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Sustainbility

CSR Platform for Suppliers

LG Innotek fulfills its social responsibilities to the partners.

Sustainability subtitle image

Supplier Code of Conduct

With the establishment of the code of conduct for suppliers based on the EICC international standard, LG Innotek has helped them prepare sustainability management system. The code of conduct illustrates what is required for suppliers, such as promoting social, environmental, and ethical business activities, creating a safe working environment, protecting dignity of employees, and taking responsibility for their operations. It is also included in the contracts that we sign with suppliers, so that they can comply with it in their business activities. The code of conduct consists of Labor Rights (Section 7), Health and Safety (Section 7), Environment (Section 6), Ethics (Section 5), Legal Extraction of Raw Materials (Section 1), and Management System (Section 10).

Supporting Suppliers’ CSR Management

LG Innotek supports its suppliers CSR management by training their CEOs, executives (CEO Academy for Shared Growth), and working staff. In the environmental education, we share global regulatory trends regarding hazardous substances and conflict resources. We also share case studies and suggestions for resolution, and discuss on special subjects such as emission trading scheme. In the ethical education, we teach how our suppliers can implement Jeong-Do Management - business management based on integrity, prevention of illegal profit generation, compliance with fair trade guidelines, etc. This program assists suppliers in practicing ethical management and contributing to civil society.

Evaluation on CSR in Selecting New Suppliers

LG Innotek evaluates corporate social responsibility when it selects new suppliers, with four categories: environment; labor rights; safety management; and ethics.

Evaluation on CSR in Selecting New Suppliers
Environment category we evaluate suppliers’ environmental management system and hazardous materials management.
Labor rights category we conduct evaluation using SA 8000 Check Sheet and require suppliers to submit a compliance agreement document.
Safety management we grant extra credits to suppliers that have AEO (Authorized Economic Operator) or ISO 27001 certification, and for those without the certification, we give extra credits after evaluating how they conduct safety management at their worksites.
Ethics we evaluate the integrity of our suppliers top management.
Etc. To avoid conflict resources in its supply chain, LG Innotek identifies information on the country of origin and all smelters of tin, tantalum, tungsten and gold used for its products by using the "Conflict Resources Use Report Template" offered by EICC-GeSI. Our suppliers are also required to adopt only resources from smelters with the conflict-free smelter certification.