Stakeholder Communication

We define stakeholders as a group or an organization that can affect or be affected by ASEH. Based on the 5 major principles (dependency, responsibility, influence, diverse perspective, tension) of the AA1000 Stakeholder Engagement Standard (SES), we have identified 7 major categories of stakeholders. They are categorized into two groups based on whether the impact is direct or indirect. Our direct stakeholders include shareholders, employees, customers, and suppliers/contractors; our indirect stakeholders include community (incl. NGOs, media), government and industry unions/associations.

We engage with our stakeholders through a variety of means, depending on the nature of the relationship. The methods of engagement will vary depending on the stakeholders, the issues of concern and the purpose of engagement. We regularly report the stakeholder communication status to the board of directors every year.

Communication Mechanisms
  • Customer quarterly business review meeting

  • Customer audits

  • Customer service platforms

  • Technical forums

Responsible Units
  • COO Office

  • Sales Offices

2023 Issues of Concern
  • Customer relationship management

  • Sustainable supply chain

  • Data and privacy

  • Information security management

  • Innovation management and sustainable manufacturing

2023 Key Communication Outcomes
  • We achieved a customer satisfaction rating of 92%in 2023, which met our target of 90%.

Communication Mechanisms
  • GM and plant manager’s mailbox

  • Intranet web site, bulletin board and display walls

  • Seminars/employee forums

  • Employee engagement survey

  • Service and complaint hotlines

Responsible Units
  • CAO Office

  • HR Departments

2023 Issues of Concern
  • Human rights

  • Talent attraction and retention

  • Occupational health and safety

  • Talent development

  • Diversity and inclusion

2023 Key Communication Outcomes
  • In 2023, more than 1700 seminars/employee forums were held, including 220 sessions for new employees, 533 sessions for foreign workers, 78 instances of regular labor-management negotiations and 927 sessions for regular employees.

  • The number of internal employee complaints totaled 778, all of which were closed satisfactorily.

  • In 2023, 95.1 of our employees participated in the employee engagement survey, and 77% of the subjects responded to the sustainability engagement survey. The next survey will be conducted in 2025.

Communication Mechanisms
  • Annual and quarterly financial reports

  • Quarterly earnings conferences

  • Annual shareholders’ meetings

  • Quarterly institutional investors' conferences

Responsible Units
  • Company Spokesperson

  • Investor Relations Department, CFO Office

2023 Issues of Concern
  • Innovation management and sustainable manufacturing

  • Water resource management

  • Talent attraction and retention

  • Occupational health and safety

  • Energy management

2023 Key Communication Outcomes
  • In 2023, we held an annual shareholders meeting and 4 quarterly earnings conferences, and attended 15 institutional investor conferences to communicate economic, environmental, and social issues to our shareholders.

  • In 2023, our consolidated operating revenue was NT$581.9 billion, a decrease of approximately NT$89 billion or 13.3% compared with 2022.

Communication Mechanisms
  • Supplier questionnaire surveys

  • Supplier on-site audits

  • Annual supplier forum and supplier sustainability awards

  • Supplier capacity-building activities

  • Supplier information security evaluation

Responsible Units
  • Corporate CSR Division

  • Group Procurement Department

  • IT Departments

2023 Issues of Concern
  • Occupational health and safety

  • Sustainable supply chain

  • Business ethics

  • Customer relationship management

  • Data and privacy

2023 Key Communication Outcomes
  • More than 600 suppliers completed the survey, while 201 suppliers underwent onsite/remote audits or RBA VAP.

  • More than 5500 suppliers participated in sustainability forums/training workshops.

  • We completed third year annual on-site audits for our first year Supplier Sustainability Award winners (one for each of the 3 suppliers).

  • For the second year Supplier Sustainability Awards, we selected one supplier for the Low Carbon category and one for the Circular category.

  • We completed written information security evaluations of 76 suppliers.

Communication Mechanisms
  • Communication meetings, conferences, forums or seminars held by government authorities

  • Proactive dialogue with government authorities

  • Reporting through government portals

Responsible Units
  • Public Affairs Division, CFO Office

  • CAO Office

2023 Issues of Concern
  • Occupational health and safety

  • Social involvement

  • Business ethics

  • Water resource management

  • Air pollution prevention

2023 Key Communication Outcomes
  • The Environmental Safety and Health (ESH) Committee–Assembly and Test Working Group was formed by our company together with our industry peers to address industrial safety and environmental issues pertaining to the semiconductor industry in Taiwan. The group analyzes trends and developments in international law to provide references for government agencies to formulate policy and regulatory amendments related to the semiconductor assembly and testing industry, and to assist the competent authorities in formulating regulatory proposals that align with current and future industry developments.

Communication Mechanisms
  • Community perception surveys and needs assessments

  • Communication meetings, forums, seminars or workshops held by NGOs

  • Volunteer activity cooperation with NGOs

  • Press releases

  • Spokesperson interviews

  • Company's website

Responsible Units
  • Public Affairs Division, CFO Office

  • CAO Office

  • HR Departments

2023 Issues of Concern
  • Waste and circularity

  • Social involvement

  • Air pollution prevention

  • Water resource management

  • Climate-related strategies

2023 Key Communication Outcomes
  • We held a press event for the media and non-profit foundations, and organized forums and facility visits for concerned professionals to learn about the technologies behind semiconductor manufacturing and our achievements in environmental protection.

  • We contributed approximately US$1.86 million in support of environmental conservation programs, charitable activities, and cultural and educational programs through collaboration with 60 NGOs.

Communication Mechanisms
  • Organizational member conference

  • Technology forums held by industry unions/associations

Responsible Units
  • CAO Office

  • Subsidiaries

2023 Issues of Concern
  • Energy management

  • Occupational health and safety

  • Customer relationship management

  • Innovation management and sustainable manufacturing

  • Data and privacy

2023 Key Communication Outcomes
  • We engaged over 140 industry unions, associations and organizations, and international industry alliances, and contributed approximately US$0.9 million to public policy and industrial development  (more details can be found here).

  • Our executive serves as the vice chair of the SEMI Global Board of Directors, and the company is a founding member of SEMI [the Semiconductor Climate Consortium (SCC)]. In 2023, we worked with our member partners to promote the SCC Energy Collaborative (SCC-EC), which is committed to assisting the Asia-Pacific region in accelerating its development of low-carbon energy and working with the semiconductor industry chain to accelerate the implementation of the net-zero goal through methods such as low carbon processes, renewable energy, and circular economy.

*Communication Mechanisms
Responsible Units
*2023 Issues of Concern
*2023 Key Communication Outcomes

Materiality Assessment and Stakeholder Communication

Every year, ASEH develops a materiality execution framework that identifies major sustainability issues and develops economic, environmental, and social impact assessment methodologies by referencing major standards organizations like the 2021 GRI Universal Standards’ GRI3: Material Topics, the AA 1000 Stakeholder Engagement Standard (SES), the Value Balancing Alliance (VBA), the Harvard Business School’s Impact-Weighted Accounts research project, the London Benchmarking Group (LBG), and incorporating the concept of Double Materiality proposed by the European Financial Reporting Advisory Group (EFRAG). Applying the ERM approach to integrate risks and materiality allows the assessment of the company’s organizational resilience. In addition, based on the major issues identified through the preceding process, we are able to develop long-term sustainable goals and strategies.

During the preparation of our 2023 Corporate Sustainability Report, we collected feedback from 2,298 stakeholders to understand the degree of concern on sustainability at ASEH. Led by the company’s senior management, a total of 175 colleagues from the Corporate Sustainability Committee (CSC) of the subsidiary companies participated in identifying the degree of impact of each sustainability issue on the operations of the company. The CSC members, the supervisors of functional units, and the responsible personnel of our other subsidiary companies worked together to identify the impact of our operations on the sustainable development of the economy, environment and society (people and human rights). The company referenced the material issues identified in the previous year, and reported to the Board of directors on the final 16 issues selected as the basis for our long-term sustainability goals from now to 2030. The overall materiality assessment process is detailed below:

To identify the relevance and importance of various issues, we referenced international standards and regulations as well as sustainable investment ratings and communicated with our global semiconductor industry peers and stakeholders. We compiled a list of 21 sustainability issues that were related to our company. This year, we added “risk and crisis management issues” to the list, changed “climate change” to “climate-related strategies,” and dropped “work from home.”

9 Economic Issues, 6 Environmental Issues, 6 Social Issues

International standards and regulations:
GRI Standards, Sustainability Accounting Standards Board (SASB), SDGs, RBA, Task Force on Climate-related Financial Disclosures (TCFD), and Task Force on Nature-related Financial Disclosures (TNFD).

Sustainability investment assessments:
‍Dow Jones Sustainability Indices (DJSI), Climate Disclosure Project (CDP), MSCI ESG Index, and FTSE4Good Emerging Index.

Global semiconductor industry:
‍Benchmarking sustainability policies and practices from semiconductor companies listed on the DJSI.

Stakeholder engagement:
Analysis of online media reports and regular/occasional stakeholder communication to evaluate stakeholders' perception on sustainability issues.

We comply with the GRI Standards and base the materiality of issues on their importance to stakeholders, impact on the company’s operations, and impact on the external environment. We collect our stakeholders’ feedback through daily communication and questionnaires to help senior managers determine the impact of various issues on company operations. Functional unit supervisors are invited to identify sustainability-related impact and determine the materiality and relevance of issues.

2,904 Stakeholders

The degree of concern from stakeholders is a key factor in the process of determining the significance of our material issues, and the process is an important channel for us to communicate with our external stakeholders. This year, we designed a questionnaire on stakeholders’ degree of concern about sustainability issues that drew a total of 2,904 stakeholder responses. The respondents included employees (1,589), customers (105), shareholders (31), suppliers/contractors (889) and members of the government (53), industry unions/ associations (32), NGOs (36), media (31), and communities (138).

175 Participants in the Operational Impact Survey

Integrating care for the environment, society, and governance (ESG) into core operations is a key driver of corporate sustainability. Therefore, we had a 175-member team of senior managers and CSC members participate in evaluating the impact of each sustainability issue on our revenue, risks, customer satisfaction, and employees’ organizational identification, and ranking the level of each issue’s importance according to its impact.

38 Participants in the Sustainable Development Impact Survey

We integrated the economic, environmental, and social impact assessment methodologies developed by the VBA, the Impact-Weighted Accounts research project of the Harvard Business School, and the LBG to identify 5 external economic impact, 6 external environmental impact, and 10 social impact external impact related to our company. Additionally, we formed a team made up of 38 supervisors from functional units and the core sustainability team that identified 11 material external impact related to our company.

Based on the results of the materiality assessments and using the GRI indicators, we fulfilled the disclosure requirements of our stakeholders regarding sustainability-related information. We continue to increase transparency with regard to our sustainability issues and efforts across various communication platforms such as our ESG reports, annual reports, TNFD report, TCFD report and website, covering aspects such as our policies, organization, practices, performance, and goals.

16 Material Issues

The CSC initially identified 16 material issues that were of importance to stakeholders and impact the company’s sustainable development and/or the external environment. After further deliberation, the assessment ultimately yielded 16 material issues. The CSC later confirmed these issues as material issues. Consequently, the issues formed the basis for the disclosures in our 2023 Sustainability Report and for formulating internal sustainable management goals.

23 Sub-issues

We derived 23 additional sub-issues (21 GRI-specific and 2 ASE Holdings-specific issues) for disclosure from the 16 material issues. Other issues with lower priority were also disclosed in the report.

Commitment, actions, and goals are key factors through which we demonstrate our impact. We monitor and track the achievement rates of our goals, tying sustainability-related performance to the remuneration of our senior managers. We view corporate sustainability as one of our core operational factors, and strive for a corporate culture that values and practices sustainability from the top down.

41 Long-term Goals

To elevate the impact of corporate sustainability, we have made commitments to various major issues and formulated 41 long-term sustainability goals for 2030. In addition, we have promoted and implemented various projects at our factories worldwide year by year.

4 Committees

Every year, the CSC assesses the progress of goal completion via the reports presented by colleagues from relevant business units. On a regular basis, our three member companies hold internal CSCs to manage and track the progress and sustainability trends.

Other topics

Other topics

Diversity in Human Resources

Diverse Talents, United Excellence

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Intellectual Property Management

Unlocking innovation and safeguarding excellence

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Risk Management

Risk Management Policies and Procedures

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Organization & Structure

Fostering Organizational Excellence

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Water Resource Management

Water Risk Assessment

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Smart Factories and Automation

Higher customer satisfaction in quality and delivery

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Sustainability Strategies

Building a Better Future, Together

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Industry-Academia Collaborations

Industry-Academia Collaborations

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Public Advocacy

Public Advocacy and Management Framework

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Supplier Sustainability Awards

Supplier Sustainability Awards

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Waste Management

Waste Generation and Recycling

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Social Involvement

Stimulate positive social change

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Information Security Management

Information Security Policy, Organization and Targets

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Occupational Health and Safety

Diverse Talents, United Excellence

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Environmental Management System

Towards a Greener and Better Future

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Talent Attraction and Retention

Talent Recruitment

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Environmental Conservation

Environmental Conservation

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SDGs & TIMM

Shaping Tomorrow's Value

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Conflict Minerals Compliance

Corporate Policy for Sourcing Conflict Minerals

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Business Conduct and Ethics

Good corporate citizenship and social responsibility

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Biodiversity

Promote the well-being of human and safeguarding our planet

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Green Facility

Realizing the determination of green transition

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Supply Chain Management Framework

Supply Chain Management Organization

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Sustainable Supply Chain Management

Supplier Sustainability Management Approach

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Climate Leadership

Transitioning towards Low-Carbon Resilience

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Corporate Sustainability Policy

Pioneering Sustainability, Powering Tomorrow

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Sustainable Manufacturing

Eco-Efficiency Through Sustainable Manufacturing

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Human Rights Management

Committed to Human Rights, Sustainability, and Responsibility

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Community Engagement

Community Engagement

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Talent Cultivation and Development

Talent Cultivation and Development

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Regulatory Compliance

Compliance at the Core: Upholding Laws, Guiding Principles

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Succession Planning

Risk Management Policies and Procedures

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