Environmental Management Policy & Strategy

HUMAX Networks has established an environmental policy to prevent environmental damage and practice continuous improvement activities through eco-friendly business management. To this end, we have established an eco-friendly management system based on ISO 14001, a global standard, and are complying with domestic and overseas environmental laws and regulations. In addition, we have identified the environmental issues that we should focus on managing by assessing the environmental impacts arising due to the nature of our business, and then performing continuous management activities. 

Direction of Environmental Management 

Environmental Management Certification

HUMAX Networks has been recognized for establishing an environmental management system at the global level by acquiring the ISO 14001 (environmental management system) certification in 2023. We will continuously renew and maintain all related certifications to ensure continuous operation of our eco-friendly management system. 

Environmental Management Guidelines

HUMAX Networks enacted the environmental management guidelines on December 2, 2022, and has updated it periodically. The environmental management guidelines consist of a set of basic principles, beginning with the CEO’s message, which contains the CEO’s commitment to environmental management, and a total of ten detailed principles. Through these environmental management guidelines, we will do our best to achieve our environmental goals and improve our performance by taking into account the environmental aspect in all the processes of corporate management activities. 

Governance of Environmental Management

HUMAX Networks has established an environmental management governance in which the top management participates. The company is equipped with an environmental management system for operating a sustainable business by managing and overseeing the company-wide implementation of environmental management based on environmental policies and guidelines. 

Environmental Management Training

We conduct training on the impact of corporate activities on the environment and the direction of the response in the future in order to raise our employees’ environmental awareness and to strengthen their environmental competencies. We have conducted an online training program on the theme of “Understanding environmental management and how to respond to climate change” for all our employees. This training covered a diverse range of topics, such as energy-saving and energy mix, climate change and the company’s response, greenhouse gas emissions and the carbon market, waste and the circular economy, biodiversity and related laws, management of hazardous substances, etc. In 2023, 175 persons participated in this training program. 

Result of Environmental Training in 2023

･ Training topic : Understanding environmental management and the response to climate change.

･ Target : All employees

･ Date : May 2-12, 2023

･ Training method : In-house online training (Video viewing)

･ Training completed : 175 persons

･ Training details : 1. Information related to energy, such as energy sources, energy saving, energy mix, etc.

2. Current status and impact of climate change/response method of the company.

3. Greenhouse gas emissions and the carbon market.

4. Waste and the circular economy.

5. Laws related to biodiversity.

6. Management of harmful substances 

Greenhouse Gas Emission Reduction and Management Activities

HUMAX Networks is deeply aware of the seriousness of climate change, and has consequently set its greenhouse gas emission reduction target for the first time to join the response to global climate change. Furthermore, to express our commitment to reducing greenhouse gas emissions, we have pledged to establish a reduction target based on science through the SBTi (Science Based Target initiative), a global initiative, and will continuously practice it by receiving the verification of SBTi. 

Greenhouse Gas Emissions Reduction Goals

Energy Conservation Activities

To reduce greenhouse gas emissions and save energy, we have installed motion-activated energy-saving switches with motion sensors in all the restrooms and lounges at our domestic business sites. In addition, we have replaced the existing lighting with highly-efficient LED lighting, and are developing and supplying products with power-saving functions. Besides this, we are running a campaign in which internal employees’ always set their laptops to the standby mode. 

Greenhouse Gas Reduction in the Supply Chain

As the regulations on greenhouse gas emissions have recently been tightened in supply chains, the importance of greenhouse gas management within the supply chain is growing. Hence, the company is striving to manage the greenhouse gas emissions of its major suppliers. As a part of this effort, we identified and began managing the amount of energy consumption and greenhouse gas emissions of the Thai plant, which is a major outsourcing factory overseas, in 2023. HUMAX Networks will make further efforts to reduce Scope 3 emissions by expanding the scope of management in order to manage greenhouse gas emissions within the supply chain. 

Waste Management

Waste Sorting and Disposal

HUMAX Networks classifies wastes into general waste and industrial waste: the former include papers, cans, glass bottles, plastic, and food wastes generated during employees’ working hours and break time, while the latter include PCBs, finished products, steel plates, etc. generated during product development. Wastes are disposed of by classifying them into wastes for incineration, reclamation, and recycling, in compliance with the standards of the Wastes Control Act. Moreover, items collected free of charge, such as TVs and laptops, are disposed of through organizations that support the recovery and recycling of waste electronics, and electronic industrial wastes are disposed of by waste collection companies designated by the local government. 

Efforts to Practice Resource Saving and the Circular Economy

HUMAX Networks is inducing the active participation of its employees in sorting and disposing of wastes through the separate collection of domestic wastes, and is running a campaign recommending the use of reusable tumblers instead of disposable and paper cups. In addition to this, we have taken measures to replace the existing PE pads with paper pads to enhance convenience when dismantling products. To reduce the generation of waste, our company is actively promoting the modification and reuse of IT hardware, particularly laptops. Through these efforts, old laptops are being reused as test equipment for product experiment, and in 2023 we converted 15 old Pcs into 10 items of development equipment. We will minimize the generation of waste from the overall process of production, distribution, and consumption and increase waste recycling and reuse in order to reduce their impact on the environment.  

Management of Hazardous Chemical Substances

To respond to global environmental regulations such as RoHS, REACH, POPs, TSCA, CA Prop.65, PFAS, etc., HUMAX Networks has established its own environmental compliance management process. We are periodically monitoring the harmful chemical substances included in our products through verification of parts, and managing the chemical substances of raw and sub-materials in the supply chain by establishing the related database. We request our suppliers to manage data in accordance with global environmental regulations. The company also distributes the latest environmental regulation standards and manuals for hazardous substances to suppliers, and actively monitors whether suppliers comply with the standards. 

Furthermore, we are blocking exposure at the source by establishing and implementing measures to prevent exposure according to the risk level based on the results of the chemical substance risk assessment. We are replacing high-risk materials based on the results of risk assessment, and continuing with our improvement efforts by establishing reduction plans. Besides this, we periodically measure the working environment of our worksites, and have furnished MSDS materials on the substances in use in each laboratory. To control exposure to harmful substances, we periodically commission external specialized agencies to measure the working environment and conduct monitoring. As a result, assessments have confirmed that we have “not exceeded the limit on exposure to carcinogenic substances”, and have not “exceeded twice the limit of exposure to chemical factors”. 

Management of use of water

Although HUMAX Networks is not in an industry that uses large amounts of water resources, we are raising employees’ awareness of the importance of water conservation by conducting a campaign for saving water in order to reduce the amount of water used by the company. To save water and reduce unnecessary consumption, we are carrying out a campaign aimed at encouraging employees to use tooth-cleaning cups, turn off faucets, and use water appropriately by adjusting water pressure. In addition, we are saving water and energy during the summer season by adjusting the use of hot water valves. 

Pollutant Management

Due to the nature of our business, which does not directly produce products, HUMAX Networks plays almost no part in the generation of air and water pollutants or foul odors, and is not a company subject to reporting to the government. Nevertheless, we always keep an eye on the domestic and overseas laws related to pollutants, and make sure that we manage our supply chain with a sense of responsibility so as to minimize the emission and discharge of pollutants in the supply chain. 

Biodiversity Preservation Activities

HUMAX Networks’ domestic business sites do not fall under the ecological management area based on the National Institute of Ecology’s ecological and natural map provided by the Ministry of Environment. Nonetheless, HUMAX Networks engaged in a plogging event focused on protection of the ecosystem at Namhansanseong Fortress, Seoul, in which all its employees participated. The event was very meaningful in that it contributed to preserving an important cultural heritage site through healing, tracking, and plogging. We will contribute to protecting the environment and creating a sustainable future through small daily practices, such as picking up trash, by integrating environmental and social contribution activities. 

Environmental Risk Assessment and Emergency Response

Environmental Impact Assessment Procedure

HUMAX Networks checks the environmental impacts occurring at all its business sites in order to assess the degree of direct and indirect environmental impacts that may arise in the future. We have classified the main environmental impact elements into air, water quality, soil, natural resources, plants, animals, and people, and are measuring the frequency, amount, and severity of such impacts. This measurement is conducted once a year to identify and manage important environmental issues, and we are taking measures to comply with domestic and overseas environmental laws and to fulfill the environment related standards required by ISO 14001 and ISO 45001. 

In addition to this, our company periodically monitors various domestic and overseas legal requirements. In particular, we are independently conducting legal compliance assessments and monitoring whether we satisfy the environmental standards required by our customers, such as overseas RoHS, REACH, POPs, TSCA, CA Prop.65, PFAS-related guidelines, etc. 

Response to Environmental Emergency

We have identified risks by type and prepared response measures to prevent and prepare for the kinds of environmental accidents that may arise at our business sites. We conduct training once a year to ensure that we can respond quickly and safely to any emergency, such as accidents, flooding, fire, earthquake, etc., and periodically check the training plan for preparing for an emergency and analyze the response measures every two years. 

Compliance with Environmental Laws

HUMAX Networks has not received any major fines or non-monetary sanctions due to violations of environmental regulations in the past three years, and will continue to comply with the environment-related laws. We have established a related reporting channel to actively listen to the opinions of our stakeholders on environmental safety, going beyond legal compliance. Our employees, as well as all external stakeholders, can freely use this reporting channel.

Reporting channel related to customer's health and safety 

Human Rights Policy

HUMAX Networks has enacted and declared the human rights charter in order to actively implement human rights management while simultaneously preventing violations of human rights from business operations and mitigating the related risks. We make it a general principle to comply with international standards and guidelines related to human rights and labor, such as the Universal Declaration of Human Rights, the UN’s Guiding Principles on Business and Human Rights, the International Labor Organization’s Core Convention, and the OECD’s Due Diligence for Responsible Business Conduct, etc. In addition, we prohibit forced labor in accordance with human rights regulations, and check whether new recruits have their ID cards and whether the company has existing employees’ ID cards when inspecting forced labor through the human rights impact assessments and due diligence operated by the company. 

Human Rights Management Charter

The basic direction of HUMAX Networks’ human rights management is based on a framework of protection, respect, and relief, which is related to the United Nations’ Guiding Principles (UNGP) on Business and Human Rights. In this regard, ‘protection’ refers to the protection of the human rights of all people having an effect on the process of corporate management activities; ‘respect’ means respect for human rights regarding all countries, companies, groups, and individuals that transact and collaborate with our company; and ‘relief’ refers to the provision of relief for the victims when violations of human rights occur due to corporate management activities. 

HUMAX Networks’ Human Rights Management Charter 

Human Rights Issue Management Process

HUMAX Networks conducts human rights impact assessments, prepares activities for improving identified human rights issues, and endeavors to relieve factors related to human rights violations. Especially, we are striving to prevent and relieve human rights violations by operating a reporting channel dedicated to human rights issues that can be accessed by all stakeholders. 

  Human rights violation reporting channel

Human rights risk management system

･ Conduct periodic human rights training.

･ Periodically identify and assess potential/practical human rights risks.

･ Perform improvement tasks based on assessment results and share the results with stakeholders.

Raising Human Rights Awareness and Achieving ZERO Violations 

Regular Human Rights Training for Employees

HUMAX Networks regularly provides human rights training for its employees in order to raise their awareness of and foster their sensitivity regarding human rights, and to prevent potential human rights violations. In 2022, our human rights training mainly focused on legally mandatory topics such as preventing sexual harassment and workplace bullying in the workplace, as well as increasing awareness of people with disabilities in the workplace. Then, starting in 2023, we included content on human trafficking and child and forced labor, which are global issues related to human rights. By conducting these training sessions, we are committed to raising our employees’ awareness of human rights. In 2023, all 175 employees (completion rate: 100%) of our company completed legally mandatory training, covering topics such as the prevention of sexual harassment and workplace bullying in the workplace, as well as raising awareness of people with disabilities in the workplace. All 175 employees (completion rate: 100%) completed our company’s own training on identifying and protecting the victims of human trafficking, as well as prohibiting child and forced labor. 

2023 Human Rights Training Status and Outcomes

･ Details of HUMAX Networks’ human rights training in 2023 

Human Rights Training for Security Personnel

In 2023, HUMAX Networks conducted three sessions of human rights training for the security personnel of a partner company at our business sites. These sessions served as a turning point for sharing HUMAX Networks’ awareness and culture of human rights. The training covered various topics, including preventing sexual harassment and workplace bullying, raising awareness of people with disabilities in the workplace, ethics training, etc.  

Promoting Everyday Human Rights Awareness Among Employees

In 2023, HUMAX Networks posted posters about preventing workplace bullying in areas where employees can easily view them. In so doing, the company is striving to raise employees’ awareness of human rights in everyday life. We will continue to engage in various communication efforts designed to help improve employees’ awareness of human rights. 

ZERO Incidents of Child Labor, Forced Labor, and Discrimination

HUMAX Networks adheres to the laws and institutional systems of the countries in which we conduct business operations. We strictly prohibit all forms of forced labor, child labor, and wage exploitation in accordance with the regulations set forth by the International Labor Organization. Additionally, we do not discriminate based on gender, age, nationality, religion, etc. in managing our HR, including recruitment, assignment, evaluation, and compensation. We also strictly prohibit workplace bullying and sexual harassment, and are making various efforts to prevent them. We will respect the human rights of labor workers in all regions where we operate, and strive to create an optimal work environment in which all employees are treated fairly.

Human Rights Impact Assessment

In 2023, HUMAX Networks conducted a human rights impact assessment in order to identify actual and potential human rights risks that may have an impact on human rights due to our corporate activities in order to prevent any negative impacts on human rights. The human rights impact assessment was carried out by organizing it into a total of 8 areas, 27 items, and 124 indexes. This was achieved by modifying and supplementing the human rights impact assessment checklist provided in the National Human Rights Commission of Korea’s human rights management manual. In addition, we examined actual and potential human rights risks that may arise in HUMAX Networks’ corporate management. This included assessments for identifying potential child labor, forced labor and/or human trafficking - major global issues - as well as employee health and safety risks, and information security risks. These assessments were reflected in the related checklist. 

Results of the Human Rights Impact Assessment

The results of the human rights Impact assessment conducted in 2023 confirmed that no issues posed serious concern. However, the scores were low with regard to the establishment of a human rights management system, which included the regularization of human rights training, the perceived level of the company’s human rights policy, and the procedure for relieving victims of human rights violations and enhancing anonymity. In the area of responsible management of the supply chain, we obtained a low score in the inspection of our partner companies’ safety management practices. Hence, our company plans to periodically conduct training on human rights and engage in internal campaigns and improve their contents. We will also enhance anonymity to protect personal information during relief procedures for human rights management, and will regularly inspect the human rights and safety management of our partner companies.

Sustainable Supply Chain Management

HUMAX Networks intends to take a leap forward as a sustainable company that secures global competitiveness through mutual growth with its suppliers. To this end, we are urging our suppliers and business partners to adopt sustainable business practices. To achieve this, we have implemented a sustainable procurement policy that considers the environment, labor practices, and human rights from the perspective of all our businesses. We have also established the ESG Code of Conduct for Partner Companies in accordance with this policy, and conduct ESG assessments and training for major partner companies. 

Partner Company’s ESG Code of Conduct

HUMAX Networks has established the ESG Code of Conduct for Partner Companies to induce them to actively participate in complying with our stakeholders’ requirements and to enhance their interest in environmental and social issues. We have developed ten principles to define the principles of environmental, ethical, and social responsibilities. This includes the UN Guiding Principles on Business and Human Rights, and internationally recognized standards including the Universal Declaration of Human Rights, with which suppliers must comply. As such, HUMAX Networks’ suppliers are required to sign a pledge of  compliance with the ESG Code of Conduct.

ESG (Sustainable Procurement) Training

We have conducted periodic ESG training for the employees of our departments related to purchasing and sales in order to raise awareness about ESG risks that may arise in the supply chain. In addition, we have supported training to promote understanding of HUMAX Networks’ supply chain ESG policy and to promote diversity and inclusiveness among our suppliers. Conducted for employees in charge of supplier contracting and purchasing, and employees related to ESG, the training covered such topics as ESG management, the significance of supply chain ESG, ESG supply chain policy, ESG assessment results and improvements by company, and examples that have promoted diversity and inclusiveness. 

Supplier’s ESG Assessment

As various systems such as due diligence of the EU supply chain are newly developed and promoted in full swing by major countries and international agencies, the importance of ESG management for the companies we trade with has grown significantly. HUMAX Networks has added a new clause to the basic purchase agreement for ESG (CSR) risk inspection (due diligence) of the supply chain, and carried out ESG assessments of major suppliers. We first identified ESG risks related to the industry of the supply chain before conducting the ESG assessment, and then developed ESG assessment indexes based on the results. The ESG assessment indexes consist of 9 environmental (E) indexes (policy, training, activity & monitoring), 13 social (S) indexes (personal information protection, human rights & labor, health & safety, fair trade, social contribution), and 12 governance (G) indexes (ethics policy & training, monitoring,  management system & reporting), thus totaling 34 indexes.  

Identification of ESG risks and development of assessment indexes

We have derived ESG risk issues in the supply chain in order to identify the ESG risks of suppliers that may arise during purchasing, and developed ESG risk assessment indexes based on the related risk issues, which are used to assess the ESG performance of our suppliers. 

In 2023, we monitored the ESG risks of our suppliers using the supply chain ESG risk assessment indexes on major partners. We completed the written ESG assessment of suppliers and then proceeded with an on-site inspection, during which we did not discover any special risks related to ESG. For minor matters requiring improvement, we recommended corrective measures to be taken. We plan to expand our ESG assessments of major suppliers by 2030.

Operation of a reporting channel for supply chain workers

We operate an reporting channel that allows our supply chain workers to report when they are involved in negative events such as ethics, human rights, and health & safety. When any issue is reported, due diligence is carried out. 

Reporting channel for supply chain workers

Conflict Minerals Management Policy

HUMAX Networks acknowledges the environmental and social impacts, and global issues surrounding, conflict minerals. To raise consumer’s awareness and transparency regarding tin, tantalum, tungsten, and gold sourced from conflict regions and high-risk areas and to procure sustainable minerals, we have established and are operating a conflict mineral management policy. Moreover, we support and adhere to the principles of initiatives related not only conflict to minerals but also to responsible minerals.

Conflict Mineral Management & Investigation Process

HUMAX Networks checks whether the parts it sources contain conflict minerals, and includes them in the target of investigation even if a small amount is contained. We check the country of origin and smelters of conflict minerals included in our products (parts) and investigate the CFS1) certification2) status of the specified smelters. Our investigation process is based on CMRT3), which is a standard for conflict mineral investigation.

1) CFS (Conflict-Free Smelters): Smelters approved by the CFSI.

2) CFS certification (CFSP: Conflict Free Smelter Program, smelter certification program supervised by the CFSI).

3) CMRT: Conflict Minerals Reporting Template. 

Social and eco-friendly contributions

Direction of Social Contributions

Support for Company Promoting Social Values

HUMAX Networks’ in-house cafe, unlike other cafes, is a special space where young adults with developmental disabilities, such as mental handicaps and autism, can work together with our baristas. We are operating an in-house cafe with a social enterprise called ‘Bear Better’ with the aim of empowering and supporting these young adults with developmental disabilities, and helping them to integrate into society. We support Bear Better every year, and the amount of purchases totaled KRW 8.1 billion in 2023. 

Plogging Campaign

In 2023, HUMAX Networks engaged in a plogging event in which all employees participated in order to practice environmental protection in everyday life. It was a meaningful event as the participants were able to preserve an important cultural heritage in a clean condition by healing, tracking, and plogging at Namhansanseong Fortress. We will support our employees in making sure that small acts in everyday life, such as picking up trash, become a continuous social contribution activity and contribute to creating a sustainable future.

Free Provision of “Zero Waste” Tumblers

In 2023, we distributed tumblers to all employees and participants in IBC 2023 and NETWORK X 2023 to remind them of environmental issues due to the excessive use of disposable cups and to encourage them to join in activities aimed at reducing their use. Reusable tumblers are known to reduce waste by significantly cutting down the use of single-use plastics and other disposable products. By promoting the use of reusable products, we intended to encourage sustainable consumption that can minimize disposable wastes. 

Health & Safety Management Framework

HUMAX Networks has appointed the CEO as the chief supervisor of health & safety management. We have also reviewed the functions and processes needed in the health and safety management system, and have established our health and safety objectives, while taking into account the legal requirements related to health and safety, and organizational risks and opportunities. In addition, we are committed to creating a safe and pleasant work environment at all our business sites by providing regular training to raise employees’ awareness of safety issues. 

Health & Safety Goals and Strategies 

Health & Safety Management System Certification

HUMAX Networks first acquired the ISO 45001 certification, an international standard that defines the requirements for systematically managing an organization’s health and safety, in 2021. 

Since then, we have completed the first follow-up audit in 2022, the secondary follow-up audit in 2023, and the renewal audit in 2024. We are committed to securing the safety management system by continuously renewing and maintaining the relevant certifications.

Health & Safety Management Policy

HUMAX Networks has established the following health and safety management policy to consistently deliver products and services that meet the expectations and requirements of its stakeholders. 

Health & Safety Governance

There is growing social demand for holding companies responsible for health and safety in order to prevent and manage various risks, under various laws including the Serious Accident Punishment Act. To respond to the tightened health and safety laws and rising social demand, HUMAX Networks has appointed the CEO as the health and safety management supervisor. The company has also formed the Industrial Health and Safety Committee, which meets every quarter, to mitigate health and safety risks continuously and to improve the related policies, activities, and performance.  

Reporting of Health & Safety Accident and Risks

HUMAX Networks provides a reporting channel via the company website that is operated 24/7 and allows employees and external stakeholders to raise concerns and submit complaints regarding health and safety accidents and risks. Confidentiality regarding the reporter’s identity and the details of each report are strictly maintained, and a reporter protection program is in place to protect reporters from any disadvantages. 

Health & safety accident and risk reporting channel 

Training is conducted periodically to internalize a culture that emphasizes health and safety. Every year, the target, contents, and methods of training are reviewed, and the training is classified into periodic training; training upon recruitment; training when changing work details; and special health and safety training. When necessary, we measure the training performance via surveys or tests, the results of which are reflected in the training plan for the following year. Furthermore, the health and safety management supervisor, safety manager, and healthcare manager have all completed job training according to the relevant domestic laws. However, if training is not attended due to unavoidable reasons, we deliver separate materials to fully inform the trainee of the training content. 

Health & Safety Activity and Performance

Risk Assessment

We conduct risk assessments of all work spaces including office areas. We identify the actual condition of hazardous risk factors, assess them, and manage and improve risk elements. Through regular and frequent risk assessments every year, we identify hazardous risk elements and establish preventive measures. If a review is needed, we can conduct an assessment immediately. During the risk assessment, the person in charge at each department periodically identifies the risk factors by process, and checks the risk elements to estimate the possibility and materiality of each risk element. Then, we assess the size of the risk and determine whether it can be allowed. Based on this assessment, we take improvement measures. 

Assessment of Musculoskeletal System Risks

To prevent musculoskeletal illnesses due to long-term work, we conduct periodic investigations of risks to the musculoskeletal system according to the health and safety rules. We investigate by identifying workers whose jobs carry a high likelihood of falling, straining the musculoskeletal system, such as work involving unnatural postures, repetitive tasks, and heavy lifting. The on-site investigation includes video recordings, interviews with workers, and actual measurements of work equipment. From the results of an investigation conducted in 2023, we have confirmed that there is no work that strains the musculoskeletal system. We will conduct further investigations as and when the work environment changes due to changes in the equipment used by our employees. 

Health & Safety Facility Investment and Listening to Opinions

HUMAX Networks values the feedback it receives from its employees through the facility improvement request application (Sandy), and invests in facilities that promote health and safety. In 2023, we invested in installing soundproof walls to prevent exposure to noise, attached stickers on the floors to prevent collisions with doors, and repaired office floors to ensure health and safety. 

Health checkup and consulting

HUMAX Networks support comprehensive health checks for all its employees. Employees over 40 undergo an annual health check-up, while those below 40 have one every two years. We perform health checks for new recruits. We determine whether a candidate laboratory user is fit to perform the relevant duties through a health checkup before assigning duties. We also conduct special health checkups once a year. Furthermore, we even offer health checkups for  temporary employees (contract workers) who have served for more than one year. HUMAX Networks selects targets from high risk groups and conducts monthly health consultations. Our occupational healthcare service provider checks each employee’s health with a simple checkup, including blood pressure and body fat measurements, and provides consulting aimed at improving their health. 

Disease control and prevention of repetitive strain injuries

To support and protect our employees from infectious diseases, we have expanded the telecommuting system, provided vaccination leave, and offered influenza vaccinations. In addition, we provide thermometers and hand sanitizers for each office in order to create an environment where symptoms can be identified and hygiene can be managed independently. Given the nature of our work, which involves repetitive work using computers, there are health-related risks to the neck, shoulders, wrists and fingers, and back. Hence, by investing in the following programs in 2023, we made efforts to ease employees’ stress and tension caused by repetitive work.

･ Campaign to encourage employees to stretch their neck, shoulders, back, and legs before beginning work on-site. (Called “Wise Work Life”_Stronger/Healthier)

･ Provision of health information via the in-house portal bulletin board and mail.

･ Replacement of chairs with a back and spinal protection function.  

Process for Responding to and Emergency

We have established and operate an emergency response plan to protect the life and body of our employees, safeguard company assets, and prevent the spread of damages. The emergency response plan is prepared to deal immediately with an emergency or disaster situation. We have outlined methods of recognizing diverse types of emergencies, including computer outages, power outages, fires, natural disasters, and terror incidents, and measures for responding to them. 

Emergency Response Training

HUMAX Networks periodically conducts training, including a simulated emergency, in order to identify risks and matters to improve upon and to be able to respond quickly and safely in the event of an accident or other emergency. Emergency response training was jointly conducted in 2023 for company employees residing in HUMAX Village under the supervision of the fire department, the results of which are as follows. 

Joint fire evacuation drill for HUMAX Village employees in 2023

･ Purpose: To enhance the competencies of the company fire department regarding a specific fire protection target, and to reduce casualties and property damages with rapid evacuation in the event of a fire.

･ Date/Time: Nov. 24, 2023 (10:30~11:30)

･ Participants: 305 persons (including company fire dept.)

   - HUMA X Village resident employees and in-company fire department included.

･ Location: Roof of HUMAX Village (toward Tancheon)

･ Training details: Fire drill, notification drill, evacuation drill 

Composition of the Board of Directors

The board of directors is composed of two executive directors and two other non-managing directors according to the articles of association to ensure transparent and independent operation. The composition of the BOD meets the requirement of having a majority of the total number of directors according to the related laws and regulations, such as the Commercial Act. The directors possess industry expertise and professional knowledge of corporate management.

The board of directors deliberates and supervises important matters regarding company management according to the relevant laws, the articles of  association, and the board regulations. The company has made concerted efforts to establish a solid foundation for business management through board-centered governance. Moreover, we guarantee the independence of the members of the board of directors so that the board can supervise the company’s business operations in an objective manner. 

Board of Directors Remuneration System

The remuneration of the board of directors is executed according to the standards set by the board of directors by taking into account the relevant position and duties within the amount approved by the general meeting of shareholders. In the case of executive directors, their remuneration is provided based on their performance via a quantitative evaluation of overall company performance, and a qualitative evaluation of ESG activities, etc. 

Audit System

One auditor, appointed by the resolution of the general meeting of shareholders, audits our company’s accounting, and business operations. The audit findings are immediately reported to the head of the relevant department and top management, corrective and improvement measures are taken, and appropriate follow-up management is carried out for the measures taken. 

Operation of the Board of Directors

HUMAX Networks hosts periodic board meetings every quarter, and it may also hold temporary board meetings as and when required. The approval of proposed items of agenda requires the attendance of more than half of the total number of directors and the agreement of the majority in attendance. However, for matters specified by the relevant laws, such as Article 389 of the Commercial Act (Transactions between Directors, etc. and Company), the approval of items of agenda requires the agreement of more than two-thirds of the directors. In the board of directors’ meetings, reporting and resolutions are reached on major items of the management agenda. In 2023, six board meetings were held, with an average attendance rate of 100%. 

Ethical Management Policy and Promotion System

HUMAX Networks complies with the relevant laws and ethical standards in all its corporate activities. This allows us to fulfill our social responsibilities while establishing a fair, transparent, and sound corporate culture. We have established the ethics code of conduct to ensure that all employees, both locally and internationally, respect the laws and regulations of each country and region in which we do business. We are also fostering an ethical management culture so that our members fulfill their roles and responsibilities with an ethical mindset, with ‘Anti-Bribery, Anti-Corruption’ as the fundamental principle. This principle applies not only to our employees but also to transactions with our suppliers and partner companies. We also prohibit all forms of unfair trade.  

Core Principles for Ethical Management Practices

Ethics Code of Conduct

HUMAX Networks makes sure that its employees act fairly in any situation involving an ethical conflict that may arise while performing their duties by using the ethics code of conduct as the standard. We review the ethics code of conduct every year. In 2023, we added a new clause that prohibits money laundering in line with the global standards (Nov. 1, 2023). 

Gift and Entertainment Policy

In some countries, returning or refusing a gift can offend the giver due to customs and cultural factors. HUMAX Networks established a gift and entertainment policy in 2023 to help employees make the right decision when providing or receiving gifts or entertainment. This policy applies to all employees including the HUMAX Networks Corporation. Under this policy, any employee who receives a gift must obtain the approval of the head of their department on how to handle it. If an employee is unsure what to do with a gift or entertainment, final approval must be received from the department in charge of ethical management (HR dept.). 

Ethical Management Training

In 2023, we conducted training on “Understanding of Ethical Management” to ensure that employees raise their awareness of ethics, form a consensus on ethical management and practice it in their actual life and work. The training covered the Improper Solicitation and Graft Act, and examples of illegal solicitation. Ethical training was conducted for all employees, with 177 participants, in the form of an online training course over a period of about 2 weeks in September. 

Ethical Management Monitoring and Assessment

Ethical Management Monitoring System

We operate an ethical management system consisting of three stages, i.e. prevention, monitoring and detection, and implement follow-up measures. We perform ethical practice activities such as self-diagnosis assessments and training programs, etc. to raise the level of ethical practice of our members, and prevent unfair practices. Furthermore, we monitor unfair practices at all times via regular inspections and a reporting channel. We also take follow-up measures and conduct regular inspection and monitoring in order to improve our system for preventing ethical violations. 

Audit of Corruption Control Procedures

independent external audit agency conducts an external accounting audit. In 2023, understanding and assessment of internal controls, an early verification audit on important account balances, inquiries on important account balances and disclosure details, analytical procedures, and sample inspections (document verification, recalculation, etc.) were carried out. The results of the audit are disclosed through the Financial Supervisory Service’s Data Analysis, Retrieval and Transfer (DART) system every year. 

Corruption Risk Assessment (Internal Integrity Assessment)

HUMAX Networks periodically conducts a corruption risk assessment by referring to the Anti-Corruption & Civil Rights Commission’s integrity assessment model and contents. The corruption risk assessment consists of five areas, including two indexes, the integrity culture index and the work integrity index, as well as organizational culture, corruption prevention, etc. In the 2023 assessment, we obtained a total score of 84.2 points, showing a favorable level. However, we obtained a low score in the <Effectiveness of protecting whistleblowers of corruption> item for preventing corruption. Consequently, we established the following action plans.

Third-Party Anti-Corruption Monitoring

HUMAX Networks conducts corruption monitoring of not only our company but also our suppliers. The main target of third-party anti-corruption due diligence is our major suppliers. As regards the method, we conduct a written assessment, including indexes related to corruption and integrity ethics, in connection with our supply chain ESG assessment. In 2023, we conducted anti-corruption due diligence on our major suppliers. 

We operate a reporting channel for unethical acts that may involve our employees and stakeholders. For the issues received via the reporting channel, the processing and results are reported to the board of directors. We make sure that similar cases do not occur in any future business management activities and employees’ work. 

Whistleblower Protection and Anti-Retaliation Measures

assured and consult and report violations. We have also put a whistleblower protection program in place to ensure whistleblowers do not receive unfavorable treatment due to reporting. Moreover, we apply a policy that strictly prohibits retaliation to prevent unfavorable treatment such as dismissal, demotion, unpaid suspension, etc. even if a member reports or raises a question about unethical behavior or violations of laws, rule of ethics, or other company policies. 

Reporting channel and responsible department

･ Website: https://www.humax-networks.com/report

･ Responsible department: Management support team (82+ 31-606-8320)

･ Hotline (Clean HUMAX Networks): 112@humax-networks.com 

Information Security Management System

HUMAX Networks has put in place - through the governance system - an information security management system comprising an information security policy, a chief information security officer (CISO), an information security committee, and acquisition of the ISO 27001 certification. Through this, we acknowledge the importance of personal information protection, and do our utmost to prevent leakages of our customers’ personal information. As a result of these efforts, we have not had a single personal information leakage or violation for the past three years.  

Information Security Policy

HUMAX Networks has established an information security policy to preserve and manage personal information assets safely and efficiently. The scope of this policy applies not only to all employees who work at our company, but also all to third parties that have access to HUMAX Networks’ assets due to contractual relations, and customers to whom we provide our services. 

HUMAX Networks’ Information Security Policy

ISO 27001 Certification

HUMAX Networks has been objectively recognized for its management system and information security activities with the ISO 27001 certification, an international standard on information security management systems. This certification involves an inspection of the operational status of the management system through renewal audits before its expiration, identifies areas to improve upon beforehand and, based on this, initiates a process of feedback and corrective measures, etc. 

Information Security Governance

The Chief Information Security Officer (CISO), who has expertise in information security, makes the final decisions on information security matters, and manages overall information security activities. Meanwhile, the Chief Privacy Officer (CPO) is responsible for implementing measures to protect personal information, and managing information security. We host an information security committee meeting with our information security organization semiannually, and regularly hold meetings depending on the company’s information security situation in order to make decisions on major items of agenda concerning information security. Moreover, in the event of an urgent situation related to information security, we mobilize a security incident response organization and an emergency response organization to address the situation promptly and effectively. 

Information Security Activity and Risk Assessment

HUMAX Networks periodically conducts internal security audits according to user security management guidelines and information system operation security guidelines in order to check whether information security activities are being complied with. In addition, we have set KPIs based on the ISMS (Information Security Management System) in relation to information security activities to measure the effectiveness of information security activities. 

Information Security Training

HUMAX Networks conducts regular information security training for all its employees and those of its partner companies. In 2023, all 188 employees participated in the related training. We not only conduct basic training but select specific targets for training, and we also conduct training if specialized training is needed for a specific area. Moreover, we conduct training related to personal information protection for personal information officers more than once a year, and set the information security training attendance rate as a KPI to manage training performance.

Protection of Third-Party Data

HUMAX Networks strictly manages personal information according to the guidelines on personal information protection. We receive and keep a security pledge from employees to prevent leaks, losses, and damages of personal information. In addition, we are taking various measures to protect third-party data from unauthorized access or disclosure.  

 Reporting channel  

Information Security Risk Assessment and Security Audit

In order to maintain the ISO 27001 certification, HUMAX Networks periodically undergoes an information security risk assessment by an independent third party (ISO 27001 certification auditor). We receive an assessment of the risk level by inspection items according to the type of organizational control, human control, physical control, and technical control. After the assessment, we establish protection measures for each risk level. Furthermore, we regularly conduct inspections of security in everyday life, assess the actual state of our information protection management, and address any vulnerability thus identified so as to enhance our information security. 

Response to Information Security Breaches

HUMAX Networks strictly manages security breaches according to the guidelines. In the event of a security incident involving an information asset, the Chief Information Protection Officer organizes a breach incident response team to address the breach. Moreover, we solve problems promptly in cooperation with professional external organizations. 

Risk Management System and Roadmap

HUMAX Networks manages the overall risk of the company effectively by identifying potential risks during business activities and corporate operations and preparing strategies to respond to such risks. We identify various risks that may arise in several areas, and aim to maximize the efficiency of risk management by building a response system tailored to the types of relevant risks. If company losses are confirmed or a risk with a very high possibility of generating losses is identified, we judge the urgency of the situation by discussing it with the overseeing department, and hold a temporary board meeting to discuss the related issues. Furthermore, we periodically review ESG risks when making investments; and the board of directors makes major decisions and performs management and supervisory roles.  

Company-Wide Risk Management Process 

The major managing department monitors risks continuously according to their types. If a risk is discovered, we immediately identify the type and assess the level of risk. Based on the result of this assessment, we analyze the cause in order to secure the necessary resources and establish response measures. When necessary, we strengthen the countermeasures a step further in cooperation with external experts, and transparently report the results of the analysis and response measures to the board of directors and senior management. If the risk situation ends, we remove the cause of the potential risk, and strive to enhance the response system by developing follow-up plans in preparation for similar cases. 

 Risk Management Road Map

Risk Identification and Management

HUMAX Networks selects risks that may threaten the company’s ability to achieve its goals, comprehensively considering its management goals and business environment, and manages the related risks by risk level. We classify the types of risks into financial risks and non-financial risks (business continuity, operation), and establish a systematic response system for each type of risk.