Sustainability

SUPPLY CHAIN MANAGEMENT

Supply Chain Management

Supply Chain Management

PyungHwa Group applies environmental, safety, human rights, and ethical standards throughout its supply chain to achieve mutual growth with its partners. Through regular evaluations and improvement activities, it realizes win-win relationships with its partners. Based on these efforts, it is jointly building a sustainable value chain.

Supply Chain Management Process

To build a robust supply chain with its partners, PyungHwa Group operates a systematic process covering policy establishment, evaluation, monitoring, and performance management. Through this, we aim to establish a transparent supply chain management system and continue growing together with our partners.

Policy
Establishment
  • Supply Chain Management Policy
  • Partner Code of Conduct
Evaluation
  • Regular Evaluation
  • Ad Hoc Evaluation
Monitoring
  • Corrective Action
  • Improvement Implementation Check
Performance
Management
  • Reflecting Evaluation Results
  • Capacity Building Support

ESG Management Areas for Suppliers

PyungHwa Group operates a comprehensive management system across all ESG dimensions to establish a responsible supply chain in collaboration with our partners.

Environmental
We assess whether management practices are in place to minimize environmental impact, including greenhouse gas emissions, energy consumption, and waste management.
  • General Environmental Management
  • Climate Change Response
  • Energy Consumption
  • Waste Management
  • Air Quality Management
  • Water Resource Management
  • Hazardous Chemical Management
Social
We verify the establishment of a safe and healthy working environment by ensuring human rights, labor rights, and occupational health and safety.
  • General Human Rights Management
  • Prohibition of Child Labor
  • Prohibition of Forced Labor
  • Working Conditions Management
  • General Occupational Health and Safety Management
  • Occupational Accident Management
  • Supply Chain Management
Governance
We evaluate the establishment of sound governance structures, including ethical management and transparent information disclosure.
  • General ESG Management
  • General Ethical Management
  • Regulatory Compliance

Supply Chain ESG Evaluation Process

PyungHwa Group systematically evaluates and manages the ESG performance levels of our suppliers. The evaluation process is structured into the following four stages.

Evaluation Stage
Key Content
Planning
  • Establishment of evaluation indicators reflecting global and domestic ESG standards
  • Conducting ESG evaluation training sessions for suppliers
Desktop Audit
  • Implementation of ESG self-assessments via web platforms or email
  • Submission and review of supporting evidence
  • Conducting on-site audits for high-risk suppliers identified in the desktop audit
On-site Due Diligence
Result Derivation
  • Preparation and sharing of comprehensive evaluation reports
  • Supporting shared growth programs, including R&D and training, to facilitate supplier improvement activities
Information Disclosure
  • Disclosure of evaluation results through the Sustainability Report and the PyungHwa Group website