ESG Report 2024

8.3 Supplier Training Besides, the Group conducted a total of 1,696 online and offline audits for all major collaborative suppliers, achieving a 100% qualification rate. 8.3.1 Supplier Quality Training After monthly assessments and regular on-site audits of suppliers, the Group provides feedback to the suppliers. If any non-compliance is identified during the audit process, the suppliers must provide corrective measures along with a timeframe for implementation. Suppliers found with any non-conforming performance are marked as "high risk" and required undergo monthly on-site training as a quality assurance measure to ensure improvements are made until their performance aligns with our standards. Our procurement team will continuously monitor the implementation of corrective measures to ensure non-compliance issues are addressed and resolved properly. The Group reserves the right to terminate business relationships with suppliers who seriously violate these guidelines and fail to correct within the specified timeframe. 8.3.2 Supplier Integrity Training We also set up reporting channels to encourage relevant personnel in the business to report any suppliers suspected of violating the practices and conditions outlined in these guidelines. The Group has signed the "The United Laboratories Anti-Corruption Cooperation Agreement" with all collaborative suppliers, clearly stating the Group's requirements for integrity and the respective obligations of both parties in complying with integrity regulations. Complaints and reports can be made through various channels, such as telephone, email, and mail, to effectively reduce the risk of corruption and ensure the integrity of all collaborative suppliers. During the Year, the Group conducted integrity training for all suppliers. 52 Raw Materials and Auxiliary Materials Reagents Packaging Materials Hardware, Labour Protection Tools Equipment Annually/Once every three years Irregular Regular/Irregular Annually/Irregular Annually Amount Qualification Rate 561 100% 13 100% 116 100% 535 100% 281 100% Supplier Classification Audit Frequency Requirements 2024 Online Audit 2024 Offline Audit Environmental, Social and Governance Report 2024 The United Laboratories International Holdings Limited Logistics Testing Annually Annually 2 100% 2 100% Amount Qualification Rate 100% 100% 100% 100% 100% / / 63 6 13 40 64 / /