What are the material issues the company has identified?  

In its 2021 Sustainability Report CLC identified a range of material issues, such as ethical corporate management, sustainable products & development, air quality management. Among these, creating economic value for its stakeholders stands out as a key material issue for CLC.

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:

“The reporting organization shall identify its stakeholders, and explain how it has responded to their reasonable expectations and interests.”

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 CLC engages with: 

Stakeholder Group	Method of engagement
Employees	·      Department meeting ·      Factory meeting ·      Enterprise union ·      Labour conference ·      Welfare committee ·      Year-end meeting ·      CLC bimonthly journal ·      EIP, Grievance mailbox, etc. ·      Proposal system ·      Employee Opinion Survey ·      Education and training ·      HSE talks & health promotion activities
Customers	·      Instant customer service hotline ·      Instant customer compliant E-Management system ·      Customer satisfaction survey ·      Innovative technical description ·      Business description ·      Customer meeting
Shareholders/Investors/ Financial Institutions	·      Spokesperson and stock affairs ·      Shareholders’ meeting ·      Institutional Investor Conference ·      Investor Related meetings ·      Reply the phone&email ·      Financial Statements ·      Annual report ·      MOPS ·      Company website
Suppliers/Contractors	·      Real-time supplier management system ·      Supplier audit and evaluation meeting ·      Suppliers’ visits ·      Supplier self-assessment questionnaire ·      Supplier ethics advocacy ·      Supplier ESH education and training activities ·      Supplier guidance ·      Supplier ESG conference
Government/Industry Associations	·      Official document exchanges and visits ·      Face-to-face interviews, phone calls to provide industry experience and suggestions ·      Meetings ·      Public association communication platform
Society	·      Face-to-face, email, telephone interviews ·      Cheng Huotien Charity Foundation ·      Cheng Loong Children’s Care Foundation ·      Press conferences, advertisements, press releases ·      Symposium ·      Local community activities ·      Factory visits ·      e-Newsletter ·      ESG area of CLC Website

How stakeholder engagement was made to identify material issues

To identify and prioritise material topics CLC engaged with its stakeholders through questionnaires, collecting 1,319 responses.

What actions were taken by CLC to create economic value for its stakeholders?

In its 2021 Sustainability Report CLC reports that it took the following actions for creating economic value for its stakeholders:

• Creating economic value for employees
• In 2021, CLC paid NT$ 4,374,689 thousand for employee salaries and benefits.

• Creating economic value for funders
• In 2021, CLC paid NT$ 2,141,477 thousand to funders.

• Creating economic value for the government
• In 2021, CLC paid NT$ 1,070,794 thousand to the government.

• Creating economic value for society
• In 2021, CLC spent NT$ 15,477 thousand in social expenditures.

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

 

78% of the world’s 250 largest companies report in accordance with the GRI Standards

SustainCase was primarily created to demonstrate, through case studies, the importance of dealing with a company’s most important impacts in a structured way, with use of the GRI Standards. To show how today’s best-run companies are achieving economic, social and environmental success – and how you can too.

Research by well-recognised institutions is clearly proving that responsible companies can look to the future with optimism.

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References:

This case study is based on published information by CLC, 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.clc.com.tw/_upload/files/2021ESG_EN.pdf

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