-
Obtained an excellent rating in the Mutual Prosperity Index
(2017, 2018, 2020)
*2019,2021 'Good' -
Won the Top-Performing Company Award based on an assessment on implementation of the fair-trade contract terms
(The best grade for 6 consecutive years: 2018~2023)
Establishment of a Sustainable Control System for Supply Chains
We are building up a sustainable control system for our supply chains to provide economically, socially, and environmentally ethical products to customers. Recognizing the importance of ethical management among suppliers, we have instated our Supplier Code of Conduct, supporting them to carry out business according to general laws and ethical standards.
Establishment of Fair and Transparent Trade/ Order Transactions
In pursuit of mutual prosperity in fair trade with our suppliers, we are fully committed to promoting a transparent trade culture across the industry.
Constant Reinforcement of the Fair-Trade System
- Operation of an anonymous reporting (whistleblowing) center → Prevention of unfair-trade practices such as bribery & price fixing
- Adoption of an open bidding system for the first time among Korean confectionery businesses (2018)
- Revised of Guidelines on Fair Selection (registration) of Suppliers (2021)
Adoption of 4 Major Fair-Trade Practices of the FTC
Seeking mutual prosperity with our suppliers through fair trade, we have enacted guidelines on fair-trade practices with subcontractors according to the 4 Major Fair-Trade Practices of the Fair Trade Commission (FTC), which we implement across the industry.
Fair Trade Education for Employees
To enhance awareness of the importance of fair trade and prevent unfair trading practices, we are implementing differentiated fair trade education based on job roles for our employees as follows
- Training on Fair Trade Act, Subcontracting Act, and Partner Company Engagement (2023)
- Targeting employees responsible for partner companies in R&D, manufacturing, buying, and engineering. - Compliance Training for Dealers and Special Agents (2022)
- Targeting dealer management employees.
Support and Communication with Partner Companies
[Development of eco-friendly packaging materials]
- Green technology certificate from the Ministry of Environment: Reduces carbon emissions by 42%
- Joint patent application: New technology on manufacturing ethanol ink
- Orion partner company sales increased from KRW 400 million in 2016 to KRW 900 million in 2023
We have an array of support programs that provide practical assistance to our suppliers aimed at enhancing competitiveness of the supply chain
1) Financial support : The mutual growth fund
ㆍWe donated KRW 10 billion to an inclusive growth fund and operated an inclusive growth payment system
2) Sales expansion Support : Promotion/ marketing event support
| Programs | Support details |
|---|---|
| Increasing sales channels | Support for transportation & sample customs fees for entering overseas markets and export sales |
| Quality improvement | Machine/ equipment support for quality improvement. Support for technology protection, including technology escrow |
| Energy reduction | Support on introducing energy-saving machines & facilities, and obtaining eco-friendly certifications (e.g. ISO). |
| Education/ training | Training on quality, sanitary practices, and food & safety. Offers technical guidance & an online training course website. |
[Main support achievements]
| Program | Support Performance |
|---|---|
| Increasing the Sales Channel |
Domestic Market Support: New raw material supply sales: 4.06 billion KRW Overseas Market Support: 17 cases, 10.08 billion KRW- Sales through Performance Sharing System for Partner Companies: 1.4 billion KRW |
| Quality improvement |
Technology Protection (Joint Patent Application) Support for Technology Protection Storage Costs: Support for renewal costs of newly stored technology materials. Support for Productivity Improvement Equipment: Precision inspection equipment, supporting 300 million KRW for six companies. |
Energy reduction |
Eco-Friendly Management Reduction of Harmful Substances in Printing Processes : |
| Education/Training |
Technical Support for New Product Development: 17 cases of technical support implemented. Equipment Technical Support: Design support, transfer of manufacturing know-how, and hosting quality meetings twice a year. Quality Technical Guidance: Provided 75 sessions, including 24 for new companies, and distributed food safety hygiene guidelines. Agricultural Technology Training: Conducted 6 sessions for 79 individuals across 69 farms. Online Education Platform: Established 10,000 courses for 160 small partner companies. |
·Collection of site visit feedback from major partner companies in Sep 2022
- Action rate on suggestions: 100% (11 cases)
·Satisfaction survey for partner companies and dealers conducted in Oct 2022
- Action rate on suggestions: 100% (6 cases)
·Meetings with partner companies and dealers held in Feb and Apr 2023
- Action rate on suggestions: 100% (28 out of 37 cases addressed, 9 cases reviewed with feedback).