17.Oct.2025
Risk Management
Risk Management Policies and Procedures
The Company has established a sound internal control system to ensure effective implementation and regular reviews. Since 2021, the Company has actively promoted the implementation of a risk management framework and formulated the “Risk Management Policy and Procedures.” Based on the likelihood of occurrence and the materiality of impact of various risks, the Company evaluates potential consequences and impacts, and establishes management policies and preventive measures for identified risks. The risk management framework is regularly reviewed and adjusted in response to changes in internal and external operating environments.
Management Policy
1.Risk Identification and Analysis:
The Company’s risk management is led by the General Manager, who convenes the responsible units to implement risk management measures based on the types of risks involved. The Company emphasizes enterprise-wide and comprehensive risk management, ensuring the effective implementation of relevant internal control system requirements to achieve effective risk management.
2.Risk Assessment:
Heads of each department shall conduct risk assessment and control as part of their routine management operations.
3.Risk Response:
For uncertainties that may pose threats to the Company’s operations, the Company shall, prior to execution, convene the responsible and relevant units for discussion and, where necessary, seek opinions from external consultants to assess risks and propose preventive recommendations.
4.Supervision and Review Mechanism:
The internal audit unit shall oversee the implementation units’ compliance with approved authorization levels and relevant management policies and procedures, in order to ensure risk management awareness and effective execution across the Company.
Risk Management Organization and Responsibilities
(1) Board of Directors:
The Board of Directors is the highest authority for the Company’s risk management. With the objective of complying with applicable laws and regulations and promoting the implementation of enterprise-wide risk management, the Board clearly understands the risks faced in operations, ensures the effectiveness of risk management, and bears ultimate responsibility for risk management.
(2) Senior Management:
Senior management is responsible for executing risk management decisions, establishing and revising relevant control policies and procedures, and coordinating cross-departmental risk management interaction and communication.
(3) Internal Audit Unit:
The internal audit unit uses key risk items identified by senior management as a reference for selecting audit subjects in the audit plan, and provides effective improvements and recommendations regarding the implementation status.
Risk Management Scope, Potential Risks, and Assessment Report
In the future, the Company will continue to monitor changes in both internal and external environments, maintain a high level of vigilance in risk identification, and conduct ongoing risk assessments and monitoring. The Company will also appropriately disclose potential risks within relevant risk categories and prepare improvement measures and reports to ensure the effective implementation of risk management procedures, thereby establishing a solid foundation for sustainable corporate operations.
Based on the nature of the industry and the business operations of each department, the Company has identified the following risk categories to be included in its risk management framework. These risk categories are reported to the Board of Directors on an annual basis. The most recent report was submitted on March 10, 2025.
2025 2024
The Company has established a sound internal control system to ensure effective implementation and regular reviews. Since 2021, the Company has actively promoted the implementation of a risk management framework and formulated the “Risk Management Policy and Procedures.” Based on the likelihood of occurrence and the materiality of impact of various risks, the Company evaluates potential consequences and impacts, and establishes management policies and preventive measures for identified risks. The risk management framework is regularly reviewed and adjusted in response to changes in internal and external operating environments.
Management Policy
1.Risk Identification and Analysis:
The Company’s risk management is led by the General Manager, who convenes the responsible units to implement risk management measures based on the types of risks involved. The Company emphasizes enterprise-wide and comprehensive risk management, ensuring the effective implementation of relevant internal control system requirements to achieve effective risk management.
2.Risk Assessment:
Heads of each department shall conduct risk assessment and control as part of their routine management operations.
3.Risk Response:
For uncertainties that may pose threats to the Company’s operations, the Company shall, prior to execution, convene the responsible and relevant units for discussion and, where necessary, seek opinions from external consultants to assess risks and propose preventive recommendations.
4.Supervision and Review Mechanism:
The internal audit unit shall oversee the implementation units’ compliance with approved authorization levels and relevant management policies and procedures, in order to ensure risk management awareness and effective execution across the Company.
Risk Management Organization and Responsibilities
(1) Board of Directors:
The Board of Directors is the highest authority for the Company’s risk management. With the objective of complying with applicable laws and regulations and promoting the implementation of enterprise-wide risk management, the Board clearly understands the risks faced in operations, ensures the effectiveness of risk management, and bears ultimate responsibility for risk management.
(2) Senior Management:
Senior management is responsible for executing risk management decisions, establishing and revising relevant control policies and procedures, and coordinating cross-departmental risk management interaction and communication.
(3) Internal Audit Unit:
The internal audit unit uses key risk items identified by senior management as a reference for selecting audit subjects in the audit plan, and provides effective improvements and recommendations regarding the implementation status.
Risk Management Scope, Potential Risks, and Assessment Report
In the future, the Company will continue to monitor changes in both internal and external environments, maintain a high level of vigilance in risk identification, and conduct ongoing risk assessments and monitoring. The Company will also appropriately disclose potential risks within relevant risk categories and prepare improvement measures and reports to ensure the effective implementation of risk management procedures, thereby establishing a solid foundation for sustainable corporate operations.
Based on the nature of the industry and the business operations of each department, the Company has identified the following risk categories to be included in its risk management framework. These risk categories are reported to the Board of Directors on an annual basis. The most recent report was submitted on March 10, 2025.
2025 2024
