2024 ESG Report of DSBJ
Suzhou Dongshan Precision
Manufacturing Co. Ltd.
2024 Environmental Social and Governance
(ESG) Report
April 20252024 ESG Report of DSBJ
Table of Contents
Report Preparation Instructions ..................... 1
Message from the CEO ................................ 4
About DSBJ .......................................... 6
Sustainable Development Governance .................. 9
Framework of Sustainable Development Governance ..... 9
Sustainable Development Strategy ................... 11
Communication with Stakeholders .................... 12
Materiality Analysis ............................... 14
1. Excellent Governance for Moving Towards a New Journey of High-Quality Development
22
1.1 Corporate Governance ........................... 22
1.2 Business Ethics and Anti-Corruption ............ 30
1.3 Digital Intelligence Transformation ............ 35
1.4 Information Security and Privacy Management .... 37
2. Collaboration for Mutual Benefit to Build a Sus.. 43
2.1 Governance ..................................... 43
2.2 Strategy and Management Mechanism .............. 44
2.3 Impact Risk and Opportunity Management ......... 54
2.4 Indicators and Targets ......................... 54
3. Insisting on Quality for Continuous Improvement of Product Quality and Competitiveness
56
3.1 Driven by Innovation ........................... 56
3.2 Quality Priority ............................... 63
3.3 Professional Services .......................... 77
4. Advancing a Clean and Low-Carbon Production Sys.. 81
4.1 Environmental Management ....................... 81
4.2 Addressing Climate Change ...................... 84
4.3 Resource Utilization and Circular Economy .... DSBJ
4.4 Pollution Prevention and Ecosystem Protection .. 99
5. Working Together for a Better Future Based on P. 108
5.1 Labor and Human Rights Management ............. 108
5.2 Human Capital Development ..................... 122
5.3 Community Construction ........................ 145
Appendix .......................................... 148
Appendix I: Key Performance Table ................. 148
Appendix II: Index of Indicators .................. 156
Note:
This document is a translated version of the Chinese ESG Report 2024 ("2024 年 ESG 报告"). In
case of any discrepancies the ESG Report 2024 published in the Chinese version shall prevail. The
full Chinese ESG Report 2024 is available at www.cninfo.com.cn.2024 ESG Report of DSBJ
Report Preparation Instructions
The 2024 Environmental Social and Governance Report of Suzhou Dongshan Precision
Manufacturing Co. Ltd. (the “Report”) aims to disclose the Company’s philosophy management
practices and key performance in sustainable development to stakeholders responding to
stakeholders’ expectations and concerns adequately.Scope and Boundaries of the Report
The Report mainly discloses information and key performance of Suzhou Dongshan Precision
Manufacturing Co. Ltd. and its branches and subsidiaries in fulfilling environmental social and
governance responsibilities in 2024. Unless otherwise specified for certain information the policies
statements and data in the Report cover the actual business scope of Suzhou Dongshan Precision
Manufacturing Co. Ltd. and its branches and subsidiaries which are consistent with those in the
annual report.Reference in the Report
For ease of presentation and reading DSBJ and its branches and subsidiaries are referred to by
the abbreviations listed in the table below throughout the Report.Company name Abbreviation
Suzhou Dongshan Precision Manufacturing Co. Ltd. DSBJ the Company we us or our
Multi-Fineline Electronix Inc. MFLEX
Multek Group (Hong Kong) Limited Multek
MFLEX Suzhou Co.Ltd. MFLEX Suzhou
MFLEX Yancheng Co.Ltd. MFLEX Yancheng
Multek Industries Ltd. Multek Industries
Multek Electronics Ltd. Multek Electronics
Multek Technology (Zhuhai) Co. Ltd. Multek Technology
Suzhou Dongyue New Energy Technology Co. Ltd. Suzhou Dongyue
Multek China Ltd. Multek China
12024 ESG Report of DSBJ
Yancheng Dongshan Precision Manufacturing Co. Ltd. Yancheng Dongshan
Yancheng Mutto Optronics Technology Co. Ltd. Mutto Optronics
Suzhou Rf Top Electronic Communication Co. Ltd. Rf Top Electronic
DSBJ Pte.Ltd. (DSBJ Singapore) DSG
Suzhou JDI Electronics Inc JDI Electronics
Suzhou Chengjia Precision Manufacturing Co. Ltd. Suzhou Chengjia
Dongguan Dongshan Precision Manufacturing Co. Ltd. Dongguan Dongshan
Yancheng Dongchuang Precision Manufacturing Co. Ltd. Yancheng Dongchuang
Suzhou Yongchuang Communication Technology Co. Ltd. Yongchuang Technology
Reporting Period
The period is from January 1 2024 to December 31 2024 and extends appropriately to
previous and subsequent years.Basis for Preparation
GRI Sustainability Reporting Standards (GRI Standards) from Global Sustainability Standards
Board; Guidelines No.17 on Self-Regulation of Listed Companies – Sustainability Report (Trial)
from Shenzhen Stock Exchange (SZSE); Guidelines No.3 on Self-Regulation of Listed Companies
– Preparation of Sustainability Report from Shenzhen Stock Exchange (SZSE); ISO 26000:
Guidelines on Social Responsibility (2010) from the International Organization for Standardization;
and Sustainable Development Goals of the United Nations (SDGs).Principles for Preparation
This Report is subject to the following four principles namely “Materiality” “Impartiality”
“Quantification” and “Consistency”.* Materiality. The Company conducts a materiality assessment to identify and evaluate ESG
topics that are material to our business internal and external stakeholders to focus the Report
on relevant disclosure. For a more detailed materiality assessment process and results please
refer to the “Sustainable Development Management” section of the Report.* Impartiality. The content of the Report reflects objective facts providing unbiased disclosure
22024 ESG Report of DSBJ
of both positive and negative information related to the Company and impartially stating the
Company’s efforts across various aspects of ESG. During the reporting period we have
identified no significant negative events with a material impact that should have been disclosed.* Quantification. In this Report the Company discloses ESG quantitative performance
indicators and establishes quantitative performance targets where applicable. The measurement
standards methods assumptions and/or calculation tools for key performance indicators in
this Report as well as the sources of conversion factors used have been explained in the
respective sections where applicable.* Consistency. This Report maintains consistency in the statistical and disclosure methods of the
same indicators across different reporting periods. Any changes in statistical and disclosure
methods will be fully explained in the report notes facilitating meaningful analysis and
evaluation by related parties.Source of Information
All information data used in this Report are derived from the Company’s official documents
statistical reports financial reports and information summarized and reviewed by the Company’s
responsible management department. In case of any discrepancies between the relevant financial
data and the Company’s annual report the annual report shall prevail. Unless otherwise specified
the currency amounts mentioned in this Report are denominated in Renminbi (RMB).Reliability Assurance
The Company undertakes that the content of this Report contains no false records misleading
statements or major omissions and the Company is responsible for the truthfulness and accuracy
of the content.Access to the Report
Welcome to visit the Company’s official website at www.dsbj.com to access the electronic
version of the Report.
32024 ESG Report of DSBJ
Message from the CEO
Looking back at the past and focusing on the present. Over the decades ESG has gradually
become a common language for all humanity. It connects every soul that loves the Earth and pursues
dreams creating more opportunities for connection and cooperation among people on this global
stage. Therefore everyone is able to rise to the challenges deliberately and embrace life freely. In
the business field ESG has emerged as an important force driving industrial transformation and
advancing global sustainable development.DSBJ always adheres to the corporate spirit of “Breakthrough Diversity Simplicity andJourney” Our industrial presence continues to expand from communication device components to
precision components for consumer electronics and core components for new energy vehicles.Every growth and breakthrough is inseparable from our dedication to our original intention which
is to uphold long-term strategic thinking value both economic and social benefits of consistency
and integrate sustainable development concepts into corporate operations. We continue to deepen
our work in the social responsibility field and have achieved outstanding performance. Today our
products and services have been sold to 48 countries and regions around the world.Amid steady growth in assets and revenue we pay more attention to prudent operations and
actively make strategic investments in the green industry. Through enhanced governance low-
carbon practices and resource optimization we collaborate with stakeholders to deeply empower
the whole industry chain and promote sustainable development in the industry. On one hand we
deploy digitalized and intelligent factories to streamline production processes and improve energy
efficiency; on the other hand we actively delve into the upstream industry chain to strengthen the
Company’s ESG management across the entire value chain thereby ensuring efficient and reliable
product solutions along with perfect product delivery. We also actively embrace the trend of artificial
intelligence development to fully promote the application of AI technology aligned with demand-
driven outcomes in smart manufacturing scenarios.In addition the Company has always attached great importance to the interests of customers
employees society and other stakeholders effectively fulfilling its corporate social responsibilities
42024 ESG Report of DSBJ
and promoting the co-creation of social value. Our commitment remains unchanged.Despite new changes in the global manufacturing industry we firmly believe that today’s
efforts will yield extraordinary achievements. DSBJ remains steadfast in its responsibilities and
missions. We pledge to contribute all our strength to advancing green transitions fostering industry
excellence and fulfilling social responsibility.Director and CEO of DSBJ
SHAN Jianbin
52024 ESG Report of DSBJ
About DSBJ
Headquartered in Suzhou Jiangsu Province Suzhou Dongshan Precision Manufacturing Co.Ltd (stock code: 002384.SZ) is committed to developing into a core component supplier forintelligent interconnection and global connectivity. With the mission of “building a better connectedworld for tomorrow” and the vision of “building a 100-billion advanced and intelligentmanufacturing platform” the Company has gradually formed three major segments namely
electronic circuit photoelectric display and precision manufacturing by expanding and optimizing
its main businesses through internal development and external acquisition. In the field of electronic
circuits according to the research report data from Prismark the Company has ranked second in
flexible printed circuit boards (FPC) and third in printed circuit boards (PCB) globally in terms of
revenue for several consecutive years. In 2024 the Company was ranked 399th among the top 500
private enterprises in China and 270th among the top 500 private manufacturing enterprises in China
boasting over 70 wholly-owned holding and equity-invested companies.Leveraging its excellent technological innovation capabilities and forward-looking global
layout the Company has been exploring and innovating steadfastly. We have established a dual-
wheel drive strategy with consumer electronics and new energy as the two core tracks seizing the
new market opportunity brought by new energy while continuously improving the quality and
efficiency of the consumer electronics business. We also continuously deepen our efforts in
emerging market sectors to provide comprehensive solutions and empowerment services to global
customers. In the future we will adopt a more open posture to accelerate the advancement of
intelligent manufacturing to a higher level driving industrial chain upgrades through technological
empowerment to lead innovative development in the industry.
62024 ESG Report of DSBJ
Annual Revenue: RMB 36.77 billion; Business Presence: 48 countries and regions worldwide.
72024 ESG Report of DSBJ
The Company is dedicated to providing comprehensive electronic
circuit(PCB) products and services for industry-leading customers. We
offer our customers one-stop solutions involving design R&D and
Electronic manufacturing of electronic circuit (PCB) products according to
circuit customized requirements for different downstream end products. Our
products are widely used in mobile phones computers AR/VR wearable
devices servers communication equipment new energy vehicles and
energy storage industrial control equipment AI hardware etc.The Company is a well-known manufacturer of touch display modules and
LED display components in the industry. Among our products the touch
panel products are mainly used in the medium and large-size display field
including products such as laptops tablets smart home and on-board
Photoelectric
displays; the LCM products are mainly used in the small and medium-size
display
display field including products like smartphones and tablets; and the LED
products are widely used in indoor and outdoor small-pitch high-definition
display screens. The Company is actively expanding the application of
photoelectric display products in the vehicle domain.The Company mainly provides precision metal structural parts and
components for customers in the new energy vehicles energy storage and
communication equipment fields. The main products include functional
Precision
structural parts for new energy vehicles such as heat sinks domain
manufacturing
control/electronic control housings body-in-white battery structural parts
etc. and structural parts and components for mobile communication base
stations such as antennas filters etc.
82024 ESG Report of DSBJ
Sustainable Development Governance
Framework of Sustainable Development Governance
In order to better integrate sustainable development demands with the Company’s development
strategies and operation and management activities DSBJ continuously improves its environmental
social and corporate governance systems. The Company has clarified management concepts and
principles authority scope work tasks decision-making processes and parliamentary procedures
incorporating sustainable development management into the Company’s governance framework
thereby establishing a sustainable development management system covering the Board of Directors
management functional departments and business segments. The Company has continuously
enhanced its risk control and value creation capabilities in the sustainable development aspect.The Company’s Board of Directors is the highest authority and decision-making body
responsible for managing economic environmental and social topics. The professional skills and
capabilities of the Board of Directors in supervising ESG-related impacts risks and opportunities
are detailed in the “Corporate Governance/Diversified Structure of the Board of Directors” chapter
of this Report. The Board of Directors authorizes the operating management to establish an ESG
management organizational structure at three levels including the Sustainable Development
Administration Committee the Sustainable Development Administration Office and the ESG
Working Group. The Sustainable Development Administration Committee as the executive body
for ESG management is responsible for assessing and managing ESG opportunities and risks
determining the materiality of ESG issues and incorporating them into business considerations
establishing ESG strategies goal plans and regular reviews supervising and guiding the
implementation of ESG topics by the Company etc. The Sustainable Development Administration
Office as the coordinating body for ESG management is mainly responsible for daily
communication and conference organization between the Sustainable Development Administration
Committee and the ESG Working Group the coordination and promotion of ESG topic management
and implementation as well as ESG-related information disclosure etc. The ESG Working Group
as the specific executive body for ESG work is mainly responsible for promoting the
implementation and execution of ESG topics. The performance of relevant departments is linked to
92024 ESG Report of DSBJ
ESG performance indicators and reward and penalty measures will be implemented according to
the results of annual assessments.During the reporting period the Company deliberated major ESG issues such as materiality
assessment and achievement of goals on ESG issues while organizing multiple ESG-specific
training sessions to enhance employees’ understanding of the Company’s ESG management
strategies and related work thereby better promoting the implementation of ESG efforts.Framework of Sustainable Development Governance
Board of * Participate in the deliberation and decision-
Governance/Supervision
Directors making of major ESG issues of the Company
Sustainable * Identify assess and manage ESG risk
Development opportunities
Administration * Determine the materiality of ESG issues and
Committee incorporate them into business considerations
* Deliberate and approve the Company’s ESG-
related strategies policies and systems
Management objectives plans and programs etc
* Evaluate overall ESG performance and provide
recommendations
Sustainable * Coordinate the management and
Development implementation of ESG issues
Administration * Coordinate ESG-related information
Office disclosure
ESG Working * Conduct centralized management of various
Group ESG topics and promote relative strategy
development daily management and
Execution Level
implementation
* Monitor the implementation of ESG topics and
report information on a regular basis
1 02024 ESG Report of DSBJ
Sustainable Development Strategy
Under the mission of “building a better connected world for tomorrow” DSBJ integrates
sustainable development with the Company’s strategies and aligns with the United Nations
sustainable development goals (SDGs) and industry development trends to systematically plan the
Company’s sustainable development pathway. By actively managing identified ESG impacts risks
and opportunities the Company is embarking on a new journey towards high-quality development
and green transformation.
112024 ESG Report of DSBJ
Insistence on quality
Outstanding governance
Collaboration for win-win situation
Friendly to the Environment
People Orientation
Communication with Stakeholders
Attaching importance to the expectations and demands of various stakeholders DSBJ has
established a smooth communication mechanism for all stakeholders under which we conduct
regular communication with stakeholders and respond to them with an open attitude thereby
establishing long-term cooperative relationships with all parties based on mutual trust.Key stakeholders Expectations and demands Communication method
Compliance and risk * Special meetings or reports *
management * Policy consultation feedback
Government and
Business ethics and anti- * Official visit *
regulatory agencies
corruption * Compliance regulatory
* Serving national major inspections
1 22024 ESG Report of DSBJ
Key stakeholders Expectations and demands Communication method
strategies
* Support local development
* Information disclosure
* General Meeting of
Shareholders
* Sustainable and stable
* Financial reports and interim
returns
Shareholders and announcements
* Information transparency
investors * Investor surveys hotlines
* Investor relations
online Q&A etc.management
* Performance presentation
meeting and other
communication activities
* Trade unions and workers’
* Employee rights protection congress
(including occupational * Employee training activities
Employee health and safety) and communication
* Employee training and * Internal information exchange
development platform
* Employee complaint channel
* Product quality and safety
* Product and service * Customer relationship
innovation management
Customer
* Business continuity * Customer review
* Information and data * Customer satisfaction survey
security
* Sustainable supply chain * Supply chain audit
Suppliers and * Responsible mining * Open cooperation
partners * Industry collaboration and * Communication
development * Industry exchange conference
* Product quality and safety
* Environmental impact * Media interaction
Community and management * Information disclosure
public * Public welfare and charity * Charitable projects
* Community * Volunteer activities
communication and
1 32024 ESG Report of DSBJ
Key stakeholders Expectations and demands Communication method
development
Materiality Analysis
Materiality analysis helps enterprises identify and assess potential risks providing support for
decision-making and management. In 2024 DSBJ updated its analysis methods according to the
latest disclosure standards including but not limited to the GRI Sustainable Development Reporting
Standards (GRI Standards) the International Financial Reporting Standard on Sustainability
Disclosure 1 - General Requirements for Disclosure of Sustainability-related Financial Information
(IFRS S1) and the Guidelines No.17 on Self-Regulation of Listed Companies – Sustainability
Report (Trial) from Shenzhen Stock Exchange. This update involved research and assessment from
two dimensions: “Impact Materiality” (the materiality of impacts on economic environmental and
social sustainability) and “Financial Materiality” (the materiality of impacts on the Company’s
finances). Through the research and assessment we comprehensively reviewed various concerns
and their financial impacts on the Company selected ESG key topics with high impacts that would
be highlighted in the report and continuously improved ESG management to better meet
stakeholders expectations and demands.We compile a list of ESG topics based on the analysis of internal and external
development trends to identify important general and industry-specific topics
Identification in which the materials we used for reference include authoritative domestic and
of ESG international sustainability reporting guidelines and standards mainstream
topics domestic and international ESG rating systems sustainable development topics
focused by industry peers and issues of common concern for internal and
external stakeholders.
1 42024 ESG Report of DSBJ
We conduct research on topics among internal and external key stakeholders
Research under the principle of “double materiality” where we build the 2024 materiality
among topic matrix through the “Impact Materiality Assessment” and the “Financialstakeholders Materiality Assessment” so as to determine this year’s materiality topics and
their priorities.The Company’s Sustainable Development Administration Committee
Topic determines the ESG topics of high importance by reviewing the screening and
determination analysis results with reference to suggestions from internal management and
and external experts. Key information on materiality topics will be highlighted in
disclosure this Report such as their governance strategy risk and opportunity
management Indicators and Targets etc.
1 52024 ESG Report of DSBJ
Material topics matrix of DSBJ Environmental protection of biodiversity
Importance of impact on economic Community engagement (including public
environmental and social sustainability voluntary service)
Importance of impact on the Company’s finances Safety production and operation
Governance dimension Customer relationship management
Environment dimension Responsible mining
Society dimension Sustainable supply chain
Low Employee training and development
High Addressing climate change
Emissions and waste management R&D and innovation
Serving national major strategies Product quality and safety
Industry collaboration and development Information and data security
Employee equality and diversity Business ethics and anti-corruption
Digital transformation Labor Management (including occupational
health and safety)
Water resource management Corporate governance
162024 ESG Report of DSBJ
* Analysis on Impact Risk and Opportunity of Materiality Topics
Materiality Scope of Impact Impacted Cycle Risk and Opportunity Impact Report
Topics
Upstre Operatio Downs Short- Mid- Long- Level Location
am n tream term term term
Product √ √ √ √ √ √ * There are risks related to design and research and Negative 3.2 Quality
quality and development production and process as well as impact: Priority
safety regulatory and compliance risks. If the Company fails Very
to respond effectively it may face regulatory important;
penalties entry restrictions and a decline in market Positive
trust. impact:
* We will increase customer trust enhance market Very
share and gain competitive advantages by important
implementing high standards of safety and quality
practices.Business √ √ √ √ √ √ * Commercial bribery and corruption incidents may Negative 1.2 Business
ethics and bring significant impacts on the Company’s economic impact: ethics and anti-
anti- costs legal consequences operational risks and Very corruption
corruption goodwill. important;
* Anti-bribery and anti-corruption work helps Positive
enterprises establish sound internal management impact:
172024 ESG Report of DSBJ
Materiality Scope of Impact Impacted Cycle Risk and Opportunity Impact Report
Topics
Upstre Operatio Downs Short- Mid- Long- Level Location
am n tream term term term
systems and processes optimize internal Generally
management and improve management efficiency important
and transparency.R&D and √ √ √ √ √ * Investment in research and development may bring Negative 3.1 Driven by
innovation higher and unpredictable financial returns due to impact: Innovation
technological risks policy and regulatory risks Generally
market competition risks and internationalization important;
challenges; Positive
* Fostering new quality productive forces through impact:
technological innovation and forward planning is Very
conducive to maintaining long-term market important
competitiveness.Information √ √ √ √ √ √ * There are multidimensional risks such as Negative 1.4
security and technological risks human risks and management impact: Information
privacy and operational risks. Improper management of key Very security and
protection data and customer privacy will lead to data breaches important; privacy
resulting in compliance risks or reputational damage Positive management
which in turn lowers customer trust; impact:
* By safeguarding data security we can enhance the Generally
1 82024 ESG Report of DSBJ
Materiality Scope of Impact Impacted Cycle Risk and Opportunity Impact Report
Topics
Upstre Operatio Downs Short- Mid- Long- Level Location
am n tream term term term
confidence of our international customers to important
cooperate and develop more high-end markets.Labor √ √ √ √ * Improper management of labor and human rights Negative 5.1
managemen issues such as forced labor discriminatory practices impact: Management
t (including and occupational health and safety in supply chain Very of labor and
occupationa management and company operations may lead to important; human rights
l health and compliance risks reputational damage and employee Positive issues
safety) turnover. impact:
Generally
important
Human √ √ √ √ * Issues in human capital development such as Negative 5.2 Human
capital insufficient employee training and development impact: capital
developmen improper performance management and Generally development
t organizational culture risks may lead to risks related important;
to strategic and organizational change as well as talent Positive
loss risks; impact:
* A comprehensive employee learning and Very
development and talent cultivation system will important
strongly support the achievement of the Company’s
192024 ESG Report of DSBJ
Materiality Scope of Impact Impacted Cycle Risk and Opportunity Impact Report
Topics
Upstre Operatio Downs Short- Mid- Long- Level Location
am n tream term term term
strategic goals enhance the Company’s brand and
market competitiveness and contribute to the
Company’s long-term and stable development.Addressing √ √ √ √ √ √ * Physical risks and transition risks arising from climate Negative 4.2 Addressing
climate change may result in loss of owned assets increased impact: climate change
change costs due to supply chain disruptions and changes in Important;
market preferences affecting product strategies; Positive
* We may discover new business directions and form impact:
new product solutions in the green transition and Important
market demand changes caused by climate change;
we may yield a stable power supply and energy-
saving benefits through enhanced energy
management.Sustainable √ √ √ √ √ * Risks in the supply chain quality supply compliance Negative 2.supply and ESG issues may lead to shortages of raw impact: Collaboration
chain materials business disruptions cost increases and Very for mutual
delivery delays thereby affecting business continuity important; benefit to build
and market competitiveness; Positive a sustainable
* Strengthening sustainable supply chain construction impact: supply chain
2 02024 ESG Report of DSBJ
Materiality Scope of Impact Impacted Cycle Risk and Opportunity Impact Report
Topics
Upstre Operatio Downs Short- Mid- Long- Level Location
am n tream term term term
can enhance supply chain resilience ensure business Very
continuity reduce operational costs strengthen important
market competitiveness and attract long-term
investors. Additionally enhancing supply chain
collaboration can promote the application of new
technologies and the Company’s transformation and
upgrade.Responsible √ √ √ √ * If mineral sources do not meet responsible sourcing Negative
mining standards particularly minerals such as tantalum tin impact:
tungsten and gold (3TG) it may result in compliance Very
risks reputational damage customer losses and even important;
supply chain disruptions. Positive
impact:
Generally
important
2 12024 ESG Report of DSBJ
1. Excellent Governance for Moving Towards a New Journey of High-
Quality Development
Sustainable Development Goals (SDGs) of the United Nations
1.1 Corporate Governance
1.1.1 Standardized Governance
In strict accordance with the requirements of laws regulations and normative documents such
as the Company Law of the People’s Republic of China the Securities Law of the People’s Republic
of China the Guidelines No. 1 on Self-regulatory Supervision for Companies Listed on Shenzhen
Stock Exchange - Standardized Operation of Companies Listed on the Main Board the Code of
Corporate Governance for Listed Companies the Company has established a complete legal
governance structure and modern organizational management system. We have formed a
governance system and mechanism with a clear division of powers and responsibilities among the
power decision-making supervision and execution bodies that can ensure coordinated operation
effective checks and balances and continuous optimization of management documents and internal
processes at all levels. Through these initiatives the Company is constantly improving the
governance standardization and effectiveness to strengthen the foundation for stable development.* Governance structure
The Company has established a corporate governance structure consisting of the General
Meeting of Shareholders the Board of Directors the Board of Supervisors and the Management.
222024 ESG Report of DSBJ
The General Meeting of Shareholders exercises the voting rights on major issues such as the
Company’s business policies investment plans and the election of directors and supervisors in
accordance with laws. The Company convenes and holds the general meeting of shareholders in
strict accordance with relevant laws and regulations and the requirements of the Articles of
Association and the Parliamentary Procedures for the General Meeting of Shareholders to ensure
that all shareholders enjoy the equal status and have the equal right to be informed and make
decisions on major issues hence effectively safeguarding the legitimate rights and interests of all
shareholders. The Board of Directors is responsible to the General Meeting of Shareholders and
exercises the Company’s management rights in accordance with the laws. The Board of Directors
has four specialized committees namely the Strategy Committee the Audit Committee the
Nomination Committee and the Remuneration and Appraisal Committee which perform their duties
in accordance with the Articles of Association and the authorization from the Board of Directors to
provide professional opinions and reference suggestions for decisions of the Board of Directors. All
four specialized committees have employed independent directors and in the Audit Committee the
Nomination Committee and the Remuneration and Appraisal Committee the independent directors
have constituted the majority of committee members and serve as the chairman in order to ensure
that decesions are made professionally and independently. The Board of Supervisors as the
supervisory body is responsible to the General Meeting of Shareholders and strictly fulfills its duties
in accordance with the Articles of Association the Parliamentary Procedures for the General
Meeting of Shareholders and other systems. The Board of Supervisors is responsible for supervising
the Company’s financial position fundraising management and the performance of the Company’s
directors and senior officers as well as expressing opinions on major issues so as to the Company’s
standardized operation. The Board of Supervisors consists of 3 supervisors including 2 employee
representative supervisors. For detailed information on the corporate governance structure
governance mechanism equity structure controlling shareholders and de facto controllers please
refer to the DSBJ Annual Report 2024.
2 32024 ESG Report of DSBJ
Structure of corporate governance Strategy Committee
General Meeting of Shareholders Audit Committee
Board of Supervisors Remuneration and Appraisal Committee
Board of Directors Nomination Committee
Management
The Company selected and appointed directors supervisors and senior officers in strict
compliance with the established procedures with no member changes in 2024. In accordance with
the regulations of Rules for the General Meeting of Shareholders of Listed Companies Management
Measures for Independent Directors of Listed Companies and others the Company has formulated
Rules of Procedure for General Meetings of Shareholders Rules of Procedure for Specialized
Meetings of Independent Directors Rules of Procedure for the Board of Directors Rules of
Procedure for the Board of Supervisors etc. When convening meetings of the General Meeting of
Shareholders Board of Directors and Board of Supervisors it strictly adheres to the voting matters
and procedural requirements to effectively safeguard the legitimate rights and interests of the listed
companies and all shareholders.The Company held a total of 6 general meetings of shareholders throughout the year with 35
proposals passed.The Company held a total of 10 meetings of the Board of Directors throughout the year with 68
proposals passed.The Company held a total of 8 meetings of the Board of Supervisors throughout the year with
35 proposals passed.
2 42024 ESG Report of DSBJ
* Diversified structure of the Board of Directors
DSBJ acknowledges and firmly believes that the increasingly diversified structure of the Board
of Directors is a crucial factor in maintaining the Company’s competitive advantage and sustainable
development. The Company has implemented a diversity policy for the Board of Directors. When
recommending candidates to join the Board of Directors the Nomination Committee will fully
consider the diversity factors and adopt a rigorous selection procedure to maintain an appropriate
and balanced structure of the Board of Directors in terms of capabilities skills experience gender
age and cultural and educational backgrounds thereby ensuring that the Board of Directors can
make decisions in a scientific and effective manner.The Company currently has 9 members in the Board of Directors including 1 female director
accounting for 11.1% and 3 independent directors accounting for 33.3%. Members of the Board of
Directors have possessed interdisciplinary expertise and extensive industry experience covering
areas such as management risk control financial accounting law and international operations with
66.7% holding master’s or doctoral degrees. One independent director in the Audit Committee is an
accounting professional and some board members have rich experience in risk prevention and
control which means they can effectively assist the Company in identifying preventing mitigating
and managing risks. Each member of the Board of Directors has performed their duties to the best
of their abilities actively promoting the efficient and standardized operation of the Company. In
2024 in order to continuously improve the Company’s governance and decision-making ability the
Company led independent directors to visit the MFLEX Suzhou factory Kunshan factory Yancheng
Industrial Park and Suzhou Rf Base to have them gain an in-depth understanding of the Company’s
business development.
1.1.2 Risk Management and Internal Control
In strict accordance with the requirements of the Company Law of the People’s Republic of
China the Basic Norms of Enterprise Internal Control and its supporting guidelines as well as the
regulatory requirements on internal control from the China Securities Regulatory Commission and
stock exchanges DSBJ continuously promotes the construction evaluation and supervision of the
risk management and internal control system and the orderly implementation of various special
2 52024 ESG Report of DSBJ
audits and key project audits. In this way we can ensure the effective operation of the system to
safeguard the Company’s sustainable and stable development. In addition the Company has
enhanced employees’ awareness of internal control risks and strengthened internal control
management capabilities through internal control training forming a risk prevention pattern with
full participation so as to continuously improve the Company’s standardized operation capabilities.During the reporting period by continuously improving the risk prevention mechanism the
Company has formed a stable risk management structure and work system that meets the
Company’s business scale and operational management demands. Through continuous optimization
of the risk management assessment process we could timely identify and assess risk sources
existing in the Company’s operations and improve and supervise risks closely related to the
Company’s operations such as investment risks business risks operational risks and risks relative
to sustainable development thereby achieving a closed-loop management to control the overall risks
at an acceptable level. The Company promptly incorporates major ESG risks and opportunities into
the risk review and business planning process for taking full consideration of them in the Company’s
operational plan thereby controlling or mitigating risks in a better way and seeking growth and
transformation opportunities accordingly. We have paid close attention to global trade policy trends
based on the Company’s overseas strategic layout regularly assessing and providing early warnings
on overseas business risks and establishing and improving the internal control system for overseas
businesses so as to support the Company’s globalization strategy.Risk identification Risk assessment Risk control
Identifying risks * Risk probability assessment Taking risk control measures
comprehensively by * Risk impact assessment from the perspectives of risk
analyzing the Company’s * Risk level determination avoidance risk transfer and risk
activities and business reduction based on risk levels
background with focuses and company reality
on key businesses areas
and operational links.
2 62024 ESG Report of DSBJ
1.1.3 Protection of Investors’ Rights and Interests
* Conducting Information Disclosure in a Rigorous and Standardized Manner
In strict accordance with regulatory documents such as the Securities Law of the People’s
Republic of China Measures for the Administration of Information Disclosure by Listed Companies
as well as the Articles of Association and Information Disclosure Management System the Company
under the principle of “truth accuracy completeness and timeliness” in information disclosure has
diligently fulfilled its information disclosure obligations and continuously presents information of
the Company’s operations to investors from multiple levels perspectives and angles based on
investors’ demands in order to enhance the quality and effectiveness of information disclosure. In
2024 the Company revised the information disclosure management policy and formulated and
published information disclosure management regulations issuing a total of 4 periodic reports and
105 interim announcements further enhancing the quality and transparency of information
disclosure. During the reporting period the Company’s disclosed information has contained no false
records misleading statements significant omissions or other improper disclosures. At the same
time the Company has also kept a close eye on the public opinion environment and market trading
conditions to effectively protect the legitimate rights and interests of investors.* Enhancing Interaction and Mutual Trust with Investors
Attaching great importance to investor relations management the Company continuously
improves internal policies such as the Regulations for Investor Relations Management and expands
communication channels with investors. Through activities such as performance presentation
meeting conference calls organized visits and researches the Company has maintained timely and
effective communication with investors on corporate governance operating conditions sustainable
development etc. which further enhances the interaction and mutual trust between the Company
and investors. In 2024 the Company deepened investors’ understanding of the Company through
various activities such as holding financial results announcement meetings participating in strategy
meetings conducting reverse roadshows and receiving research visits. The Company sincerely took
the opinions and suggestions of shareholders and potential investors and provided timely replies
2 72024 ESG Report of DSBJ
and explanations to shareholders and potential investors so as to build a good interactive ecosystem
with investors and render high-quality services to investors.* Safeguarding the Rights and Interests of Minority Shareholders
The Company equally treats all shareholders and continuously standardizes the procedures for
convening holding deliberating and voting on the general meeting of shareholders to ensure that
investors especially minority shareholders can enjoy the right to be informed and participate in
major matters of the Company. The Company after fully considering the time place and convening
approach of the general meeting of shareholders has adopted a combination of on-site voting and
online voting for issues deliberated on the general meeting of shareholders so as to facilitate the
participation of shareholders especially that of minority shareholders. For major matters that may
affect the rights and interests of minority investors the Company has counted and disclosed the
votes from minority investors separately whereby the opinions of them can be fully expressed.Through channels such as the platform of “EasyIR” the Company has communicated with investors
fully listening to opinions and demands of minority shareholders and timely responding to issues of
concern to minority shareholders. In 2024 the Company responded to 183 questions from minority
investors through the “EasyIR”platform achieving a 100% response and assigned dedicated
personnel to answer the investor hotline patiently addressing the inquiries from minority investors.* Sharing the Company’s Development Achievements
While focusing on our own development the Company adheres to an investor-oriented
approach. Since listing the Company has been strictly formulating a cash dividend policy thatcombines continuity and stability in accordance with the Articles of Association to create a “long-term stable and sustainable” shareholder value return mechanism thereby continuously sharing
the Company’s development achievements with investors. During the reporting period the
Company based on actual operating conditions and development plans has formulated an annual
profit distribution plan on the premise of ensuring normal operations and long-term development.Independent directors have fulfilled their duties and responsibilities to express clear independent
opinions on the preparation and decision-making process of the profit distribution plan. The relevant
proposals after being reviewed by the Board of Directors and the Board of Supervisors are
2 82024 ESG Report of DSBJ
submitted to the General Meeting of Shareholders for deliberation thereby effectively safeguarding
the legitimate rights and interests of shareholders. In 2024 the Company implemented the 2023
profit distribution plan distributing a cash dividend of RMB 2.5 (including tax) per 10 shares
totaling RMB 425319100 in cash dividends which accounted for 21.65% of the Company’s net
profit attributable to shareholders in 2023.
1.1.4 Tax Transparency
DSBJ has always upheld tax compliance and regulatory-adherent operations as the
foundational cornerstone of corporate development. The Company has rigorously complied with
domestic regulations such as the Enterprise Income Tax Law of the People’s Republic of China
and international tax frameworks and has institutionalized robust governance through internal
policies such as the DSBJ Tax Compliance Management Regulations which standardize tax filing
risk management tax incentives and tax strategy alignment for global operations. In order to ensure
the accuracy and compliance during tax management we have established a dedicated tax team and
introduced advanced financial management software and automated tax governance systems. We
also reject tax structures lacking commercial substance and adopt the principle of independent
transactions for transfer pricing. During the reporting period DSBJ achieved a 100% tax filing
timeliness rate receiving an A-level tax credit evaluation and accurately completed overseas
business tax filings with no significant tax non-compliance issues reported.The Company has implemented a comprehensive tax risk management framework
establishing internal tax risk assessment metrics to conduct regular tax risk identification and self-
evaluation processes. This systematic approach can transform tax risk governance from reactive
mitigation to proactive control. In addition the tax team organizes monthly internal training sessions
and facilitates cross-departmental workshops to integrate tax compliance requirements into
operational workflows thereby enhancing all employees’ understanding and prioritization of tax
compliance.
2 92024 ESG Report of DSBJ
1.2 Business Ethics and Anti-Corruption
1.2.1 Governance
DSBJ strictly complies with laws and regulations and industry codes such as the Company
Law of the People’s Republic of China the Anti-Unfair Competition Law of the People’s Republic
of China the Anti-Monopoly Law of the People’s Republic of China and the Guidelines No. 1 on
Self-regulatory Supervision for Companies Listed on Shenzhen Stock Exchange - Standardized
Operation of Companies Listed on the Main Board. The Company has established a comprehensive
structure covering business ethics and compliance management of the Company and its supply chain
solidifying the defense against breaches of business ethics. The Board of Directors serves as the
highest decision-making body for business ethics and anti-corruption management while the Audit
Committee subordinated to the Board of Directors is responsible for overseeing the implementation
of business ethics management systems and requirements and fulfilling its duties concerning
significant compliance and business ethics matters. In terms of operations the audit department as
an independent oversight body within the Company is responsible for assessing risks from business
ethics and anti-corruption matters formulating related policies and systems conducting routine
audit supervision and collaborating with the human resources department to promote business
ethics among all employees thereby ensuring the Company consistently complies with high-
standard compliance and ethical requirements. All functional departments of the Company strictly
comply with and implement the relevant provisions on business ethics.The Company implements a business ethics management system focused on the Policy for
Management of Business Ethics and Integrity Efforts achieving 100% coverage across all business
segments and functional departments. This system requires the Company’s directors all employees
and all supply chains and partners to comply with anti-fraud anti-money laundering anti-corruption
fair competition and anti-monopoly and conflict-of-interest prevention requirements. For suppliers
the Company has developed a dedicated policy of the Supply Chain Personnel Conduct
Management Procedures and Standards explicitly mandating business ethics and anti-corruption
requirements for suppliers so as to ensure that suppliers continuously improve their business ethics
management systems.
3 02024 ESG Report of DSBJ
1.2.2 Strategy and Management Mechanism
DSBJ recognizes business ethics as the cornerstone of corporate development. We have
institutionalized a robust business ethics and anti-corruption governance framework integrating
enhanced training programs of business ethics and anti-corruption into the Company’s development
strategies and daily operations. We also require our supply chain partners to comply with business
ethics and anti-corruption requirements in order to safeguard our high-quality and sustainable
growth. During the reporting period the Company has been involved in no major litigation cases
related to corruption bribery or unfair competition.DSBJ joined the Anti-Fraud Alliance Association.* Business Ethics Culture Construction
The Company actively fosters a culture of business ethnics ensuring that its requirements in
business ethics are communicated to employees suppliers and other internal and external
stakeholders. It also calls for the practical fulfillment of business ethnics commitments across all
levels of the organization. The Company internally conducts effective business ethics promotion
through employee handbooks rules and regulations newsletters etc. and regularly provides anti-
fraud training and integrity and ethics education to the management and all employees so as to
ensure that all employees maintain integrity honesty and diligence in work and actively prevent
corrupt behavior. The Company has also established regulations such as the Gift Acceptance and
Entertainment Management Norms and the Conflict of Interest Management Norms the Anti-
Corruption Management Regulations to regulate employees’ behaviors requiring all employees to
sign the Anti-Fraud and Anti-Bribery Commitment Letter so as to ensure that every employee
complies with anti-corruption and integrity requirements.
3 12024 ESG Report of DSBJ
Offline: Integrity and conflict of interest Online: Business ethics series courses
training
* Anti-Unfair Competition
The Company strictly complies with the Anti-Unfair Competition Law of the People’s Republic
of China and the relevant anti-monopoly and anti-unfair competition laws and regulations of the
countries and regions where it operates. We encourage each business segment to establish anti-unfair
competition policies clearly prohibiting unfair competition behaviors such as price manipulation
false advertising and infringement of trade secrets. We are committed to fostering a fairer and more
transparent market competition environment. In 2024 the Company violated no anti-unfair
competition laws and regulations.MULTEK Code of Business Conducts
We strive to outperform our competitors fairly and equitably rather than through unethical or
illegal business practices. We strictly forbid theft of proprietary information acquisition of trade
secrets without the owner authorization and inducing current or former employees of other
organizations to disclose such confidential data. The Company’s relevant personnel shall
endeavor to respect the rights of the clients suppliers competitors and employees of the
Company and treat them fairly and equitably. All relevant personnel of the Company shall
refrain from deriving improper benefits through manipulation concealment and abuse of
privileged information misrepresentation of critical data or any deliberate unfair trading
practices.* Supply Chain Business Ethics Management
The Company has established the Management Procedures and Regulations for Supply Chain
Personnel Conducts and requires all suppliers to sign the Integrity Cooperation Agreement the Anti-
Fraud and Anti-Commercial Bribery Commitment Letter or the Anti-Commercial Bribery
Agreement before cooperation. We also set up external reporting channels to identify and prevent
business ethics risks. The Company conducts audits on the suppliers’ performance of the code of
conduct and management of business ethics as well as due diligence investigations project audits
and compliance checks with partners based on cooperation projects when necessary to ensure
3 22024 ESG Report of DSBJ
continuous supervision of supply chain compliance risks. Suppliers with serious violations will be
blacklisted and punished according to the Company’s relevant regulations.* Reporting Management
The Company tolerates no behavior that violates business ethics and has formulated the
Misconduct Reporting Mechanism and Handling Measures to continuously improve the reporting
and handling mechanism. We also ensure that all employees understand the reporting channels and
processes through training and publicity posters. Employees of the Company at all levels and all
parties of the society with direct or indirect economic relationships with the Company can report
actual or suspected violations of business ethics by the Company and its employees through various
reporting channels such as reporting hotlines emails and letters. The Company’s internal audit
department is responsible for handling complaints and reports related to employees’ misconduct
and dedicated personnel are designated to receive process and provide feedback on complaints and
reports as well as investigate disciplinary cases. If it is confirmed that there are facts of corruption
the Company will take actions against the individuals involved based on the severity of the facts
including but not limited to position transfer demotion downgrade salary reduction termination
of employment contracts and referral for legal action.The Company strictly adheres to the principles of independence objectivity fairness and
confidentiality. In accordance with relevant provisions on protecting whistleblowers the Company
strictly maintains the confidentiality of the whistleblowers’ personal information and the reporting
materials they provide throughout the process of acceptance registration and investigation. At the
same time the Company rigorously safeguards the personal safety of whistleblowers and harshly
punishes any retaliatory actions. Individuals found to violate confidentiality rules or engage in
retaliatory actions against whistleblowers will be held accountable in accordance with the relevant
provisions of the Company with severe penalties imposed on those involved in retaliatory actions.Individuals committing criminal acts will be referred to judicial authorities for prosecution.Whistleblowers who provide credible reports and can recover significant losses for the Company
will be rewarded based on the amount saved.Reporting Channel
3 32024 ESG Report of DSBJ
DSBJ reporting email: jubao@dsbj.com
MFLEX reporting email: jubao@mflex.com
Multek reporting email: fxgl@Multek.com
1.2.3 Impact Risk and Opportunity Management
DSBJ integrates business ethics and anti-corruption risks into the Company’s comprehensive
risk management system. To properly address business ethics-related risks the Company regularlyconducts identification and assessment of business ethics risks (refer to the “Risk Management andInternal Control” section of this report for detailed processes). In the event of significant changes in
the external environment or some major events or business changes in the Company we will also
assess these risks timely. The Company has defined risk control strategies around business ethics
risk points in the areas of trading opportunities power positions funding costs compliance and
regulation to ensure that all business practices meet ethical and compliance requirements.The headquarters of DSBJ is responsible for coordinating supervising and guiding each
division for the establishment of overall control procedures and mechanisms with the audit results
directly reported to the Audit Committee subordinated to the Board of Directors. The Company
establishes an audit and inspection department independent from the business operation system
which exercises investigation rights independently. The Company also develops an audit program
annually carries out regular audits on the implementation of business ethics-related policies and the
commercial ethics risks in various business scenarios through compliance audits operational audits
and special audits. Internal audits relative to business ethics should cover all of the Company’s
operating locations and businesses every three years. Moreover the Company develops a continual
improvement plan based on audit findings to enhance the business ethics and anti-corruption
framework.
1.2.4 Indicators and Targets
Indicators and Targets Achievement in 2024
The Company was involved in 0
major litigation cases regarding Targets achieved
corruption fraud or unfair
3 42024 ESG Report of DSBJ
Indicators and Targets Achievement in 2024
competition
100% coverage of business ethics Targets achieved
and anti-corruption training for 100% coverage of business ethics and anti-corruption
directors and employees training for directors and employees with an average
training duration of 3 hours per person
100% effective handling rate of
Targets achieved
reporting
Full coverage and confirmation of
conflict of interest declarations for
Targets achieved
employees at D6 level and above in
the Company
1.3 Digital Intelligence Transformation
DSBJ has proactively embraced technological changes aligning various business segments to
enhance the development of a comprehensive technical framework and implementation strategy for
intelligent manufacturing. We have established a data-centric multi-platform and multi-system
interactive integration system that fosters deep synergy between digital technology and the
manufacturing sector. This initiative not only advances the integration of artificial intelligence with
new industrial processes but also injects fresh momentum into the Company’s development. In 2024
DSBJ continued to promote the integration of informatization and industrialization and the
construction of smart factories. Based on the analysis of domestic and international technology
trends such as big data and artificial intelligence (AI) we formulated a new three-year strategic
layout (2024-2026) towards “accelerated development driven by digital and intelligent decision”.Harnessing digital and intelligent decisions to accelerate development for empowering
innovation-led growth
3 52024 ESG Report of DSBJ
Research & Development AutoML Platform
Promotion & Empowerment Intelligent Manufacturing - Phase 2
Cooperation & Co-construction Data Driven Culture
Intelligent Manufacturing - Phase 1 Decision Intelligence
Integrated Platform AI Platform Engineering
Data Governance Digital Twin
AI Democratization
Strategic We will optimize resource allocation and rationally apply artificial
targets intelligence to accelerate smart manufacturing construction based on the
decision driven by big data thereby achieving revenue and profit growth.* Achieve data analysis and visualization for ten major topics including
Implementation
supply chain sales human resources and inventory by deepening the
Path
governance of master data and indicator data.* Provide a high-quality data service platform by strengthening the
capabilities of the big data platform.* Apply artificial intelligence in business scenarios such as smart
manufacturing smart office smart park and intelligent supply chain
starting from “AI+Quality” “AI+Cost” “AI+Delivery” and
“AI+Service&Safety”.* Holistically plan and systematize AI capabilities across computational
resources algorithmic models governance and application services
while developing secure and reliable intelligent systems and
engineering platforms with robust model generalization capabilities.* Improve the digital talent training system to cultivate digitally versatile
talents that meet business needs.* Achieve intelligent risk prevention and control through the three core
3 62024 ESG Report of DSBJ
engines (continuous improvement of information security system
information security prevention and control technical capabilities and
information security emergency response capabilities).* Data Governance and Big Data Platform Construction
Data governance and big data platform construction serve as a foundational cornerstone of
intelligent manufacturing. The Company continuously optimizes the big data platform through
policies including the Big Data Platform Management Standards and the Data Quality Control
Regulation to achieve seamless integration of workforce mobility logistics capital flow process
optimization information integration and technology deployment which has significantly
enhanced operational efficiency and fostered industrial upgrading.* AI-driven Empowerment
By advancing industrial digitalization with the “Intelligent Matrix” DSBJ creates a robust
manufacturing system that integrates automation digitization and intelligence technologies.* Digital Talent Cultivation
Digital talents act as a key driving force behind the implementation of the intelligent strategy
of DSBJ. We are refining the digital talent development ecosystem designed to nurture versatile
professionals skilled in data-driven decision-making low-code development BI analytics and AI
applications.
1.4 Information Security and Privacy Management
1.4.1 Governance
DSBJ strictly complies with China’s laws and regulations such as the Cybersecurity Law of
the People’s Republic of China the Data Security Law of the People’s Republic of China and the
Personal Information Protection Law of the People’s Republic of China as well as those of other
countries such as the U.S. Cybersecurity Information Sharing Act the Amendment of Personal Data
Protection Act (PDPA) and the Digital Trust Framework Act in Singapore. Accordingly the
Company has established a comprehensive governance structure for information security and
privacy protection. The Company has established an information security and privacy protection
3 72024 ESG Report of DSBJ
working group and an Information Technology Department at the headquarters level. These
organizations collaborate with the Security and Privacy Committee and the Information Security
Department of the overseas headquarters in Singapore to research and translate global data
protection laws and policies and jointly advance the development implementation and supervision
of information security and privacy management planning. Through these initiatives we ensure that
the information security operation and maintenance system is running effectively. In addition each
division is equipped with dedicated personnel responsible for implementing specific tasks related
to information security and privacy protection so as to strengthen information data security
management and improve data governance.The Company has established a series of institutional norms including the Data Security
Management Procedures the Information Security Risk Management Procedures the Information
Asset Security Management Procedures and the Information Security Reward and Punishment
Policy in order to create a comprehensive information security protection system that covers all
business areas of the Company thereby ensuring the security of information infrastructure
application systems products and customer information. In 2024 the Company revised the
Information Security and Privacy Manual and the Privacy Governance Policy based on the latest
ISO 27001 requirements and added cloud service management requirements to ensure the ongoing
effectiveness and adaptability of the information security management system.
1.4.2 Strategy and Management Mechanism
With reference to the latest requirements of ISO 27001 information security management
system and ISO 27701 personal privacy information management system DSBJ has adopted
various measures to continuously improve the overall information security level including
establishing an information security management platform unifying information security
management policies implementing centralized deployment of information security and clarifying
the requirements and standards to employee behaviors in information security management
information security technology and emergency response and conducting enhanced training and
regular audits on information security and privacy protection.All divisions of DSBJ have been certified with the ISO 27001 Information Security
3 82024 ESG Report of DSBJ
Management System
DSBJ has been certified with the ISO27701 Personal Privacy Information Management
System
DSBJ has been awarded the title of “Five-Star Cloud Enterprise”
* Comprehensive Information and Data Security Management
* The Company has developed the Information Classification Management
Data
Procedure to classify its information data by different categories and levels
Classification
and adopt targeted protection measures in accordance with information data
and Control
hierarchical classification management norms as provided by policies. For
sensitive data measures such as limiting usage scope encryption and
approval control are implemented with desensitization or encryption
carried out according to business needs.* The Company has centralized database management and implemented
Data Backup
approval management for high-risk operations. We also develop the
and
Important Information Backup Management Procedures to establish a
Recovery
comprehensive data backup mechanism and conduct sampling of backup
status regularly for inspection and verification.* By deploying situational awareness devices to monitor unconventional
Strengthened
traffic in the network the Company blocks and alerts to abnormal traffic.Technical
* We record the direct access to servers from terminals discovering and
Protection
promptly addressing potential security risks.* We collect relevant log data and analyze their relationships to detect
potential security events thereby enhancing system security and reducing
potential threats.* We continuously promote the construction of the information security
management platform to enhance overall information security capabilities.Information * The Company has developed the Information Security Incident
security Management Procedures and established a complete information security
3 92024 ESG Report of DSBJ
emergency incident response and emergency disposal mechanism ensuring that
management information security is safeguarded in a timely and effective manner.* We develop an annual plan to conduct a series of emergency drills for
important applications networks data etc. which covers all functional
departments to improve response and collaborative handling capabilities
for emergency incidents.* The Company regularly (e.g. monthly and quarterly) conducts training for
Information
all employees to enhance their awareness and improve their skills in
security
information security and privacy management. Employees in various
training and
business segments can also take information security courses on online
promotion
learning platforms.* All new employees will receive concentrated training on information
security awareness after joining the Company (in conjunction with the new
employee onboarding training) in order to bring information security
awareness to new employees at their first stage of onboarding.* Supplier Information Security Management
In accordance with the Supplier Relationship Management Procedure and the Supplier Policy
formulated by the Company it is necessary to assess the risks of information security and privacy
management brought by supplier services and products or services provided by suppliers that
should meet local operational and industrial standards and requirements before cooperating with
suppliers in order to prevent the loss of the Company’s information assets and personal information
leakage. The Company has also formulated relevant policies such as the Supplier Information
Security Verification Plan the Supplier Information Security Verification Form the Cloud Control
Questionnaire the Cloud Service Security Audit Questionnaire and conducts on-site assessments on
key suppliers to determine whether their information security and privacy management meet the
requirements. Suppliers should also execute the Supplier Service Confidentiality Agreement to
guarantee they strictly meet the local information security requirements.* Protection of Personal Information and Privacy
4 02024 ESG Report of DSBJ
The Company has developed documents such as the DSBJ Privacy Policy the Personal
Identity Information Control and Management Procedures and the Information Security and
Privacy Manual to ensure transparency in data collection and usage thereby safeguarding the right
to know to choose and to control personal information. An emergency response plan is also
established to ensure customer information is not leaked.
1.4.3 Impact Risk and Opportunity Management
DSBJ has developed the Information Security Risk Management Procedures which
comprehensively cover information security risk identification risk assessment and analysis risk
treatment residual risk disposition and risk control. By quantifying risk level the Company can
more accurately identify and assess potential information security risks and develop targeted
response measures to ensure that information security and privacy protection risks are visible
preventable and controllable. The Company regularly audits its information security and privacy
management system in conjunction with business characteristics including comprehensive internal
information security audits (at least once a year) annual external audits by ISO 27001 certification
bodies and annual information security audits by global leading clients to evaluate and improve
risk control measures so as to better safeguard business continuity and data asset security.
1.4.4 Indicators and Targets
Indicators and Targets Achievement in 2024
Targets achieved
Information Security Management Index >
Information security management index
3.6
reaching 3.8
Targets achieved
Network resilience > 85%
Network resilience reaching 90%
Information security and PII training Targets achieved
coverage no less than 85% throughout the Information security and PII training coverage
year reaching 90%
Significant information security incidents < Targets achieved
1 incident No major information security incidents
4 12024 ESG Report of DSBJ
Indicators and Targets Achievement in 2024
No information leakage incidents Targets achieved
4 22024 ESG Report of DSBJ
2. Collaboration for Mutual Benefit to Build a Sustainable Supply
Chain
Sustainable Development Goals of the United Nations (SDGs)
2.1 Governance
The quality resilience and sustainability of the supply chain are critical to the robust
development of DSBJ. The Company has established a sustainable supply chain working group.The Supply Chain Management Center at the Company’s headquarters is responsible for identifying
and assessing supply chain risks formulating or updating policies and systems related to sustainable
supply chain construction and promoting risk-oriented sustainable supply chain management. The
Supply Chain Management Department of each division is responsible for centralized management
of suppliers belonging to its own business segment including continuous optimization of the
supplier pool and supplier audits evaluations and controls in collaboration with relevant
departments such as R&D quality and EHS in order to jointly ensure the security stability and
high quality of the supply chain.The Company strictly complies with relevant national laws and regulations such as the Law of
the People’s Republic of China on Bid Invitation and Bidding and the Regulation on the
Implementation of the Law of the People’s Republic of China on Bid Invitation and Bidding. It has
formulated institutional norms and guidelines related to bid invitation procurement and supplier
management such as the Supply Chain Management System Supplier Management Process and
Norms Supplier Admission and Approval Process Management Norms and Procurement
Management Process and Norms to continuously improve the supplier lifecycle management.
432024 ESG Report of DSBJ
2.2 Strategy and Management Mechanism
Guided by the Company’s business strategy DSBJ strives to create a fair and equitable
procurement environment that can continuously optimize the supplier lifecycle management in
order to constantly improve the quality and risk resilience of the supply chain. We are devoted to
building a competitive resilient and sustainable supply chain that can provide a solid guarantee for
the Company’s vision of “building a 100-billion advanced and intelligent manufacturing platform”.The Company has 5040 suppliers in total including 4531 suppliers from China (including
Hong Kong Macau and Taiwan) and 509 suppliers overseas.
2.2.1 Supplier Lifecycle Management
The Company has established a supplier lifecycle management system and mechanism to
standardize the process mechanism for supplier admission assessment evaluation and exit thereby
building a high-quality safe and stable supplier team.Supplier lifecycle management
The Company has formed an inspection team composed of multiple departments
(including procurement departments quality departments R&D engineering
Supplier
departments etc.) to inspect suppliers’ information and qualifications according to
admission
the established supplier admission thresholds. Qualified suppliers are included in the
Qualified Supplier List after receiving the inspection.The Company develops an annual supplier audit plan and conducts regular
monitoring and comprehensive evaluation in terms of supplier performance product
Assessment quality EHS management business ethics and anti-corruption through qualification
and review document audit on-site audit annual assessment etc. In addition the
Company provides timely feedback to suppliers based on audit results assisting
evaluation
suppliers in continuous improvement to ensure the safety and compliance of overall
business operations.The Company conducts hierarchical classification management on suppliers. We
Hierarchical
classify suppliers into three categories (A B C) horizontally and each of these
4 42024 ESG Report of DSBJ
categories is further classified into three levels (excellent good qualified) based on
classification
the impact of suppliers on the Company’s final products and establish management
management
requirements and standards for each category and level. We adjust the categories and
levels dynamically per year based on evaluation results procurement scale material
characteristics and other factors. Outstanding suppliers may participate in the supply
of new project products while non-compliant suppliers are restricted from
supplying.If a supplier’s performance is rated as category C and remains at category C after the
rectification period or if the supplier has significant issues related to quality
delivery price service etc. or improper behaviors involving business ethics
Supplier exit
significant environmental incidents etc. the Company will eliminate the supplier
from the supplier pool properly and claim against the supplier for relevant
responsibilities and losses based on the actual situation.
2.2.2 Sustainable Procurement
The Company has incorporated the sustainable development requirements into its supply chain
management system and promoted each business segment to formulate the requirements for
suppliers’ social code of conduct in accordance with the Electronic Industry Code of Conduct
(EICC) the Social Accountability Standard (SA8000) and a series of standards issued by the
International Labor Organization (ILO). When selecting suppliers the Company’s business
segments deeply understand the performance of suppliers in sustainable development with great
attention paid to ESG factors ensuring that suppliers’ performance in governance social and
environmental aspects meets the requirements. At the supplier admission stage the Company
requires suppliers to sign the Supplier Social Responsibility Commitment Letter and the Supplier
Code of Conduct Assurance Agreement to make commitments for occupational health and safety
environmental protection business ethics etc. In addition the Company identifies assesses and
controls potential risks inclusive of ESG risks in the supply chain according to internal checklists
such as the Supplier Environmental and Social Responsibility Audit Form and the Supplier Green
Product Management System Evaluation Form to ensure the sustainability and stability of thesupply chain. Please refer to the “Excellent Governance for Moving Towards a New Journey ofHigh-Quality Development/Business Ethics and Anti-Corruption” chapter for detailed information
on supply chain business ethics and anti-corruption management. In addition with emphasis on
4 52024 ESG Report of DSBJ
protecting suppliers’ rights and interests the Company treats suppliers faithfully while ensuring
equitable treatment of SME partners to uphold their legitimate rights and interests.* Quality Risk Control
The Company has established internal management policies such as the Supply Chain
Management Policy and the Supplier Management Control Procedures to set up requirements for
the quality qualifications of suppliers. According to the requirements suppliers should have boasted
professional qualifications of the services or products they provide and established a sound quality
management system complying with current laws and regulations including the ISO 9001 quality
system certification and the IATF 16949 quality system certification (for suppliers that produce
automotive parts). Suppliers must continuously meet these requirements. At the same time the
Company requires key suppliers to execute the Supplier Quality Assurance Agreement.The Company communicates in a timely manner with suppliers to ensure that suppliers fully
understand the quality requirements for the materials they supply. Furthermore the Company
manages suppliers through supplier audits incoming material inspections performance evaluations
and continuous improvement to ensure product safety and quality. Supplier quality audits are
conducted in accordance with the Supplier Audit Management Procedures encompassing audits on
quality management systems product design and development material and supplier management
manufacturing process management change management non-conformity control improvement
and after-sales service hazardous substance management etc. The Company formulates an annual
supplier audit plan and strictly implements it with dynamic audits conducted in case of quality
issues or other abnormalities. The procurement quality and other departments of the Company’s
business segments conduct regular reviews and analyses focusing on supplier quality audits and
evaluations. For any non-conformity items identified during the process the Company will require
the suppliers involved to rectify the items within a specified period in the form of written
improvement reports and provide quality training and technical cooperation and exchanges when
necessary to jointly improve the quality.Based on the results of supplier quality assessments and the issues identified during the audit
process each business segment is required to collaborate with relevant departments to conduct
4 62024 ESG Report of DSBJ
regular quality management capability improvement training tailored to suppliers to meet the
specific product requirements of each unit. Additionally each business segment needs to provide
targeted guidance and assistance to suppliers including support for technological transformation
upgrading and optimization efforts. Through these collaborative initiatives we seek to assist
suppliers in enhancing their quality standards and collectively promote product upgrades across our
supply chain.Suppliers certified to the quality management system: 2747
Suppliers that have executed the quality assurance agreement: 2759
Suppliers certified to the IECQ QC 080000 Hazardous Substances Process Management
System: 593
* Human Rights Risk Management
DSBJ drives various business segments to develop the Supplier Code of Business Conduct and
Ethics in accordance with the requirements of the International Labor Organization (ILO) the Code
of Conduct for Responsible Business Alliances (RBA) and the relevant laws and regulations of the
places of operation. The content of the code of conduct should include anti-child labor and anti-
forced labor working and rest hours anti-discrimination collective bargaining occupational health
and safety requirements etc. We also require suppliers to sign social responsibility commitment
letters or guarantee agreements in order to guide suppliers to strengthen sustainability management
and ensure that products or services from them are produced or provided in a manner that complies
with human rights requirements and ethical standards.* All employees enjoy the rights and interests of free and equal
Human Rights
consultation and collective bargaining;
and anti-
* Any form of coercion is prohibited;
discrimination
* Any form of prejudice and discrimination are prohibited.* It is prohibited to employ forced laborers;
Prohibition of
* It is prohibited to require employees to pay deposits or provide identity
forced labor
documents as collateral.
4 72024 ESG Report of DSBJ
* Child labor is prohibited;
Employment * Remuneration must comply with national laws or industry standards
conditions and employees should be paid equally for equal work;
* Forced labor is prohibited.* It is required to provide a healthy and safe working environment and
Occupational protective measures;
health and safety * It is required to provide appropriate health and safety information and
training.Suppliers certified to the occupational health and safety management system: 990
Suppliers successfully passed third-party ESG audits such as the Responsible Business Alliance
(RBA) and Sedex: 74
* Driving the Green Transformation of the Supply Chain
As driven by the Company each business segment actively implements green procurement and
signs the Green Product Guarantee Statement with suppliers. They require suppliers to use limited
resources prudently and responsibly guarantee all production processes of the products comply with
the requirements of environmental laws and regulations and minimize the impact of the business
activities on the environment. In addition all business segments mandate suppliers to execute the
Restricted Substances Compliance Agreements and the REACH Substances of Very High Concern
Disclosure Statements ensuring adherence to RoHS directives relevant laws and regulations of the
places of operation on electronic product pollution control and Hazardous Substance-Free (HSF)
management requirements. This collaborative governance has driven green transformation across
the supply chain.Suppliers certified to the environmental management system: 1163
The Company’s subsidiary Yancheng Dongshan requires suppliers to fill out the Stakeholder
4 82024 ESG Report of DSBJ
Environmental Management Performance Evaluation Questionnaire through which it assesses
suppliers’ certification and construction of environmental management systems progress of
environmental topics such as three-waste emissions and waste management environmental
compliance environmental emergency management etc. In these assessments suppliers with a
score equal to or more than 60 points are considered qualified while those with a score less than
60 points are considered unqualified. The unqualified suppliers are required to make
rectifications. If they fail to respond or improve Yancheng Dongshan will terminate business
dealings with them.* Supplier Collaboration for Mutual Benefit
The Company actively encourages cooperation and communication with suppliers through
annual supplier conferences daily technical exchanges various specialized training sessions etc.With these measures we help suppliers continuously improve their process technology levels
optimize working methods and timely update information on production requirements and policy
trends. We are growing together with suppliers in an open and cooperative manner. During the
reporting period the Company provided training to 421 suppliers.Technical communication with electronic manufacturers
2.2.3 Resilient Supply Chain
Establishing a resilient supply chain and ensuring business continuity are important guarantees
for the Company’s stable operations. To ensure a stable supply of strategic resources the Company
has formulated a Business Continuity Plan for the Supply Chain Management Department and
continuously optimized the supply chain structure to ensure that suppliers have diversified
backgrounds and come from multiple channels. The Company has also conducted enhanced
4 92024 ESG Report of DSBJ
preventive control measures against factors such as supply chain disruptions price increases and
unexpected events effectively preventing potential risks in the supply chain and strengthening
supply chain resilience. In 2024 the Company’s raw material supply remained stable and
production was not affected by raw material shortages.Establishing To prevent delivery delays or insufficient supply caused by factors such as
multiple climate distance and policies the Company procures materials through
channels for multiple channels deeply explores resource markets and analyzes development
raw material trends to continuously optimize supplier resources. Through these initiatives the
supply Company has reduced exclusive and intermediary purchases thereby mitigating
the risk of single sourcing while lowering procurement costs and maintaining
raw material supply stability.Encouraging The Company encourages localization sourcing. It identifies material supply
localization risks overall based on historical delivery and inventory reserve situations
procurement actively exploring and selecting products that meet production requirements for
domestic substitution and local procurement from technical commercial
production capacity and accessibility perspectives and cooperating with reliable
trading partners. Through these endeavors the Company has shortened
transportation cycles and supply times enhanced control and transparency and
improved the supply chain’s risk resistance and rapid response capabilities
thereby promoting economic development of the place where the Company is
located.Cultivating The Company maintains timely communication with suppliers through multiple
good ways such as email phone remote meetings face-to-face discussions etc. To
cooperative avoid price increases and ensure post-sales service quality the Company
relationship conducts strategic discussions with suppliers and signs strategic cooperation
agreements with core suppliers to ensure optimal reserves and a stable supply of
materials. It establishes a benign and effective supplier competition and
5 02024 ESG Report of DSBJ
protection mechanism to create a good atmosphere for supply chain cooperation
and persist in joint development and growth with a wide range of qualified
suppliers to build a harmonious supply chain ecosystem.Enhancing The Company has developed differentiated plans procedures and key actions
emergency based on the severity level of production activities the likelihood of supply
management shortages etc. and has implemented focused tracking of high-risk and medium-
risk materials to eliminate the risk of material shortages. The Supply Chain
Management Center coordinates and plans the necessary resources for various
business segments subsidiaries and branches through the Supply Chain
Resource Coordination Contact Letter to enhance emergency management. To
ensure normal operations the Company constantly monitors potential supply
chain disruption risks and strengthens supply chain risk assessment and control
to ensure that daily supplies are not affected.
2.2.4 Responsible Mining Procurement
The Company has formulated the Conflict Minerals Procurement Policy in accordance with
the Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict-Affected and
High-Risk Areas of the Organisation for Economic Cooperation and Development (OECD) and
other applicable standards to establish a sound responsible mining due diligence management
system. We have developed clear and transparent management procedures for the use of mineral
resources in the production and operation process to identify and manage potential risks committing
to using no “conflict minerals” from areas controlled by armed groups perpetrating crimes against
humanity in the Democratic Republic of the Congo or adjoining countries/regions. We also
committed to tracing the sources of gold (Au) tantalum (Ta) tin (Sn) tungsten (W) etc. in all
products to ensure the legality of raw material sources insisting on ethical procurement.* Promotion and Implementation of Conflict Minerals Procurement Policy
As driven by the Company each business segments communicate the conflict minerals policy
to direct suppliers through multiple channels. The Company has required suppliers to sign the
5 12024 ESG Report of DSBJ
Commitment Letter for Not Using Conflict Minerals and incorporated mineral resource management
regulations into contracts and agreements signed with suppliers. Moreover the Company also
conducts responsible mining supply chain due diligence and requires all relevant suppliers to strictly
adhere to the commitment of not using mineral resources from conflict-affected areas. In addition
the Company’s various business segments encourage suppliers to establish policies for conflict
minerals and require them to pass on this principle to their upstream suppliers.The Company’s Conflict Minerals Procurement Policy and Commitment Letter for Not Using
Conflict Minerals have been communicated to 100% of our suppliers.The responsible mining special training has covered 100% of the relevant suppliers.There were 2149 suppliers that have undergone responsible mining due diligence and received
qualified results.Suppliers signing the Commitment Letter for Not Using Conflict Minerals have accounted for
100% of our suppliers.
* Responsible Supply Chain Management
The Company’s various business segments have formulated the conflict minerals investigation
management procedures to conduct responsible mining due diligence on suppliers. Suppliers are
required to truthfully fill in and respond to the Conflict Minerals Reporting Template (CMRT)
regarding the usage and sources of relevant minerals in the delivered products and provide
supporting materials to ensure the compliance and traceability of the procurement sources. The
Company has established a supplier risk assessment and management process. It draws a supply
chain map based on the KYC information collected from suppliers and identifies conflict-affected
and high-risk areas (CAHRA) risk based on information related to suppliers and supply chains
retrieved from public sources formulating due diligence plans and carrying out supply chain due
diligence investigations. Through these initiatives the Company has promoted improvement
measures including requiring suppliers to eliminate non-compliant smelters and strengthen risk
control. If a supplier is at risk of conflict minerals the supplier must immediately notify the
Company in writing and the Company will terminate the development or replace the supplier
5 22024 ESG Report of DSBJ
involved in the conflict minerals.During the reporting period due diligence was conducted on all suppliers that should be
included in the responsible mining due diligence scope with 100% of supply chain enterprises
not using illegal conflict minerals.Responsible Mining Due Diligence Management Process
Screen all products of the Company Assess the sources of 3TG in the product and the
conflict purchase status
Determine if the products contain 3TG Conduct due diligence on suppliers
Identify products containing 3TG and their Respond to CMRT and other questionnaires
corresponding suppliers
Collect relevant information from suppliers Take improvement on high- and medium-risk
suppliers
Evaluate suppliers’ risk levels Suspend or terminate business relationships with
these suppliers
5 32024 ESG Report of DSBJ
2.3 Impact Risk and Opportunity Management
DSBJ faces a variety of supply chain risks including quality risks hazardous substance risks
supply risks (such as supply interruptions and raw material shortages) financial risks (such as price
increases and market changes) compliance risks (such as violations of laws and regulations and
company policies) and ESG risks (such as labor rights occupational health and safety business
ethics and anti-corruption conflict minerals) among others. The Company’s internal management
norms such as the Supply Chain Management System and the Supplier Management Processes and
Standards as fully consider supply chain risks and have conducted detailed risk control over each
link in the supply chain.According to requirements outlined in the Supplier Risk Assessment Procedures and the
Supplier Risk Management Control Procedures the Company identifies and carefully evaluates
relevant risks including ESG risks that may arise in the supply chain every year so as to perform
in-depth analysis of specific mitigation measures against different types of suppliers. We also
develop an annual audit plan to evaluate and assess suppliers for stimulating their continuous
improvement ensuring effective control of supply chain risks. For suppliers with high risks the
Company will limit the supply quantities and stop purchasing new products and develop alternate
suppliers. The Company continuously monitors and tracks the implementation of supplier risk
management measures and evaluates their effectiveness periodically.
2.4 Indicators and Targets
Indicators and Targets Achievement in 2024
Targets achieved
The Company experienced no incident
No disruption to operations
that the task failed to complete due to
supply chain disruptions
The ESG No incidents of child labor and
Targets achieved
risks in the forced labor among suppliers
supply The Company’s Conflict Minerals Targets achieved
5 42024 ESG Report of DSBJ
chain are Procurement Policy and
effectively Commitment Letter for Not Using
managed Conflict Minerals have been
communicated to 100% of our
suppliers
100% of supply chain enterprises do
Targets achieved
not use illegal conflict minerals
5 52024 ESG Report of DSBJ
3. Insisting on Quality for Continuous Improvement of Product
Quality and Competitiveness
Sustainable Development Goals of the United Nations (SDGs)
3.1 Driven by Innovation
3.1.1 Governance
New quality productive forces with innovation at its core are the key driving force for
enhancing the core competitiveness of the Company. With adherence to long-termism DSBJ
continuously improves the technological innovation system and accelerates the cultivation and
development of new quality productive forces. The R&D departments of the Company’s various
divisions plan research and development according to business needs implement various tasks of
R&D innovation at the execution level and collaborates closely and efficiently with sales
production and other departments ensuring advanced and applicable product R&D and technology
research through end-to-end cooperation from R&D to production to market promotion.
3.1.2 Strategy and Management Mechanism
With the mission of “building a better connected world for tomorrow” DSBJ keeps pace with
the national major strategies and industry development trends. We based on the market demand
continuously increase our R&D investment and strengthen R&D management to build cutting-edge
technology platforms with more technology breakthroughs and accelerated application
transformations thereby contributing to the industry’s innovative development.
562024 ESG Report of DSBJ
3.1.2.1 Innovative R&D management
Based on accurate knowledge in customer needs the R&D departments of the Company’s
various divisions have established comprehensive open R&D systems and efficient R&D innovation
mechanisms to conduct innovative research covering various aspects including material
development structural design electronic design and product application research. They keep pace
with technology frontiers to enhance independent innovation capabilities and solidify the foundation
for high-quality development.Sound R&D By developing and implementing the R&D Cycle Management Procedures
management and establishing a sound R&D project lifecycle management system the
Company continuously standardizes and optimizes key R&D stages such as
quotation design sample trial production mass production to accelerate the
development process of innovative products thereby timely converting the
Company’s key technologies into actual products to achieve the
transformation of scientific and technological achievements.Security of With continuously increased investment in science and technology
funding for innovation the Company is exploring the cutting-edge manufacturing
scientific technology of the core devices in the field of intelligent interconnection and
research interoperability through ongoing investment in the R&D of new materials
new technologies new processes etc. in order to lay a solid foundation for
serving the future innovative business like AR/VR IoT Mini LED displays
and new energy vehicles.Mutto Optronics has established an earmarked funding mechanism for
scientific research according to which special funds are allocated to
research projects with different development cycles. Mutto Optronics
regularly tracks fund utilization and project development progress
ensuring effective and rational use of research funds to guarantee the
smooth implementation of research projects.
5 72024 ESG Report of DSBJ
Enhanced Insisting on people-oriented innovation the Company had combined
innovation innovative management with incentive mechanisms. We have provided R&D
incentives personnel with daily assessment incentives and technology-specific
incentives and implemented equity incentive plans covering core
management personnel and technical talents so as to encourage employees
to participate in technological innovation and to stimulate the vitality of the
talent and the organization.* Establishment of a Technology Innovation Platform
The Company has established a high-level and open technology innovation platform along
with a comprehensive innovation system. Through collaboration with customers to conduct
technological innovation research and tackle key technical challenges we have promoted research
into key technologies and facilitated their transformation into practical applications so as to provide
the continuous driving force for the Company’s innovative development. Leveraging its extensive
corporate technical expertise the Company has undertaken scientific research on key and
challenging process technologies within the industry. This effort has yielded numerous advanced
results patents and standards all bearing independent intellectual property rights. Through
proactive promotion and application the Company has successfully transformed these scientific and
technological achievements into new quality productive forces. This ongoing endeavor leads to a
continuous technological innovation and product upgrades creating sustained value for the
development of the industry.DSBJ’s parent company and MFLEX Yancheng Suzhou Dongyue Yancheng Dongchuang Rf
Top Electronic Yongchuang Technology Yancheng Dongshan Suzhou Dongdai have been
qualified as “high-tech enterprises”;
Mutto Optronics has been recognized as a “high-tech enterprise” specialized and sophisticated
enterprise that produce new and unique products with the title of “little giant” “specialized andsophisticated SME that produce new and unique products” and an “Enterprise TechnologyCenter in Jiangsu Province” and “Engineering Technology Research Center in Jiangsu
5 82024 ESG Report of DSBJProvince”;
Suzhou Dongyue has been recognized as a “Suzhou Engineering Technology Research Center”.* Build an Innovative Talent Team
Building an innovative talent team is the cornerstone of technological innovation. Leveraging
the leadership of top-tier talent the Company has established a global R&D team of technical
experts known for their exceptional skills extensive industry experience and strong innovation
capacity. By fostering an open inclusive and results-driven research environment the Company
continues to strengthen its core technological R&D and independent innovation capabilities fueling
its long-term growth with continuous innovation.With more efforts continuously paid to the employment of high-end technology talents the
Company has selected R&D talents who align with the Company’s values and possess excellent
qualities solid professional backgrounds and high potential to build professional R&D teams
covering three major business segments namely electronic circuit photoelectric display and
precision manufacturing. In addition the Company provides comprehensive support for R&D
talents including dedicated one-on-one training rewards and promotion aiming to particularly
outstanding talents who are deemed as the key training objects of their positions.In addition to regular technical training organized by the Company we invite suppliers famous
experts and scholars to come to the Company for technical exchanges and lectures through internal
training seminars and other forms and encourage employees to strengthen academic exchanges to
help them grasp innovative technologies and industry trends. We also employ external industry
experts to be our R&D consultants to help improve the professional level of the technical staff
thereby achieving the independent research and development of the innovative core technologies.Furthermore the Company actively conducts various forms of technical innovation activities such
as skills competitions to encourage employees to innovate in their positions and fosters an
innovative culture that encourages experimentation and tolerates failure throughout the Company
to help employees maintain the best state of continuous innovation and development. In 2024 all
of the Company’s divisions carried out different forms of engineering skills competitions to help
engineers improve their technical skills and stimulate their innovation abilities.
5 92024 ESG Report of DSBJ
3.1.2.2 Industry-Academia-Research Cooperation
The integration of industry academia and research is an important driving force for the
Company’s technological innovation. The Company actively engages in in-depth collaborations
with universities and scientific research institutions to accelerate the research and application of
cutting-edge technologies thereby driving resource integration across the industrial chain and
enhancing its competitiveness.DSBJ has established a joint R&D center for frontier robotics technologies with Shanghai Jiao
Tong University to deepen collaboration in humanoid robot R&D and design industrial
automation applications and cutting-edge technology exploration thereby fostering the
development of new quality productive forces.MFLEX Yancheng signed a collaborative R&D agreement with Suzhou University of Scienceand Technology to jointly develop the “FPC surface magnetron sputtered metal shielding layersand metal layer protective coating technology” enhancing the performance of FPC products.Mutto Optronics carried out industry-academia-research cooperation with Suzhou University to
develop innovative touchscreen products that meet market and customer demands by optimizing
product structures and manufacturing processes.DSG established joint laboratories with Singaporean universities and research institutes to apply
cutting-edge research technologies and results to the Company’s product development and
production in order to research and strategically plan the materials processes and technologies
involved in the Company’s future products. In 2024 the DSG Joint Laboratory launched three
collaborative projects.
3.1.2.3 Technology Ethics
The Company complies with ethical norms in technology and advocates for cultivating social
responsibility values. Drawing upon independent innovation and emphasizing the significance of
intellectual property rights the Company prioritizes key technologies while upholding excellent
6 02024 ESG Report of DSBJ
quality standards. We are committed to refraining from developing or utilizing scientific and
technological products that pose harm to the natural environment human health public safety or
ethical standards. Through the development of innovative and practical new products technologies
and processes we spare our efforts to contribute positively to social progress.With the widespread adoption of artificial intelligence applications the Company has
developed the Guidelines for Safe Artificial Intelligence Software Development Cycle emphasizing
ethical compliance in the production of AI applications and the management of generated data to
ensure that AI outputs meet moral standards and respect privacy rights. For the use of generative AI
products we formulate and publish detailed usage policies clearly requiring employees to adhere
to social norms and company policies and strictly prohibiting the generation replication publication
or dissemination of any content that may violate laws and regulations or that may be inappropriate
offensive or discriminatory.
3.1.2.4 Protection of Intellectual Property Rights
The Company attaches great importance to the protection of intellectual property rights. We
strictly abides by the relevant laws and regulations such as the Trademark Law of the People’s
Republic of China the Patent Law of the People’s Republic of China and the Implementation Rules
on the Patent Law of the People’s Republic of China and have formulated management systems
such as the Intellectual Property Management Procedure and the Confidentiality Agreement to
comprehensively strengthen the creation utilization protection and management of intellectual
property rights and protects the related structural design preparation methods and process of core
technologies. While safeguarding our independent intellectual property rights we fully respect the
intellectual property rights of others. We commit to avoiding infringement of others’ intellectual
property rights and conscientiously fulfilling confidentiality obligations especially in technical and
business cooperation with partners. Without written permission we disseminate no experimental
samples professional data and technical indicators to any third parties. Through these initiatives
we have maintained a fair competition order to ensure the healthy development of the market.* Prevention and control of intellectual property infringement risks. To address the risk of
intellectual property infringement the Company has established a mechanism for identifying
6 12024 ESG Report of DSBJ
and warning intellectual property infringement risks and conducted comprehensive
assessments of potential infringement risks related to the Company’s innovative technologies.If it is detected that the potential risks are significant the Company will mitigate potential
patent infringement risks in R&D projects by adjusting other process technologies or
characterization methods. Before submitting patent applications to the National Intellectual
Property Administration it needs to conduct patent searches and if there are similarities in
patents core technology upgrades are initiated.* Enhancing intellectual property training. The Company places significant emphasis on
enhancing employees’ awareness of intellectual property protection. We conduct regular
intellectual property training sessions to strengthen employees’ recognition and understanding
of intellectual property protection by explaining relevant cases of intellectual property
infringement thereby increasing employees’ awareness of confidentiality regarding the
Company’s key core technologies and core products.
3.1.3 Impact Risk and Opportunity Management
To effectively address various risks such as rapid technological iteration market competition
risks intellectual property risks and policy and regulatory risks DSBJ emphasizes cross-functional
teamwork in R&D marketing and production closely following market trends technological
trends and policy developments to ensure that product development is closely aligned with
customer needs thereby enabling rapid response to market changes and reducing the risk of
deviation in R&D innovation. Throughout the full lifecycle of R&D projects the Company
systematically conducts risk identification assessment and monitoring and dynamically adjusts
R&D risk management strategy based on evolving internal and external conditions to ensure
controllable risks across all R&D activities.
3.1.4 Indicators and Targets
Indicators and Targets Achievement in 2024
Targets achieved
Ensure R&D investment The amount of R&D investment in 2024 totaled RMB 1.267
billion accounting for 3.45% of revenue.
6 22024 ESG Report of DSBJ
Targets achieved
Increased number of patent An annual increase of 140 effective patents with a cumulative
total of 954 effective patents obtained
applications and grants
An increase of 51 software copyrights within the year with a
cumulative total of 115 software copyrights obtained
3.2 Quality Priority
3.2.1 Governance
As excellent product quality is the cornerstone of industrial development the Company
continuously strives to deliver products of the utmost quality and reliability. The Company has
established a product quality and safety working group which is composed of various division
quality management centers or quality departments of different business segments. This group is
responsible for the product quality management work of each business segment including
formulating quality policies and objectives and the construction implementation and continuous
improvement of the quality management system to ensure that each link meets quality standards. At
the same time the Company has established a cross-departmental collaboration mechanism and
works together with R&D procurement production and other functional departments to ensure that
hazardous substances in the Company’s products comply with applicable laws and regulations and
customer requirements.The Company has established a series of quality management policies in accordance with
international standards such as ISO 9001 IATF 16949 AS 9100 ISO 13485 VDA 6.3 and ISO
9004 in combination with customer audit requirements which include the Quality Management
Manual the Research and Development Cycle Management Procedure the Incoming Material
Inspection Procedure the Final Quality Inspection Procedure the Non-conforming Product Control
Procedure the Corrective and Preventive Action Procedure the Customer Quality Complaint
Handling Procedure etc.. With these quality management policies we have ensured the high
reliability and high consistency of products throughout their full lifecycle.
3.2.2 Strategy and Management Mechanism
DSBJ anchors its operations in customer needs. By integrating customer needs and high-
6 32024 ESG Report of DSBJ
standard quality requirements into every phase of the business chain namely from product design
R&D procurement and production to sales and post-sales services DSBJ has implemented strict
quality risk management throughout the product lifecycle. We have achieved efficient and precise
control relying on an intelligent manufacturing system ensuring the delivery of customer-satisfying
high-quality products.The Company’s main production and operation bases have all obtained ISO9001 quality
management system certification and IATF16949 quality management system
certification.
3.2.2.1 Full Life Cycle Quality Management
The Company standardizes the research and Digital quality management
development management process and carries out
Through the establishment of
new product development design in accordance
an intelligent information
R&D quality with the Research and Development Cycle
fusion production system
management Management Procedure in order to prioritize
centered on data with deep
controlling important nodes throughout the new
interaction across multiple
product development process to enhance the
platforms and systems the
quality of our R&D efforts.Company leverages systems
such as Lesson Learn E-
With a more accurate understanding of customer
Audit QMS SRM MES to
Project requirements the Company develops project
strengthen statistical analysis
quality control plans and clarifies project control standards
of quality information data
management to ensure project management quality strictly
throughout the entire process
through scientific methods.thereby promoting the
The Company comprehensively identifies the key
Manufacturi construction of smart
processes and elements of the manufacturing
ng process factories and systematically
process management from the perspectives of
quality improving product quality.“people machines materials methodscontrol
6 42024 ESG Report of DSBJenvironment and measurement” to strengthen the
process quality control through quality control
processes thereby ensuring the reliability and
consistency of product quality.The Company requires suppliers to pass quality
management system certifications such as ISO
9001 and IATF 16949 and conducts new supplier
certification new material certification incoming
Supply material inspection and supplier performance
chain quality management according to system documents such
management as the Incoming Material Inspection Procedure.For detailed information please refer to the chapter“Excellent Governance for Stable and EfficientOperations/Sustainable Supply Chain” in this
report.The Company has established an efficient customer
response mechanism according to the Control
Procedures for Processes Related to Customers to
Customer ensure that customer needs can be agilely
demand responded to and clearly reflected and
response implemented in all aspects of the business chain
while guaranteeing the high quality of products
thereby delivering high-quality products that
satisfy customers.
6 52024 ESG Report of DSBJ
Precision Manufacturing Division —Quality House Model
Customer Satisfaction Pragmatic Execution
Cost Optimization C Robust Skills
Timely Delivery D Effective Incentives & Punishments
Consistent & Stable Product Quality Q Qualified Materials
Reliable Equipment Accurate Standards
Rigorous Review Strong Awareness
1. Reliable Equipment 5. Robust Skills
1.1 Error-Proof Coverage Rate 5.1 Skill Planning + Strict
Certification
1.2 Reduced Anomaly Alerts 5.2 Knowledge & Competency
Assessments
2. Rigorous Review (Strict Rule Enforcement) 6. Effective Incentives &
Punishments (Accountability for
Violations)
2.1 Focus on Key Points/Challenges/Pain Points 6.1 Quality/Process Discipline
2.2 Closed-loop Verification Tracking 6.2 Participation in On-site Quality
6 62024 ESG Report of DSBJ
Management
3. Strong Awareness 7. Qualified Materials
3.1 Ten Manufacturing Principles 7.1 Strict Supplier Capability
Evaluation
3.2 Consequences of Quality Failures 7.2 Supplier Improvement Support
4. Pragmatic Execution (Rule Compliance) 8. Proper Standards (Based On
Law)
4.1 Escalation Protocol 8.1 FMEA/CP/SOP Alignment
Updates
4.2 Rapid Problem Resolution 8.2 Clear Role & Process
Responsibilities
* Quality Inspection System
In order to better prevent potential product safety and quality issues the Company has
established a product and process reliability testing process and evaluation standards to achieve full
process product reliability risk management for technical elements product development and mass
production processes. We continuously improve quality standards and inspection procedures and
conduct strict inspections on products in strict accordance with the requirements of the Incoming
Material Inspection Operation Management Measures the Process Inspection Operation
Management Measures and the Product Inspection Control Procedures throughout the entire
quality management process including incoming material inspection intermediate product
inspection packaging material inspection and product inspection. Through real-time trend analysis
and monitoring of product inspection we ensure that strict quality control is carried out at every
stage from the entry of raw materials to the exit of products. For new or potential quality problems
we prioritize preventive testing solutions such as error prevention and equipment automation to
ensure that key quality elements are properly controlled.The Company has set up multiple laboratories equipped with advanced research and
6 72024 ESG Report of DSBJ
development equipment and testing instruments to conduct adhesion tests solvent resistance tests
hardness tests impact resistance tests salt spray tests etc. to provide long-term services for new
product research and development mass production product quality control and after-sales service.In terms of special testing the Company has established long-term cooperative relationships with
authoritative and certified third-party laboratories and arranges to send third-party laboratories for
testing of items that cannot be accurately tested in-house or products that require test reports issued
by authoritative organizations.Products must pass through product safety and reliability tests before mass production and
those failure to pass through the tests shall receive continuous improvement until they are qualified
so as to ensure that the product meets customer acceptance testing requirements. Any problems
found in the reliability testing process should be fed back to the production department for
continuous review and improvement to ensure product quality and stability.Key checkpoints for material and product inspection
The Company conducts quality inspections on materials To ensure the
Incoming
during the material incoming stage to ensure that the effectiveness of
material
production materials and packaging materials meet inspections and
inspection
requirements. tests at all
stages all
The Company conducts patrol inspection on the
Manufacturing measuring
manufacturing process and regular process capability
process patrol instruments are
analysis activities while monitoring the working process to
and sampling regularly
ensure that intermediate products meet the requirements
inspections calibrated with
during the production process.critical
characteristic
Finished The Company conducts strict inspections of finished
measuring
product products to ensure that only products on their appearances
instruments
inspection functions and sizes meeting the qualified standard
6 82024 ESG Report of DSBJ
requirements can be delivered and the finished products receiving MSA
have met the shipping requirements. evaluation.The Company implements reliability testing regularly to
Reliability
identify and intercept potential defects or risks in the
testing
products.* Product Recall and Non-conforming Product Management
The Company has established the Product Recall Procedure and the Non-conforming Product
Control Procedure to standardize the management procedures for non-conforming products and
clarify the responsible departments for each process to strictly control quality. If any defective
product causes an accident the Company will immediately take damage control measures to identify
the cause of the defect and completely eliminate the problem and carry out review work in a timely
manner to make continuous improvement from both technical and management aspects to prevent
the recurrence of quality incidents.* Quality Culture for all Employees
The Company continues to strengthen its quality culture development by implementing annual
quality training programs for all employees. These programs cover quality philosophy quality
control methods and corrective action implementation etc. to enhance all employees’ awareness
and competencies in quality management. Concurrently we carry out diversified quality
improvement initiatives and routinely disseminate quality management best practices in the
Company. Through various quality management promotion campaigns such as quality monthsQuality Control Circles (QCC) etc. the Company has cultivated a cultural atmosphere of “everyonecares about high quality everyone creates high quality and everyone enjoys high quality”.Quality training covers 100% of all quality-related employees.Multek held an annual The precision Rf Top Electronic held a quality
6 92024 ESG Report of DSBJ
quality work summary manufacturing division competition including an online
and commendation held an engineering skill competition involving all employees
conference to recognize competition named and an internal auditor knowledgefactories teams and “Building the Future competition to enhance overallindividuals with through Craftsmanship” quality awareness. The company alsooutstanding to enhance engineers’ implemented rigorous “strict input-contributions setting problem-solving skills. output” improvement projects
benchmarks and role targeting identified quality
models. vulnerabilities executing specialized
corrective initiatives to elevate
product quality and customer
satisfaction.
3.2.2.2 Product Chemical Safety
The Company is dedicated to minimizing environmental impacts associated with our
operations. To address this we have established a chemical safety working group responsible for
advancing chemical safety management issues such as chemical risk identification hazard
prevention emergency response strategies and the development of phase-out plans for hazardous
chemicals. We have systematically catalogued and formulated a comprehensive list of chemicals
required for and resulting from our production processes. Additionally we have implemented
whole-process management for the use of chemical substances throughout the entire process from
procurement to the final stages of usage so as to strictly manage hazardous chemical substances
present in raw materials and products and throughout the manufacturing processes. At the same
time the Company has also set chemical safety-related targets and regulates the completion of these
targets as an important part of management’s performance evaluation to ensure the reduction of
chemical substances that affect human health and the environment in the Company’s production
operations to a minimum.* Commitment and Declaration
The Company complies with the requirements of the EU Directive on the Restriction of
7 02024 ESG Report of DSBJ
Hazardous Substances in Electrical and Electronic Equipment (RoHS) (including extended
directives) the EU Regulation on the Registration Evaluation Authorisation and Restriction
of Chemicals (REACH) the Norwegian Prohibition on Hazardous Substances in Consumer
Products (PoHS) the International Electrotechnical Commission’s Standard on Material
Declaration for Products of and for the Electrotechnical Industry (IEC 62474) the Canadian
Prohibition of Certain Toxic Substances Regulations (SOR/2012-285) etc. We insist on
producing excellent products in line with green environmental protection norms and promise
that the content of hazardous substances in raw materials parts assemblies and finished
products in the Company has met the requirements of RoHS REACH and other HSF laws and
regulations as well as customer specifications. We also carry out investigations and third-party
testing for hazardous substance compliance according to the relevant standards so as to ensure
that the products produced and manufactured by us are all in compliance with the requirements.Restricted Substance Commitment
100% of our products are in compliance with the latest regulations on restricted substances in
products and customer specifications.The Company carries out investigations and third-party testing for hazardous substance
compliance on products to ensure that the content of harmful substances in the products is below
the limits specified by laws regulations and customer specifications. The hazardous substances
include but are not limited to:
* EU RoHS Directive 2011/65/EU (RoHS 2.0) and its amended directive (EU) 20151863:
lead and its compounds (Pb) cadmium and its compounds (Cd) mercury and its compounds
(Hg) hexavalent chromium and its compounds (Cr~6+) polybrominated biphenyls (PBB)
polybrominated diphenyl ethers (PBDE) bis(2-ethylhexyl) phthalate (DEHP) butyl benzyl
phthalate (BBP) dibutyl phthalate(DBP) and diisobutyl phthalate (DIBP)
* EU (EU) Directive 2019/1021 (EU Persistent Organic Pollutants Directive):
hexabromocyclododecane (HBCDD)
* Halogen-free material management requirements: fluorine (F) chlorine (Cl) bromine
(Br) iodine (I)
* REACH substances of very high concern
7 12024 ESG Report of DSBJ
* Improvement of Hazardous Substance Control List
In accordance with laws and regulations industry standards and international conventions on
hazardous chemical substance such as RoHS and REACH the Company combined with hazardous
substance control specifications and management documents received from clients has formulated
a detailed and dynamically updated Hazardous Substance Control List to specify the restricted
chemical substances in use and manufacturing process. At the same time the Company has
established elimination replacement or reduction plans for prohibited and restricted chemicals in
the Hazardous Substance Control List strictly prohibiting the re-importation of phased-out
substances into any production and non-production stage.Hazardous Substance Control List
RoHS 2.0 Revised Appendix XVII
POPs Regulations SVHC
TSCA Act New National Standard for VOC
California Proposition 65 PAH Regulations
REACH Regulation Customer Requirements
Appendix XIV Hazardous Substances Control List
* Chemical Substance Control Management Throughout the Product Lifecycle
For chemicals involved in product design and manufacturing processes the Company has
established a full lifecycle management system for hazardous substances in the products through a
series of toxic and hazardous substance and chemical management institutional norms developed
by the Company such as the Chemical Management Procedure the Hazardous Substance Risk
Management Procedure the Measures for Restriction of the Use of Hazardous Substances in
Electrical and Electronic Products and the Product Environmental Management Standards to
prevent and control potential risks of hazardous substances in products to ensure the safety.When there are significant adjustments in relevant laws and regulations or company policies
7 22024 ESG Report of DSBJ
the Company will update and adjust the hazardous substance management regulations in a timely
manner and send them to all suppliers synchronously. The suppliers are required to fill in the
Hazardous Substance Evaluation & Declaration Report again and the Company will manage and
audit the suppliers according to the latest standards. The Company maintains a continual assessment
of the hazards associated with chemicals used across various stages of the product manufacturing
process. We integrate environmental and health standards throughout all phases from product
development design to production to establish a management mechanism together with
implemented action measures to prevent the use of hazardous substances. This initiative enables us
to build a comprehensive hazardous substance management system to achieve comprehensive
oversight and control.The Company regularly conducts chemical safety training. Employees are required to attend
corresponding training on environmental hazardous substance control to systematically learn
RoHS basic knowledge and customer requirements IECQ QC 080000 hazardous substance
process management internal procedures for environmental hazardous substance control
chemical safety and other knowledge. In addition the Company actively maintains close
communication with suppliers and partners providing hazardous substance management
training to suppliers to ensure that they understand and comply with relevant standards and
requirements. DSBJ and its subsidiaries namely Dongshan Sheet Metal Mutto Optronics
Yancheng Dongchuang Multek Industries Multek China Ltd. etc. have all been certified
through the IECQ QC 080000 hazardous substance process management system.Product Lifecycle Management
The Company has established a complete process specification for chemical
product design development and use. We review new products according to the
R&D and R&D Cycle Management Procedure combining with design drawings
design inspection standards clients’ HSF requirements and HSF laws and regulations.We assess our designs according to the RoHS Design Control Procedure and
specify that it is prohibited to use the Company’s level I hazardous substances
7 32024 ESG Report of DSBJ
in the design of all material control drawings. Materials selected during the
assessment phase must pass RoHS certification and provide third-party test
reports such as MSDS/SGS simultaneously.The Company continues to carry out green procurement and requires products
provided or processed to comply with the Environmental Hazardous Substance
Control Standards and the requirements of relevant laws regulations and
Green government directives. Suppliers are required to provide declaration reports
procurement annually (e.g. Multek suppliers are required to provide the Hazardous Substance
Review & Declaration Report annually) third-party hazardous substance test
reports (including RoHS test reports/REACH reports) and updates. Only
chemicals that have passed compliance audits can be allowed for use.In order to ensure that chemicals are purchased handled stored dispensed
used discarded and disposed of in an emergency in a safe manner avoiding
Manufacture
hazards to human health as well as preventing pollution accidents each business
process
segment has formulated the Chemical Management Procedures Guidelines for
management
Safe Work in Chemical Storage and other institutional norms to improve the on-
site management of hazardous chemicals throughout the entire process.In strict accordance with product design management specifications and related
shipping management procedures the Company has confirmed that the
components and materials constituting the products are in line with the
Hazardous Substance Control List under shipping inspection items or customer-
Delivery specific requirements. We entrust third-party testing institutions to conduct
management inspections on hazardous substances under customer requirements to ensure that
the hazardous substances contained are below the limits required by laws
regulations and customer specifications. Qualified products should be labeled
with environmental compliance labels or attached with the necessary test reports
and conformity declarations etc. according to relevant requirements.
7 42024 ESG Report of DSBJ
* Chemical Replacement
Under the long-term goal of gradually eliminating hazardous chemicals the Company explores
improvement opportunities in the management of restricted substances by continuously tracking
domestic and international legal and regulatory dynamics and benchmarking the latest standard
requirements of mainstream customers. Moreover the Company also promotes various business
segments to formulate advanced hazardous substance phase-out plans actively carrying out
chemical reduction and substitution efforts.Product hazardous substance reduction plan of Yancheng Dongchuang
Material Categories Regulated hazardous substances Permitted concentration
Mercury and mercury compounds Non-detectable
Hexavalent chromium and its
Non-detectable
compounds
Polybrominated biphenyls (PBB) Non-detectable
Raw materials and Polybrominated diphenyl ethers
Non-detectable
products (PBDE)
Benzyl butyl phthalate (BBP) Non-detectable
Dibutyl phthalate (DBP) Non-detectable
Diisobutyl phthalate (DIBP) Non-detectable
Bis(2-ethylhexyl) phthalate (DEHP) Non-detectable
Ink Lead (Pb) Non-detectable
Metal Cadmium and its compounds Non-detectable
CCL/PP/Inks/Important
chemicals and products Organic halogen compounds (only Halogen content 93%
for manufacturing bromine and chlorine) Halogen-free 7%
process
Cd + Pb + Hg + Cr (VI)
Cadmium lead mercury hexavalent < 100ppm and Cd <
All packaging materials
chromium 5ppm Pb Hg Cr (VI):
non-detectable
Note: The allowable concentrations of hazardous substances for the above products are scheduled
to be achieved in stages from 2025 to 2026.[Case] MFLEX Yancheng UV laser protection film window project
In 2024 MFLEX Yancheng made great efforts in the research and development of the UV laser
protective film window project. This project employs laser technology to achieve high-efficiency
solder mask opening processes. By eliminating developing lines it reduces chemical pollution
7 52024 ESG Report of DSBJ
from wet processes while phasing out photosensitive inks minimizes volatile organic compound
emissions. These streamlined workflows further optimize facility space utilization.
3.2.3 Impact Risk and Opportunity Management
During the quality risk assessment process DSBJ systematically identifies multiple potential
risks including design/R&D risks raw material/supply chain risks production/process risks
hazardous substance risks and regulatory compliance risks. With continuously strengthened quality
risk management the Company promotes all business segments to establish internal institutional
norms such as the Risk Management Rules for Quality Management System Process and the
Organizational Environment and Risk Control Procedure clearly defining the processes of and
requirements for quality risk identification analysis evaluation mitigation and monitoring.Through various risk management tools such as Advanced Product Quality Planning (APQP)
Measurement System Analysis (MSA) In-Process Quality Control (IPQC) Statistical Process
Control (SPC) Failure Mode and Effects Analysis (FMEA) Control Plans (CP) and Production
Part Approval Process (PPAP) we have formulated corresponding control measures for different
levels of quality risks strictly controlling potential quality risks throughout the product lifecycle.To ensure the effective operation of the quality system the Company has established a
comprehensive quality audit mechanism and encouraged all business segments to formulate the
2024 audit plan including internal quality audits third-party system certification audits and
customer audit inspections. These initiatives can help us identify potential issues and non-
conformity in a timely and accurate manner ensuring the effectiveness of the quality management
system.In addition the Company regularly conducts the identification assessment and control of
hazardous substance risks based on the overall risk management normative framework and
documents such as the Hazardous Substance Risk Management Procedure and the Supplier’s
Hazardous Substance Management Procedure in order to safeguard product quality and safety.
3.2.4 Indicators and Targets
Indicators and Targets Achievement in 2024
No customer complaints for hazardous Targets achieved
7 62024 ESG Report of DSBJ
substance
None of the supplier’s incoming materials Targets achieved
violate the HSF standards.
3.3 Professional Services
3.3.1 Customer Relationship Management
Guided by a customer-centric approach DSBJ strives to provide customers with
comprehensive one-stop and technologically advanced solutions to meet their customized needs.We continuously the customer service system to ensure quick responses and efficient handling of
customer requests thereby establishing a good and long-term relationship with customers.* Quality Service
By deeply understanding the expectations and needs of our customers we provide personalized
solutions to customers and are committed to responding to customers with reliable services promptly
throughout the entire customer service process covering pre-sale in-sale and after-sale stages. We
render efficient professional and high-quality services oriented towards customer needs.Subject to service management systems such as the Control Procedures for
Processes Related to Customers and the Customer Satisfaction Management
Improving
Procedures we streamline the entire service process covering pre-sale in-
service system
sale and after-sale stages to promote the standardization and efficiency of
service processes.We communicate with customers through multiple channels such as emails
Facilitating phone calls video conferences and offline visits and regularly meet
communication customers to listen to their opinions and feedback on the Company and its
channels products and promptly address any issues raised by customers thus
establishing a good trust relationship with customers.* After receiving customers’ service requests we respond efficiently and
Responding
arrange personnel to provide service support in a timely manner.demands
promptly * We adopt digital technologies such as automation and artificial
intelligence to expedite the order processing speed and the confirmation
7 72024 ESG Report of DSBJ
of customer order-related information enhancing the efficiency and
accuracy of customer service.Through more excellent service awareness and professional skills training
we improve the service response system and elevate our professional service
capabilities.* MFLEX Electronics established customer reception offices by regionProfessional implementing 24-hour service support through a structure of “dedicatedservice support personnel stationed at specific points + flexible personnel”.* Suzhou Dongyue set up an exclusive service team for its key customers
which provided one-stop and comprehensive services covering early
project docking product customization development and continuous
tracking after mass production delivery.* Customer Complaint Management
The Company values customers’ opinions and feedback and drives various business segments
to improve their customer complaint management. The Company has formulated a series of
institutional documents such as the Customer Complaint Handling Process the Customer
Complaint Handling Process Management Measures to establish an efficient response and
processing mechanism. For customers’ feedback we have carried out an analysis and made active
rectifications to ensure that our solution can meet the requirements of the customers.Complaint Handling Process
Timely processing Exception investigation Improvement tracking
Customers can file complaints The Company will investigate The Company will analyze
or provide feedback through the defective products and the reasons and provide
the 24-hour toll-free service related matters based on timely feedback to customers
hotline. The Company will customer feedback. clarifying corrective and
promptly handle customer preventive measures for such
complaints with a focus on events with prompt correction
understanding the issues and prevention of related
thoroughly and maintain problems.
7 82024 ESG Report of DSBJ
detailed records of customer
complaints and solutions.Customer complaint response rate is 100%
Customer complaint resolution rate is 100%
* Customer Satisfaction Management
The Company mandates all business segments to establish an institutional framework
composed of the Customer Satisfaction Management Procedures the Service Delivery and
Customer Satisfaction Management Procedures and the Customer Satisfaction Monitoring and
Measurement Guidelines etc. We conduct regular customer satisfaction surveys across key
functional areas such as procurement quality assurance engineering technical support and
customer service and make systematic customer follow-ups according to findings from these
surveys enabling timely identification of issues and implementation of targeted improvement
measures to continuously enhance product and service quality.MFLEX’s customer Multek’s customer satisfaction LED division’s customer
satisfaction rate: 98% rate: 96% satisfaction: 96%
Touch control division’s customer satisfaction: Precision manufacturing division’s customer
91%-96% satisfaction: 92%-98%
3.3.2 Responsible Marketing
With adherence to a scientific rigorous and responsible marketing promotion concept DSBJ
strictly complies with the Consumer Rights Protection Law of the People’s Republic of China the
Anti-Unfair Competition Law of the People’s Republic of China the Advertising Law of the People’s
Republic of China and other laws and regulations and relevant provisions. We have formulated a
series of institutional norms such as the Sales Management System the Market Development
Management Specifications and the Project Operation Management Specifications which provide
accurate and comprehensive information in market development customer sales and product
labeling management ensuring that products are promoted in an ethical scientific and objective
7 92024 ESG Report of DSBJ
manner.* Marketing Compliance Management
The Company continues to improve the responsible marketing compliance management
system and clarifies marketing compliance responsibilities and processes. In the marketing
promotion process with strict adherence to anti-unfair competition and anti-monopoly requirements
all promotional information should be accurate clarified and transparent and any violations in
marketing activities should be promptly addressed. In accordance with the Code of Business Ethics
and other documents it is clearly provided that when employees expand business and engage in
commercial activities they should comply with relevant national laws and regulations and the
Company’s code of ethics and conduct external business activities in accordance with the
Company’s procedures and disciplines.* Marketing Review Management
The Company establishes a standard process for product information generation and review to
ensure all information is verified. With a multi-party review mechanism established product
information is required to be reviewed by R&D quality legal marketing and other departments to
ensure accuracy and compliance and free of any false exaggerated or misleading information. If
necessary third-party organizations will be introduced for independent reviews to ensure the
information is objective and accurate.* Responsible Marketing Training
The Company promotes each business segment to formulate an annual responsible marketing
training plan. Yancheng Dongshan and MFLEX Electronics regularly conduct specialized training
for marketing personnel on product knowledge responsible marketing-related regulations customer
communication business ethics etc. Through these initiatives we can ensure that our employees
accurately understand and convey product information and are aware of and subject to related
principles and regulations so as to achieve ethical scientific and precise communication.
8 02024 ESG Report of DSBJ
4. Advancing a Clean and Low-Carbon Production System for a
Greener Future
Sustainable Development Goals of the United Nations(SDGs)
4.1 Environmental Management
Under the principle of prioritizing environmental protection the Company integrates the
concept of green development into its operations to minimize the impact on the environment while
enhancing the Company’s competitiveness so as to achieve a win-win situation between economic
benefits and environmental protection.* Environmental Management System
The Company strictly complies with environmental protection laws and regulations such as the
Environmental Protection Law of the People’s Republic of China the Air Pollution Prevention and
Control Law of the People’s Republic of China the Energy Conservation Law of the People’s
Republic of China the Water Pollution Prevention and Control Law of the People’s Republic of
China and the Solid Waste Pollution Prevention and Control Law of the People’s Republic of China
and continuously improves the environmental management system in accordance with the
requirements of standards such as ISO 14001 environmental management system and ISO 50001
energy management system. The Company has set up an EHS working group composed of
employees from the company headquarters and each division EHS department responsible for
coordinating promoting and supervising various business segments to plan and implement EHS
812024 ESG Report of DSBJ
programs and objectives. The Company’s EHS management system covers 100% of all relevant
business segments.Each business segment of the Company formulates a series of institutional norms such as EHS
manuals environmental management manuals and related management procedures and sets
environmental management goals according to its own situation such as zero environmental
accidents meeting emission standards carbon reduction targets etc. These goals are then separated
and cascaded down to relevant departments the completion of which is linked to the performance
evaluation of relevant management personnel (in the form of a veto item regular assessment item
bonus item).Indicators and Targets Achievement in 2024
No major environmental Targets achieved
pollution incidents
Ensuring 1 or 2 new entities are Targets achieved
certified to management system MFLEX: UL 2799 Zero Waste to Landfill ISO 14067
green low-carbon related Product Carbon Footprint
systems or granted with honors Mutto Optronics: ISO 50001 Energy Management System
JDI Electronics: ISO 50001 Energy Management System
ISO 14064 Greenhouse Gas Verification
Yancheng Dongchuang: ISO 14001 Environmental
Management System
Suzhou Dongyue: ISO 14001 Environmental Management
System
Total environmental investment for the year amounted to RMB 254584200.MFLEX Multek Touch Technology Division LED Division part of plants of Precision
manufacturing division (Rf Top Electronic Suzhou Dongyue Yancheng Dongchuang Sheet
Metal Plant) DSBJ PTE. LTD. has all passed the ISO 14001 environmental management
system certification.
8 22024 ESG Report of DSBJ
MFLEX Suzhou has been awarded the title of Jiangsu Province Green Factory and that of
Jiangsu Province Green Development Leading Enterprise; and Multek Industries has been
awarded the title of Guangdong Province Green Factory.Multek China Ltd. Multek Industries Multek Electronics and Multek Technology have beenrecognized as the “2023 Advanced Enterprise in Green Manufacturing and EnvironmentalProtection”.MFLEX Yancheng Multek China Ltd. and Multek Industries have passed the clean
production audit.* Environmental Risk Prevention and Control
The Company continuously improves the environmental risk control mechanism in
combination with the requirements of the ISO 14001 environmental management system. We
actively promote environmental impact assessments and hidden danger inspections in key plants
clarifying environmental factors that can be controlled and influenced in activities products and
services and supervising following and managing their environmental impacts from a lifecycle
perspective. We promote various production and operation entities to enhance environmental
emergency management formulate special plans for emergency environmental incidents and
conduct special emergency drills in order to improve their emergency response capabilities for
environmental incidents to minimize environmental impacts.* Environmental Audit
DSBJ has established an internal EHS audit mechanism to conduct regular environmental
audits across all production units. The audit scope primarily covers among others EHS compliance
the operation status of pollutant treatment facilities discharge of wastewater waste gas and solid
waste waste storage and disposal practices storage and usage of hazardous chemicals
environmental hazard investigations emergency response plans and emergency drills. The auditing
methods include headquarters audits (quarterly) strict self-inspection by subordinate enterprises
and self-monitoring conducted by accredited third-party testing companies as needed. In addition
all operational bases regularly cooperate with regulatory authorities and external stakeholders to
carry out external environmental audits. The Company sets rectification deadlines based on the
8 32024 ESG Report of DSBJ
severity of audit findings with dedicated departments continuously tracking corrective actions to
ensure the applicability and effectiveness of the environmental management system.* Environmental Protection Training
The Company regularly conducts special training activities on environmental protection
organizing employees to learn about environmental laws and regulations standards systems and
the implementation of environmental management through various forms so as to help employees
enhance awareness and capabilities in environmental protection. During the reporting period the
environmental protection training covered 100% of the main operating bases.The Company’s headquarters and MFLEX JDI Electronics environmental training
division organized a special seminar on zero
waste to landfill
Environmental facility maintenance EHS Training in DSBJ PTE. LTD. (the
training in Dongchuang Plant of Precision Mexican branch)
Manufacturing Division
4.2 Addressing Climate Change
4.2.1 Governance
DSBJ establishes a sound governance structure to continuously improve the identification
8 42024 ESG Report of DSBJ
assessment management and disclosure of climate risks and opportunities. The Board of Directors
assumes a leadership role in the management of and decision-making on climate change issues. It
is responsible for reviewing the assessment of ESG-related risks and opportunities including
climate change issues and approving climate-related plans targets and response programs and
overseeing their implementation. The EHS working group is responsible for assessing and analyzing
climate change risks and opportunities formulating strategic goals and implementation plans to
address climate change and promoting the practice of relevant work through closed-loop
management. This working group also regularly collects and tracks climate change-related data and
target progress.
4.2.2 Strategy and Management Mechanism
After fully analyzing the risks and opportunities brought by climate change DSBJ has
integrated climate action into its corporate strategic decision-making. We incorporate green and
low-carbon requirements throughout the entire project lifecycle - from planning and construction to
operation - while promoting green transformation to strengthen climate resilience.
8 52024 ESG Report of DSBJ
Category Risk/Opportunity Description Impacted Cycle Potential financial Response measures
impact
Physical risk Acute * Extreme weather events Short-term Medium- Operating revenue ? * Strengthen the identification
risk triggered by climate change and-long-term Operating costs? and management of climate
(such as floods typhoons high Fixed asset value ? change risks and improve
temperatures etc.) may cause emergency plans to enhance the
direct damage to DSBJ's assets ability to respond to extreme
and production facilities which weather events ensuring
will affect normal production business continuity.and operations. * Optimize the supply chain
layout to reduce dependence on
Chronic * Rising temperatures and water Long-term Operating costs ? high-risk areas.risk resource risks may affect supply
chain stability and increase
operating costs.
862024 ESG Report of DSBJ
Category Risk/Opportunity Description Impacted Cycle Potential financial Response measures
impact
Transition Policy and * Responses to policy changes Medium-term Long- Operating costs ? * Proactively connect with local
risk regulatory may lead to increased company term policy authorities timely
risks costs and strengthened researching following up and
operational constraints. promoting policy changes to
strengthen compliance
management.* Incorporate climate change
Market and * Due to continuously increased Medium-term Long- Operating revenue ?
responses into corporate
technologi customer demands for low- term Operating costs ?
strategy and proactively deploy
cal risks carbon products and green
low-carbon technology research
supply chains the layout of
and development low-carbon
green industries and
product development and
technologies will enhance the
industry layout to meet
competitiveness of the
customer demands for low-
Company’s products. However
carbon solutions thereby
since the low-carbon
8 72024 ESG Report of DSBJ
Category Risk/Opportunity Description Impacted Cycle Potential financial Response measures
impact
transformation requires enhancing market
significant technological competitiveness.innovation and process * Clarify the Company’s
equipment upgrades we may development path under the
make a large investment in the “dual carbon’ goal” conducting
research and development and a comprehensive assessment of
application of low-carbon investment returns and
technologies. feasibility before implementing
Climate Products * Seize opportunities in green Medium-term Long- Operating revenue ? low-carbon transition projects
Opportunities and industry development to create term and adopting the optimal
services new product directions and solution based on actual
solutions through low-carbon conditions.technology R&D and green
product development so as to
enhance product
8 82024 ESG Report of DSBJ
Category Risk/Opportunity Description Impacted Cycle Potential financial Response measures
impact
competitiveness and explore
new growth points.Resource * Increased investment in low- Medium-term Long- Operating costs? * By optimizing the energy
efficiency carbon technology R&D can term structure and strengthening
improve energy utilization energy management we tap into
efficiency reduce production the emission reduction potential
costs and enhance market and reduce energy consumption
competitiveness. costs.
8 92024 ESG Report of DSBJ
4.2.2.1 Clean Technology Opportunities
Upholding the concept of green development DSBJ has established a core strategic focus on
the dual drivers of “consumer electronics + new energy” by integrating clean technology innovation
into the company strategy. Under this strategy we are fully concentrating on the two core tracks:
consumer electronics and new energy. While steadily advancing its consumer electronics business
the Company leverages its technological expertise accumulated in consumer electronics and
communication equipment to deeply expand into industries like new energy vehicle core
components. With continuous innovative research and development in the field of new energy
vehicle components we have established an industrial development framework centered on
consumer electronics and new energy vehicles striding confidently toward a new era of green and
high-quality development.In recent years the Company has accelerated its new energy business through a series of
strategic layouts including supplying new energy vehicle clients with electronic circuit products
(FPC and rigid boards) vehicle displays and functional structural components. Our acquisition of
foreign enterprises such as Aranda AutoTech US and AutoTech Mexico further consolidates the
cooperative relationship with new energy vehicle and energy storage clients in North America. As
the overseas production base in Mexico and the new energy vehicle component production base in
Kunshan City have officially commenced operation the synergy effects of the Company’s industrial
chain continue to strengthen providing more product solutions for customers in the new energy
vehicle industry. In addition the Company is actively laying out in the energy storage field
continuously expanding its product line to meet the market demand for high-performance battery
management systems.In 2024 DSBJ made significant progress in the fields of new energy such as new energy
vehicles and energy storage business. The Company’s core business electronic circuits achieved
sales revenue of RMB 24.8 billion. The new energy business realized a revenue of approximately
RMB 8.65 billion with a year-on-year increase of 36.98% accounting for about 23.52% of total
revenue. Therefore it has become a new growth driver for the Company’s high-quality development.In the future the Company will continue to align its R&D and production expansion with the high-
902024 ESG Report of DSBJ
end consumer electronics and new energy sectors continuously diversifying product portfolios and
solution offerings to contribute to the advancement of the global new energy industry.While expanding into the green industry the Company is also committed to providing more
environmentally friendly high-quality products. By increasing the R&D and promotion of clean
technologies the Company actively applies new materials new equipment new processes and new
technologies to provide more environmentally friendly solutions for the industry.
4.2.2.2 Low Carbon Operations
In active response to the national “dual carbon” initiative the Company proactively formulates
carbon neutrality goals and pathway planning and progressively drives all divisions to improve
energy management frameworks and develop energy management target plans. We conserve energy
and reduce emissions from three perspectives namely management-driven energy conservation
technological energy conservation and energy structure optimization to continuously enhance
corporate energy management capabilities to achieve low-carbon operations.The parent company of DSBJ and MFLEX Suzhou MFLEX Yancheng Multek Industries
Multek China Ltd. JDI Electronics Mutto Optronics have all passed the ISO 50001 energy
management system certification.MFLEX Multek JDI Electronics Mutto Optronics have all passed the ISO 14064 Greenhouse
Gas verification.MFLEX Suzhou and Multek Industries have all passed the ISO 14067 carbon footprint
certification.* The Company drives all divisions to formulate a series of institutional norms
Manageme
such as the Energy Management Manual and the Energy Management
nt energy
Procedures establishing and improving energy conservation and emission
conservatio
reduction indicator systems monitoring systems and assessment systems to
n
achieve controllable and manageable energy usage. We also establish an
9 12024 ESG Report of DSBJ
energy conservation team to conduct energy-saving audits and manage
review meetings for regular evaluation of energy management goals to ensure
their steady progress.
01 On-site audit 04 Improvement tracking
02 Report submission 05 Improvement confirmation
03 Improvement plan 06 Continuous improvement
submission
* The Company promotes key operating entities to gradually establish a smart
energy online monitoring system. We achieve real-time monitoring and
analysis of energy consumption of major equipment to promptly detect
abnormal energy consumption. We also grasp energy consumption trends and
changes at different positions and time periods by virtue of information
technology and big data analysis to identify energy-saving improvement
opportunities. And accordingly we continuously optimize energy use
strategies to further improve the Company’s energy efficiency.Technologi The Company replaces old high-energy-consuming and inefficient equipment and
cal energy adopts more efficient production technologies and processes to improve energy
conservatio efficiency and achieve operational emission reduction.n
The Company increases the consumption proportion of clean energy and
Energy
renewable energy and gradually increases the share of green electricity through
structure
measures such as expanding photovoltaic power generation and purchasing green
optimizatio
electricity. Photovoltaic power generation equipment is installed in all effective
n
places of the plants.
9 22024 ESG Report of DSBJ
Case: MFLEX Suzhou fully implements the “dual carbon” action to promote green
and high-quality development
MFLEX Suzhou has established an energy dual carbon management team and formulated
comprehensive energy management regulations including the Management Procedures for
Baseline Performance Parameter of Energy Target Indicators the Energy Design Management
Procedures the Energy Operation Management Procedures the Energy Measurement
Management Objectives and Implementation Evaluation Work Instructions and the Energy
Review Management Procedures. With these regulations MFLEX Suzhou systematically
advances energy conservation and emission reduction through demand-side and supply-side
initiatives while actively pursuing certifications such as ISO 50001 Energy Management
Systems ISO 14064 Greenhouse Gas Verification and ISO 14067 Carbon Footprint
Certification to transition toward green high-quality development. In 2024 MFLEX Suzhou
completed a total of 20 energy-saving projects saving a cumulative electricity amount of 13.05
million kWh.MFLEX Suzhou’s “dual carbon” goal: Achieving carbon neutrality at the operational level by
2030
MFLEX Suzhou’s energy conservation and emission reduction goal for 2024: 3% reduction
9 32024 ESG Report of DSBJ
in output energy consumption compared to 2023
* Enhance the precision management level of energy consumption statistics and monitoring:
MFLEX Suzhou expanded the coverage of on-site energy metering (metering instruments
were installed for energy-consuming equipment greater than 50kW) strengthened
integration with facility operations and MES data and normalized the monitoring of daily
on-site unit product energy consumption data in major processes (workshops) to improve
the precision management level of energy.* Improve processes and upgrade production equipment: MFLEX Suzhou replaced and
upgraded on-site wet process line fans and other equipment selecting the most energy-
efficient motors without affecting production conditions and product quality with an
expected energy saving rate of 50%.* Build rooftop photovoltaics to optimize energy structure: MFLEX Suzhou’s existing
rooftop photovoltaics totaled 4.4MW which ensured stable power generation. It also
purchased clean energy (wind/solar power) and green power certificates to contribute to
addressing climate change.* Promote energy-saving technologies: MFLEX Suzhou fully promoted entry-level projects
including energy-saving projects such as efficient lighting free cooling and compressed
air system waste heat recovery as well as boiler projects like economizer installation
condensate recovery and flue gas waste heat recovery.
9 42024 ESG Report of DSBJ
4.2.3 Impact Risk and Opportunity Management
DSBJ has established a process and framework for managing climate risks and opportunities
to identify analyze evaluate and clearly understand the scope of climate change risks and
opportunities thereby enhancing climate resilience.Identification of We identify climate risks and opportunities based on the framework
Climate Risks and recommendations of the IFRS Sustainability Disclosure Standards No. 2
Opportunities - Climate-related Disclosures and the Guidelines for Self-regulation of
Listed Companies No. 17 - Sustainable Development Report (Trial) from
Shenzhen Stock Exchange.Materiality Assessment We assess the likelihood of risk occurrence the degree of risk impact the
on Climate Risks and extent of financial impact etc. through internal and external
Opportunities environmental studies and risk management tools to identify significant
climate change risks and opportunities and their impacts on the Company.Management of Climate With the integration of material risks and opportunities into corporate risk
Risks and Opportunities management we continuously strengthen risk mitigation strategies
conduct targeted risk management and response initiatives and regularly
monitor and track implementation progress in order to ensure alignment
with policy trends market developments client requirements and other
critical factors.
4.2.4 Indicators and Targets
Indicators Unit 2024
Direct Gasoline Ton 82.42
energy Diesel Ton 56.16
Natural gas m3 6914644.40
Indirect Purchased electricity kWh 915239602.84
energy Solar energy/PV kWh 39323394.00
Total energy consumption tce 121882.54
GHG Direct GHG emissions (Scope 1) tCO2e 15525.31
9 52024 ESG Report of DSBJ
emissions Indirect GHG emissions (Scope 2) tCO2e 491117.57
Total GHG emissions (Scope 1 and tCO2e
506642.88
Scope 2)
GHG emission intensity tCO2e /RMB10000 0.1378
of revenue
4.3 Resource Utilization and Circular Economy
4.3.1 Water Resources Management
The Company’s water resources mainly come from the municipal water supply. The main
production and operation sites with large water consumption are located in areas with lower water
resource risk levels. The Company has formulated water management procedures and the EHS
Management Committee of each division is responsible for the coordination and supervision of
water resources management. We promote the establishment of water-saving teams/appointment of
water-saving specialists in key plants and formulate annual water-saving plans and implementation
schemes to minimize water consumption and promote the sustainable use of water resources. During
the reporting period the Company experienced no major violations related to water resources.* Water balance analysis. We conduct water balance analysis to measure and analyze the supply
use and discharge of water during the factory production process and formulate targeted measures
to improve water resource utilization rates. As of the end of the reporting period MFLEX Multek
and JDI Electronics have all carried out water balance analysis.* Water conservation. We formulate a water consumption quota plan and monitor and follow
up on the monthly water consumption situation to find out the weak links and strengthen the daily
water conservation management. We regularly maintain and manage the water consumption
equipment through water-saving facilities and appliances such as installing sensor water-saving
controllers in the sheet metal plant of the Precision Manufacturing Division to eliminate the
phenomenon of water leakage drip and spill. We also carry out water conservation publicity
activities with enhanced water conservation publicity efforts to advocate the water conservation
trend.
9 62024 ESG Report of DSBJ
* Water recycling. The Company actively promotes water recycling technology in production
operations. We renovate and upgrade recycling water treatment facilities for collecting treating and
reusing production wastewater to improve water resource utilization efficiency and reduce the
impact of wastewater discharge on surrounding water bodies. We retrofit or construct rainwater
reuse irrigation systems on production and operation sites purifying and treating collected rainwater
for greening cleaning and other non-potable uses so as to reduce the reliance on municipal water
supply.* Water risk reduction. During the selection process for new project investments we with full
consideration of water resource risks constantly monitor the risk of water shortages and assess water
use strategies to ensure that the water supply can guarantee necessary production operations.Case: MFLEX Suzhou practiced innovative water-saving management initiatives
MFLEX Suzhou comprehensively promoted the construction of water-saving factories
focused on strengthening employee water-saving awareness optimizing water equipment
management and innovating technology applications. In 2024 MFLEX Suzhou conducted
water-saving operational training for key equipment operators new employees and temporary
workers and selected personnel to participate in the “water saving specialist” training organized
by the district-level water affairs bureau to enhance professional management skills. The
company also implemented multiple water resource recycling projects achieving significant
water-saving benefits.* 100% reuse rate for RO concentrated water: The RO concentrated water is pretreated
through the water recycling system and redirected back to the purified water production
plant for reuse in manufacturing processes with an annual recycling volume projected at
500000 tons. Residual RO concentrated water can be used for toilet flushing with an
estimated annual tap water conservation of 35000 tons.* Rainwater resource utilization: Rainwater harvesting and treatment facilities are
constructed through which 12000 tons of rainwater can be reused annually for landscape
irrigation and cleaning purposes.* Production line water-saving renovation: The “Production Line Reverse-Flow Rinse
9 72024 ESG Report of DSBJSystem” is implemented for utilizing conductivity control technology to enable water
recycling within production line tanks with an annual water circulation volume of
1000000 tons.
Case: Multek installed intelligent water-saving devices
In 2024 Multek invested RMB 600000 to install intelligent water-saving devices and the
supporting online water-saving monitoring system for the five plating lines and DES lines that
consume the most water which is expected to save 71221 tons of water per year.Indicators Unit 2024
Total water intake Ton 8754913.91
Total water discharge Ton 6306144.37
Total water 2448769.54
Ton
consumption
Water consumption Ton/ RMB 0.6660
intensity 10000 of revenue
Water recycling Ton 65293717.32
Recycled water ratio % 88.18%
4.3.2 Green Packaging
DSBJ promotes the reduction of packaging materials throughout the product lifecycle in
packaging design production transportation and sales stages through internal recycling and
9 82024 ESG Report of DSBJ
resource recovery and reuse methods reducing the use of natural resources and the impact on the
ecological environment.Case: MFLEX implements tray recycling management
In the SMT (Surface Mount Technology) process plastic trays are extensively used to carry
flexible circuit boards (FCBs). MFLEX targeting “resource circularity” designed and advanced
a tray recycling and reuse model. After transporting FCBs to the stamping process trays undergo
visual inspections for cavity integrity and structural stability of support pillars and the qualified
trays are reused for the next batch of FCB loading. Accordingly a closed-loop management
system of “use-inspection-return” is established which can achieve cost reduction efficiency
improvement and green development.
4.4 Pollution Prevention and Ecosystem Protection
4.4.1 Emissions and Waste Management
The Company complies with relevant laws and regulations such as the Law of the People’s
Republic of China on the Prevention and Control of Water Pollution the Law of the People’s
Republic of China on the Prevention and Control of Environmental Pollution by Solid Waste and
the Law of the People’s Republic of China on the Prevention and Control of Air Pollution as well
as local emission standards. We have established the “Three Wastes” Management Policy the
Hazardous Waste Management Policy and other relevant management procedure documents and a
comprehensive “three wastes” emission monitoring and control system involving various business
segments. We minimize the impact of emissions on the environment under the principle of
“reduction recycling and re-utilization” on the basis of ensuring compliance with emissions
standards. During the reporting period the Company encountered no incidents of exceeding
pollutant standards or illegal discharge of exhaust gas and wastewater nor any illegal violations
related to waste disposal.Indicators and Targets Achievement in 2024
100% compliance rate of “three wastes” emissions
0 environmental pollution accidents Targets achieved
9 92024 ESG Report of DSBJ
100% compliance rate of hazardous waste disposal
4.4.1.1 Wastewater Discharge Management
The Company’s wastewater mainly comes from domestic sewage and industrial workshop
wastewater. The Company has established targeted system guidelines such as the Water Pollution
Control Management Benchmark to regulate wastewater discharge control treatment processes
monitoring emergency management etc. Domestic sewage is discharged into the municipal sewage
network while production wastewater is discharged into the comprehensive wastewater treatment
system after meeting the standards through processes such as coagulation precipitation
biochemical treatment MBR membrane filtration etc.. The wastewater discharge at major operating
bases is monitored by internal management personnel and third-party personnel. The Company
optimizes the wastewater treatment process based on different production conditions to enhance the
effectiveness of pollutant treatment. We install online pollutant monitoring systems at discharge
outlets for connecting with national provincial and municipal environmental protection
departments to jointly monitor the discharge of wastewater including flow rate pH value chemical
oxygen demand ammonia nitrogen etc.Case : Grinding wastewater treatment project of the Touch Technology Division
The Touch Technology Division has customized a wastewater treatment plan for grinding
wastewater and cleaning machine wastewater. According to this plan wastewater will return to
the pure water system’s raw water tank after treatment by using a combination of sand carbon
and ultrafiltration process through various key equipment such as collection systems filtration
systems and ultrafiltration systems. With this method the Touch Technology Division has
achieved wastewater reuse significantly reducing water costs and environmental impact.Case: High-temperature evaporation zero discharge system of the sheet metal plant
of the Precision Manufacturing Division
In order to achieve environmental protection and efficient utilization of resources the
Sheet Metal Plant of the Precision Manufacturing Division actively upgraded its wastewater
treatment. It introduced low-temperature evaporation equipment to concentrate the hazardous
10 02024 ESG Report of DSBJ
waste in surface treatment tanks which successfully reduced the waste liquid in surface
treatment tanks by over 80% thereby effectively decreasing the amount of hazardous waste to
be treated. It also installed a high-temperature evaporation system at the water treatment station
which greatly reduced environmental pollution and improved the recycling rate of water
resources due to achieving “net zero discharge” for the entire water treatment station.Indicators Unit 2024
Total wastewater 6041113.37
Ton
discharge volume
Chemical oxygen 7548.66
Ton
demand
Ammonia nitrogen 148.81
Ton
emission
4.4.1.2 Exhaust Emission Management
Types of exhaust emissions mainly include volatile organic compounds hydrogen chloride
sulfuric acid mist hydrogen cyanide nitrogen oxides particulate matter etc. generated during the
production process. The Company strictly complies with relevant laws regulations and standards
such as the Law of the People’s Republic of China on the Prevention and Control of Air Pollution.All exhaust emission outlets are designed and installed in accordance with national standards. The
exhaust gases are emitted into the atmosphere through high exhaust pipes after being treated by
high-efficiency air filters. Exhaust emissions at major operating bases are monitored by internal
management personnel and third-party agencies to ensure emission compliance. We continuously
optimize environmental treatment processes and upgrade high-efficiency end treatment devices to
further reduce exhaust emissions on the basis of emission compliance.Case: Construction of an efficient exhaust treatment system at the Dongyue Plant of
the Precision Manufacturing Division
The Dongyue Plant of the Precision Manufacturing Division has developed and
10 12024 ESG Report of DSBJ
implemented efficient treatment plans for different types of exhaust gases. In terms of exhaust
gas treatment in the electrophoresis line targeted treatment processes are used according to the
type of exhaust gas to ensure compliance with discharge standards. Meanwhile the Dongyue
Plant also accurately calculates exhaust gas flow rate and fully considers the needs of exhaust gas
treatment when selecting and designing equipment such as spray towers to ensure the stability of
the treatment effect. In terms of exhaust gas treatment in the welding workshop a cartridge dust
collector is used for treatment. The exhaust gas is divided into three streams based on the layout
of the workstations and introduced into different cartridge dust collectors. After treatment the
gases are collected and discharged through the exhaust chimney. The cartridges used in the
treatment are made of nano flame-retardant filter material so as to ensure system safety while
achieving efficient dust removal.Waste gas treatment device
Indicators Unit 2024
Volatile organic compounds (VOCs) 1050.10
Ton
emissions
20.42
Nitrogen oxides (NOx) emissions Ton
1.90
Sulfur oxides (SOx) emissions Ton
10 22024 ESG Report of DSBJ
8.94
Particulate matter (PM) emissions Ton
4.4.1.3 Waste Emission Management
The waste generated by the Company is divided into two categories: non-hazardous waste and
hazardous waste. Non-hazardous waste mainly includes household garbage waste plastics waste
paper waste textiles etc. while hazardous waste mainly includes sludge waste printed circuit
boards and scraps dry film residue and contaminated waste (filter cores empty barrels ink cans
etc.). The Company strictly complies with relevant laws and regulations such as the Law on the
Prevention and Control of Environmental Pollution by Solid Wastes and the Measures for the
Administration of the Transfer of Hazardous Waste. In accordance with guidelines such as the Waste
Management Benchmark the Hazardous Waste Management Plan and the Benchmarks for
Selection of Contractors for Waste Treatment we have established strict waste treatment processes
and safety operating procedures clearly defined qualification standards for waste contractors and
regularly organize EHS personnel to assess the operation of waste to ensure its harmlessness.Through these initiatives we may minimize the impact of waste on the environment and human
health.The Company has established hazardous waste warehouses equipped with
waterproof and leak-proof measures where hazardous wastes are strictly
classified stored temporarily and managed by designated personnel
Hazardous according to the Standard for Pollution Control on Hazardous Waste Storage
(GB18597-2023). We also submit warehousing applications to the
waste
governments’ electronic systems of hazardous waste management and
regularly entrust agencies with professional treatment qualification to remove
and dispose of hazardous wastes.Non-hazardous wastes in the plants are prioritized for recycling. They are
Non- transferred to designated storage points within the specified time. General
production solid waste is collected and processed by qualified agencies for
hazardous
comprehensive utilization while household garbage is collected uniformly and
waste then removed by the sanitation department on a regular basis under
entrustment. Waste oils are stored in dedicated containers and regularly
10 32024 ESG Report of DSBJ
recycled by qualified agencies under entrustment.Adhering to the principle of “reduction reutilization and harmlessness of solid waste” the
Company promotes the process of solid waste reduction and minimizes the generation of waste
through the optimization of production processes and resource recycling.MFLEX Suzhou was awarded the title of “Waste-Free Factory in Suzhou City”
Multek Industries was enlisted in the “Waste-Free City Cell” in Zhuhai City
MFLEX Suzhou has obtained the highest Platinum-level Certification of the UL2799 Net Zero
Waste to Landfill Program
Case: Implementation of waste data tracking by Yancheng Dongchuang Plant of the
Precision Manufacturing Division
Yancheng Dongchuang Plant of the Precision Manufacturing Division has actively
introduced an advanced management tool - the Waste Data Tracking Record (WTR). Through
precise data recording and analysis this plant comprehensively optimizes the waste disposal
process continuously making progress towards the goal of net zero landfill. Yancheng
Dongchuang Plant accurately inputs WTR data monthly recording related data for each type of
waste such as the monthly disposal amount external reuse amount internal reuse amount and
waste reduction etc. Through in-depth analysis of WTR data it was found that scrap metal
waste (such as aluminum scrap iron scrap etc.) is generated in large quantities. Considering the
existing recycling rate is already high and there is limited room for improvement it is planned
to further improve the recycling efficiency by strengthening cooperation with recyclers.Case: The Advancement of waste management of MFLEX Suzhou PlantAround the environmental goals of “reduction resource utilization and harmlessness ofsolid waste” MFLEX Suzhou Plant has continued to make efforts to reduce waste in a multi-
dimensional way according to the internal management guidelines in the Waste Disposal
10 42024 ESG Report of DSBJ
Management Operation Guidelines. In 2024 MFLEX Suzhou’s plant achieved a 98.26%
comprehensive utilization rate for general industrial solid waste and an 83.56% utilization rate
for hazardous waste ranking among the industry’s highest benchmarks. MFLEX Suzhou was
awarded the title of “Waste-Free Factory in Suzhou City” and certified by the highest Platinum-
level Certification of the UL2799 Net Zero Waste to Landfill Program
* In terms of source reduction MFLEX Suzhou has continuously introduced advanced
equipment over the years. The centrifuge dryer introduced for dehydrating hazardous
waste filter elements has effectively reduced dry film residues and waste filter elements by
approximately 50% equivalent to 700 tons per year. And the sludge dryer newly installed
for low-temperature drying of copper-containing sludge and nickel-containing sludge has
significantly reduced sludge’s moisture content from ~65% to ~35% achieving an annual
sludge reduction of approximately 3000 tons.* In terms of resource recycling cowhide paper and pads used in production are reused
multiple times. Especially by using undamaged cowhide paper from the lamination
process in the copper plating process MFLEX Suzhou reused approximately 600 tons of
cowhide paper annually.* In the waste disposal phase MFLEX Suzhou has strictly controlled the waste disposal and
entrusts a third party that does not dispose of solid waste by landfill methods to dispose of
our waste fundamentally eliminating landfill treatment and successfully achieving zero
waste to landfills.Indicators Unit 2024
Amount of generated non-hazardous 41554.93
Ton
waste
Amount of recycled non-hazardous 38489.08
Ton
waste
Amount of generated hazardous 31851.18
Ton
waste
10 52024 ESG Report of DSBJ
21357.41
Amount of recycled hazardous waste Ton
10512.73
Amount of disposed hazardous waste Ton
4.4.2 Biodiversity Conservation
In strict accordance with national and local laws and regulations on biodiversity conservation
the Company carries out a series of practical initiatives that emphasize the biodiversity conservation
concept throughout all phases of projects including planning design construction and operation to
protect the ecological stability and biodiversity of the operation site. During the project planning
and design phase the Company conducts a comprehensive investigation and assessment of the
surrounding ecological environment under environmental protection requirements fully
understanding the characteristics and distribution of local biodiversity to avoid selecting sites that
may have adverse effects on the environment with an environmental impact assessment report
awarded for the project in accordance with regulations. During the project construction phase the
Company minimizes the impact on local vegetation soil and water by establishing construction
protection measures and restricting the construction areas. During the project operation phase the
Company conducts continuous environmental monitoring and regular collection and analysis of
environmental indicators such as air quality water quality and soil quality to identify and solve
potential problems in a timely manner and actively engage in ecological restoration and protection.Multek launched biodiversity advocacy campaigns on International Biodiversity Day in 2024
10 62024 ESG Report of DSBJ
10 72024 ESG Report of DSBJ
5. Working Together for a Better Future Based on People Oriented
Philosophy
Sustainable Development Goals of the United Nations (SDGs)
5.1 Labor and Human Rights Management
5.1.1 Governance
DSBJ strictly complies with international human rights norms such as the Ten Principles of
the UN Global Compact the Universal Declaration of Human Rights and ILO Declaration on
Fundamental Principles and Rights at Work as well as local laws and regulations in its operating
regions and has established a comprehensive labor and human rights governance system. The ESG
Management Committee regularly reviews major issues related to labor and human rights
management and approves major labor and human rights management plans and targets. The Human
Resources Working Group (composed of the HR department at headquarters and the HR
management departments from various divisions) collaborates with the EHS Working Group
(composed of the EHS departments at headquarters and from various divisions) to jointly promote
the implementation of labor and human rights management topics and monitor and continuously
improve the work progress. The Human Resources Working Group is responsible for ensuring
employee rights protection such as prohibition of child labor and forced labor collective bargaining
anti-discrimination diversity inclusion and compensation and benefits while the EHS Working
Group is responsible for occupational health and safety management working together across levels
and horizontally to create a harmonious and positive workplace ecosystem.
1082024 ESG Report of DSBJ
5.1.2 Strategy and Management Mechanism
DSBJ is committed to respecting the basic rights and interests of every employee and providing
all employees with equal opportunities for work and development. The Company has established a
comprehensive and complete labor and human rights management system. We have clarified the
code of conduct and requirements for employees and taken various measures to prevent potential
human rights risks so as to create a safe reliable harmonious and efficient working environment.
5.1.2.1 Compliance Hiring
The Company regulates the entire process of talent introduction. In the recruitment and hiring
process we implement the principles of open recruitment equal competition and selection of the
best candidates based on moral integrity and professional competence. All applicants who meet the
requirements for the corresponding positions are eligible for interviews without discrimination on
gender education age race family status religion or cultural background. The Company prohibits
child labor and forced labor ensuring compliance and fairness in talent recruitment. We strictly
inspect the recruitment and hiring processes and encourage employees and applicants to report any
violations of company policies or regulations through public channels. All reported violations will
be seriously investigated and dealt with and corrective measures will be taken if necessary. During
the reporting period the Company experienced no major labor disputes or incidents of child labor
or forced labor achieving 100% labor contract signing rate and 100% social insurance coverage for
all employees.
23515
Total number of employees (persons)
Number of newly recruited fresh graduates 126
(persons)
Gender composition
Category Headcount (persons)
14191
Male employees
9324
Female employees
Age composition
10 92024 ESG Report of DSBJ
Category Headcount (persons)
6218
Under 30 years old
16638
30-50 years old
659
51 years old and above
Regional composition
Category Headcount (persons)
Chinese employees (including Hong Kong 23003
Macau and Taiwan)
512
Overseas employees
5.1.2.2 Respecting for Human Rights
DSBJ takes actions consistent with the Responsible Business Alliance (RBA) Code of Conduct
during the operations and promotes various business segments to formulate norms such as the Code
of Business Ethics the Code of Corporate Ethics and the RBA Management Handbook etc. We
always respect and safeguard the legitimate rights and interests of all employees and business action
stakeholders eliminating any form of infringement and violation of human rights so as to ensure
that every employee enjoys a fair democratic and healthy working environment.The Company regularly conducts training related to labor and human rights policies in order
to raise employees’ awareness and understanding of human rights issues. Multek conducts RBA &
COC training for all employees annually with 4104 participants and a completion rate of 93.4% in
2024. The Precision Manufacturing Division added the labor and human rights policy training into
the mandatory courses for new employees training 14160 participants in 2024 with a total of
28320 training hours and a completion rate of 100%.
Multek and Mutto Optronics have obtained the RBA VAP certificate from the Responsible
Business Alliance.
11 02024 ESG Report of DSBJ
Highlighted Management approach Mitigation measures
issues
* Thoroughly verify the authenticity of
Prohibition of Global plants comply with local
applicants’ identities;
child labor regulations in their hiring
* Establish a reporting mechanism;
and protection processes and strictly prohibit
* Comply with RBA requirements for
of minor child labor.proper handling.workers
* Employees are free to conclude and
Forced and The Company establishes
terminate labor contracts at their own
compulsory relevant systems such as the
discretion;
labor Forced Labor Management and
* Recruit adequate staff according to
Control Procedures to strictly
business development and establish a
prohibit forced and compulsory
mechanism for managing and tracking
labor.working hours.* Inform employees in advance of
overtime work and obtain their consent and
regularly analyze and audit working hours
to strengthen early warning mechanisms.* Exclude discriminatory clauses in
Anti- The Company establishes
recruitment advertisements.discrimination internal institutional norms such
* Do not illegally refuse to hire
and anti- as the Anti-Discrimination and
employees based on factors such as gender
harassment Anti-Harassment Policy to
age race and other diverse backgrounds.ensure employees are protected
* Provide reasonable special protections
from illegal discrimination.for vulnerable labor groups.All employees have the right to freely join
Trade union Establish trade unions in
or form trade unions and participate in
and collective accordance with the laws and
collective bargaining; Multek has generated
bargaining regulations of each operating
a collective agreement through collective
11 12024 ESG Report of DSBJ
Highlighted Management approach Mitigation measures
issues
location to create a work negotiation covering 100% of employees.environment that encourages The collective agreement addresses key
free expression. issues closely related to employees such as
wages working hours labor conditions
welfare benefits training and development
and the working environment. The Touch
Technology Division has formulated the
Special Collective Contracts for Wages the
Special Collective Contracts for Special
Protection of Female Employees and the
Special Collective Contracts for Labor
Safety among others.* Regularly inspect and address safety
Health and The Company establishes an
hazards;
safety occupational health and safety
* Promote a safety culture and regularly
management system and
conduct safety and health training and
develops corresponding safety
occupational health checks.operating procedures and
methods to create a safe and
healthy workplace.* Regularly conduct compliance reviews
Wages and The Company establishes
of wage payments.benefits internal systems such as the
Salary Management Measures
legally stipulating salary and
benefits and providing
employees with reasonable
remuneration.
11 22024 ESG Report of DSBJ
5.1.2.3 Employee Communication and Participation
The Company respects employees’ opinions and ideas and is committed to providing smooth
and diversified communication channels and establishing an open and healthy communication
mechanism to ensure that the voices of employees are heard and valued.Employee Representative Assembly: We establish trade unions in accordance with the laws
and regulations and the relevant trade union requirements of each operating location and
regularly hold employee representative assemblies trade union committee communication
meetings and other democratic management meetings. Major matters involving employees'
immediate interests are addressed through trade unions by gathering opinions and suggestions
from employee representatives and deliberating so as to protect the rights and interests of the
employees in an effective manner. Employees have the right to voluntarily join a trade union
and the employee representative assembly to conduct collective bargaining on key issues closely
related to employees such as wages working hours labor conditions welfare benefits training
and development and working environment. During the reporting period the Company's
negotiations on various collective contracts progressed smoothly covering wages special
protection for female employees labor safety and among others. The trade union/collective
bargaining agreements cover 100% of employee of Multek and the Touch Technology Division.Employee communication meetings: By General Manager’s mailbox/Employee
building a bridge for communication between suggestion box: The Company sets up
superiors and subordinates the Company mailboxes and suggestion boxes with
provides employees with opportunities for designated personnel regularly opening them to
direct dialogue between employees and the conduct special investigations and handle and
management to efficiently drive the provide feedback on employee complaints.Company’s optimization and improvement.Online platform & employee hotline: The Employee Service Agency: MFLEX has
Company communicates with employees established an employee service station
through OA system functions online assigning dedicated personnel to connect and
11 32024 ESG Report of DSBJ
feedback platform communication hotline handle employee inquiries and feedback. The
email etc. to ensure that employees can LED Division has set up an employee care
freely express their opinions and ideas. center which handled 65 pieces of employee
feedback in 2024.* Appeal and protection mechanism
The Company has established internal rules and regulations such as the Employee Appeal
Management Procedure clarifying the entire process of handling employee appeals and reports and
responding promptly to issues raised by employees. Employee appeals will be handled and
investigated by a dedicated team composed of the Human Resources Department trade union
representatives etc. The Company encourages employees to file appeals in a timely manner when
facing any unfair treatment or to report violations of human rights and responds with solutions to
the appellant in writing within a specified time frame. The Company ensures that every reasonable
complaint or report is received and independently investigated under the principle of confidentiality
in a timely manner and actively takes the necessary measures to protect the legitimate rights and
interests of bona fide whistleblowers to ensure that they are not subject to any negative repercussions
or retaliation as a result of making a report.Case: Multek improves employee communication and complaint management.Multek has established a comprehensive employee communication complaint and
grievance management mechanism whereby employees can directly appeal and complain to
their department heads or the HR business partners or the general manager of their divisions.They can also appeal and complain to the Multek Joint Trade Union for support and assistance.Upon receipt of an employee’s complaint the responsible person or responsible department at
all levels promptly initiates an investigation and expeditiously renders a decision based on the
investigation findings. This decision will be communicated to the complainant and the general
manager the head of the department and the HR department of the corresponding division in
writing or by e-mail. Should employees find the decision unsatisfactory they retain the right to
escalate the matter to the trade union or higher-level management or departments in order to
11 42024 ESG Report of DSBJ
safeguard their legitimate rights and interests.
5.1.2.4 Occupational Health and Safety
In strict accordance with laws and regulations such as the Safety Production Law of the
People’s Republic of China the Law of the People’s Republic of China on the Prevention and
Control of Occupational Diseases the Fire Protection Law of the People’s Republic of China and
the Regulations on Supervision and Management of Occupational Health in the Workplace as well
as the requirements of the ISO 45001 management system DSBJ has established an environment
health and safety (EHS) management system and formulated multiple management policies and
norms such as the Occupational Health Management System and the Safety Production
Management Procedures which cover all employees contractors and specific suppliers. The
annual health and safety goals are incorporated into the performance assessments of the relevant
responsible personnel to ensure the comprehensive implementation of health and safety
management requirements.Investment in health and safety amounted to RMB 64.9536 million
All major production and operation entities of the Company have passed the ISO 45001
occupational health and safety management system certification
* Construction of a Health and Safety Culture.The Company focuses on building a health and safety culture. We regularly conduct special
training on health and safety based on the work requirements of employees to promote effective
safety protection in their daily work. At the same time the Company actively carries out activities
such as Safety Production Month and safety knowledge competitions to publicize the safety culture
in order to create a good cultural atmosphere where everyone speaks about safety and everyone is
responsible for safety. In 2024 we achieved 100% coverage of health and safety production training.
11 52024 ESG Report of DSBJ
Knowledge competition in the safety Safety training for hazardous
production month construction operations
* Occupational Health Management
Insisting on prioritizing employees’ health the Company regularly assesses occupational
disease hazard risks and formulates and implements occupational disease hazard control measures
based on risk levels to ensure the safety and health of employees’ working environment. According
to the list of occupationally hazardous positions the Company carries out pre-job on-job and off-
job special medical check-ups for relevant employees and establishes health files. During the
reporting period no new confirmed or suspected occupational diseases were found.DSBJ Solutions Inc. (the U.S. branch) is
equipped with an automated external
defibrillator (AED) and ensures that team
members hold certifications in Adult First
Aid/Cardiopulmonary Resuscitation (CPR)
and AED operation.* Chemical Management
The Company formulates the Dangerous Chemical Safety Management System the
Management Measures for Easy-to-Make Drugs and Explosives and the Chemical Management
Procedures in accordance with relevant national laws and regulations industry standards and
11 62024 ESG Report of DSBJ
requirements of relevant parties on dangerous chemicals. We supervise and manage the entire
process covering procurement loading and unloading use production storage transportation and
packaging of dangerous chemicals and regularly organize regular training for relevant personnel on
dangerous chemicals. We also regularly conduct annual chemical leakage emergency response drills
to enhance the ability to respond to chemical leaks. Through these initiatives we maximize the
elimination reduction or control of the impact of hazardous chemicals on the health and safety of
persons.Entire process management of chemicals
All procurement needs must be reported uniformly according to work
requirements and purchases must be made strictly in accordance with the
Procuremen
procurement procedures after approval (highly toxic substances are required to
t
be approved by the project department and the municipal public security
bureau).Acceptance When accepting highly toxic substances for warehousing personnel from the
and procurement department and EHS department must be present to supervise the
warehousin entire process of warehousing.g
Dedicated vehicles are used to transport chemicals to prevent leaks and
splashes. Chemicals are pasted with safety labels after safe handling and storage
Handling
to ensure correct classification. Hazardous chemicals are properly stored under
and storage
different categories and inspected by designated personnel every day for
management.The Company requires units with demands to fill out the chemical requisition
Material
form and apply hazardous chemicals as needed. Hazardous chemicals
issuance and
distributed to the production site are stored in explosion-proof cabinets with
requisition
special locks equipped. In addition the Company keeps detailed records of
11 72024 ESG Report of DSBJ
chemical inventory changes and installs a networked alarm system and infrared
detection system on-site. All these measures can contribute to ensuring the
safety of the requisition process.Appropriate protective equipment should be provided in accordance with the
Emergency MSDS requirements when handling chemicals and effective firefighting
protection equipment should be available in the chemical temporary storage area for
emergency use.Personnel handling chemicals should wear proper personal protective
equipment to ensure compliance with operating procedures. When supplying
materials we use double-layered tubes to prevent leakage and transparent tubes
Usage
for timely inspection and maintenance in case of problems. We install
monitoring systems and other equipment on the production site to detect toxic
and flammable gases.We properly handle various types of chemical waste in accordance with the
Discard Waste Disposal Management Procedure and entrust qualified purchasers for
recycling and disposal of hazardous waste.Yancheng Dongshan conducted Multek conducted exercises for
emergency drills for chemical spillage chemical spillage
11 82024 ESG Report of DSBJ
DSBJ PTE. LTD. (the Mexican branch) conducted the training on chemical spill
prevention
* Contractor Safety Management
The Company’s health and safety management covers all activities of contractors in the
Company. We have implemented strict training assessment access and process monitoring for
partners conducting construction in designated zones with detailed measures including signing
safety agreements pre-entry safety education personnel and equipment inspections approval of on-
site work protection and identification and remediation of work hazards.
5.1.3 Risk and Opportunity Management
To effectively implement human rights policies and guidelines the Company refers to
requirements such as the Responsible Business Alliance (RBA) Code of Conduct to identify assess
and manage human rights risks in operations value chains and investment and mergers and
acquisitions. In accordance with risk identification assessment and management procedures the
Company sets up human rights and labor management target indicator programs annually for some
key plants and monitors the progress of these indicators monthly. In order to control risks more
deeply risk assessments are conducted through reviews and audits including regular RBA-based
self-assessments on human rights issues at key plants customer social responsibility checks or RBA
audit certifications to review the completion and achievement of indicators such as the prevention
of forced labor prohibition of child labor health and safety and the protection of freedom of
association and collective bargaining rights. Audit results will be used to identify and address
11 92024 ESG Report of DSBJ
potential human rights risks and issues and continuously improve the human rights management
system. During the reporting period the Company experienced no major incidents of labor and
human rights risks.Human rights due diligence process
Human rights risk Prevention of Mitigation and Supervision and
identification and human rights risks improvement implementation
assessment
Develop human rights Regularly review and Establish feedback
Identify and assess policies codes of develop improvement mechanisms to follow
human rights risks in conduct supplier action plans within a up on the
the value chain codes of conduct etc. specified time frame effectiveness of
according to and strengthen based on the measures and
international human relevant training and assessment results continuously
rights standards implementation. and take mitigation optimize the
laws and and improvement improvement;
regulations and measures for key establish smooth
relevant certification issues. channels for
requirements. complaints and
appeals to detect and
resolve human rights
issues more
effectively.In response to health and safety risks the Company has implemented a dual prevention
mechanism comprising risk assessment and hidden danger investigation and control to effectively
reduce the probability and impact of safety incidents. We encourage key operating entities to
establish institutional norms for identifying evaluating and controlling risks associated with
hazardous sources aligning with the requirements of ISO 45001 and conduct regular hazard
identification and risk assessment activities resulting in the compilation of a safety risk
classification and control list based on assessment findings for comprehensive risk control. We
12 02024 ESG Report of DSBJ
assess the level of hidden safety risks and set up a file in accordance with internal regulations and
systems such as the EHS Inspection and Hidden Danger Investigation and Control System to
actively rectify hidden dangers.
5.1.4 Indicators and Targets
Indicators and Targets Achievement in 2024
No events of No incidents of child labor and Targets achieved
infringement forced labor
of employee Total number of employee Targets achieved
rights and discrimination incidents is 0
interests 100% of employee insurance Targets achieved
coverage
100% handling of employee Targets achieved
complaints and reporting incidents
No major Zero serious safety accidents Targets achieved
employee Zero fire accidents Targets achieved
health and Zero employees who died due to Targets achieved
safety risk work-related injuries The number of employees who died
incidents due to work-related reasons is 0 and
the number of workdays lost due to
work-related reasons is 856 days
Zero major safety incidents Targets achieved
100% coverage of occupational Targets achieved
health examinations
0% incidence rate of occupational Targets achieved
diseases
Injury rate per thousand workers ≤ Targets achieved
1.5 The injury rate per thousand workers
is 1.49
12 12024 ESG Report of DSBJ
5.2 Human Capital Development
5.2.1 Governance
Talent is crucial to the sustainable development of the business. DSBJ continuously optimizes
the human resources management system to ensure its deep integration and precise alignment with
the Company’s overall strategy. The human resources working group which consists of personnel
from the human resources management departments of the Company’s headquarters and various
divisions is responsible for formulating and executing the Company’s human resources strategy
and goals promoting the implementation of human capital development topics monitoring the
progress of the work and making continuous improvements. The Company’s headquarters and all
divisions have developed a series of institutional norms covering comprehensive dimensions such
as employee training talent management career advancement performance management and
compensation incentives which contribute to the optimization of the Company’s talent structure
and the enhancement of organizational competitiveness.
5.2.2 Strategy and Management Mechanism
DSBJ aligns its talent development strategy with corporate strategic objectives and business
growth directions. The Company continuously improves the competency model and the internal and
external talent development system to create a continuous growth support system for employees’
career lifecycle so as to satisfy the Company’s strategy and business development needs for
interdisciplinary and high-quality specialized talents thereby comprehensively supporting the
implementation of the Company’s strategy.
5.2.2.1 Talent Introduction
The Company remains dedicated to enhancing its talent development and management strategy.We conduct regular assessments of organizational needs and talent capabilities in alignment with
the Company’s strategic planning and business development direction in order to plan a forward-
looking talent layout and anticipate the recruitment demands proactively. Furthermore we actively
diversify our talent recruitment channels to ensure accurate matching of recruitment resources.Through these initiatives we have built a high-quality talent pool for the Company’s development
in an all-round and multi-dimensional way.
12 22024 ESG Report of DSBJ
The Company builds the talent pool based on needs and requirements. We predict
Forward-
recruitment needs in advance and formulate recruitment plans in line with the
looking
Company’s strategic planning and business development trends to reserve
layout
relevant talents to support the Company’s future stable operation.The Company reviews job competency models to enhance talent profiles and
Professional adopts professional talent assessment tools for comprehensive evaluations and
assessment screenings of talents so as to attract high-quality talent widely under the principle
of fairness and impartiality.The Company actively diversifies recruitment channels such as online
recruitment offline recruitment campus recruitment headhunting internal
referrals internal job competitions internal job transfers etc. and collaborates
with universities to cultivate graduates and interns to jointly cultivate key
professional talents achieving a win-win situation for all parties. The Company
also cooperates with training institutions to establish talent development and
Diversified
training frameworks customizing talent delivery channels according to the
channel
demand for talent.In 2024 different divisions of DSBJ actively carried out campus recruitment
activities carefully preparing and completing campus roadshows at Nanjing
University Chongqing University Dalian University of Technology SoutheastUniversity etc. A total of 698 candidates were interviewed for the “EvergreenProgram” and 91 of them were contracted to join DSBJ.
5.2.2.2 Employee Training
The Company has built a systematic talent training system aimed at all employees around
“Three core initiatives two teams and one learning platform” in order to strengthen the all-round
training of talents. The Company fully integrates internal and external training resources. We set up
a rich and systematic training curriculum according to the different training needs of employees at
12 32024 ESG Report of DSBJall levels providing diverse and scientific training content to create a cultural atmosphere of “allemployees are learning constantly”. The training system covering new employees key employees
and manager personnel at all levels helps employees achieve continuous growth throughout their
careers and continuously improve their professional competitiveness.High-Quality Development (Lecturer Database · Mentor Database · Teaching
Case Repository · Knowledge Management
Center)
Support business victories with focuses Training Management Team Development
on organizations and people to foster
enduring growth for Dongshan.Cadre Management (Passion + Expertise · Talent Development
Consultants · Enabling Business Success)
Professional Talent Management Digital Learning Platform Development
Talent Pipeline Management (Innovative Tools · Modern Methods · Agile
12 42024 ESG Report of DSBJ
Mindsets; Employee Experience · Digital
Empowerment · Efficiency Enhancement)
1 Top-Level Plan 2 Teams
3 Core Initiatives 1 Learning Platform
Internal Trainer Team Development
DSBJ Cloud Classroom
The Company has built an exclusive online learning platform based on the cloud classroom
learning platform which provides employees with rich course resources and efficient
convenient and flexible learning services to create an active learning community thereby
enhancing learners’ sense of participation and enthusiasm. The learning platform which covers
a wide range of content including financial management supply chain management research and
IT management workplace effectiveness professional skills etc. has become an important
platform for employees’ daily work learning and self-learning. In 2024 the cloud classroom
course had a total of 401749 learning sessions with a total learning duration of 85835.94 hours.DSBJ Master Teacher Program
To meet the needs of organizational development and talent cultivation the Company has
established an internal trainer mechanism which incorporates professional talents from various
departments into the internal trainer team and conducts training for internal trainers’ teaching
ability such as lesson research workshop to build a team of internal trainers with comprehensive
qualities and strong professional abilities thereby achieving mutual promotion and win-win
results for the Company’s development and individual growth. In 2024 the Company’s internal
trainer training program - DSBJ Master Plan effectively enhanced the training capabilities and
levels of internal trainers through diversified forms of training such as micro-learning online
12 52024 ESG Report of DSBJ
live broadcasting and classroom-based intensive training so as to lay a solid foundation for theCompany’s talent cultivation. For example the training named “Three steps to become a teacher:improvement of lecturing skills” conducted by the Precision Manufacturing Division is aimed at
helping internal trainers understand trainees’ learning characteristics master course interaction
skills and learn classroom management techniques.* New Employee Training
The Company provides targeted training for newly hired employees helping them initially
understand the Company’s development and various policies and systems through the combination
of theory and practice to quickly integrate into the Company’s environment and master job skills.The Company also assigns instructors to guide and follow up on employees’ learning and progress
at work supporting them to continuously grow and improve.Case: The “Evergreen Program” empowerment training project cultivated new
talents in the workplace.In 2024 the Company launched the “Evergreen Program” a comprehensive onboarding
and empowerment training project for fresh graduates which aims to new employees across alldivisions. Following a “Orientation-Integration-Foundation Building-Acceleration-Competency” development pathway this program is structured around four pillars: integration
learning practice and culture. The integration pillar helps fresh graduates quickly adapt to the
corporate environment through exhibition hall tours summit orchestra camping concerts and
closing ceremonies. The learning pillar delivers multi-disciplinary courses including mentor
empowerment workplace communication and AI applications to equip graduates with job-
ready skills. The practice pillar combines role-specific training mentor-guided coaching and
performance feedback to bridge theoretical knowledge with practical execution. And the culture
pillar helps graduates understand corporate culture and establish a sense of belonging via
executive face-to-face sessions tech expert dialogues book-sharing forums and job
performance reviews. Through this multi-threaded training model the “Evergreen Program”
empowerment training project for fresh graduates has effectively enhanced graduates’
12 62024 ESG Report of DSBJ
professional competencies and job readiness injecting new vitality into the Company.* Leadership Training
In response to the Company’s development strategy and employees’ career development needs
we have developed a comprehensive hierarchical leadership training plan that encompasses
leadership theory team management decision-making communication skills conflict resolution
and other aspects providing opportunities for employees at different levels to develop leadership
skills and support their continuous learning and growth. The Company’s leadership training
program spans the foresight reserve and enhancement of leadership for senior managers middle
managers grassroots managers and reserve management personnel. Our training initiatives are
designed to assist managers at all levels as well as the next generation of leaders in understanding
organizational strategy enhancing their management capabilities and broadening their horizons.Through these efforts we seek to cultivate leading talents capable of driving the high-quality
development of the Company.Strategy-Driven Talent-First | Effective communication & continuous improvement
Leadership Program Framework
High-Potential Talent Camp New Director Development Camp
12 72024 ESG Report of DSBJ
Strategic thinking Organizational activation
Influence Awareness raising
Leadership Business control
New Manager Development Camp Team empowerment
Role awareness & avoiding pitfalls Executive Leadership Camp
Goal setting & planning Strategic vision
Delegation & coaching Well-versed in operations
Performance evaluation & feedback Management excellence
Courage for innovation
Middle and senior [Highlight] The Company’s “Six Rules for Cadres” series
managers: Focusing on of courses
the knowledge and skills
The cultivation and echelon building of talents need to rely on
of middle and senior
cultivating and developing cadres in practice to inspire potential
strategic management
and improve performance. In 2024 the Company launched a series
and leadership the
of courses related to the themes of “Deployment” and “Efficiency”
Company conducts
in the “Six Rules for Cadres” for cadres from all divisions. These
training on strategic
courses involve aspects such as planning and organizing efficient
thinking business
decision-making influence team collaboration management
development planning
innovation and talent development and management aiming at
crisis management
continuously enhancing the leadership capabilities of cadres.team building decision-
12 82024 ESG Report of DSBJ
making and other
[Highlight] DSG’s “Leadership Workshop”
aspects.In 2024 DSG organized the “Leadership Workshop” for key
position personnel. Guided by the Company’s LEADER values
(Six Rules for Cadres) the two-day workshop with focuses on the
core values of “Deployment” and “Education” assists leaders in
enhancing strategic execution capabilities and team guidance
skills. DSG also designed personalized workshops based on the
needs of managers to ensure maximum training effectiveness.Grassroots cadres: The [Highlight] Multek Block Operation Leaders and Reserve
Company designs close- Force Training Camp
to-realistic training
The training camp program is conducted separately for team
content tailored to the
leaders and operation leaders encompassing classroom instruction
actual work of
online learning “knowledge-to-action” review sessions
grassroots leaders
workshops learning presentations and performance evaluations.covering contents of
Through diverse formats the program stimulates participants’
team management
learning enthusiasm and initiative. In 2024 the program engaged
crisis handling goal
44 alternative operation leaders and 18 operation leaders.
setting and execution
employee motivation
etc. to help them better
cope with various
challenges in their daily
work.High-potential/reserve [Highlight] Post-90s High-Potential Training Camp
cadres: Young
To build a high-potential and high-performance young talent
employees are the future
team and strengthen leadership succession planning the LED
hope of DSBJ. The
Division launched the “Post-90s High-Potential Training Camp”
Company cultivates
which was designed to comprehensively enhance the leadership
young talents with
capabilities of post-90s employees and prepare future leaders for
12 92024 ESG Report of DSBJ
leadership potential and the company. In 2024 this project had a total of 40 trainees.innovative ability
[Highlight] Specialized Program for Management Trainee
through professional
Empowerment
leadership development
In 2024 the Precision Manufacturing Division upgraded its
courses.specialized program for management trainee empowerment
aiming to cultivate engineers with deep organizational alignment
and expand the trainee workforce to not less than 100 active
participants by the end of 2026. The training period was extended
from 3 months to 1 year with the addition of business and product
introduction modules in the intensive training phase and the front-
line workshop rotations. In terms of mentorship system
optimization a number of management actions such as duty-based
teaching plan mentor evaluation weekly report monthly
performance communication and probationary performance
presentations etc. have been added to ensure the quality of
mentorship. At the same time the senior management places great
importance on this program. The president and the head of the
operation center both conducted one-on-one interviews with
management trainees to accelerate their growth. In 2024 the
management trainees achieved 100% retention rate within the first
6 months and 100% probation-to-regular conversion rate.
13 02024 ESG Report of DSBJ
* Professional Position Training
The professional position training aims to enhance employees’ knowledge and skills in their
professional fields. The training covers various business areas such as research and development
production quality EHS sales and human resources to ensure that employees master the latest
professional knowledge and technologies and improve core skills and teamwork abilities so as to
better adapt to market changes and meet the development needs of the Company.Case: MFLEX Empowerment Program
In 2024 the MFLEX Empowerment Program for personnel responsible for projects was
successfully completed. This training comprehensively enhances project managers' leadership
project management professional skills communication and coordination abilities and risk
management capabilities through systematic training and practice thereby supporting the
efficient achievement of corporate strategic objectives.Case: Building a Strong Engineering Team to Support the Integration of
Informatization and Industrialization
Under the Company’s direction for the integration of informatization and industrialization
the cultivation of versatile engineers has become a top priority. The Company has established a
comprehensive engineer training system that adopts a training model that combines internal and
external training and promotes targeted training projects across all divisions.
1312024 ESG Report of DSBJ
Objective Problem Analysis/Decision-Making
Cultivate versatile engineers to
accelerate the Group’s transformation
of informatization and
industrialization Demand Insight/Customer Service
Path Special projects
Professional Competency Knowledge documentation
Internal Training: Aligned with
learning roadmaps Learning roadmaps
Professional knowledge for roles Experience distillation
Industry/product expertise Internal mentors + internal trainers
Process/equipment mastery Training & simulation projects
Data analysis/tool proficiency Innovation case evaluations
Quality management Technical breakthrough projects
Informatization and industrialization
Content breakthrough projects
General Competency Diverse Development Methods
External Training: Leveraging
External Experts Project practice + mentorship
Systems Thinking/Global Perspective Classic case sharing
Learning Agility/Innovation
Breakthroughs Knowledge contests
Interpersonal Communication/Task
Collaboration Job rotation
Systems/Platform Support Professional certifications
Evaluation recognition and incentive
mechanisms and engineer conferences Benchmarking visits
Mechanism
13 22024 ESG Report of DSBJ
* External Joint Training
The Company actively provides external educational resources for employees introducing
high-quality and professional training resources internally while supporting employees to
participate in external training and learning so as to help employees keep up with the forefront
fields with continuous improvement. In 2024 the Company collaborated with multiple external
organizations to carry out high-quality training programs to provide employees of different types
with the knowledge and resources they need.Case: Deep collaboration between universities and enterprises to cultivate
professional talents
With active promotion of internship programs DSG collaborates with Nanyang
Technological University (NTU) National University of Singapore (NUS) Singapore Institute
of Technology (SIT) and Ngee Ann Polytechnic (NP) to jointly cultivate professional talents in
fields of IT big data artificial intelligence and information security preparing for the future
development. In 2024 DSG trained a total of 17 interns.Case: DSG created multidimensional external joint training projects
In 2024 DSG collaborated with multiple external organizations to provide a series of
training for employees including but not limited to project management training business email
and letter communication skills courses basic training on Personal Data Protection Act (PDPA)
and leadership workshops which offered employees with more high-quality training
opportunities to enhance their personal and professional development.Collaborating with Aventis Learning Group for project management training;
Collaborating with JCI for business email and letter communication skills training and for
productivity enhancement through Co Pilot training;
Collaborating with Republic Polytechnic for the workplace mentorship program training;
Collaborating with Lloyd McGill for basic training on Personal Data Protection Act;
Conducting with NTU for the digital transformation and leadership development program
(Leadership and Management Talent Pillar) training;
Collaborating with Career Development Consulting for leadership workshops;
13 32024 ESG Report of DSBJ
Collaborating with other institutions for soft skills training covering critical thinking
conflict management and more.
5.2.2.3 Employee Development
The Company continuously improves the competency model according to strategic planning
and business development trends and provides employees with diverse career development
opportunities and a broad stage for achievement of common development objectives between
individuals and the Company. Employees have achieved continuous growth throughout their career
lifecycle.* Career Advancement
The Company continuously improves the competency model for various positions around its
strategic goals and deeply integrates the model into performance management recruitment
selection training and development processes to support the optimization of the talent management
system.DSBJ Engineer Model Result Orientation
Empowerment Dimensions Result Drive
Core Elements High-quality Delivery
Learning Innovation Team Collaboration
13 42024 ESG Report of DSBJ
Acute Learning Non-authority Influence
Cross-disciplinary Thinking Principle-based Collaboration
Project Planning Capability
Under the principles of organizational needs prioritization emphasis on both moral character
and performance orderly promotion and promotion and demotion of employees based on their
performance the Company has established internal rules and regulations such as the Personnel
Promotion Management Measures related to career development to continuously improve the career
advancement system. We establish clear dual channels composed of management and professional
career development based on employees’ own situation to realize the orderly and smooth flow of
talents horizontally and vertically through internal competition job rotation etc. so as to provide
employees with fair promotion and development opportunities. We help talents to continuously
advance in the workplace. At the same time the Company regularly conducts talent review projects
to understand high-potential employees and the talent pool of key positions and implements
assessments and promotions based on the talent review outcomes. In 2024 MFLEX the Touch
Technology Division and the Precision Manufacturing Division etc. all carried out talent review
projects.Case: Succession Planning and Talent Management System of DSG
In 2024 DSG continued to improve its succession planning and talent management system
specifically developing a team of internal mentors. After professional training the mentor team
would provide one-on-one career guidance and skill enhancement support to the nominated
outstanding employees. Customized development plans are formulated to help employees better
master core competencies required for their roles while establishing clear directions and
pathways for their future growth and development. This initiative comprehensively elevates the
overall team’s competitiveness.
13 52024 ESG Report of DSBJ
* Educational and Qualification Support
As encouraging employees to continuously deepen and improve their professional fields the
Company provides sufficient support and guarantees for continuing education and career
advancement motivating employees to learn continuously to become the most competitive in their
positions. The scope of re-education support covers 100% of formal employees.The Company organizes and implements vocational skill level certifications to
Learning
provide employees with opportunities to enhance their business skills. For
Resources
example the Precision Manufacturing Division organized 28 sheet metal painters
and
to participate in the painter (Level 3) certification.Platforms
The Company supports employees to obtain higher education degrees to promote
Funding
their professional development with front-line supervisors/technicians focusing
and
on upgrading to associate/bachelor degrees and engineering technicians focusing
Rewards
on pursuing dual degrees to upgrade to bachelor's/master's degrees. Outstanding
employees recommended by departments can be offered opportunities to pursue
master’s degrees such as Master of Business Administration (MBA) Master of
Engineering Management (MEM) etc. Each division formulates degree and
vocational skill improvement policies based on its own situation providing cost
reimbursement and one-time allowances as incentives for employees who obtain
degrees qualifications or titles.* DSG implements an education sponsorship policy offering eligible full-time
employees up to 15000 Singapore dollars in funding;
* JDI Electronics establishes the Translation Recognition Criteria to provide
exam fee subsidies and one-time allowance subsidies for employees who meet the
required competency standards.* Multek formulates the Employee Education Assistance Program (EEAP)
which provides education funding for employees who participate in relevant
external training and academic advancement if they meet the stipulated
conditions.
13 62024 ESG Report of DSBJ
The Company adopts a flexible study leave policy allowing employees to utilize
Flexible
their vacation to complete professional certifications or continuing education
study
without affecting work progress thus supporting employees in achieving their
leave
further education goals.
5.2.2.4 Salary Incentives
To attract motivate and retain outstanding talents the Company continuously improves the
employee compensation and incentive system to ensure that all employees receive compensation
commensurate with their work performance.* Diversified Incentives
Based on the “3P+1M” (Position Person Performance and Market) compensation philosophy
the Company formulates scientifically and reasonable compensation and incentive program in
accordance with the DSBJ Assessment and Incentive Distribution Regulations and other related
compensation and incentive institutional norms. The Company has established the Assessment and
Incentive Management Committee which is chaired by the CEO to review key assessment and
incentive systems to ensure that employees receive fair and competitive compensation.The Company’s employee compensation structure consists of fixed salary performance pay
variable bonuses and subsidies in which the variable compensation is closely linked to performance
evaluation results. The variable compensation of senior managers is related to the Company’s
performance with the aim of encouraging them to bear more responsibilities in the Company’s
development. The compensation structure of common employees includes a variable component
that is linked to factors such as company performance organizational performance and individual
performance with the aim of fully mobilizing employees’ enthusiasm for work. Through diverse
incentive mechanisms the Company has formed a comprehensive incentive distribution plan
including instant incentives short-term incentives and long-term incentives which deeply
integrates employees’ interests with the Company’s interests to establish a symbiotic win-win
relationship between employees and the organization.* Material immediate rewards include monthly performance bonuses individual
Instant
13 72024 ESG Report of DSBJ
incentives rewards team rewards etc. For example the LED Division offers various programs
such as seniority allowances departmental stars and attendance awards in addition
to salary compensation.* Non-material immediate incentives include honorary awards recognition
public commendation etc. For example the Precision Manufacturing Division
regularly conducts annual evaluation work covering both individual and team
awards; and the Touch Technology Division creates star employees among
engineers to establish benchmarks for excellent employees.* The performance-driven salary adjustment strategy is adopted according to
Short-term which the salaries of employees with outstanding performance are increased
incentives regularly each year.* Quarterly and annual bonuses are paid based on performance results.* Retention bonuses are provided for key core and high-potential employees
Long-term with outstanding performance;
incentives * Programs such as the employee stock ownership plan are implemented for core
backbone employees.* Performance Evaluation and Appeals
To ensure the fairness impartiality and objectivity of performance evaluation results the
Company promotes each division to establish the annual performance assessment plan that aligns
with its actual circumstances based on the Performance Evaluation Management Measures and
related regulations. A standardized performance evaluation mechanism is established with regular
performance assessments conducted through multi-dimensional and multi-tiered reviews to
comprehensively evaluate employees’ work performance and competencies. For example the
performance evaluation of the Precision Manufacturing Division which covers employee self-
assessment superior rating departmental rating and grading and center-level calibration etc. has
realized objective comprehensive and scientific evaluation of employees. The HR Department
reviews consolidates and provides feedback on evaluation results and drives continuous
improvement of identified problems. For instance Mutto Optronics has embedded performance
improvement triggers into its performance evaluation mechanism placing employees ranked in the
13 82024 ESG Report of DSBJ
lowest performance tier for three consecutive months into a Performance Improvement Plan (PIP)
to assist them in enhancing their skills and improving their work performance.Employees may file appeals to immediate supervisors or the HR department at a higher level
according to the Company’s performance complaint and feedback process if they have any
disagreement or lack clarity on performance evaluation results after receiving the feedback on the
results. When an appeal is submitted by an employee the designated personnel will communicate
with the employee to understand the situation and timely deal with the appeal with feedback
provided so as to ensure procedural effectiveness and timely resolution.
5.2.2.5 Diversity and Opportunity Equality
DSBJ has integrated diversity and inclusion philosophy into team building corporate
operations and cultural development. The Company prioritizes attracting talents with diverse
backgrounds and helping them adapt to the surroundings providing equal opportunities and
expansive development platforms for all employees. By fostering respect inclusivity and open
communication the Company enhances employees’ collaborative efficiency and innovation
capabilities. The Company encourages employees to provide feedback on violations of diversity
and inclusion principles through various channels and collects reasonable suggestions for
continuous optimization and improvement of the Company’s related policies and measures. To
deepen employees' understanding of diversity and cultivate an inclusive workplace the Company
conducts diversity and inclusion training annually based on our diversity policies. In 2024 Multek’s
diversity training reached 93.4% of employees with explicit commitments to building and
maintaining a diverse equitable and inclusive environment that promotes cultural integration and
team cohesion. Additionally the Company regularly organizes diversity activities that involve all
employees encouraging them to actively express their opinions and embrace diverse perspectives
so as to enhance multicultural integration for higher team efficiency.Female employees account for 39.65%
Ethnic minority employees account for 5.56%
Disabled employees account for 0.34%
Overseas employees account for 2.18%
13 92024 ESG Report of DSBJ
The Company upholds principles of equality and fairness across talent development
compensation and benefits career advancement and other aspects. Management actively values and
incorporates diverse perspectives to build a diversified and vibrant workforce team. For female
employees the Company strictly complies with the Law of the People’s Republic of China on the
Protection of Women’s Rights and Interests and the Special Provisions on Labor Protection for
Female Employees ensuring that female employees are provided with equal career development
opportunities and compensations and benefits for which employees should be paid equally for equal
work regardless of their gender and with unbiased training and promotion pathways to encourage
and nurture them to take up key and managerial positions for exploring and expanding more
possibilities for career development. In addition we provide comprehensive workplace rights and
welfare for female employees including but not limited to paid prenatal check-up leave maternity
leave paternity leave breastfeeding leave childcare leave lactation rooms for breastfeeding female
employees regular distribution of benefits for International Women's Day health seminars
addressing women-specific wellness topics and other activities that care for female employees in
order to ensure that female employees can work with peace of mind and comfort. During the
reporting period female employees accounted for 17.8% of the Company’s senior management
and the return rate for childcare leave achieved 100% across the Company’s headquarters DSG
Multek the LED Division the Touch Technology Division and the Precision Manufacturing
Division.The Company actively drives inclusive employment for persons with disabilities by providing
job opportunities configuring accessible facilities and enhancing communication thereby
broadening the career development path for disabled employees. Therefore disabled employees can
win social respect and realize their self-worth through their own efforts.Case: Multek Care Project for Disabled Employees
Multek launched the Care Project for Disabled Employees in 2018. This project is intended
to create opportunities for disabled individuals to integrate into the mainstream workplace; and
to provide them with professional job training to help them quickly adapt to the work
environment and perform their jobs competently. At the same time Multek conducts activities
14 02024 ESG Report of DSBJ
such as “Employee Communication Meetings” and “Outdoor Expansion Activities” annually to
enhance communication and interaction with disabled employees for a better understanding of
their needs. In 2024 Multek employed 46 disabled employees.Outdoor expansion activities Communication meeting for disabled
employees
Case: JDI Electronics’ inclusive employment project
The CCL dustproof clothing ultra-cleaning plant subordinated to JDI Electronics launched
an inclusive employment project under which it established a work team composed of 20
employees with intellectual disabilities. The CCL provides the same wages and benefits as
ordinary employees to these employees with intellectual disabilities and sets up emergency
shower rooms and other special facilities dedicated to them. Meanwhile we allocated 5
instructors to guide and educate them and train their skills from multiple aspects. In addition
the CCL strengthens communication with the families of employees with intellectual
disabilities creates employee growth profiles for them and conducts regular summaries and
discussions of special education to help them grow up in a comprehensive manner and have a
self-reliant life like ordinary people.With the acceleration of the business internationalization process DSBJ is speeding up the
implementation of an international talent training program to cultivate international talents with
effective communication resource mobilization and problem-solving abilities overseas.Case: MFLEX’s cultivation of cross-cultural talents
14 12024 ESG Report of DSBJ
To enhance employees’ capabilities in cross-cultural communication and overseas
compliance operations during the internationalization process MFLEX established a cross-
cultural talent training program and curriculum system in 2024 planning a three-year
progressive training path from 2024 to 2026 to specifically improve employees’ cross-cultural
abilities. With defined core intercultural competencies such as international perspective
business communication international market rule and international leadership MFLEX has
designed a three-tier curriculum system composed of “Basic-Intermediate-Advanced” courses
targeting at three key roles: overseas business executives headquarters liaison personnel and
expatriate managers in order to continuously cultivate more international talents for reserve.This curriculum system features a series of specialized courses including Cross-Cultural
Awareness Cross-Cultural Conflict Management Cross-Cultural Integration Expatriate Stress
and Emotional Management Cross-Cultural Influence and among others.
5.2.2.6 Vibrant Workplace
With great attention to human care for employees the Company advocates for a balance
between life and work and provides comprehensive welfare benefits for all employees. In addition
to statutory basic benefits the Company has provided employees with commercial insurance paid
leave high-temperature subsidies health examination health lectures and consultations holiday
gifts free meals etc. to enhance employees’ sense of belonging and happiness. We pay attention to
special employee groups such as pregnant women disabled individuals and families in difficulties
actively offer them economic assistance welfare benefits and care and warmth to create a warm
and loving corporate atmosphere. We hold diverse employee activities to enrich employees’ leisure
lives helping them relieve work pressure to maintain a positive and upward work and life attitude.The Company places high priority on employees’ mental health continuously expanding the
coverage of its psychological support project under the employee assistance program (EAP) to
provide psychological assistance and support through multiple channels including face-to-face
counseling and telephone consultations. These initiatives enable timely identification prevention
and mitigation of crisis incidents fostering a positive workplace environment. By the end of 2024
the EAP will have covered all employees at Multek Division. In addition the Company actively
14 22024 ESG Report of DSBJ
organizes seminars themed on mental health to continuously improve employees’ emotional
management skills. During the reporting period DSG conducted a series of lunchtime lectures
addressing topics such as stress management building positive relationships and AI awareness
which empowered employees to better manage their physical and mental health.Multek supported employees in need
Multek held an employee talent show
MFLEX established an employee activity MFLEX established a summer care class forcenter and conducted a variety of club and employees’ children and conducted the “Littleteam-building activities Migratory Bird” care activity to address
employees’ summer childcare challenges.The Precision Manufacturing Division held DSG carried out team building activities
birthday parties for employees
14 32024 ESG Report of DSBJ
The Touch Technology Division conducted The LED Division held family day activities
team leader employee activities
* Employee Satisfaction Management
To comprehensively understand employees’ workplace experiences and perceptions the
Company conducts annual employee satisfaction surveys covering aspects such as work
environment career development compensation and benefits and corporate culture. For
dimensions with lower satisfaction we have formulated improvement plans which will serve as
important references for the optimization of organizational management. The Company
continuously monitors and analyzes employees’ satisfaction trends to continuously optimize their
experiences. In 2024 the majority of employees showed favorable attitudes towards organizational
culture development prospects personal management and team management. Based on the
research analysis results the Company has formulated specific improvement measures for the areas
with lower satisfaction including the working environment salary and benefits and logistics
management. For example the Mutto Optronics planned to renovate employee cafeterias and
dormitories in 2025 to systematically enhance dining and accommodation facilities.
5.2.3 Risk and Opportunity Management
With priority in human capital risk management DSBJ systematically identifies assesses
addresses and monitors human capital risks aligned with strategic objectives. The Company
conducts comprehensive analyses of internal and external factors that may harm to human capital
development in order to identify key risk areas including but not limited to talent attrition shortage
of key talents poor performance management inadequate training and development lack of
competitive or equitable compensation and benefits legal compliance issues and organizational
14 42024 ESG Report of DSBJ
culture risks. To address these risks we have developed a talent development strategy aligned with
the Company’s strategic planning and business development direction according to which the key
initiatives include enhancement of compensation competitiveness establishment of a full-cycle
career growth support system and optimization of HR management processes across talent attraction
cultivation utilization and retention. Through these initiatives we can ensure that human capital
development risks remain controllable while stabilizing workforce continuity and improving
organizational performance with the assistance of a risk monitoring mechanism.
5.2.4 Indicators and Targets
Indicators and Targets Achievement in 2024
The Company implements company-wide Targets achieved
employee training programs designed to 100% coverage of employee training
comprehensively strengthen core Employee training participants totaled 472821
competencies and professional capabilities Employee training hours totaled 1118601
of all employees ensuring workforce Average training hours per employee amounted to
development maintains strategic alignment 47.57
with corporate objectives.
5.3 Community Construction
The Company’s sustainable development cannot be separated from the stability and prosperity
of society. The Company actively practices corporate social responsibility participating in various
charity and volunteer activities and prioritizing hiring residents from production and operation sites
to contribute to boosting the local economy while repaying the community through practical actions.In 2024 the Company’s external public welfare donations amounted to RMB 7186600.By the end of 2024 the number of local recruits reached 6739.Case: Illuminating the “Light of Dreams” for adolescents in difficulties
14 52024 ESG Report of DSBJ
Children and adolescents represent the future of a country and the hope of a nation. The
underserved youth as a vulnerable group require heightened societal support. In 2024 the LED
Division donated RMB 800000 to the “Dream Transformation+” care initiative supporting the
aspirations of adolescents in difficulties through practical actions. These funds would enhanceliving and learning environments for adolescents in difficulty paving their “path to dreamrealization” and igniting the “light of hope”.DSG conducted beach cleanup volunteer MFLEX visited a special school to provide
activities in Singapore parks supplies for children
The Touch Technology Division conducted The LED Division encouraged employees
14 62024 ESG Report of DSBJ
volunteer activities in elderly care apartments to participate in park volunteer activities to
assist in the maintenance of public facilities
in the park and surrounding areas
14 72024 ESG Report of DSBJ
Appendix
Appendix I: Key Performance Table
Corporate Governance and Economic Performance
Economic Performance
Indicators Unit 2024
Operating income RMB 0.1 billion 367.70
Net profit attributable to RMB 0.1 billion 10.86
shareholders of the listed
company
Basic earnings per share RMB/share 0.64
Corporate Governance
Indicators Unit 2024
Proportion of female directors % 11.1%
Proportion of independent % 33.3%
directors
Business Ethics and Anti-corruption
Indicators Unit 2024
Proportion of directors % 100%
participating in anti-corruption
training
Proportion of employees % 100%
participating in anti-corruption
training
Average anti-corruption training Hour 3
hours per employee
1482024 ESG Report of DSBJ
Environmental Performance
Environmental Management
Indicators Unit 2024
Environmental protection RMB 0’000 25458.42
investment
Coverage rate of environmental % 100%
training in main operation
locations
14 92024 ESG Report of DSBJ
Energy Use and GHG Emissions 1
Indicators Unit 2024
Gasoline Ton 82.42
Diesel Ton 56.16
Natural gas m3 6914644.40
Purchased electricity kWh 915239602.84
Total energy consumption tce 121882.54
Solar/PV Consumption kWh 39323394.00
Direct GHG emissions (Scope 1) tCO2e 15525.31
Indirect GHG emissions (Scope 2) tCO2e 491117.57
Total GHG emissions (Scope 1 and tCO2e
506642.88
Scope 2)
GHG emission intensity (Scope 1 and tCO2e /RMB10000 of 0.1378
Scope 2) revenue
Note 1: Scope 1 GHG emissions are direct emissions from the Company's consumption of gasoline
diesel and natural gas while Scope 2 GHG emissions are indirect emissions from the electricity
purchased by the Company. The Scope 1 GHG emission factors are calculated based on the
Reporting Guidance on Environmental KPIs published by the National Development and Reform
Commission while the Scope 2 GHG accounting methods are adopted with reference to the
Announcement on the Release of the 2022 Carbon Dioxide Emission Factors for Electricity jointly
issued by the Ministry of Ecology and Environment and the National Bureau of Statistics.Water resource usage
Indicators Unit 2024
Total Water Intake Ton 8754913.91
Total water discharge Ton 6306144.37
Total water consumption Ton 2448769.54
Ton/ RMB 10000 of 0.6660
Water consumption intensity
revenue
15 02024 ESG Report of DSBJ
Water recycling Ton 65293717.32
Recycled water ratio % 88.18%
15 12024 ESG Report of DSBJ
Emissions and Waste
Indicators Unit 2024Compliance rate of “three % 100%wastes” emissions
Total wastewater discharge 6041113.37
Ton
volume
Chemical oxygen demand Ton 7548.66
Ammonia nitrogen emission Ton 148.81
Volatile organic compound
Ton 1050.10
emissions
Nitrogen oxides (NOx)
Ton 20.42
emissions
Sulfur oxides (SOx) emissions Ton 1.90
Particulate matter (PM)
Ton 8.94
emissions
Amount of Non-Hazardous
Ton 41554.93
Waste
Recycled amount of non-
Ton 38489.08
hazardous waste
Amount of generated hazardous
Ton 31851.18
waste
Amount of recycled hazardous
Ton 21357.41
waste
Amount of disposed hazardous
Ton 10512.73
waste
Social Performance
R&D and Innovation
15 22024 ESG Report of DSBJ
Indicators Unit 2024
R&D investment RMB 0.1 billion 12.67
Proportion of R&D investment %
3.45
over revenue %
Cumulative number of valid
Item 954
patents obtained
Cumulative number of software
Item 115
copyrights obtained
Customer Rights and Interests
Indicators Unit 2024
Customer complaint response 100
%
rate
Customer complaint resolution
%100
rate
Supply Chain Management
Indicators Unit 2024
Total Number of Suppliers - 5040
Number of suppliers in China (including Hong Kong 4531
-
Macao and Taiwan)
Number of overseas suppliers - 509
Number of suppliers certified by quality management system - 2747
Number of suppliers certified by the occupational health and - 990
safety management system
Number of suppliers certified by the environmental - 1163
management system
Number of suppliers undergoing responsible mining supply 2149
-
chain due diligence
15 32024 ESG Report of DSBJ
Employee Responsibility
Indicators Unit 2024
Total Employees Person 23515
Proportion of female 17.8
employees in senior %
management
Employee discrimination 0
Event
incidents
Total number of employee Participant 472821
training participants
Total study hours for employee Hour 1118601
training
Employee training coverage % 100
rate
Average annual training hours Hour 47.57
per employee
Occupational Health and Safety
Indicators Unit 2024
Incidence of occupational % 0
diseases
Number of employees who died Person 0
due to work-related injuries
Number of workdays lost due to Day 856
work-related injuries
Social Welfare
15 42024 ESG Report of DSBJ
Indicators Unit 2024
Public Welfare Donation RMB 0’000 718.66
Investment
15 52024 ESG Report of DSBJ
Appendix II: Index of Indicators
Global Sustainability Standards Board; Guidelines for Self-regulation of Listed Companies No.
17 - Sustainable Development Report (Trial) Shenzhen Stock Exchange (SZSE) ;
Disclosure requirements Corresponding section in the Report
Addressing climate change Addressing climate change
Pollutant Emission Pollution prevention and ecosystem protection
Waste treatment Pollution prevention and ecosystem protection
Ecosystem and biodiversity
Pollution prevention and ecosystem protection
conservation
Environmental compliance
Environmental management
management
Energy utilization Addressing Climate Change
Water resource utilization Resource utilization and circular economy
Circular economy Resource utilization and circular economy
Rural revitalization No related work has been carried out in 2024
Social contribution Community construction
Driven by innovation Driven by innovation
Technology ethics Driven by innovation
Collaboration for mutual benefit to build a sustainable
Supply chain security
supply chain
Equal treatment of small and Collaboration for mutual benefit to build a sustainable
medium-sized enterprises supply chain
Product and service safety and
Quality priority / Professional services
quality
Data security and privacy
Information security and privacy management
protection
1562024 ESG Report of DSBJ
Labor and human rights management / Human capital
Employee
development
Due Diligence Materiality analysis
Communication with
Communication with stakeholders
stakeholders
Anti-commercial bribery and
Business ethics and anti-corruption
anti-corruption
Anti-Unfair Competition Business ethics and anti-corruption
Voluntary disclosure of topics Corresponding section in the Report
Collaboration for mutual benefit to build a sustainable
Responsible mining
supply chain
15 72024 ESG Report of DSBJ
GRI Content Index
Usage statement: The Company has prepared this report in accordance with GRI standards for the
reporting period from January 1 2024 to December 31 2024.Report Chapter GRI 1: Foundation 2021
Report Preparation 2-2/2-3
Instructions 2-2/2-3
2-22/2-23
Message from the CEO
2-22/2-23
2-1/2-2/2-6/2-16/201-1
About DSBJ
2-1/2-2/2-6/2-16/201-1
Sustainable Development 2-12/2-13/2-14/2-16/2-22/2-29/3-1/3-2/3-3
Governance 2-12/2-13/2-14/2-16/2-22/2-29/3-1/3-2/3-3
Moving Towards a New Journey of High-Quality Development through Excellent Governance
2-9/2-10/2-11/2-12/2-15/2-17/2-27/207-1/207-2/207-3/405-1
Corporate Governance
2-9/2-10/2-11/2-12/2-15/2-17/2-27/207-1/207-2/207-3/405-1
Business Ethics and Anti- 2-23/2-27/2-28/3-3/205-2/205-3/206-1
corruption 2-23/2-27/2-28/3-3/205-2/205-3/206-1
Digital Intelligence 203-2
Transformation 203-2
Information Security and 2-27/3-3/418-1
Privacy Management 2-27/3-3/418-1
Collaboration for Mutual Benefit to Build a Sustainable Supply Chain
Governance
Strategy and Management 2-27/3-3/204-1/308-1/308-2/407-1/408-1/409-1/414-1/414-2
Mechanism 2-27/3-3/204-1/308-1/308-2/407-1/408-1/409-1/414-1/414-2
Impact Risk and 407-1/408-1/409-1
Opportunity Management 407-1/408-1/409-1
Indicators and Targets 408-1/409-1
1582024 ESG Report of DSBJ
Report Chapter GRI 1: Foundation 2021
408-1/409-1
Continuous Improvement of Product Quality and Competitiveness by Insisting on Quality
2-6/3-3
Driven by Innovation
2-6/3-3
2-27/3-3/416-1/416-2/419-1
Quality Priority
2-27/3-3/416-1/416-2/419-1
2-25/2-27/3-3/417-1/417-2/417-3
Professional Services
2-25/2-27/3-3/417-1/417-2/417-3
Advancing a Clean and Low-Carbon Production System for a Greener Future
Environmental 2-23/2-27
Management 2-23/2-27
Addressing Climate 3-3/201-2/302-1/302-3/302-4/305-1/305-2/305-4/305-5/305-7
Change 3-3/201-2/302-1/302-3/302-4/305-1/305-2/305-4/305-5/305-7
Resource Utilization and 303-1/303-3/303-4/303-5
Circular Economy 303-1/303-3/303-4/303-5
Pollution Prevention and 303-2/304-2/305-6/305-7/306-1/306-2/306-3/306-4/306-5
Ecosystem Protection 303-2/304-2/305-6/305-7/306-1/306-2/306-3/306-4/306-5
Working Together for a Better Future based on People Oriented Philosophy
2-23/2-27/2-30/3-3/401-1/401-2/401-3/403-1/403-2/403-3/403-
Labor and Human Rights 5/403-6/403-7/403-9/403-10/405-1/406-1/407-1/408-1/409-1/412-2
Management 2-23/2-27/2-30/3-3/401-1/401-2/401-3/403-1/403-2/403-3/403-
5/403-6/403-7/403-9/403-10/405-1/406-1/407-1/408-1/409-1/412-2
Human Capital 2-27/3-3/401-2/403-3/403-6/404-1
Development 2-27/3-3/401-2/403-3/403-6/404-1
203-1/203-2
Community Construction
203-1/203-2
159



