From the Management Team

2019 was a special year for Chicony Electronics, during which we were consecutively ranked in the CommonWealth Magazine Taiwan Top 2000 Survey and achieved a ranking of 43 in the ‘Manufacturing’ category and a ranking of 7 in the ‘Computer Peripherals and Parts & Components’ category. Following the growth of revenue in the first three quarters of 2019, the revenue of the fourth quarter also hit a record high with the traditional purchase motivations of consumer electronics stimulated by festivities and a booming sales of products related to AIOT applications such as Smart Home cameras, doorbell cameras, pet feeders, etc., as well as the sales of NB backlit keyboards, which led to an annual revenue breaking through NTD 90 billion for the first time. We also emphasize on environmental protection, employee growth & benefits and giving back to society while seeking profit growth and striving to attain a balance among these issues. When it comes to product R&D and production, we continue developing innovative thinking to meet customers’ needs and also reduce the impacts of our products on the earth and environment.

In terms of corporate governance, climate change-related financial structure was disclosed this year for the first time. Since climate change is one of the most critical risks in recent years, we have evaluated and concluded the Company’s preliminary operational impacts caused by related risks and disclosed corresponding response measures for each year. With prudent corporate governance and by upholding business ethics, we continue creating the Company’s value and more profits for shareholders, by which more trust has been gained from Chicony Electronics’ investors and business partners. We view employees as our families and continue the optimization of soft & hard services facilities in work environment. Besides the commitment to implement corporate social responsibilities, we also expect to work with all stakeholders, for example, by encouraging employees to take part in charitable activities and collaborating with vendors and customers, to seek the Company’s sustainable development.

As far as environmental protection is concerned, Chicony Electronics actively and strictly complies with the Restriction of Hazardous Substances Directive (RoHS) and holds fast to 《Declaration of Non-use Conflict Minerals》. We also implement the Carbon Disclosure Project (CDP) to reduce greenhouse gas emissions and furthermore achieve the goal of carbon emission reduction. As for the implementation carried out in our factories, measures that improve energy efficiency have been taken based on the features of production process and equipment of individual factories to reduce the consumption of energy and resources. Moreover, Chicony Electronics also dedicates itself to the R&D of green products in hope that Chicony Electronics’ products can provide users with more innovative experiences while helping to protect the earth.

In regards to employee care, Chicony Electronics places great emphasis on employee education and training by providing different training courses corresponding to different operational settings in factories and the Headquarters. In addition, regular occupational safety workshops and health care services are also organized for different work environments to ensure employees’ safety and health in the workplace. It is worth mentioning that the ‘Chicony Family Day—Balance & Health~ Happiness in Chicony’ has been initiated this year, which greatly enhanced employees’ and their families’ understanding about Chicony Family and reinforced the identity of the Company’s culture and core values. For an enterprise in a highly competitive market, Chicony Electronics is not only a Top 50 manufacturer in Taiwan from the external point of view, but also a big family for all Chicony members from the internal point of view. It is hoped that we can take care of the employees who dedicate themselves to the development of Chicony and can also care for their families who support and form the backbone of Chicony’s future, thereby helping achieve the balance between work and family life.

As a member of the global village, Chicony Electronics has upheld and will continue upholding the belief of sustainable development and operation by presenting the effectiveness and outcomes of our implementation of corporate social responsibility to all stakeholders including employees, customers, shareholders, suppliers, contractors, communities, social groups, government, etc., to fulfill our social responsibility. It is our sincere hope that stakeholders can continue giving us suggestions and feedback for Chicony Electronics to keep realizing the vision of sustainable development with pioneers in other fields.

Commitment and Organization

CSR Commitment & Guidelines

- Create corporate value to enhance the interest and returns of investors and stakeholders.
- Maintain sound corporate governance, uphold morals and ethics, and comply with law and regulations.
- Provide a safe and healthy working environment and encourage employees to engage in social welfare activities.
- Join with our partners and customers in promoting social responsibility and creating a sustainable value chain.
- Develop green energy-saving products and follow friendly-environment practices, to reduce environmental. impact.

The Group implements CSR practices in accordance with our four main principles of " enforcing corporate governance" , " developing a sustainable environment ", "supporting social welfare" and "strengthening information disclosure ". The Chicony Group CSR Code of Conduct is set out to further regulate and improve areas such as labor, health, safety, the environment, management system and business ethics, in addition to strictly abide to the EICC Code of Conduct from Electronic Industry Citizenship Coalition, all aimed at meeting our sustainable operation goals.

Organizational Chart of Chicony CSR

The Group has set up a corporate social responsibility committee that is fully authorized by the board of directors. The CSR committee comprises of senior executives from our subsidiaries and is chaired by the top leader of the Group. It meets from time to time to promote the various issues in response to the expectations of the stakeholders, including corporate governance, customer relations and supplier management, green products, environmental protection, employee care and social welfare, etc. Starting in 2017, CSR meetings will be held every six months by the production plants and the Taipei headquarters, so as to stay on top of the major issues identified at each plant, and to implement measures for various improvements.

Organizational Chart of Chicony CSR Committee

Human Rights Policy

Communication with Stakeholders

Chicony Electronics upholds four major principles, which are ‘Implementation of corporate governance’, ‘Development of environmental sustainability’, ‘Maintenance of public benefit’, and ‘Disclosure of corporate social responsibility information’, in facilitating the practical operations in relation to CSR. Furthermore, 【Chicony Group CSR Code of Conduct】 has been formulated and applied in the company to regulate issues relating to dimensions such as labor, health & safety, environment, management system and business ethics. 【Chicony Group CSR Code of Conduct】 is regularly propagated in the Annual Supplier Conference to make the company’s material issues known to suppliers, by which the Company can understand if there is any change in suppliers’ CSR-focused dimensions in response to market changes and can also disclose Chicony Electronics’s CSR key items of the year.
With a view to implementing sustainable development and facilitating practical operations in relation to CSR, CSR Committee has been set by Chicony Electronics, which is chaired by and composed of the company’s top management team, to dedicatedly promote different levels of issues which stakeholders are concerned about. Dimensions of the issues include corporate governance, customer relationships and supplier management, green products, environmental protection, employee care and public benefit. Besides, CSR meetings are held on an ad hoc basis in factories and the Headquarters to get a grasp on the development of major CSR issues associated with the factory regions and to implement corresponding improvement measures. Chicony Electronics also promotes continuous and ongoing communication with customers and supplier chain partners to improve approaches applied in various CSR dimensions.

Corporate Governance

In order to maintain our corporate governance structure, with the Code of Conduct serving as highest guiding principle, the Group has set up a "Board of directors", a "Remuneration Committee" and a “CSR Committee”, just as the subsidiaries have done in accordance with respective needs, to provide sound governance and the best decision-making for the overall development of the Group.

Board of Directors

In accordance with the Code of Corporate Governance Practices, the Group has appointed to the Board of Directors members of various industrial undertakings experienced professionals with strong academic background, taking into account as well criteria such as gender, age, nationality and culture. The Group encourages the directors to participate in courses for further learning, the courses are mainly organized by the Taiwan Corporate Governance Association, the courses are multidimensional and include topics such as corporate governance and CSR trends, the latest development trend in international anti-tax evasion BEPS and criminal risk management. The directors are required to take at least two courses during the term and the duration to exceed at least seven hours.
Members of the Board of Directors adhere to the "Code of Integrity" to avoid conflicts of interest. In order to raise the standard of reviewing the management status and operational efficiency within the Group, the Board of Directors proposed and adopted the "Board Performance Evaluation Method" and the assessment methods in June 2015. In addition, follow-up on the implementation of corporate governance policies by the Group's divisions is done by the Audit Office, which reports directly to the Board of Directors and is responsible for risk management and the implementation of the Group's internal control system, including CSR-related performance monitoring.

Remuneration Committee

In order to ensure the independence of each committee member, we believe that a sound compensation structure is a key factor to attract high-level talent and improve the overall quality of employees. The Chicony Group Remuneration Committee was established in accordance with the “Regulations Governing the Appointment and Exercise of Powers by the Remuneration Committee of a Company Whose Stock is Listed on the Stock Exchange or Traded Over the Counter”, its chief responsibilities include using annual and long-term performance evaluations of directors, supervisors and managers as well as the opinions of stakeholders such as investors, employees and customers deciding the compensation policy and standard, taking into consideration as well of the performance appraisals for individual compensation adjustments.

Risk Management

Chicony Group’s risk management includes constant monitoring of the eight main risk factors: external market, supply of material, talent, production R&D, customer credit and collection, foreign exchange rate, corporate finance and MIS system. In addition to the classification of the risks for management, the Group also monitors closely the external market changes and internal operation status to ensure our ability for timely responses.

Total Quality Control Management

Chicony´s total quality control means system-wide quality management to cover every step of the way, from the beginning of the project, during design and after mass production, including in depth exchange with customers to fully understand their needs, performing a variety of product testing and analysis to maximize product quality stability and making the best product possible. Quality improvement efforts are continued even once mass production begins with rigorous product quality screening based on 6-Sigma. Lean manufacturing and Value Analysis/Value Engineering (VA/VE) are also applied to reduce cost and waste during production to maximize end value for the customer. In addition to rigorously implement Total Quality Management (TQC), we have also a "Customer Quality Service Team" (CQS Team), including dedicated team to our ODM plants, all to ensure our ability to understand and provide solutions to customer problems in a timely manner.

To protect the competitiveness of customer products and safeguard customer intellectual property and patent protection are part of our customer relations management. We not only have adopted the Control Objectives for Information and Related Technology (COBIT) framework and an organizational "IT Security Management Guidelines" is in place, but also we sign non-disclosure agreements(NDA) with our assigned teams and customers and have extended the scope to cover project team members as well as suppliers. We organize personal data protection seminars as part of our training program and have formulated the "Personal Data Protection and Control Regulations" to further stable sustainable development and mutual growth with our partners.

Supply Chain Management Policy

In order to reduce production costs, the production of keyboards, computer cameras, mobile camera modules, NB built-in camera modules, digital cameras and cloud-based cameras is assigned to DongGuan Factory, SuZhou Factory, MaoRui Factory and ChongQing Factory in Mainland China. The main production factories of Chicony Electronics are located in Mainland China. In order to reduce carbon emissions from transportation, Chicony Electronics upholds the principle of ‘local procurement’ and strives to find the nearest suppliers according to the production needs of individual factory to minimize the transportation distance of raw materials.

Criteria for Suppliers Evaluation
In terms of quality control, we conduct onsite evaluation, inspections, and audits in the factory to carry out strict ranking and grading based on items such as quality, delivery punctuality, price, yield rate, environmental health & safety, social responsibility, etc., and conduct QQR (Quarterly Quality Review) on some suppliers. Moreover, with the SCAR (Supplier Corrective Action Request) mechanism, prompt measures can be taken to respond to any abnormality so that suppliers and Chicony Electronics Engineering Team can contain the problems, improve the mechanisms, and manage the production processes in a timely manner.

1. Regular evaluation: to ensure quality stability
The Annual Supplier Conference: Communicate current situations and give out awards to outstanding suppliers.

Chicony Electronics places the highest standards requirements on every supplier, in which quality is defined as the priority. Moreover, we are committed to carrying out real-time quality control and audit in every part of the supply chain as well as seeking the optimization of energy saving and maximization of environmental sustainability. Besides the 《Commitment Statement on RBA Code of Conduct》which should be signed by all new suppliers, we have also established three raw material management mechanisms, which are ‘Substance Standards for Environmental Management’, ‘Prohibited and Restricted Substances’, and ‘Conflict Minerals’, and the Industrial Safety & Health Office will supervise the implementation of environmental protection to ensure that our procurement from suppliers complies with international regulations and customers’ requirements and shall achieve the sustainability of the green value chain.
Chicony Electronics also requests all new and existing suppliers to sign《Commitment Statement on RBA Code of Conduct》, 《Letter of Undertaking of Integrity》and《Declaration of Non-use Conflict Minerals》 and to complete relevant background surveys. In order to implement RBA Code of Conduct, comply with relevant laws and regulations, and meet customers’ requirements, inspections in connection with human rights should be conducted within two years on the next-level principal suppliers, in which suppliers are required to provide reports regarding the problems raised in onsite inspections.
For suppliers who are found to be involved in any zero-tolerance items and significant CSR risks such as child labor, involuntary labor, physical punishment, bribery, underpayment of wages, or falsification of documents, if they refuse to improve the defects immediately or refuse to undergo inspections, the procurement department should be immediately notified to take further action and be recommended to suspend or terminate the transactions with them.

Employee Care

The Group has a worldwide presence with sites across Asia, Europe and the USA with currently more than 30,000 professionals spread around the world each contributing their talent and serving together as the foundation for Chicony Group’s sustainable development. We pledge to all Chicony members to strictly abide by the RBA Code of Conduct, the International Labor Convention and the Global Sullivan Principles.
Race, sex, age, religion, creed or political position are not part of the criteria for determining salary and benefits, performance appraisal and promotion or transfers to ensure equal employment rights of all Chicony employees.

Employee Welfare

Chicony Welfare employees is not only reflected in the hardware equipment upgrades and the mechanism renewal, but we have further asked the question: "how to make Chicony employees feel happy because of the Chicony Group ?" Therefore, it came the Worker Welfare Committee ("Welfare Committee”). The planning of worker welfare activities is organized as follows:

Family Day—Balanced, Healthy, and Happiness in Chicony

Chicony Electronics not only assisted and cared for employees at all levels, but also held the first company family day in Chicony Building. It is hoped that through the participation of employees and their family members, families can better understand the employees' usual working environment and recognize the company's culture and core values, thereby achieving the company's overall centripetal force. Chicony Electronics is grateful for the contributions of every employee, and the company strives to create a friendly working environment that meets the needs of employees. We all hope that every reunion or employee’s activities will strengthen the cohesion of Chicony.

Friendly working environment

Based on the company's practical management of workplace friendly promotion, Chicony Electronics also sets up workplace friendly car and locomotive priority parking spaces for employees with disabilities caused by personal injuries and illnesses to meet and assist employees' transportation needs. In addition, the workplace friendly environment also respects gender diversity and acceptance of differences. The company not only establishes management methods and procedures (for example: prevention and treatment of sexual harassment in the workplace), but also added friendly toilets to achieve full implementation.

Chicony Group College of Competitiveness

The Chicony Group houses a wide range of professional specialties and develops a wide range of products. The College of Competitiveness offers multidimensional course programs created to meet the needs of different functions, departments and management positions, to provide the resources needed and to assist members of Chicony in achieving their personal goals. Detailed planning of the curriculum framework is made for both the management and general staff, for the management members, the main focus are team management, interpersonal communication, talent identification and leadership, planning and mentoring, decision-making and adaptability; for the general staff, the course is designed according to its functions, such as marketing and sales skills, persuasion and communication skills for the sales team, and workshop and seminars on planning for innovation, trend insight and technology implementation for the R&D team. In addition to the above-mentioned training system design, the College of Competitiveness also includes on-the-job training, such as job rotation, overseas stations, project internships, so every member of the Chicony Group can benefit from the guidance and feedback of the management, senior colleagues and peers, to improve and grow under the care of the Chicony family. In addition, we also provide career planning for retired employees, enabling them to attain spiritual satisfaction and prove their self-worth through making continuous contribution in their area of expertise.

Environment, Safety and Health Committee

Chicony Group created the Industrial Safety and Health Service since 2010 to oversee all workplace EHS matters and for the purpose of pursuing two-way transparency and more timely communication. Each plant in China has their own safety and health committees and EHS officers, monthly meetings are held to report on plant EHS accomplishments, also to assist the supply chain audit and to promote workplace EHS issues. During the period of disclosure by this report, the percentage of workers in the EHS committees has shown positive overall improvement compared to the previous period.

Health Management and Promotion Plan

The employee health management and promotion plan aims at safeguarding the health care of all Chicony Group members. We provide timely care of physical and mental health through medical clinics, counseling rooms and plant medical personnel, we regularly invite health care professionals to give health seminars and schedule health check-ups, provide treatment and follow-ups for employees with high health risks such as the three-hyper condition. In addition, the Group has continued requiring supervisors to view staff work hours, complete fatigue self-evaluations, and distribute fatigue consultation and prevention handbooks provided by the medical clinic, assist high-risk groups for referral and follow-up check-up and provide colleagues with physical and mental decompression activities and programs.

Employee Welfare

Social Concern

Chicony Group believes that in order for a corporation to be firmly placed in the society, we must first root ourselves; we project our corporate resources and love into every corner in Taiwan, starting from fulfilling our civic responsibility as a citizen.
Self-motivated concern for the disadvantaged by our staff shows how Chicony Group is surrounded from inside out by good social values such as kindness. Our object of caring is regardless of age or class, we actively show our care to disadvantaged groups whether it is physical or mental disabilities or social adjustment disorders, hoping to contribute our efforts for the greater good and bring more caring and warmth to the society.


As part of the global electronics industry, Chicony strives to take full corporate responsibility to society. We support and take part in the “Electronics Industry Citizenship Coalition” and abide by the EICC Code of Conduct, this includes the strengthening of the corporate operational system, protection of the rights of workers and their welfare, the creation of product value and profit while paying attention to environmental protection as well as social and human participation. We produce high added-value products through continuous innovation and development and also create a work environment that allows employee potential to be best developed in their own interest, as well as that of stakeholders and society.

Our commitments are:
Create corporate values, enhance stockholder and all stakeholder interests.
Maintain good corporate management, strictly abide by business ethics and comply with all legal regulations.
Provide employees with a safe and healthy work environment and encourage them to take part in public social interest activities.
Strive to promote corporate social responsibilities and pursue sustainable development with cooperating companies and clients.
Research and develop environmentally-friendly and energy-saving products, realize environmental protection actions and reduce environmental impact.

Declaration of Conflict-free Metal

Chicony Electronics herein declare the metal is Conflict-Free on products supplied to customers.
Chicony Electronics will take due diligence within our supply chain to assure “DRC Conflict-Free” for the metals of gold (Au), tantalum (Ta), tungsten (W) and tin (Sn) are not derived from or sourced from mines in conflict areas of the Democratic Republic of Congo (DRC), or illegally taxed on trade routes, either of which are controlled by non-governmental military groups, or unlawful military factions. Trade routes not confirmed to be “Conflict Free” include direct exports from the DRC, as well as exports through Rwanda, Uganda, Burundi, Tanzania and Kenya (countries of whom the U.N. Security Council note are global export routes for DRC-mined minerals).

We would like to confirm metals used in products by Chicony Electronics are “DRC Conflict-Free”.

Conflict Minerals Platform (CMRT)

Environmental Protection

Saving energy

Environmental protection is Chicony’s core responsibility and an essential mission. We are committed to the prevention of environmental pollution, the design and production of green products and we continue with improvements, strive to promote corporate environment protection culture and realize a CSR spirit of “sustainable development”. Through green design and production, we are reducing the impact our production has on the environmental from carbon emission and provide the largest value of environment protection and cherish our planet.

Saving energy

Chicony realizes that the usable resources of our planet are limited and precious. As a citizen of earth and a leading technological enterprise we feel duty-bound to the saving and management of these resources. We have planned a series of management actions to achieve this purpose.

Management of electricity resources

Management of electricity resources

The consumption of electricity is the main source of greenhouse gas emission and improving electricity management is a matter for continuous effort. To reduce energy-consumption over the past few years, Chicony has been enhancing the efficiency of factory facilities. In particular, measures have been taken to improve energy-saving on the production lines:

Energy-saving in air-conditioning

The actual actions were as follows:

Regional temperature control is now used to reduce the energy consumption for air-conditioning.
The cooling systems of the air-conditioners are maintained more frequently to eliminate the scale which affects energy consumption.
Operation of the pumps is more carefully regulated to increase efficiency.

Energy-saving in lighting

In accordance with all levels of the energy-saving project, starting in 2011, traditional T8 and fluorescent lamps T5 have been systematically replaced with T8 LED lamps. The energy saved has been 1,884.57 and 1,027.61 thousand kWh in 2011 and 2012 respectively. Actions taken were:

All traditional lamps were exchanged for LED lamps
LED lamps are used in all newly-built facilities
The concept of energy-saving was reinforced by promotion of the action of turning off electrical devices when they are not in use.

Energy-saving during the production process

The MKB business department has introduced new UV machines. The old machines consume 9kW electricity and the new ones only 4.8W which saves about 47% of the electricity used, a total of 16,380kWh in 2012.
The CM business department changed the mercury lights in the UV machines to LEDs and saved 7,488kWh in 2012.
We continue to repair air leaks in the factory compressed air systems. Compressed air leakage is an obvious waste of energy. Since 2010, Chicony has employed repairmen to control the leaks in all the factories and has saved 45, 89 and 88 kWh in 2010, 2011, 2012 respectively.

Other energy-saving methods

We continue to change the absorbent dryer in the air compression system in all factories from the non-heating type to the heating-type. This can save 96 thousand kWh of electricity per year. As the non-heating absorbent wastes about 15~20% of the compressed air and the heating-style uses very little energy to achieve the same effect.
All compressed air pipelines are inspected regularly for leaks and the situation is improving.
Energy-saving is being promoted in all production facilities and systems by replacing old parts with new ones that consume less energy.

Water resource management

All factories should pay attention to air-conditioning and water-cooling and ensure that regular maintenance is done. The floating ball valves that control the water level in the tanks should be serviced to reduce wasteful leakage.
Continue to replace water taps with water-saving models to ensure daily water savings.
Replace the toilets cisterns with water-saving models to reduce daily water consumption.
For factories that have water-purification systems, we introduce waste water recycling projects that ensure 85% recycling.
Promote the concept and methods of energy-saving.
Regularly inspect the water pipes in all the factory dormitories to detect and repair all leaks without delay.

Recycling energy

The Inverter produced by Chicony can be used to produce standard city electricity to supply factories. It has been promoted by the cooperative efforts of several well known factories in the country. At present, the Taipei headquarters building has installed a 5.8kW solar energy system (polycrystalline silicon 290W x 20) that can produce 6,418 kWh of electricity per year.

New product development

The rapid deterioration of the global climate has made “green” environmental protection an issue of the gravest concern at the UN and in all countries of the world. Chicony has spared no effort to engage in environmental protection. All products by Chicony meet international environmental protection standards, such as EU RoHS and WEEE, as well as the safety rules of CE, FCC, ICES-003, VCCI, BSMI, UL, TUV. Furthermore, right from the very start when a new product is contemplated, the concept of green design is foremost in the hope that factors which might harm the environment can be avoided. Even a tiny idea, as long as it is in some way helpful to environmental protection, can make a contribution and help us fulfill corporate social responsibility.

Contact Us

Contact Us

The Chinese and English editions of the CSR reportcan be viewed and downloaded from the CSR section of Chicony and its subsidiaries' corporate websites.
Thank you so much for continually considering our commitment as well as practices on Chicony’s CSR path. If you have any suggestions or criticisms to make, please do not hesitate to contact us through the following methods. Your involvement makes an invaluable contribution to our continued efforts towards sustainable development.

CSR Team, Chicony Group
Current release : Published in Aug, 2017 (English edition)
Previous release : Published in October, 2015
Next release : To be published in July, 2019
Telephone : ( 02 ) 6626 - 6788 # 17003 E-mail :
CSR website :

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