ESG Report 2024

41 To fulfill the compliance requirements for daily promotional activities and academic events and promptly identify and correct compliance issues, the Group has implemented “Compliance Unannounced Inspection Policy” and “Compliance Incident Reporting Policy”, aimed at ensuring that all work is conducted in accordance with legal and regulatory requirements. The compliance department conducts systematic audits regularly, without prior notice of the audit schedule. The audit covers but are not limited to promotional activities conducted by the company and commissioned sales personnel in different regions, activity notifications, academic exchanges, and adherence to compliance standards during interactions with relevant organisations and personnel. Besides, the audits will access daily operational norms and key compliance points. Flight audit are typically conducted by a team of 1-2 auditors led by a team leader who is responsible for the entire audit process, follow-up corrective actions, and any subsequent penalties. 7.2.3 Unannounced Compliance Audit Within 5 working days after the completion of the audit, the audit report, records, and related documents are uploaded to the compliance department for filing. The audited department or personnel should make necessary adjustments and submit a written corrective action report to the compliance department within 7 working days from the date of receiving the audit results or report. The compliance department will promptly follow up on the progress of the corrective actions. Pharmaceutical Advertising and Promotion Pharmaceutical Good Supply Practices （ GSP ） Compliance of OTC Daily Promotional Activities Wh e t h e r t h e r e a r e i n s t a n c e s o f advertising prescription drugs on the OTC side. Whether the ontent used in promotions complies with relevant laws and regulations, and whether there are any violations of advertising laws. Verification of the sources of promotional materials and whether they have been r e v i ewe d , i n c l u d i n g wh e t h e r t h e promotional materials were produced locally. Whether the use of promotional materals is compliant, and whether there is reuse of promotinal materials, such as the reuse of academic conference scene materials on the OTC side. Whether the promotional methods and types of activities carried out are compliant. c Instances of tampering with product distribution. Violations related to unauthorized allocation and resale of pharmaceutical products. Promoting pharmaceutical products at end-points without the necessary qualifications. Instance of improper exchanges of benefits with store personnel. Non-compliant promotional activities, such as impersonating doctors or conducting work under the guise of being doctor. Compliance of the venues for promotional activities and instances of conducting promotions in locations not authorized for OTC business. Compliance of the types of promotional activities conducted, such as buy-one- get-one promotions. Summary of Sales Personnel Unannounced Audit Checklist 7.3 Customer Service Users' opinions are the source of the Group's continuous improvement and advancement. Therefore, we attach great importance to users' feedback and suggestions, take users complaints seriously, and follow the established procedures to respond and improve. If we encounter adverse drug reactions and other incidents, the Group must deal with it in strict accordance with relevant regulations and systems to protect the health and safety of users. Environmental, Social and Governance Report 2024 The United Laboratories International Holdings Limited The audit methods include: Accompanying sales personnel during their daily work. Conducting on-site audit at workplaces or offices. Reviewing daily work reports and specific job responsibilities on the OA platform. Conducting interviews, surveys, or written examinations.