In reference to the Responsible Business Alliance (RBA) Code of Conduct, iST has established Supplier Guidelines as the standard for suppliers to follow. iST expects suppliers to thoroughly understand these guidelines and address any deficiencies to align with the prescribed standards.
Aligned with sustainable development, environmental friendliness, ethical operations, and information security, iST and its suppliers jointly strive to fulfill corporate responsibilities in areas such as environmental protection, safety, and hygiene. The Supplier Code of Conduct, provided as an appendix, serves as the standard for suppliers to adhere to. A summary is outlined below:
● Labor Rights
iST and suppliers share the responsibility for upholding labor rights, health and safety, company management mechanisms, and systems. Child labor is prohibited, and excessive working hours are not permitted. The aim is to create a healthy, safe, and high-quality work environment.
● Environmental Responsibility
Suppliers recognize their role in environmental responsibility as an essential part of manufacturing world-class products. Efforts are made to minimize negative impacts on communities, the environment, and natural resources during the manufacturing process. This includes reducing carbon emissions, waste, and pollutants through improved production, maintenance, material substitution, recycling, and reuse to conserve natural resources.
● Ethical Business Practices
The highest standards of integrity are maintained in all business interactions. Suppliers are expected to adopt a zero-tolerance policy against bribery, corruption, extortion, and embezzlement in any form.
● Information Security
Suppliers must maintain confidentiality for business information obtained through transactions with iST. Without company permission, relevant data must not be copied, modified, reverse-engineered, or disclosed to third parties. (iST has been certified with ISO/IEC 27001: 2013 Information Security Management System since 2021.
)
With sustainability as a goal, iST considers energy-saving and environmental factors in procurement, production, packaging, logistics, sales, service, recycling, and reuse processes. Collaboration with upstream and downstream businesses fulfills social responsibilities in environmental protection and emission reduction. Products are prioritized from local, environmentally-friendly suppliers with eco-labels and approvals from environmental agencies for recycled materials, recyclability, low pollution, or energy-saving conditions.
iST has been certified with TUV NORD ISO 14001: 2015 Environmental Management System since 2019, for the full text of the ISO 14001: 2015 certification, please refer to the PDF link. 
Following OECD’s Due Diligence Guidance for Responsible Supply Chains of Minerals from Conflict-Affected and High-Risk Areas, iST establishes a framework for responsible investigation. In addition to advocating the prohibition of “conflict minerals,” suppliers are required to sign the “Conflict Minerals Non-Usage Commitment” after evaluation and assessment. All suppliers have signed this commitment in 2023.
To ensure product quality and on-time delivery meet company and customer requirements, iST assesses and evaluates critical suppliers based on quality policies, management processes, supply chain management, and anomaly management. A score above 70 is qualified, 60-70 is conditionally approved, and below 60 is not approved.
Qualified suppliers are required to sign a “Confidentiality Agreement” to safeguard sensitive information.
iST conducts annual evaluations for key suppliers engaged in significant transactions. The evaluation is based on criteria such as cost, delivery, service, and process. Scores above 3.5 are considered qualified, scores between 3.0 and 3.5 are conditionally approved, and scores below 3.0 are considered not qualified.
In the year 2023, a total of 41 suppliers underwent evaluation, resulting in a 100% qualification rate.
iST also conducts both regular and random on-site assessments of suppliers. These assessments encompass an evaluation of the supplier’s process capabilities, quality standards, delivery control, and internal management processes. Furthermore, iST reviews whether the supplier adheres to corporate social responsibility standards in terms of occupational safety, environmental protection, and labor rights. In cases where discrepancies are identified, the supplier is required to implement continuous improvement measures, reduce deficiencies, or potentially terminate the business cooperation.
iST has been certified with TUV NORD ISO 45001：2018 Occupational Health and Safety Management System Certification since 2019, please refer to the PDF link.
Internal employee occupational safety is a priority for our company. Additionally, we mandate that all construction contractors and equipment suppliers entering our premises undergo safety induction training provided by our Environmental Health and Safety (EHS) unit. Waste disposal contractors must possess relevant certifications and comply with environmental regulations, signing a “Contractor Safety and Environmental Consent Agreement” to ensure adherence to safety and environmental management guidelines.
iST requires suppliers to commit to strict adherence to the company’s established integrity-related regulations. During the course of normal business transactions with iST, suppliers are obligated to refrain from engaging in any bribery, offering inducements, or providing undue benefits to iST employees or their associates in order to facilitate business interactions. Suppliers are strictly prohibited from influencing, persuading, or enticing iST employees to deviate from their duties or faithful obligations to the company.
For suppliers involved in substantial financial transactions, the company mandates the signing of a “Supplier Integrity Commitment Letter. “In the year 2023, this commitment letter was issued to eligible suppliers, and all have successfully signed and returned the document.