The 2019 Annual Social Responsibility Report was formulated by the Company on the basis of the specific circumstances in the performance of social responsibilities. The report, with its focus on the work of the company in 2019, objectively reflected the important information that the company performed its social responsibility in the production, operation and management activities, and comprehensively interpreted the understanding of the company on corporate social responsibility. It is hoped that this report can serve as a bridge for communication with all sectors in the society. The company also hoped to take this opportunity to accept public supervision and suggestions, promote the progress and development of the company, and contribute to the harmonious development of social enterprises. 

I. Overview 

Wing Fat (Jiangsu) Molding Packaging Technology Co., Ltd., formerly Jiangsu Branch of Wing Fat (Shanghai) Molding Technology Development Co., Ltd., was established and put into operation in 2013. The company, mainly specialized in the naturally degradable environmentally-friendly packaging material, is a quality supplier for the world’s leading electronics manufacturers. The company, with an area of 17,100 m2 and the workshop area of 12,000 m2, is equipped with the automatic forming machine, cutting machine, pulping machine, environmental protection equipment and a variety of suitable production inspection equipment. The annual production scale can reach 4,000 tons. In 2019, the sales volume of the company achieved 234.62 million yuan. The tax amount was 24.88 million yuan; the main business income was 232.07 million yuan; the amount of gross profit was 56.45 million yuan; the asset-liability ratio was 30%. 

To become an all-round international renowned enterprise integrated with research and development, production, service, energy conservation and environmental protection, the company adhered to the service tenet of “Customers are God” and “Worry What User Worries and Think What User Thinks”, and the company will promote the quality management to a new level by fully implementing the ISO 9001 Quality Management System Standard. With the continuous investment in product research and development, the selection of high-quality main and auxiliary raw materials, the mature manufacturing process, and the ability to ensure that the whole process of the product under deliberate quality control, the company has gradually formed a stable and reliable product image and won a good reputation in the market. 

To further expand the market share and conform to the trend of international development, the company has timely introduced the ISO14001 Environment Management System and OHSAS18001 Occupation Health Safety Management System, with the purpose of constantly improving the corporate image. The company actively carried out clean production and reduced pollution and resources consumption in production activities so as to realize harmonious development of the economy and environment. In the process of achieving high-quality products, the company also gave consideration to the protection of both the environment and employee’s occupational health and safety, thus realizing harmonious coexistence between man and nature.

Under the impact of the green peace movement to protect the ecological environment and maintain the ecological balance around the world, the company produced the environmental-friendly paper packaging products with a variety of shapes, which were made of bamboo pulp, sugarcane pulp and other natural plant fiber other than trees by dispersed pulp and hot press molding process. They have the remarkable advantages such as non-poisonous and no side effect to human body in the production and use process and naturally degradable after being discarded, which conform to the international green environmental protection requirements. 

The company focused on quality management and environmental protection, constantly made improvement, innovation and upgrading, exerted pressure to itself and spared no efforts to be the first. The company fully implemented the ISO9001, ISO14001 and OHSAS18001 system certification. The company will provide high quality products and contribute to environmental improvement as always so as to realize harmonious coexistence between man and nature. 

1. Control reduction index

   In terms of pollutant discharge, the main pollutants discharged by the company in the production and operation are paper pulp wastewater and solid waste. After the wastewater with paper pulp is treated by sewage treatment station, its emission concentration and output is COD40mg/L, 7.176t/a; ammonia nitrogen is 4mg/L, 0.7176t/a, SS32 mg/L, 5.7 t/a. The emission reaches to the national standard. The up-to-standard water is entered into the production system again for recycling. 

The solid waste produced in production is mainly the waste scrap, which is not the dangerous waste. 80% of the waste scrap can be re-used in the production system as raw material while 20% may be sold as waste.

In terms of energy conservation, the company has established the energy management manual and compiled relevant documents in accordance with GB/T23331, and planed to implement them in line with the energy management system to promote the energy management level of the company.

The company constantly promoted the energy conservation laws and regulations and management systems, fulfilled the energy conservation and low carbon policies and measures, implemented the national mandatory energy-saving standard, fully carried out clean production, strived to develop circular economy, promoted comprehensive utilization of resources and enhanced “Green Development, Circular Development and Low Carbon Development” of the enterprise, thus promoting the transformation and upgrading of the enterprise.

(1) Responsibility system management

The company gave early warning and control over the key energy-consuming department, improved the basic capacity building for energy measurement, instructed the key energy-consuming department to participate in different kinds of energy conservation and emission reduction training and transfer them to the actual production. 

(2) Energy efficiency quota benchmarking

According to the national key industries (fields), important energy-consuming products energy-efficiency leader system requirements and industrial enterprises efficiency guideline, the company organized various departments to carry out energy efficiency benchmarking and target hitting activities as well as constantly promote the energy use efficiency by increasing investment for transformation of energy-saving technology, adopting high efficiency and energy saving equipment and increasing utilization of waste heat and residual pressure, etc. 

(3) Integrated use of natural resources

In terms of improving the comprehensive utilization of resources, the company adhered to the environmental protection concept of harmonious development with nature and maximized the utilization of industrial waste to achieve less or even zero emission according to the principle of “Reduction, Resourcezation and Recycling”. 

3 Environmental protection transformation and upgrading

The company has continuously strengthened the internal management and control on environmental protection, made overall arrangement in advance, timely carried out targeted and special inspections for environmental protection and constantly rectified and improved them, positively explored the new process and new technology and achieved major breakthroughs in industrial transformation and upgrading. 

(1) Air quality assurance

No waste gas is generated in the production process of the company, mainly a certain amount of stench is generated in the process of sewage treatment, since the sewage treatment station does not apply chemical technology, and the discharge amount of stench is very few. The company minimized its impact on the surrounding atmospheric environment by strengthening the landscape construction around the sewage treatment station. 

(2) Technical transformation

The company actively advocated innovation in energy conservation and emission reduction and the application of achievements. In 2019, the company improved the economic benefits of the enterprise through technical transformation and saved more than 7 million yuan accumulatively. 

(3) Internal management and control

The company continuously intensified the implementation of environmental supervision, attached great importance to the relevant inspections by environmental protection departments at all levels, and ensured the supervision and guidance to the company’s environmental protection work by multiple effective ways such as self-inspection by the company, random inspection and joint inspection by the group. 

4.Problems in fulfilling social responsibilities

Since the establishment of the company, major environmental protection and safety quality accident has never occurred. The company will continuously strengthen the environmental protection and safety quality management, enhance internal supervision and completely eradicate the occurrence of environmental protection problems and safety quality incidents. 

(1) Improved governance framework of the company 

Scientific, standardized, systematic and efficient corporate governance is the basic precondition and important guarantee for promoting the stable and rapid development of the enterprise, steadily rewarding the investors and earnestly fulfilling the corporate social responsibilities. In strict accordance with the requirements of the relevant governance criteria, the company has formed a modern corporate governance structure in which the power organ, decision-making organ, supervision organ and operation levels are clearly defined in rights and liabilities and each performs its own functions with effective the check and balance, scientific decision-making and coordinated operation, and it has been effectively implemented. 

(2) Implemented sound internal control system

The company has established and implemented a sound internal control system, which consists of five parts: control environment, risk assessment, control activities, information and communication and internal supervision.

Control environment: the company was committed to advocating and maintaining corporate integrity culture, attached great importance to professional ethics, and strictly complied with the laws and regulations related to the ethics of corporate citizenship. 

Risk assessment: the company continuously collected information related to risk changes, carried out risk identification and risk analysis based on the different development stages and business expansion conditions, and timely adjusted risk response strategies. 

Control activities: based on the risk assessment result, by combining the manual control with automatic control, preventive control with discovery control, the company realized control on risk by the measures such as incompatible job separation control, authorization approval control, accounting system control, property protection control, budget control, operation analysis control and performance appraisal control, etc. The company has set up a special department to design the internal control of the main business processes.

Information and communication: the company has established the collection, processing and transmission procedures for the information related to internal control to screen, check and integrate various kinds of internal and external information, thus ensuring effective integration and sharing of information.

Internal supervision: the company has established a smooth compliant reporting channel, investigation mechanism and accountability mechanism. The Audit Department of the company carried out continuous and extensive auditing guided by the internal control to reveal and prevent corruption, jobbery and fraud, and formed an effective external deterrent; promoted continuous improvement of the company’s internal control by providing consultations. 

In the process of business decision-making, the company adhered to the principle of soundness and integrity, strengthened the capital budget management and financial risk control, reduced and resolved business risks to the greatest extent and ensured the safety of the company’s capital and assets.

The company strengthened information disclosure and improved information transparency in accordance with the law, so that the creditors could understand the operation achievements, financial status and cash flow in a timely, complete and accurate manner. 

II. Effectively safeguarded the rights and interests of the employees

The company insisted on putting people first, protected the lawful rights and interests of the employees in accordance with the law, and paid attention to the health, safety and career development of the employees. 

1 Staff management and team construction

The company continuously standardized labor employment management, strictly implemented the Labor Law, Labor Contract Law and other national laws and regulations, protected the legitimate rights and interests of the employees in accordance with the law, and signed labor contracts with the employees in the percentage of 100%. The company insisted on putting people first, protected the legitimate rights and interests of the employees and realized the common development of the employees and the enterprise by improving their work skills and providing a platform for their growth and development. 

2 Salary welfare and employee income

The company has established a performance-oriented assessment and distribution system, in which “more pay for more work and less pay for less work” was followed. The distribution of employees’ income is fair and reasonable. In 2019, on the basis of the increase of the minimum wage standard, the company has increased the basic salary and the average monthly salary of the employee reached 4,900 yuan, and ensured a reasonable and orderly increase in the salary of the employees. The company has improved the social insurance system, and paid the old-age insurance, medical insurance, unemployment insurance, industrial injury insurance and maternity insurance for the employees on time, with the coverage rate of social insurance accounting for 100%. The company provided the employees with paid vacation, free medical examination, work clothes, holiday presents and other benefits to truly improve the happiness and satisfaction of the employees from the perspective of their life. 

3 Employee training and occupational health management

In terms of employee training, the training work was carried out with the focus of the development strategy, production and operation plan of the company. The company adhered to strict education and constantly improved the corporate management and control ability, innovation and development ability and problem-solving ability of the leading cadres; with the production cost control as the starting point, the company has strengthened the training for the employees in the professional technical sequence and operation sequence and effectively improved the employees’ ability in strictly implementing the production process and operation procedures.

In 2019, the company also organized the employees for comprehensive medical examination and special inspection for occupational diseases and paid much attention to the occupational health of the employees.  

4 Strengthened production safety management and promoted production safety awareness

In 2019, the company earnestly implemented the national, provincial and municipal production safety work requirements and various work deployment of the company, firmly established the red line awareness and bottom line thought for production safety, fully established and achieved the production safety standardization, actively established the risk aversion and control system and hidden danger investigation and governance system, strengthened the special rectification for production safety, carried out production safety caution education in a deep-going way, strived to promote the essential production safety level of the enterprise, so that the company’s production safety situation is generally stable. There was no illegal act of concealing the productions safety accidents all through the year; no major or above production safety liability accidents; no other production safety liability accidents with major impact, thus achieving safe and sustainable development.  

III. Protection of the rights and interests of supplier and customer

In line with the principle of openness, transparency, fair competition, mutual benefits and reciprocity, the company adhered to the concept of “Integrity in Cooperation, Mutual Benefits and Win-win” to establish a stable and sound cooperative relation with the suppliers, respected the intellectual property rights of the suppliers, protected their rights and interests, insisted on establishing long-term stable strategic cooperation relations with the overseas powerful suppliers and adhered to the strategic purchasing oriented to realize common development with the suppliers on the basis of equality, mutual benefits and win-win. 

The company adhered to the brand strategy of quality first and provided the customers with up-to-standard qualified products, persisted in customer orientation and implements the responsibility system by the business manager who would provide a series of nanny-style services including consultation, ordering, forwarding authorization and delivery, etc. At the same time, the company met the personalized needs of the customers as far as possible to create new value for the customers according to the specific requirements of different customers. 

Strictly monitored and prevented all kinds of commercial briberies. In the procurement and sales activities, the company has established a strict procurement and sales management system to standardize the operations and approval process in the procurement and sales activities and carried out procurement by invitation to bid. 

When the company signed the commercial contract with the supplier and the buyer, both the parties shall promise that they should not engage in any act that violates the law and business ethics, and completely eradicated all kinds of commercial briberies. Electronic tendering and bidding shall be carried out and all the tendering and bidding operations shall be completed online to minimize direct contact between the supplier and the enterprise personnel. 

IV. Public relations and public welfare

The development of the enterprises originates from the society, and it is the obliged responsibility for the enterprises to repay the society. The company gave consideration to repay the society, paid attentions to the social value of the company and practiced corporate social responsibility in the constant pursuit of corporate development. The company regarded creating prosperity for the society as its own responsibility and promoted harmonious development between the enterprise and society. To respond to the national policy, undertake social responsibility, assist the disabled, the company has actively contacted the Disabled Person’s Federation of Jiangyan District and established a cooperative relation. With the principle of equality, nondiscrimination and equal pay for equal work, the company positively recruited the disabled workers to solve the problem of difficult employment for the disabled in society, so that they can truly integrate and give full play to their potential in the society and realize personnel value. 

V. Prospects of Social Responsibility Work in 2020

Looking forward to 2020, the company will follow the core value of “Co-creation and Win-win” and continue to perform the social responsibility as the obligation and mission of the enterprise, constantly strengthen the social responsibility management, intensify social responsibility belief, integrate the fulfillment of social responsibility into the operation and management, practice the scientific outlook on development, take efforts to improve the operating efficiency of the enterprise, constantly increase the performance, promote the enterprise to become bigger and stronger and practically achieve law-abiding, trustworthy, steady and unremitting operation, so as to create more economic and social values for the employees, customers, shareholders and the society. The company will continue to support public welfare undertakings, actively promote environmental protection and the sustainable use of resources and realize the maximum win-win of social, economic and environmental benefit with reasonable investment. The company will create a development path that combines the production with environmental protection and achieves win-win among economic benefit, environmental benefit and social benefit to make due contributions to the sustainable development of economy, society and environment.