Enhancement of partner registration and evaluation
Hyosung strives to establish transparent and equitable criteria for selecting partners. The company's shared growth website clearly outlines the mandatory and recommended criteria for bidding participation, and anyone is free to apply for partner registration via the electronic procurement system. We also review the registrations of all new partners before allowing them to participate in the bidding for supply chain risk management. In addition to traditional criteria such as quality, delivery, price, and management performance, indicators for compliance with legal requirements for environment and safety, human rights, and labor are used as evaluation criteria when registering a new partner. Hyosung conducts re-evaluations of existing partners and takes unique follow-up actions based on the evaluation outcomes.
Hyosung's partner selection procedure
Evaluation criteria and scoring
| Checklist | Management evaluation | Human rights issues | Environmental and safety assessments |
|---|---|---|---|
| Scoring | 50 Points | 30 Points | 20 Points |
Measures based on supply and assessment
| 90 points or higher | 80 points or higher | 70 points or higher |
60 points or higher | 50 points or lower |
|---|---|---|---|---|
| Priority given to the contract; exempt from reevaluation the following year | Priority given to the contract | Maintain transaction | Warning and guidance special review within three months | Stop transaction |
Pledge to abide by the Partner Code of Conduct for shared growth
Hyosung and its partners complete the "Pledge of Compliance with the Partner Code of Conduct" so that they can fulfill their social responsibilities and become companies trusted by the public. Hyosung drafted the Pledge reflecting international standards such as the Universal Declaration of Human Rights, the Ten Principles of the United Nations Global Compact, the core conventions presented by the International Labor Organization (ILO), and the OECD guidelines. It specifies in detail four compliance requirements: corporate operation, respect for the human rights of employees of partners, establishment of a safe workplace, and environmental management responsibility.
Pledge of Compliance with the Partner Code of ConductEstablishment of an emergency scenario and response manual for supply chain continuity
Hyosung has established scenario training and response manuals for the delivery of all products supplied to customers, thereby enabling systematic response to emergency situations. Such emergencies include labor shortages caused by strikes, transportation accidents, environmental incidents, and cyberattacks. By conducting simulation drills to determine the state and extent of damages, causes, recovery, and mitigating measures due to emergencies, Hyosung derives issues and improvement plans for each stage of response based on the enacted scenario. In addition, such simulation drills ensure the accuracy of the scenario-specific response outcomes.