Through continuous optimization of supplier management strategies and operational efficiency, WNC works with suppliers to manage sustainable supply chains. We aim to achieve balanced development among profitability, environmental protection and social responsibility, in order to create better value for all stakeholders.
By supporting the Company’s business development and enhancing the Company’s market competitiveness, WNC will continue to effectively manage and jointly improve the quality, price, delivery, service, and environmental and social responsibility performance of suppliers, and develop the most suitable supplier portfolio and purchasing policies to be able to work with suppliers in a responsible supply chain.
WNC regards supplier management as a key action in fulfilling its social responsibilities. WNC offers sustainable procurement courses for employees in the Global Supply Chain Management Division. Through the sharing of trends in sustainable procurement and case studies, WNC aims to implement sustainable procurement concepts in its materials procurement and in the screening and management of suppliers. Multiple online courses were held in 2022, with 73 employees completing training for a completion rate of 89%. WNC also offers online training courses to suppliers on sustainability concepts, its own Supplier Code of Conduct, and anti-corruption issues through the Digital Supply Chain Portal (DSCP).
Supplier Investigation and Audits
WNC has formulated a Supplier Code of Conduct, which requires all suppliers to sign a Supplier Commitment to Sustainability Declaration and Supplier Integrity Commitment Letter, declaring that they have fulfilled their social responsibilities, and are committed to prohibiting the use of child labor, forced labor, and implementing occupational safety and health management, anti-bribery and anti-corruption measures, fair trade, supporting freedom of association for workers and labor-management agreement rights. Suppliers are asked to complete a Supplier ESG Questionnaire so WNC can understand suppliers’ implementation of labor, health and safety, environmental, ethics, and management systems. As of the end of 2022, 957 suppliers have signed the Supplier Commitment to Sustainability Declaration, 510 suppliers have responded to the Supplier ESG Questionnaire, and 225 suppliers have completed on-site RBA audits for suppliers, accounting for 88%, 47%, and 20% of suppliers with purchase transaction records in 2022, respectively.
Percentage of WNC's Suppliers who Signed the Sustainability Declaration and Completed the ESG Questionnaire in the Past 4 Years
RBA audit processes for WNC suppliers
WNC does not directly purchase raw metal materials, and has declared “Responsible Minerals Policy Statement”. WNC supports the Responsible Minerals Initiative (RMI) that was jointly initiated by the RBA and the Global e-Sustainability Initiative (GeSI), adopts the responsible minerals reporting template stipulated to conduct minerals investigations for suppliers every year since 2010, and identifies supplier risk levels based on the investigation results in accordance with WNC responsible minerals management procedure.
- Do not purchase minerals directly from origin
- Ban the use of conflict minerals that contribute to significant human rights violations such as armed conflict and forced labor in conflict-affected and high-risk areas (CAHRAs)
- Require suppliers to obtain minerals from responsible sources and communicate this policy to their own upstream suppliers