A Message from the Executive Officers

In 2023, even as the COVID-19 pandemic began to subside and life started returning to normal, Compal continued to face challenges in the form of global geopolitics, labor shortages, material shortages, and inflation. In response, we worked closely with customers and supply chain partners to overcome these challenges and deliver a strong performance using our adaptation and integration skills. At the same time, we also pushed to diversify our business even further and launch a number of new global projects. In keeping with our spirit of a people-centric approach and sustainable development, we continued to refine our sustainability initiatives, set up the Sustainability Committee, and introduced the Global Reporting Initiative (GRI), Task Force on Climate-related Financial Disclosures (TCFD), and Sustainability Accounting Standards Board (SASB) Standards to strengthen our disclosure on ESG information. Clear short, medium and long-term goals were also defined to embody  our commitment to sustainable development in the future. 

Execute corporate governance

A sound corporate governance and risk management regime based on honesty was established by Compal in accordance with our business philosophy of integrity, transparency, and responsibility. The appointment of independent directors as well as the establishment of the Remuneration Committee, Audit Committee, and Sustainability Committee serve to create a business environment for sustainable development. The “Corporate Governance Best-Practice Principles” were amended by the Board of Directors in 2023 to incorporate the board diversity policy. Independent external professional bodies are also commissioned to conduct external evaluations of Board performance. A inter-plant risk management, internal control self assessment system, and Risk Management Committee were also established by the Company. Comprehensive internal controls, risk management and internal audits coupled with a sound corporate governance regime ensure the compliance of all Compal operations with government laws and regulations. The sustainability value of the Company is enhanced through increased assurance on shareholder and stakeholder interests.

    Compal received further recognition from domestic and overseas rating bodies in 2023 including: consecutive A-grade ratings from MSCI ESG Rating; Top 21 ~ 35% of publicly listed companies in the TWSE “8th Corporate Governance Evaluation”; consecutive wins of the "Sustainability Report - Electronic and Information Manufacturing Category - Platinum Award” and “Taiwan Top 100 Companies” of the Taiwan Corporate Sustainability Award; inclusion as a constituent stock in the FTSE4GOOD Index, FTSE4GOOD TIP Taiwan ESG Index, Taiwan High Compensation 100 Index, and Taiwan Employment Creation 99 Index; and being ranked No. 6 in the manufacturing industry of the Common Wealth Magazine “Taiwan Top 2000”. Such accolades represented longstanding recognition of Compal’s sustainability investment value from institutional investors.

Employee Cultivation and Care

    Great importance is placed on the cultivation and development of talent by Compal. The importance of talent to business development has been emphasized by the company founder from the very beginning. Good talent is what drives continued business growth. There is nothing more important than cultivating and looking after employees in business development.

    Compal provides employees with a safe and health workplace environment, comprehensive career training plan, and competitive remuneration. The Employee Assistance Program (EAP) is an ongoing program supported by professional consultants that provide employees with counseling on family relations, workplace relations, inter-personal relations, and legal issues. The mentoring system and counseling hotline were used 1,355 times in 2023. Implement an employee health promotion program by scheduling weekly on-site consultations with physicians to support the physical and mental well-being of employees. An employee health promotion plan has also been introduced with weekly on-site doctors’ consultations to look after the physical and mental well-being of employees. Compal is continuing to offer employees a childbirth stipend of NT$66,000 per child to help reverse the trend of low birth rates in society. We paid subsidies for 233 babies in 2023 and has paid out more than NT$220 million to 3,429 newborns over the last 13 years. Compal was even presented with a gold award in the Technology R&D category of the 1111 job agency’s 2023 Happy Enterprise Awards.

    Diversity, Equity, Inclusion (DEI) policy was launched in 2023 to promote diversity, inclusion and gender equality in the workplace, strengthen talent cultivation, and establish a friendly, happy workplace, and realize talent sustainability. A target of achieving 40% female employees and 32% female managers in our global workforce by 2025 has now been set. We also offer employees flex-time and paid companionship leave.

​Promoting Environmental Sustainability

    Compal is continuing to adjust our production R&D direction, plant energy management, and ability to response to extreme climate to reduce the environmental impacts from climate change and business operations, and take advantage of the resultant business opportunities. The circular economy concept is being incorporated into product design from material selection, proper planning of the recovery and disassembly process, to the promotion of energy conservation and waste reduction initiatives at production locations, and increasing the use of renewable energy. These are all aimed at realizing the goals of mitigation, closing and shrinking the substance-energy cycle, and carbon reduction throughout the product life cycle.

    Compal is also actively engaged in international initiatives, having become a member of RE100 and submitted Science Based Targets (SBT) in alignment with the 1.5℃ scenario, which are currently under review. We are also focusing our carbon reduction efforts on “purchase of products and services” and “product usage phase.” Management efforts are being focused on Taiwan to establish an effective management approach and secure our participation in the low-carbon program of the Industrial Development Administration. Suppliers have been invited to make a joint declaration on reducing carbon emissions by 10,000 tones. Participation ins local government initiatives will be leveraged to bring about the progressive realization of sustainability and net zero.

    Participation in international assessments are used to review our management performance. Compal received a Management grade for both the 2023 CDP Climate Change and Water Security surveys.

    Internal initiatives include environmental education courses. In addition to enhancing employee competency at work through offline and online seminars, we also took part in our customers’ “Waste 3C Recycling Campaign”, and organized the Leather Fern Rehabilitation event and joint coastal clean-ups in support of UN SDG 13 “Climate Action”, SDG 14 “Life Below Water”, and SDG 15 “Life on Land.”

Sustainable Supply Chain Management

    As a member of the Responsible Business Alliance (RBA), Compal strives to embrace the ideals of CSR in our business processes. We have therefore joined forces with supply chain vendors to take joint responsibility on the environment, labor, management systems, ethics, as well as health and safety guidelines. We communicate with our supplier partners in good faith and ask them to sign a standard declaration on adherence with the RBA Code of Conduct as well as “Prohibition/Non-support/Non-use of Conflict Minerals.” In 2023, we launched the ONE+N Supply Chain Net Zero Accelerator Program. The program goals include the registration of Greenhouse gas inventories for 34 suppliers and achieving ab absolute carbon reduction of 10,000 tCO₂e at 10 suppliers within two years. This is the equivalent to the carbon reduction provided by 26 Da-an Forest Parks. We hope this will help promote energy conservation and carbon reduction in the supply chain as part of the net zero transition.

Investment in Innovative Value

    Even as it shines on the international stage through innovative design, Compal continues to uphold the spirit of “Innovation, Harmony, Transcendence” in its business philosophy by investing in innovative technologies and promoting sustainable corporate development. Apart from product innovation, Compal has stayed ahead of the game through system innovation to make relevant manufacturing processes more efficient and dramatically reduce energy consumption from production as we move towards the goal of “circular economy.” To make innovative thinking a part of the Compal DNA, the “Innovation Awards” are presented every years to encourage innovative proposals from employees. Employee creativity and suggestions produce a mutually beneficial outcome for both the company and employees. At the same time, we use our internal R&D expertise to develop solutions and platforms in the automotive, health, and automation sectors based on AI, 5G and cloud. Innovative technologies are used for the benefit of mankind and to create a better lifestyle for human society. External initiatives include active participation in international assessment. Past accolades included Global Top 2, Top 7 in Asia, Top 2 in Taiwan in the Computers category of the 2023 iF Design Rankings in Germany, and Top 10 in the Global Enterprise Innovation Index. ESG-related patents accounted for 12.0% of patent applications in 2023.

Corporate Social Responsibility

    Thanks to the combined efforts of all Compal employees and the Group’s “Hsu Chauing Social Welfare Charity Foundation”, 2,714 employees took part in various charitable activities during 2023 and donated more than NT$6 million. Compal’s social welfare spending amounted to approximately NT$20 million.

    We sponsored the Compal Reading Volunteer Program for the 16th year to serve 2,984 students and community residents; In 2023, a total of 235 mobile digital devices and smart wireless desk lamps from a subsidiary were donated to underprivileged children in the New Taipei City, Kaohsiung, Pingtung, and Taoyuan regions, ensuring that their learning is not hindered by their environment and enabling them to study effectively and healthily. We supported the “Kangaroo Program” of the Center of Care Services for Rural Area Education in Taiwan at Fu Jen Catholic University (FJU) for the 5th year, and the Rural Diversity Charity Collaboration” with Kaohsiung Public Library for the 4th year. Our commitment to rural community development and support for local students was recognized with the “Social Education Contribution Award - Group Award” from the Ministry of Education, the “Social Services Award” from the Library Association of R.O.C. (Taiwan), and “Social Education Contribution Award - Group Award” from the Education Bureau of Kaohsiung City Government. To promote sports for all and enhance the physical/mental well-being of employees at the Neihu Technology Park, Compal continued to co-organize the 3rd “Taipei Technology Cup Charity Road Run” event; we also hosted internal company events such as “Charity for Health”, blood donation drives, and volunteer services. We hope that the integration of company and employee resources can be used to change and give back to society.

    Compal was founded in 1984 and construction began on the Smart Innovation Park at Group Headquarters in Beitou Shilin Technology Park (BTSP) in 2023. 2024 marks the 40th anniversary of Compal and we will continue to utilize our accumulated technical expertise from Taiwan’s ICT industry to continue developing in the notebook, wearable device, auto electronic, 5G, AIoT, AI, server and smart medicine fields, and turn them into the next trillion-dollar industry. Compal must continue to evolve and remind ourselves to examine and upgrade business models approaching obsolescence. We must also stay up to date by continuing to adjust and optimize every sustainability aspect including organization, production, business performance and industry competitiveness. We will become an enterprise respected by all through the demonstration of exceptional operating performance. At the same time, we will fulfill our social responsibility as a corporate citizen of planet Earth, respond to the expectations of our shareholders, customers, partners and other stakeholders, and strive to create a sustainable life for humanity.

 Updated on July 15, 2024