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2021 Annual Social Responsibility Report

February 2022

About this report

1 Scope of the report

This report takes Anji Hongde Medical Products Co., Ltd. as the main body, and discloses the content of the company’s fulfillment of political, economic, social and ecological responsibilities in 2021 .

2 Appellation description

For the convenience of expression, the report refers to ” Anji Hongde Medical Products Co., Ltd.” as “Hongde” and “Company” for short.

3 Reporting time and frequency

January 1, 2021 to December 31, 2021, some data and contents are beyond the above range .

This report is an annual report.

4 Report release form

This report is published as an electronic document. The electronic documents can be downloaded and read at http://www.hdbandage.com website.

1. Company Profile

1 Company Profile

2 Core values and development philosophy

3 Top management’s commitment to social responsibility

4 Social Responsibility Strategy

5 Stakeholder identification and communication

2. Social responsibility performance

1 Implementation of social responsibility

2 Protection of Shareholders’ Rights and Interests

3 Employee rights protection

3.1 Salary and benefits

3.2 Employee learning and development

3.3 Occupational health and safety

3.4 Employee rights and care

4 Protection of the rights and interests of stakeholders such as creditors, suppliers and customers

4.1 Protection of the rights and interests of creditors

4.2 Protection of Suppliers’ Rights and Interests

4.3 Protection of the rights and interests of customers

4.4 government protection

5 Environmental protection and sustainable development

5.1 Wastewater

5.2 Exhaust gas

5.3 Noise

5.4 Solid waste

6 Ethical conduct

6.1 Comply with the code of integrity and build a credit system

6.2 Key Processes and Performance Indicators of the Ethical Behavior Monitoring System

6.3 PERFORMANCE RESULTS IN ETHICAL CONDUCT

7 Public welfare support

Three Summary and Outlook

1. Company Profile

1Company Profile

Founded in 2006 , the company is located in the Bamboo Industry Science and Technology Entrepreneurship Center, Xiaofeng Town, Anji, Zhejiang, with a registered capital of 1.6 million yuan, an area of 25 acres, a construction area of 23,000 square meters, and a total asset of 66.54 million. It is a research and development, design, production , sales and service as one of the medical dressing product manufacturers.

The main products are viscose plaster bandages, elastic bandages, plaster pads, polymer fixed bandages, medical polymer splints, tongue depressors, elastic bandages, vaseline gauze, disposable medical masks and other products are sold domestically and exported to Europe and the United States, Middle East and Southeast Asia and other countries and regions.

The company won the five-star home for the disabled in Zhejiang Province, the 2019 Independent Innovation Award, the small and medium-sized technology enterprise, the county-level R&D center, the model site for practicing the ” two mountains ” concept in 2019 , the advanced collective of model students, and the county in 2020 . Government Quality Award and other honors.

Chart System certification

 image3

Focusing on the needs of customers for products and services, Hongde takes the development of new products, improving product quality and service levels as the main means, and in terms of technology, equipment and facilities, through continuous innovation and technological improvement, to provide customers with high-quality products and services, Make customers more competitive, and at the same time make Hongde develop rapidly, and gradually form adhesive plaster bandages, elastic bandages, plaster pads, polymer fixed bandages, medical polymer splints, tongue depressors, elastic bandages, Vaseline Gauze, disposable medical masks and other products.

 image4

 image5

 image6

plaster bandage

elastic bandage

Face mask

image7

 image8  image9

tissue

tongue depressor

self-adhesive bandage

2 Core Values and Development Philosophy

In the years of development and practice, Hongde has always regarded the corporate culture as the support point and guiding ideology of development, with the core values of ” integrity, pragmatism, innovation, dedication, and caring for the disabled”, and gradually built the corporate mission around the development and growth of the enterprise. , vision, values and other unique corporate culture. As a spiritual resource, corporate culture constantly drives the company to move forward.

After more than ten years of development, the company has gradually refined a corporate culture with Hongde characteristics , and determined its corporate vision, mission, and core values.

Chart 3 corporate culture concept system

category

main content

vision

Leading the disabled to escort global human health

mission

Build a first-class brand and create an industry benchmark

core value

Integrity, pragmatism, innovation, dedication, care for the disabled

core idea

Carry forward the humanitarian spirit and develop the cause of the disabled

quality policy

Build a business with precision and win with quality

Social Responsibility Policy

Abide by laws and regulations, operate with integrity, promote morality, and develop the cause of the disabled

Hongde has been focusing on medical dressing products for 15 years , and always adheres to the quality policy of “establishing a business with excellence and winning with quality” to release value from quality; always adhering to the values of “integrity, pragmatism, innovation, dedication, and caring for the disabled ” A first-class brand, creating an industry benchmark”, ” Leading the disabled to escort global human health”.

3 Top management’s commitment to social responsibility

Social Responsibility Commitment

we promise:

We will spare no effort to fulfill our commitment to all stakeholders , from product research and development, raw material procurement, production and manufacturing, to energy resource utilization and waste management, and always committed to practicing sustainable development throughout the product life cycle.

Compliance with standards and laws: Comply with national and local laws and regulations, and relevant social responsibility standards of the state, locality and industry.

Occupational Health: Provide a healthy and safe environment for employees to work and live, care for employees, prohibit child labor, anti-discrimination, anti-forced labor, punish employees, respect the rights of all employees to voluntarily organize and join trade unions and conduct collective bargaining, abide by working hours requirements, and strive to serve employees Provide room for growth. Organize employees to conduct physical examinations and do a good job in the prevention and treatment of occupational diseases.

Safety and environmental protection: Follow the idea of safety first , build a safety management system; follow the concept of green and low-carbon, prevent or rectify pollution, save energy and reduce waste, implement cleaner production audits, and provide safe and environmentally friendly products and services for the society.

Voluntary acceptance of assessment: We voluntarily accept third-party social responsibility assessment activities. If the company violates the above commitments, the company is willing to take corrective measures in accordance with the law, gradually improve the system, and communicate it to suppliers and subcontractors.

General manager:   image10

4Social Responsibility Strategy

In order to ensure the effective implementation of corporate social responsibility, Anji Hongde Medical Supplies Co., Ltd. holds a regular business meeting every quarter, responsible for formulating strategic goals and plans, managing and coordinating the company’s social responsibility and sustainable development work, so as to ensure corporate operations. It can bring positive impact on society, the environment and stakeholders , thereby promoting the sustainable development of enterprises and the whole society.

5 Stakeholder identification and communication

Communication with stakeholders is an important part of corporate social responsibility management. The company’s senior leaders conduct two-way communication with employees, customers, suppliers, government and social organizations in an all-round and multi-angle manner to promote the continuous prosperity and development of corporate culture. Through various channels and methods, we understand the demands and suggestions of all parties and fulfill various responsibilities.

Chart Communicate with stakeholders through multiple channels

object

way of communication

Staff

Mainly through conversations, we can learn about the dynamics of employees and the practical and constructive opinions of the factory, so as to promote the company’s top and middle management’s understanding of grassroots employees and management status, and adopt reasonable suggestions.

Daily work in WeChat group or telephone communication

Regular weekly meetings, monthly meetings, and year-end summary meetings

Questionnaire surveys for specific topics

The company has a suggestion box for employees to submit relevant suggestions anonymously

customer

Telephone visit, on-site visit, questionnaire survey, email communication, WeChat

shareholder

Shareholders’ meeting

supplier

Telephone visit, on-site visit, regular review and evaluation, questionnaire survey, email communication, WeChat

Partner /Peer

Telephone visit, on-site visit, email communication, WeChat

government public

Actively participate in the respective conferences and training held by the government through websites, TV platforms, newspapers, and on-site communication

4Social Responsibility Strategy

In order to ensure the effective implementation of corporate social responsibility, Anji Hongde Medical Supplies Co., Ltd. holds a regular business meeting every quarter, responsible for formulating strategic goals and plans, managing and coordinating the company’s social responsibility and sustainable development work, so as to ensure corporate operations. It can bring positive impact on society, the environment and stakeholders , thereby promoting the sustainable development of enterprises and the whole society.

5 Stakeholder identification and communication

Communication with stakeholders is an important part of corporate social responsibility management. The company’s senior leaders conduct two-way communication with employees, customers, suppliers, government and social organizations in an all-round and multi-angle manner to promote the continuous prosperity and development of corporate culture. Through various channels and methods, we understand the demands and suggestions of all parties and fulfill various responsibilities.

Chart Communicate with stakeholders through multiple channels

object

way of communication

Staff

Mainly through conversations, we can learn about the dynamics of employees and the practical and constructive opinions of the factory, so as to promote the company’s top and middle management’s understanding of grassroots employees and management status, and adopt reasonable suggestions.

Daily work in WeChat group or telephone communication

Regular weekly meetings, monthly meetings, and year-end summary meetings

Questionnaire surveys for specific topics

The company has a suggestion box for employees to submit relevant suggestions anonymously

customer

Telephone visit, on-site visit, questionnaire survey, email communication, WeChat

shareholder

Shareholders’ meeting

supplier

Telephone visit, on-site visit, regular review and evaluation, questionnaire survey, email communication, WeChat

Partner /Peer

Telephone visit, on-site visit, email communication, WeChat

government public

Actively participate in the respective conferences and training held by the government through websites, TV platforms, newspapers, and on-site communication

2. Social responsibility performance

1 Implementation of social responsibility

Anji Hongde Medical Products Co., Ltd. has been taking “energy saving and emission reduction, and protecting the environment” as its mission since its establishment. In recent years, the company has actively built a resource-saving and environment-friendly enterprise. Through product structure adjustment, optimization of production technology and improvement of production The technical equipment has realized the upgrading and adjustment of products, but the pollutant emission has been effectively reduced. The company adheres to the core values of “integrity, pragmatism, innovation, dedication, and caring for the disabled”, and is committed to “building a first-class brand and creating an industry benchmark ” . Hongde fully implements the scientific concept of development, insists on taking into account both economic and social benefits in development, creates value for shareholders, employees, customers, suppliers, partners and the society in practice, and promotes the harmonious and sustainable economy, environment and society. develop.

Chart Measures to protect the interests of interested parties

Related parties

main protective measures

protect shareholders

rights and interests

Through standardized management, the company ensures the preservation and appreciation of shareholders’ interests; regularly holds general meetings of shareholders, and the board of directors reports the company’s operation to shareholders; the company discloses financial information and other major information to shareholders in a timely, accurate and strict manner, communicates with external auditing institutions, and provides information on the company’s The internal control of the company is monitored, and the company’s existing or potential risks are predicted.

maintenance staff

legitimate interest

Establish a system of workers’ congress, and all plans and proposals involving the vital interests of employees must be discussed by the workers’ congress; collective contracts are formulated and performed in strict accordance with the relevant provisions of the national labor law; The results are public.

maintain customers

rights and interests

With the concept of “understanding customer needs, exceeding customer needs, and helping customers succeed”, we constantly create safe products that meet standards and meet customer requirements, continuously improve technology, transform equipment, and strictly control quality to create perfect quality products for customers and consumers.

Safeguard the interests of suppliers

Carry out technical, financial and quality evaluations on major suppliers, and conduct regular or irregular evaluations; and give major excellent suppliers a certain business policy preference based on the evaluation results.

Government and the public

contributes to public welfare fields such as education, cultural undertakings, charitable donations, and local infrastructure construction .

2 Protection of Shareholders’ Rights and Interests

( 1 ) Scientific norms of corporate governance

According to the “Company Law” and other relevant laws and regulations and the “Articles of Association”, the company has established a standardized corporate governance structure, clarified the responsibilities and authorities of decision-making, execution, and supervision, and formed a scientific and effective division of responsibilities and checks and balances.

Shareholders of the company enjoy the legal rights stipulated by laws and regulations and the “Articles of Association”, and exercise the right to vote on major matters such as the company’s business policy and profit distribution in accordance with the law. The top management of the company is the core of the company’s entire decision-making system, and is directly responsible to the board of directors.

( 2 ) Shareholder communication

company follows the principle of “fairness, impartiality and openness”, and ensures smooth communication channels through regular business meetings, telephone calls and other measures to facilitate the communication and interaction between investors and the company.

( 3 ) Create value and return shareholders

The company’s development strategy is clear, its main business is focused, and its operations are expanding steadily. The Articles of Association clarifies the conditions, distribution ratio, decision-making mechanism and other matters of cash dividend distribution, and actively protects the rights and interests of shareholders. On the premise of ensuring sufficient investment in the development of the main business, combined with the performance of Hongde, actively implement the profit distribution plan.

3 Employee rights protection

company adheres to the mission of ” building a first-class brand and creating an industry benchmark”, respects the value creation of employees, and creates a good working platform and development environment for employees. A standardized, flexible and practical employment mechanism that fully mobilizes morale and seeks common development.

The company strictly abides by the “Labor Contract Law” to protect the legitimate rights and interests of employees. A salary and welfare system including salary system, incentive mechanism, social insurance, and employee medical subsidy fund has been established to protect the legitimate rights and interests of employees; a complete labor protection system has been established, and tooling and necessary labor protection are distributed to employees according to the characteristics of the post. Supplies; according to the actual situation such as regional characteristics, price index, etc., increase the salary for employees, and provide employees with a good working environment.

3.1 Salary and benefits

The company has established a reasonable salary and welfare system and a scientific and perfect performance management system. Based on the company’s business development, market conditions and company strategy, the office formulates or revises the company’s salary system or salary level to ensure that the company’s salary is sufficiently competitive in the market; under the relatively basic framework of “equal pay for equal work”, employees in the same position are based on performance Differences in grades will result in different actual pay. By combining the monthly and annual performance appraisals, on the one hand, the appraisal situation and the opinions that need to be revised are timely fed back to the employees to help them improve their work; The annual evaluation is linked to the establishment of an employment mechanism that can be up and down, so as to realize the optimal allocation of talents in various positions within the company, and promote the construction of a high-quality, capable and efficient workforce.

The company protects the legitimate rights and interests of employees, and arranges employee vacations and paid annual leave systems in accordance with the relevant national statutory holiday regulations. Pay ” five insurances ” , strive to provide employees with a healthy and safe production and living environment, and earnestly safeguard the vital and legitimate interests of employees.

Welfare is a certain guarantee provided to solve the worries of employees in addition to the basic salary and performance salary.

Chart Employee benefits

Benefit Category

project

range

standard

statutory benefits

social insurance

all employees

Execute in accordance with national and regional laws and regulations

Inclusive benefits

work meal

all employees

Disabled people enjoy subsidies for meals in company canteens

staff dorm

employees in need

Single Room Dormitory with Water Heater

work clothes

all employees

Uniform distribution of work clothes

High temperature benefits

all employees

Company provides employees with high temperature benefits in summer

physical examination

all employees

prescribed medical examination items

holiday benefits

all employees

On traditional Chinese festivals such as Women’s Day, Dragon Boat Festival, Mid-Autumn Festival and Spring Festival, uniformly distribute holiday gifts .

Employee inpatient medical mutual assistance insurance

Inpatient medical staff

According to the relevant local regulations of Anji County

Visit a sick employee

sick and hospitalized employees

condolences

Annual dinner, raffle

all employees

Execute on budget.

3.2 Employee learning and development

The company is committed to building a new learning and knowledge-based enterprise, attaching great importance to employee training and career development, improving employees’ own quality and comprehensive ability, providing employees with more development opportunities and a broad stage, and realizing a win-win situation for individuals.

3.2.1 Staff training

The company has established a training program according to the training needs of employees, aiming to provide every employee with opportunities to learn, further study and improve their skills and quality, and help employees to expand more development space while adapting to the rapid development needs of the company.

At the end of each year, the company determines the training needs of personnel at all levels based on communication with various departments. The company’s shared training needs and department-specific training needs are used as the basis for the office and the corresponding departments to formulate training plans, and finally form an annual training plan.

Figure 7 Completion of company training in 2021

serial number

Training program

object

training method

training hours

Implementation time

1

Basic Training: Awareness Concept

workers

teach

2

March

2

System requirements and internal auditor training

functional managers

Internal auditor

teach

4

March

3

System document training

functional managers

teach

8

April

4

GB/T19580 Excellent Performance Evaluation Criteria Training

Department heads

teach

4

May

5

System basic training: regulations and responsibilities, risk management

workers

teach

4

May

6

GB/T 36000-2015 “Social Responsibility Guidelines”

Department heads

teach

2

June

7

Environmental factors, hazards related content training

workers

teach

4

June

8

GB/T 29467-2012 “Code for Implementation of Enterprise Quality Integrity Management”

Department heads

teach

2

July

9

DB33/T 944.1-2014, DB33/T 944.2-2017 “Made in Zhejiang” standard

Department heads

teach

2

July

10

Internal Auditor Training

Preliminary Internal Auditor

teach

2

August

11

Skill training: job skills

Functional managers

teach

6

April, August

The company often invites external training institutions to train our employees. Employees receive targeted training from the company at all stages of entry, employment and promotion: new employee training, general knowledge training, professional skills training, job transfer training, promotion training, etc. Invite management consulting companies for on-site training or external training to improve business philosophy, scientific decision-making ability and business management ability ; Improve the business capabilities of under-skilled employees .

Chart Staff training photos

 image11

image12

Staff special training

On-site 5S management and excellent performance management training

 image13  image14

Regulatory training

On-site quality management training

 image15

 image16

Technical Training

Safety Training

At the same time as the training is carried out, the company uses a variety of evaluation methods to evaluate the training effect, and understand the evaluation and suggestions of the trainees on the course content, teaching methods, training gains and the application of training knowledge and skills, so as to continuously improve the training. Process and effectiveness provide sufficient evidence.

Chart How to evaluate training effect

Evaluation level

Evaluation method

Assessment focus

reactive layer

Questionnaire

Assess trainee satisfaction with training

learning layer

Oral exam, written exam, skill test, training summary

Learners from the training

result layer

Analysis of individual or organizational performance indicators

Evaluate how well your training results translate

3.2.2 Career development of employees

In order to meet the needs of the company’s strategic development for human resources and the needs of employees’ career development, the company has gradually established a talent training and development mechanism, and began to effectively manage the career development of employees.

a ) Push-pull combination to give full play to the potential and initiative of employees

In order to maximize the potential and initiative of employees and establish a correct career development plan, the company adopts a combination of push-pull and multi-channel and multi-angle to encourage employees to continuously learn and build a learning organization.

Push: The company has established an employee qualification mechanism to increase the pressure on employee performance and ability. If the performance and ability fail to meet the requirements, measures such as job change and job transfer training are adopted to encourage employees to continuously learn and take the initiative to play.

Pull: The company has established a compensation incentive system. Clear job responsibilities, fully empower, guide employees to work independently and creatively, and give full play to their potential.

b ) Establish a multi-channel talent training system to provide space for employees to learn and develop

According to the differences in employees’ abilities, hobbies and the characteristics of various positions, in order to fully motivate employees, the development of employees is divided into four channels: sales, production, technology and administration.

c ) Multi-pronged approach to help staff career development

In order to achieve a win-win situation between the interests of the company and the professional value of employees, the company carries out career development planning and design for employees, jointly formulates career development goals and action plans for employees, and provides corresponding support.

3.3 Occupational health and safety

The company strictly implements the labor and safety production laws and regulations of the state, such as the Labor Law of the People’s Republic of China, the Safety Production Law of the People’s Republic of China, and the Law of the People’s Republic of China on the Prevention and Control of Occupational Diseases. and the requirements of the occupational health and safety management system, continuously take governance measures and personal protective measures to improve occupational health and safety working conditions, and measure and control the influencing factors of key workplaces, actively create a safe working environment for employees, and improve working conditions, It is beneficial to protect the health of employees and reduce the occurrence of occupational diseases.

The company attaches great importance to safety production and labor protection. The general manager is the first responsible person for safety production, and has established a strict safety production inspection system and safety production management network. In addition, the company has established a safety committee to formulate the company’s safety system and norms, and supervise the implementation of safety norms; safety officers or safety supervisors designated by the company’s senior management patrol the workshop from time to time to deal with unsafe behaviors and individuals on-site; Departments, departments and workshops, workshops and teams have signed safety production responsibility letters, so that the safety responsibilities are clear and the responsibilities are implemented to the people; the heads of each department are the first responsible persons in the region, and are equipped with cadres with good skills and strong responsibility. Full-time safety officers, all workshops are equipped with part-time safety officers, establish a safety management ledger, so that problems can be found and solved in time; safety knowledge and skills training is first given to each new employee, and safety knowledge concentration is carried out for all employees every year. Learning and training to comprehensively improve the safety awareness of the company’s employees; each workshop establishes a monthly safety activity and a hidden danger search and rectification system, making detailed records and eliminating hidden dangers in a timely manner.

The company adheres to the people-oriented principle and pays attention to the health of employees. The company strictly operates the ISO45001 occupational health and safety management system. In order to prevent, control and eliminate occupational disease hazards, strengthen the management of occupational disease prevention and control, improve the level of occupational disease prevention and control, and protect the health of workers, the company will organize special posts in May and June 2021 . Occupational disease examinations and establishment of employee health records. Take measures to prevent heatstroke and cool down in summer, distribute heatstroke prevention medicines and cold drinks for free, issue high temperature subsidies, care for employees and humanized management, and create a harmonious labor relationship enterprise. The company distributes labor protection equipment to employees in positions exposed to occupational hazards according to the prescribed frequency and standards, and strengthens the protection of special types of work. Ensure a healthy working environment for employees in the workshop, and effectively control and eliminate occupational disease hazards through the planning and implementation of various occupational health and safety work to ensure employee occupational health and safety . 100% occupational health check-up rate for employees in hazardous positions .

In order to prevent and reduce the occurrence of various incidents, control, mitigate and eliminate the harmful environmental impacts or personal diseases and injuries, standardize the emergency response activities, and protect the life safety of employees, the company has formulated the “Safety Production Emergency Plan”, including A series of systems such as “Fire Accident Emergency Plan”, “Summer High Temperature Emergency Plan”, “Winter Snow Disaster Emergency Plan” and “On-site Disposal Plan for Electric Shock Accidents” have been formulated.

At the same time, the company formulates an emergency training plan every year, regularly organizes emergency rescue teams and personnel to conduct emergency knowledge and skills training, conducts on-site drills such as fire knowledge explanation, fire extinguisher use, fire drills, emergency escape, evacuation, etc. To improve the existing problems in the company, and continuously improve the company’s emergency response capabilities and employees’ self-prevention and practical ability to handle various emergencies.

Figure 10 Carry out emergency training and drills

 image17

image18

Fire knowledge training

first aid training

image19 

image20 

fire drill

escape drill

3.4 Employee rights and care

Since the establishment of the company, relying on the cultural precipitation of the employee’s home, combined with the company’s actual situation, it has strived to provide employees with support for their individual needs at different levels.

Chart 11 Support measures for individual needs of employees

employee category

key influencing factors

Support measures

Production grassroots personnel

health needs

Strengthen on-site management and conduct occupational health examinations

The need for work rewards

Implement piece-rate wage system, more pay for more work

The need for job stability

Adopt contract management to clarify labor relations

The need to learn and grow

Improve employee business skills through in-house training

administrative staff

Work compensation benefits and the need for social recognition

Improve competitive compensation and benefits; in-house training

The need for job satisfaction

Establish a competitive incentive mechanism, implement performance management, and use multiple forms of recognition to enhance employees’ sense of achievement

Marketing grassroots

Work Compensation and the Need for Social Recognition

Provide attractive compensation, enrich employee benefits and holiday benefits

The need for job support

Relevant departments collaborate to solve problems in the marketing process

The need to learn and grow

Provide training on marketing related knowledge

Technical grassroots personnel

The need for learning growth and development space

Provide internal and external training and design career development channels

The need for a good environment

Improve office and living environment

Work compensation benefits and the need for social recognition

Provide competitive salary and generous benefits

middle and senior managers

need for achievement

The need for social approval

Offer a competitive salary

The need to learn and grow

Delivery training

In order to attract and retain talents, the company provides a warm accommodation environment, equipped with water heaters, desks, chairs, wardrobes, independent toilets, and organizes activities from time to time to enrich the spare time life of employees, so that they can integrate into the Hongde family as soon as possible; each year, outstanding employees are evaluated and commended. Rewards; regular physical examinations are organized for employees every year, holiday benefits and items are distributed, and financial help is provided to the needy; a variety of cultural and sports facilities, basketball courts, table tennis tables, treadmills, cycling machines, comprehensive training devices, etc. are provided to enrich employees All kinds of efforts have made the employees deeply feel the warmth of the Hongde family, enhanced the cohesion, and made Hongde truly become a positive, united and cooperative team.

Chart 12 Staff cultural and sports activities

 image21

image22

Travel Activity

Contest

image23

 image24

friendly match

Staff Games

 image25

 image26

go out to communicate

July 1 activity

Company leaders pay great attention to the opinions of employees, and conduct surveys on employee satisfaction by issuing questionnaires, employee forums, etc., to collect and understand employees’ opinions in a timely manner, and make positive responses. Establish a scientific employee satisfaction evaluation model, evaluate the key factors affecting employee satisfaction, and quantitatively score employee satisfaction through systematic statistical analysis to form the company’s annual satisfaction survey report.

In June 2021 , a satisfaction survey was issued to employees, and a total of 40 copies were recovered. According to the statistical results, the employee satisfaction was 90% . In response to the employees’ feedback, such as increasing employee activities and improving workshop operating conditions, improvements have been arranged one by one.

4 Protection of the rights and interests of creditors, suppliers, customers and other stakeholders

Hongde always respects the legitimate rights and interests of creditors, customers, suppliers and other stakeholders, pursues mutual equality, runs through the idea of “honesty-based” in business activities, and establishes relationships with relevant stakeholders such as creditors, customers, suppliers, etc. a good cooperative relationship.

4.1 Protection of the rights and interests of creditors

compliance of Hongde’s operation and management and asset safety. The company maintains a good credit level, performs debts in strict accordance with the contracts signed with creditors (banks), pays interests and repays principal on time, promptly reports important information related to creditors’ rights and interests, and maintains good cooperative relations with creditors.

4.2 Protection of Suppliers’ Rights and Interests

The company pays attention to the integrated construction of the supply chain, continuously improves the procurement process and mechanism, establishes a fair and impartial evaluation system, and creates a good competitive environment for suppliers. All major suppliers have signed long-term supply contracts with them, which clearly stipulate the price, quality, delivery time, etc., and clearly define the liability for breach of contract; at the same time, it is stipulated that the parties can apply for arbitration or bring lawsuits to the court for matters not covered by both parties. The company pays the supplier’s payment for goods according to the plan, and pays the outstanding suppliers in advance according to the performance appraisal results. The company pays great attention to the interests of the suppliers. There has never been a payment arrears to the suppliers, and there has never been a dispute over the payment of goods. When the supplier has financial difficulties and other special circumstances, the company will provide financial support or loan guarantees.

The company communicates with suppliers on development strategies, corporate culture, business information, etc. through high-level mutual visits, supplier audits, telephone communication, email communication, and technical exchange meetings.

4.3 Protection of the rights and interests of customers

The production and processing of various products of the company has a complete and mature production process, equipped with advanced processing equipment, and experienced professional and technical personnel, in order to ensure product quality from the beginning of production. All types of products produced by the company have a pass rate of more than 98% in the final inspection every day. During the quality inspection process, we resolutely do not accept, do not manufacture, and do not release substandard products. Solve the problems affecting quality from the root cause, through the implementation of the quality management system, the company’s product defect rate has been gradually reduced. The company’s product indicators all meet the product standard requirements, and the key features of the products are 100% qualified before they are delivered to customers.

Hongde has professional after-sales service personnel to provide high-quality after-sales service. The company has formulated a strict and mature after-sales service system, and can quickly trace, repair, replace, recall and other processing methods when there are quality problems in the ex-factory products during the warranty period, so as to ensure that the products with poor quality can be recalled accurately and effectively and dealt with effectively.

The company has been paying attention to customer satisfaction. Every year, through questionnaires and meetings, it collects customer satisfaction information in an all-round way and listens to customers’ opinions. It regularly organizes and summarizes relevant information, and timely feedbacks it to various functional departments for new product development and quality. and service improvements.

4.4 government protection

Since its establishment, the company has strictly complied with various national tax laws and regulations, and has formulated relevant financial systems and procedures for various types of expense declaration, approval, and reimbursement of the company, and constantly regulates tax management and improves financial management. Pay taxes in accordance with the law, pay taxes in full and in time, manage taxation work by special personnel, train financial personnel, improve taxation awareness, professional quality and management level, and ensure that taxation work is carried out in an orderly and lawful manner.

5 Environmental protection and sustainable development

The main pollution sources of the company: domestic waste water, noise, polishing dust of tongue depressor , hot melt waste gas and sterilization waste gas , canteen oil fumes, leftovers, defective products and domestic waste .

The company actively cooperates with the environmental monitoring department of Anji County in the discharge inspection of the company’s waste gas, waste water, noise, solid waste and hazardous waste.

5.1 Wastewater

The generated domestic wastewater is digested and treated in the septic tank and then discharged through the sewage pipe network into the Chengbei Sewage Treatment Plant of Anji Jingyuan Sewage Treatment Co., Ltd. for centralized treatment. The waste gas absorption liquid is recycled, and the loss is added regularly. After a period of use, it is entrusted to a qualified unit for disposal without emission.

5.2 Exhaust gas

The waste gas mainly includes: polishing dust of tongue depressor, hot melt waste gas and sterilization waste gas.

The main pollution factor of polishing dust is particulate matter. The polishing process is set in an independent and closed polishing room , and a set of pulse bag dust removal facilities are added in the polishing section. The generated dust is collected and sent to the pulse bag dust removal facility for treatment, and the exhaust gas is discharged at high altitude after treatment.

The main pollution factor of hot melt exhaust gas is non-methane total hydrocarbons. When the vaseline sheet produces molten slurry, a very small amount of hot-melt waste gas is generated. At present, the ventilation of the workshop is strengthened to force emptying.

The sterilization process of Vaseline tablet production and bandage production produces sterilized waste gas. The main pollution factor is ethylene oxide (characterized by non-methane total hydrocarbons). After two-stage spraying inside the production area, it is sent to a set of water outside the production area. After treatment, the exhaust gas is evacuated through a 15m-high exhaust pipe.

10m high exhaust pipe after being treated by a fume purifier .

5.3 Noise

The noise of the project is mainly the mechanical noise generated during the operation of production equipment and waste gas treatment facilities. Enterprises take measures such as rationally arranging the location of production equipment, closing doors and windows during production, strengthening production management and equipment maintenance at ordinary times, and strictly implementing the daytime production system to reduce noise emissions.

5.4 Solid waste

The solid wastes of the project are mainly bamboo and wood scraps, cloth, defective products, dust collected by polishing, raw material packaging waste, ethylene oxide and nitrogen empty steel tanks, and domestic waste of employees.

The domestic waste is entrusted to the sanitation department for removal and disposal. The dust, scraps and defective products collected by polishing will be recycled by the material recycling company. The use of ethylene oxide and nitrogen produces empty steel tanks, which are replaced and recycled by raw material suppliers.

Chart 13 2021 Environmental Protection Test Report

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6 Ethical conduct

6.1 Comply with the code of integrity and build a credit system

Hongde Medical adheres to the corporate core concept of “carrying forward the humanitarian spirit and developing the cause of the disabled” , requiring all employees to treat others with sincerity, keep their word, take honesty as the foundation of the enterprise , abide by laws and regulations, contracts and ethics, and abide by the Commitment, dedication and honesty return to the society.

The company has established an integrity management system and supervision mechanism, and the high-level decision-making procedures are open and transparent to prevent major violations; the company’s key positions (such as procurement, bidding positions, etc.) the occurrence of wrongdoing. The company collects feedback from relevant parties through regular return visits, etc.; establishes an internal audit mechanism to supervise and inspect key positions from time to time, and regularly conducts financial audits and special audits to ensure that corporate business activities are honest and law-abiding,

Hongde Medical urges all employees to consciously implement integrity supervision measures. Every business activity of the company must be assessed according to regulations, strictly controlled, and praised for compliance and trustworthiness . Behaviors will be punished to ensure standardized management of company operations and protect the interests of all parties. The company has won unanimous praise from all walks of life in the same industry.

6.2 Key Processes and Performance Indicators of the Ethical Behavior Monitoring System

The monitoring process, measurement method and achievement indicators of the company’s ethical behavior are shown in the table below.

Chart 14 Key Process Measurements of Corporate Ethical Conduct and 2021 Achievement Indicators

Supervised object

Monitoring items

Monitoring basis

Measurement methods

2021 Measurement Indicator Results

business management

Behavior

Integrity management, normative production and operation activities

“Company Law”, “Contract Law”, “General Financial Principles”, “Accounting Standards”, “Taxation System”, etc.

Contract fulfillment, payment on time, cooperation situation

100% timely payment

Contract default rate 0

financial check

The report is objective and true

Tax inspection and evaluation

pay taxes according to law

Bank credit evaluation

Repay the loan on time

Senior leadership

Diligence and honesty

Building a clean government culture

Target Responsibility Statement

Complaints

No violations in business activities

middle-level cadres

Fairness of management behavior, work attitude

“Target Responsibility Statement” “Job Description”

Internal Audit

functional supervision

Disciplinary events are 0

Satisfaction evaluation

Employee satisfaction 90%

Staff

everyday behavior

Ethical behavior, work attitude

“Employee Handbook”, “Labor Contract”, “Job Description”, “Personnel Management System”, “Reward and Punishment System”, and relevant regulations

Disciplinary treatment

media exposure

Number of violations of discipline and law 0

6.3 PERFORMANCE RESULTS IN ETHICAL CONDUCT

The company has always adhered to the principle of integrity, operated in accordance with the law, abide by professional ethics, established a good business credit and moral image, and won wide acclaim from customers, suppliers, government, quality supervision, industry and commerce, taxation, banks, etc. highly recognition.

7 Charity support

The development and growth of the company has benefited from the strong support of all parties in the society. Under the leadership of Zhang Yuegen, the general manager of the company, Hongde Medical strives to develop the cause of the disabled, actively undertake social responsibilities, and strive to give back to the society with practical actions. The company lists “caring for the disabled, helping employees, and caring for the life of the elderly” as key support areas, and enhances the brand awareness and reputation of Hongde Medical through public welfare undertakings.

In terms of the cause of the disabled: Hongde Medical strives to develop the cause of the disabled, and has established a five-star home for the disabled in Zhejiang Province. The institution strictly follows the relevant national standards for disabled people, and is equipped with handrails, toilet handles, barrier-free passages and other perfect non-standard facilities. Barrier facilities, as well as table tennis room, chess and card room, TV room, reading room, lounge and other cultural, sports and recreational areas, as well as professional rehabilitation rooms, medical rooms, psychological counseling rooms and other functional rooms; the institution is not only equipped with work recuperation It is a full-service home for the disabled that integrates labor, rehabilitation, entertainment, and leisure into one, allowing the disabled to work while recuperating to obtain a certain labor remuneration, and also provides day care, leisure, entertainment, rehabilitation and other services .

At present, there are 56 mentally and mentally disabled people in the disabled home, and 8 full-time management personnel, mainly responsible for daily management, intensive prevention, home visits, training, service and other work responsibilities; the management personnel not only pay attention to the daily work and life dynamics of cruel people , but also It is also necessary to pay attention to their physical and psychological problems and better serve each disabled person in an all-round way; the institution establishes a personal file for each disabled person, mainly including the basic situation of the disabled person, physical examination data, assessment and rehabilitation data, training and learning materials, Daily work log, attendance and rewards, etc., reflect the personal information management of “one person, one file”. In order to strengthen the living ability, social adaptability and broaden horizons of the disabled, the institution not only provides training and learning on daily post, life, and social adaptability internally, but also provides outdoor activities, party building activities, volunteer service activities, etc. Obtained good results and reputation.

Contributes an output value of 8 million yuan to the society every year , and was awarded the provincial five-star home for the disabled after being declared by the county and city. The founder Zhang Yuegen was nominated as the most influential person in Anji County in 2019. , Let the disabled have something to do, let love benefit the enterprise, and give back to the society. Mr. Zhang Yuegen will continue to expand his love career and continue to develop the cause of the disabled. Accept and cultivate more disabled people, and lead disabled people and Hongde people to create a brilliant medical career.


Chart 15 Examples of Disability Home Activities

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Host a birthday party

Visit the Natural History Museum

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Making dumplings by hand

Family Symposium

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Staff Games

psychological counseling

In terms of caring for the elderly: the company actively carries out party members’ co-construction activities, and forms a volunteer service team in the company’s spare time to purchase daily necessities and gifts for the elderly, and hold activities to condolence to the elderly, so that the elderly can regain the warmth of home; Living assistance, haircuts, etc.

In terms of helping employees: the company has set up a special difficulty assistance fund to actively provide assistance when necessary. At the same time, the company will provide certain subsidies to the company’s extremely poor employees every year, so that employees can work and live happily; the company provides tuition and living expenses for poor college students; Employees’ families regularly visit and send holiday condolences; provide employment opportunities for employees who experience gas explosions.

In addition, adhering to the concept of support from all sides when one is in difficulty, the general manager of the company leads all employees to make efforts to contribute to the residential area. Whenever there is a local difficulty and urgent need for help, they will organize all employees to actively participate in voluntary donations and contribute to post-disaster reconstruction. a force.


Chart 16 Examples of Hongde Medical Public Welfare Activities

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Visit the elderly in the nursing home

haircut for the elderly

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Charitable activities 

school book donation

 

 


Post time: Feb-22-2022