Significant Issues Identification

Identification Process

Our stakeholder management is based on the three principles of communication, materiality and responsiveness and sets great store by two-way interaction with stakeholders. Applying the AA1000SES Stakeholder Engagement Standard, we have identified nine categories of stakeholders, whose classification and concerns are annually reviewed and, if needed, adjusted. In our continuous pursuit of sustainable business, we make every effort to understand and respond to our stakeholders’ concerns and offer transparent communication mechanisms for them to examine the sustainability of our business.

Identification
1
Inventory of Communication Channels

Identify the source of external feedback and suggestions for each department and maintain active interaction with stakeholders in our day-to-day business through various communication channels.

2
Identification of Stakeholders

Nine categories of stakeholders have been identified, including the academia, suppliers, customers, NGOs, media, employees, investment institutions, students, and communities.

3
Screening of Issues of Concern

Design issue score cards based on GRI guidelines, AUO CSR policies, international rating initiatives customer demands, industry benchmarks and so forth to evaluate their impact on business operation the value chain and the impact on our sustainable targets. The screening generated 28 issues of concern.


Prioritization
4
Determination of Material Issues

Based on the level of stakeholder concern and the outcome of the impact on the Company’s operation and on the society, environment and economy as a whole, material issues are screened and duly reported to the Board of Directors.

4-1
Evaluation of Impact on Operation

Evaluate the potential impact of issues on the Company’s reputation, operation, sales and compliance and potential impact on the society, environment and economy as a whole.

4-2
Investigate the Level of Internal/External Concern

Evaluate the significance of each item for each of the 9 stakeholder categories through online surveys and printed questionnaires.


Review
5
Corresponding Material Issues

Correspond the selected material issues with the items of disclosure covered in the GRI guidelines.

6
Determine the Boundaries and Scope of Disclosure

Define the scope and boundary of each aspect to ensure the transparency of AUO’s value chain and its extended impact.

7
Review

Check if the report fully conveys the Company’s sustainability performance and impact and incorporate it as reference for sustainable management targets in the next reporting cycle

Identification and Analysis of Material Issues for 2018
1
Economic performance
2
Product Quality
3
Supply Chain Management
4
Occupational Health and Safety
5
Technology and Innovation
6
Water Resource management
7
Energy and Climate Change
8
Waste Resource Management
9
Material Circular Economy
10
Board Governance and Function
11
Remuneration and Welfare
12
Labor-Management Relations
13
Regulatory Compliance
14
Customer Relations Management
15
Employees’ Rights and Equality
16
Product Competition and Transaction
17
Education and Training
18
Business Risk Management
19
Chemical Management
20
Extended Product Responsibility
21
Green Products and Services
22
Integrity and Anti-corruption
23
Environmental Protection Investments
24
Community Care and Participation
25
Stakeholder Engagement
26
Information Security Management 
27
Conflict Minerals
28
Biodiversity

Material Topics and Boundaries
General Standards
Economic
Environmental
Social
Other
General Standards
Economic
Environmental
Social
Other
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