Supply Chain Risk Management

Supply chain risk management is an integral part of the competitiveness of the Company. To this end, the Company pays close attention to the risks faced by its suppliers, including natural threats such as fires, floods, earthquakes, and statutory infectious diseases due to climate change. In addition, to maintain supply chain stability, each material must have at least two or three suppliers located in different geographic locations to flexibly address the operational risks associated with international scene changes, extreme weather, and major natural disasters. For materials currently supplied by only one supplier, the Company responds by increasing its inventory level and actively seeking a second alternative supplier. The Company requires its suppliers to review and manage their operations and the geographic distribution of their production lines and associated risks in order to reduce the risk of future shortages due to extreme weather, major natural disasters, or changes in the international scene.

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