressed?
The GRI Standard addressed in this case is: Disclosure 201-1 Direct economic value generated and distributed
Disclosure 201-1 Direct economic value generated and distributed corresponds to:
- Sustainable Development Goal (SDG) 8: Decent Work and Economic Growth
- Targets: 8.1, 8.2
- Sustainable Development Goal (SDG) 9: Industry, Innovation and Infrastructure
- Targets: 9.1, 9.4, 9.5
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References:
This case study is based on published information by SINBON, located at the link below. For the sake of readability, we did not use brackets or ellipses. However, we made sure that the extra or missing words did not change the report’s meaning. If you would like to quote these written sources from the original please revert to the following link:
https://www.sinbon.com/csr/report
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