Concord New Energy Group is devoted to the responsible management of its supply chains by discipling and supervising suppliers and contractors to fulfill their environmental and social responsibilities. The Group prefers suppliers with higher standards who share the same sustainability philosophy with the Group. The management of the Group's suppliers entails the following measures:
• Adhere to the principle of fair, just and open tendering and procurement.
• Establish a list of qualified suppliers: the approved suppliers must meet the entry requirements of strong supply capacity, stable quality, and good reputation. Suppliers are audited by the Group in terms of their qualifications, EHS management skills, and legal risks.
• Supplier evaluation and assessment: annual assessment is conducted, during which various indicators are evaluated, with a focus on supplier profitability, product quality, governance structure, service awareness, sustainable development, corporate reputation, performance capability, etc. Suppliers assessed to be unqualified shall be removed from the list.
• Suppliers are required to sign an Integrity Commitment Pact, which is publicized during the bidding process.
• The contract clearly requires the contractor to comply with laws and regulations of employment, labor, health and safety to protect the legitimate rights and interests of employees.
• While performing the contract, the Group strictly supervises and assesses the contractor to ensure that its safety and quality management is up to standard.