Third-Party Assurance Statement

Dear readers of HUMAX Networks’ Sustainability Report, 

Introduction and Objectives of Work

ESG Innovation Network (hereinafter referred to as the “Assurer”) has been requested to perform third-party external assurance on the Sustainability Report (hereinafter “Report”) of 2024 HUMAX Networks Co., Ltd. The purpose of assurance by the assurer is to confirm the accuracy, reliability, and objectivity of the disclosed information, and to assure that the report addresses issues that are important to the organization and its stakeholders. HUMAX Networks is responsible for all information and claims included in the report. The assurer has not intervened in any way in the process of preparing the report, and holds responsibility for the assurance statement provided herein. 

Assurance Standard he reporting standard.

The assurance on the Report has been performed according to the AA1000AS v3 published by the international assurance standard Account Ability. We have assessed the application of four principles (inclusivity, materiality, responsiveness, and impact) and applied 「Type 2」 assurance, which assesses the  robustness of the information collection procedure and system as well as the reliability and quality of the disclosed information. This assurance has been performed at a 「Moderate」 level, based on the limited collection of evidence. Furthermore, we have used the GRI Standards (2021), an international standard related to this report, and ISO 26000, a social responsibility guideline, during the assurance process. 

Scope of Assurance

The assurer, as an independent assurance agency, has strictly adhered to the procedures and guidelines of the assurance standard. The scope of assurance is limited to the information and data included in the reporting period from January 1, 2023 to December 31, 2023, and includes the verification of the following items. 

･ The robustness of the process and management system for the collection, analysis, and review of information.

･ The reliability and quality of the disclosed information. Application of the four principles of the assurance standard: inclusivity, materiality, responsiveness, and impact.

･ Reference to the GRI Standards (2021), t Assurance Standard he reporting standard. 

Methodology

The assurer has performed the assurance by establishing a systematic assurance plan and documenting the materials to be reviewed, activities, deliverables, schedule, etc. The assurer has also performed the assurance using the following methods, and derived the conclusion related to the assurance opinions.

･ Review of sustainability issues that may have an impact on the organization and that may be of interest to stakeholders. 

･ Review of the important issue-determining process for selecting reporting issues.

･ Review of the sustainability data preparation and derivation process.

･ Review of the internal documents and basic data used to support the key assertions of the report.

･ Review of the on-site interviews of the persons in charge of performance data by area and the related management system.

･ Inspection of the suitability of the contents specified in the report and errors in expressions. 

Our Findings

We have not discovered any items judged to not express all important issues fairly based on the performed procedures and the assurance information acquired. The assurer’s detailed assurance opinions are as follows. 

･ First, the assurer has performed the assurance of the reliability and quality of the disclosed information related to sustainability by checking the data collection and processing process, and the supporting documents and records using the sampling method. The assurer deems that the reporting organization has established an appropriate system for collecting, accumulating, analyzing, and reviewing data and information. In addition, the assurer deems that the information and data specified in the report are reliable and have no major errors or bias. The errors discovered during the assurance process or unclear expressions were corrected prior to publication of the final report. 

･ Second, the assurer deems that the Report has applied the principle of inclusivity of the assurance standard appropriately. Inclusivity refers to identifying the key stakeholders of the organization and having them participate in the process of determining and responding to the major issues. HUMAX Networks identifies its key stakeholders, including employees, customers, shareholders and investors, partner companies, and local communities, etc. and appropriately operates programs in which the stakeholders engage.

･ Third, the assurer deems that the Report has applied the principle of materiality of the assurance standard appropriately. Materiality refers to identifying the most important sustainability issues and setting priorities by considering their impact on the organization and society. HUMAX Networks has performed a double materiality assessment that considers both organizational impacts (financial materiality) and environmental and social impacts (impact materiality) on the organization, and derived important issues such as strengthened ethical/anti-corruption management activities, efforts to respond to climate change, management of health and safety at business sites, respect for diversity, and prohibition of discrimination, etc.

･ Fourth, the assurer deems that the Report has applied the principle of responsiveness of the assurance standard appropriately. Responsiveness refers to the appropriate response by the organization to major sustainability issues. HUMAX Networks has reflected the derived important issues in the organization’s strategies and activities appropriately, and responded to the requests of its stakeholders appropriately.

･ Fifth, the assurer deems that the Report has applied the principle of impact of the assurance standard appropriately. Impact refers to the effects of organizational activities and performances on the organization itself and on society. HUMAX Networks systematically identifies and assesses such impacts, and transparently discloses the impact determined by issue in the Report.

･ Sixth, the assurer deems that the Report complies with the requirements of the reporting principles of the GRI Standards (2021), mandatory disclosure items, and the preparation of the GRI Content Index, etc., and that it has been prepared by referring to the GRI Standards (2021). 

Key Areas for Ongoing Development

We present the following recommendations within the extent that they do not affect the result of the assurer’s assurance. The assurer recommends that the company should push ahead with activities for contributing to the local communities more systematically and strategically, and further strengthen the operation of the ESG committee that checks and discusses the organization’s sustainability plans and performance. 

Statement of Independence, Impartiality and Competence

The assurer has performed the assurance independently. The assurer does not have any business relations with the organization on which it is reporting, other than its provision of third-party assurance services, and there is no conflict of interest. The assurer maintains a comprehensive quality management system for its assurance activities, including documented policies and procedures. Moreover, the assurer has accumulated long-term experience in sustainability, CSR, and ESG management, and its team is composed of members with an excellent understanding of the assurance standard methodology.

September 2024

ESG Assurance Chairman Lee Hyun