Sustainable Supply Chain Management

SIMMTECH supports the growth of its partners based on transparent and sound transactions grounded in the core value of Integrity and strives for the stabilization of a sustainable supply chain. To this end, we have established a Code of Conduct for partners, facilitating mutual communication on ESG elements such as corporate ethics, labor/human rights, health/safety, and environmental policies. We also support the spread of ESG values throughout the supply chain by establishing ethical management pledges and conflict minerals procurement standards.

Supply Chain ESG Management Policy

Operation of Responsible Supply Chain Policies

• SIMMTECH complies with provisions related to human rights protection, prohibition of child labor, non-discrimination, and prohibition of the use of uncertified conflict minerals, and transactions with partners violating these provisions are institutionally prohibited.
• In selecting new suppliers, SIMMTECH adheres to a principle of conducting a three-step evaluation consisting of procurement, technology, and quality, along with assessing the partner's compliance management and environmental protection response.

Supplier Code of Conduct

SIMMTECH Partner Code of Conduct for Ethical Management is based on the principles of the UNGC and the OECD guidelines. It stipulates the respect for human rights, the maintenance of a safe working environment, the management of environmentally friendly workplaces, adherence to corporate ethics, the legal procurement of raw materials, and the compliance with ESG elements including management systems. To implement this, we conduct the 'SIMMTECH Ethical Management Self-Assessment' annually, receiving reports on violations with a focus on ethical management elements, which are key management areas of ESG risks, from all partner companies.

• Supplier Code of Conduct

Supplier Self-Assessment and Survey Submission

To gather grievances and opinions from suppliers, an ethical management self-assessment is regularly conducted. The survey forms are sent via email and include separate items for reporting any violations. According to the survey results conducted in 2023, there were no reports of grievances or complaints (0 cases), and 90% of the respondents indicated that they are 'complying with ethical management'.

• Period: Tuesday, September 19, 2023 ~ Tuesday, October 10, 2023
• Target: 518 suppliers

Partner Company Sustainability Assessment

To systematically manage supply chain sustainability, SIMMTECH conducts a comprehensive evaluation of partners' compliance management and their response to environmental and health/safety issues from the initial selection stage, in addition to a three-step evaluation consisting of procurement, technology, and quality. Furthermore, we conduct annual evaluations of contract performance to proactively prevent ESG risks.

Collaborative Growth with Partners

SIMMTECH aims to build a sustainable partnership by growing and developing together through communication and cooperation with partner companies. To achieve this, we operate various collaborative growth programs and continuously strive for mutual benefits and the achievement of common goals.