Sustainable Procurement
Supplier Management
Mega Securities values the collaboration with and growth of suppliers. In order to implement supplier management, the "Regulations of Supplier Sustainable Development Management" (“the Management Regulations”) are established, requiring suppliers working with Mega Securities and its subsidiaries to meet regulatory requirements in terms of labor rights and human rights, occupational safety and health, environmental sustainability, and ethical corporate management. Before dealing with Mega Securities and its subsidiaries, the suppliers are assessed for any record of environmental and social impacts, and these suppliers violate the Management Regulations will be avoided. The suppliers are required to sign the "Supplier Sustainability Declaration" when entering contracts; any action involving the matters specified in the Management Regulations will result in terminations or rescission of contract any time, and such supplier will be black-listed. Mega Securities regularly tracks violations by the suppliers. The partners are inquired for any violation of the “Labor Standards Act,” “Act of Gender Equality in Employment,” “Employment Service Act,” “Middle-aged and Elderly Employment Promotion Act,” “Occupational Safety and Health Act,” “Labor Pension Act,” and “Labor Occupational Accident Insurance and Protection Act” through the Inquiry System of Business Unit (Employer) Violating Labor Laws and Regulations by the Ministry of Labor. In 2023, there were no violations of regulations by the suppliers entering contracts with Mega Securities or violation incidents of Mega Securities' “Regulations of Supplier Sustainable Development Management.” In 2023, a total of 75 supplier contracts were signed, and 100% suppliers signed the Supplier Sustainability Declaration
Supplier Sustainability Self-Assessment Questionnaire Survey
In order to strengthen the supply chain management and promote supplier engagement benefits, Mega Securities cooperates with the Group in conducting questionnaire surveys to implement the "Sustainability Self-Evaluation Questionnaire" mechanism for key suppliers. The target respondents are the key suppliers of Mega Securities (transactions amounting to more than NT$1.5 million in 2023) to investigate their performance in four major aspects: "Labor rights and human rights, environmental sustainability, occupational safety and health, and ethical corporate management." The questionnaires were distributed to the suppliers for assessing their sustainability performance in the previous year on their own, and the performance was rated on a scale of A Level to D Level. In 2023, Mega Securities had 23 key suppliers, and the questionnaires were collected from a total of 15 suppliers. As the results, there are four suppliers of A Level, seven for B Level, two for C Level and two for D level, with the overall collection rate of 65%. The total purchase amount from Mega Securities' key suppliers for 2023 was approximately NT$154,716 thousand.
