Responsibility and influence

At Responsible Handa, we always uphold the concept of win-win, regard suppliers and others as strategic partners for sustainable development, promote green procurement standards by establishing a collaborative management system for sustainable development, and use the dual-wheel drive of "responsibility audit + capacity building" to help improve the level of sustainable operations throughout the entire supply chain. At the same time, we build a safety management system covering all aspects with the goal of "zero accidents and zero hidden dangers", and build a solid risk protection network for the business through certification, intelligent monitoring and training exercises. We also focus on education empowerment, community development and environmental protection charity, establish a charity fund, and interpret the concept of "shared development" with practical actions, making responsible care a warm bond connecting Industries and society.

 

Building a sustainable supply chain

Handa Industries collaborates with supply chain partners to build a transparent and sustainable management system, integrating environmental and social responsibility from the very beginning through full-chain collaboration. Leveraging digital platforms and standardized processes, they establish a transparent management and control mechanism covering the entire supplier life cycle. Through initiatives such as jointly establishing green standards, promoting sustainable certification, and implementing carbon footprint tracking, they embed ESG concepts into every aspect of the supply chain, leveraging supply chain collaboration to support the implementation of sustainable development strategies.

 

Supplier Management

Handa Industries deeply integrates the concept of sustainable development into the management of the entire life cycle of suppliers, builds a systematic supplier governance system and implements dynamic optimization.Supply Chain Management Department, comprehensively covering core dimensions such as supplier social responsibility implementation, product quality control, delivery cycle compliance, and service responsiveness, and establishing a standardized audit and assessment and tiered management mechanism. Focusing on key ESG areas such as business ethics compliance, occupational health and safety, environmental sustainability, and labor rights protection, through management tools such as qualification certification and periodic performance evaluations, we guide suppliers to standardize their responsible behavior and strive to build a supply chain community of shared responsibility and value.

Optimization mechanism:For stability high quality Supplier team, establish long-term healthy Reciprocity of Supply and demand,Industrie should improve relevant procurement management systems according to actual conditions.Applies to All to Industries supply Production raw materials, flour and auxiliary materials、Production equipment, office supplies, consulting services, etc.of Suppliers, as well as internal purchasing personnel. For personnel and behaviors that do not strictly follow the system and manual requirements to conduct business, the company will handle them according to the relevant provisions of the "System".The person in charge of purchasing, along with the manufacturing and finance departments, will monitor procurement practices and manage personnel accordingly.

Standardized  process:To ensure efficient procurement, mitigate risks, and achieve profitable growth, the company has developed and standardized its Procurement Operations Process, continuously improving the responsibilities and authority for purchasing both production and non-production materials. Furthermore, suppliers are defined and evaluated based on their defined categories in strict accordance with the Supply Chain Management Process System Document. This effectively manages and controls the entire supply chain, mitigating and ultimately eliminating risks in the company's business operations.

Certification Audit:Handa Industries prioritizes "sustainable development + comprehensive excellence" as its core principle for supplier selection, establishing a multi-dimensional evaluation system encompassing ESG performance, quality control, cost advantages, delivery capabilities, and service levels. Within the four benchmark dimensions of quality, cost, delivery time, and service, a progressive screening mechanism is implemented: comparing prices for similar quality, comparing delivery times for similar prices, and comparing quality, price, and service for similar quality, price, and delivery times. This ensures high-quality procurement through optimal resource allocation.

The certification process is carried out by a professional audit team composed of cross-departmental members including supplier management, sales, and production. Based on a standardized audit checklist, they conduct a comprehensive verification of the completeness of the supplier's application materials, the implementation of social responsibilities, and the actual supply capacity, to ensure that the approved suppliers meet the company's strategic requirements in terms of sustainable development management, production technology capabilities, and quality control systems.

Certified suppliers sign a Supplier Social Responsibility Agreement and a Handa Industries Confidentiality Agreement, clarifying the rights, responsibilities, and ESG compliance requirements of both parties. Throughout the partnership, regular certification updates and regular communication and interaction ensure real-time tracking of suppliers' social responsibility performance. If any violation of standards is discovered, the partnership termination process is immediately initiated, ensuring consistent compliance within the supply chain responsibility ecosystem through rigorous management.

Transparent cooperation: Industries promote sunshine procurement,We require all suppliers we establish partnerships with to sign an Anti-Commercial Bribery Agreement, which outlines cooperation guidelines and fosters a fair and honest partnership. We also require all internal procurement personnel to sign an Integrity and Self-Discipline Agreement to enhance their professional ethics and self-discipline. During the procurement process, we strictly adhere to the company's Outsourcing Procurement Management System, ISO9001:2015 certification requirements, and the terms of the Supply and Procurement Management Manual, and require suppliers to comply with these regulations. Commercial bribery is strictly prohibited.

Comprehensive assessment:In 2014, the company conducted a comprehensive assessment and evaluation of suppliers based on relevant systems and processes, and assessed their credit ratings in terms of social responsibility management, quality, delivery time, service, etc.Supplier of Credit rating, implement different management.For the assessment Incompatible The company is determined to be eliminated.

Improve the platform:Introduce and promote the application and promotion of supply chain management platform, with the help of system Powerful data analysis, forecasting and optimization functions help companies better understand market demand and supply conditions and develop more accurate procurement plans., thereby improving the standardization, informatization and coordination level of the group's procurement management.

Risk prevention: Increase Strengthen data analysis and further promote the implementation of statistical analysis of procurement data. By deeply exploring the value of data, we can provide strong data support for procurement decisions. At the same time, we will establish a risk warning mechanism to promptly identify and respond to potential risks, thereby ensuring the stable operation of procurement activities and the sustainable and healthy development of the Industries.


Building a new ecosystem for intelligent supplier management based on the SRM system


Handa Industries has launched an SRM project, standardizing the entire supplier management process through the implementation of digital tools. The project focuses on promoting the application of the SRM system in scenarios such as supplier profile management, procurement process collaboration, and dynamic performance ratings. By integrating comprehensive supplier information through a data center platform and establishing a visual management dashboard, Handa ensures that supplier screening, collaboration, and assessment processes meet corporate standardization requirements. Upon completion of this system, Handa will transition supplier management from manual control to digital-driven management, further improving supply chain collaboration efficiency and compliance.


 

Deepen the mechanism of fabric and auxiliary materials proposal meeting to normalize and promote the coordinated upgrading of supply chain


Handa Industries regularly holds fabric and auxiliary material proposal meetings to build a long-term cooperation platform for precise matching of supply and demand. As a core communication channel between the company and its suppliers, these meetings not only fully demonstrate Handa's production technology strength and quality control system, but also promote the upgrading of supply chain collaboration towards refinement and customization through standardized processes.

During the proposal meeting, supplier representatives visited the company to gain an in-depth understanding of cutting-edge production processes and end-to-end quality inspection standards. The product proposal session focused on material innovation, with suppliers presenting their latest fabric and auxiliary materials for discussion with the Handa technical team. This closed-loop mechanism, encompassing "regular meeting, joint research on needs, and resource integration," fosters two-way empowerment between both parties in product R&D, ultimately achieving the goal of collaborative industry development through resource sharing and win-win cooperation.



   

 

Carry out procurement management training to enhance supply chain professional capabilities


In May 2024, Handa Industries invited supply chain experts to conduct special training on "Purchasing and Supply Management", with more than 80 backbone members of the procurement team participating.

The training combines the characteristics of the clothing industry and analyzes procurement management methodology in a "theory + case" model, covering modules such as supplier relationships, cost analysis, risk prevention and control, and outputs practical tools.

This training is an important measure for the development of Handa supply chain talents, helping the team to consolidate their professional foundation, upgrade their management thinking, and build a solid talent support for improving the competitiveness of the company's supply chain.



   


202In the past four years, the company has not received any complaints related to bribery or bribery, nor has it been subject to any legal sanctions related to commercial bribery.


 

Business Ethics

Honesty is the core value of Handa, which is deeply rooted in the corporate culture and system. We insist on operating with integrity, law and compliance, emphasize that integrity is the foundation of corporate development, abide by the value of "integrity and win-win", establish a management system with customers, suppliers, employees, society and other stakeholders, and integrate all stakeholders into the management system.Integrate stakeholders' expectations and needs into daily corporate management and operations.Through measures such as corporate culture promotion, daily training, supplier conferences, and employee behavioral guidelines, we continuously guide all parties to abide by ethical standards, ensure the implementation of correct values, and maintain a fair and competitive market.

Integrity management, no fraud

Do not produce or sell inferior goods or pass them off as good ones, and do not seek personal gain through deception.

Beneficiary groups: Consumers, customers, employees

 

 Fair competition, no monopoly

Win the market with strength, avoid vicious competition, and maintain market order

Beneficiary group: peer companies

 

 Cooperate with integrity and do not accept bribes

Oppose corruption, standardize business practices, and refuse commercial bribery

Beneficiary groups: suppliers, customers, consumers

 

 Obey the law and do not violate regulations maliciously

Operate in accordance with the law, do not exploit legal loopholes, and fulfill all obligations of corporate citizens in accordance with the law

Beneficiary groups: Government, industry, employees, consumers

 

 Healthy development without damaging the environment

Industries development does not come at the cost of environmental damage, and advocates and practices low carbon, low emissions, energy conservation and consumption reduction.

Beneficiary groups: community residents, government, society

 

Fulfill your duties and do not shirk your responsibilities

Be responsible to employees, customers, consumers, investors and society

Beneficiary groups: All stakeholders