Supply chain management is also a critical indicator on corporate sustainable operation. For the purpose of implementing efficient management, INPAQ classifies suppliers into direct material supplier, indirect material supplier, outsourced vendor, non-physical product supplier, gauging device supplier, outsource calibration/test service supplier and environmental supplier.
INPAQ conducts routine assessments on suppliers each year. In terms of production suppliers in Taiwan, on-site assessments will be conducted with assessment contents including items of quality, product, technology and environment. In the event that assessment result is lower than standard score, supplier will be notified to rectify within 3 months. Supplier qualification will be cancelled if rectification is not completed within deadline. In addition, risk analysis data will be established based on importance of products provided by suppliers,delivery performance and deficiencies from previous audit result for the purpose of enhancing performance for suppliers who have already made rectifications on annual audited items.
All suppliers have to sign “Environmental Management Substance Certificate” and “Environment Health and Safety Records” during their first collaboration with INPAQ to ensure that raw material suppliers will not utilize hazardous substance prescribed by REACH and RoSH.In the meantime, this also includes regulation requirements on prevention of conflict mineral and compliance with environment and occupational health and safety regulations. Currently, all suppliers collaborating with INPAQ for nearly 3 years have not created negative impact to environment or society. During nearly 3 years period from 2021 to 2023, percentage for environment and society standard screening on suppliers is 98%.