(주)신성산업

BEYOND NOW, TO BE FUTURE

Ethical Management

“

SHINSUNG Industrial has adopted ethical management as its management philosophy and is preparing for a sustainable future by equality among executives and employees, improvement of working environment, customer satisfaction, transparency in working with partner companies, sound governance, contribution to the local community, environmental management, etc.

”

What is ethical management?

Ethical management means a general management activity which uses the ethical value system of the society as the normative standard for business management.

The 3 stages of ethical management

SHINSUNG Industrial is implementing ethical management stage by stage by upgrading the ethical management system according to the development of the company for adequate development of ethical management.

Introductory Period (1990s ~ Late 2000s)

Establishment of ethical management organization
Setting up the strategy and direction of ethical management

Diffusion Period (Late 2000s ~ Early 2010s)

Implementation of specific strategies
Establishment of implementation process

Settlement Period (Early 2010s~)

Evaluation of ethical management
Link with management performance system
Integration with management strategies

Ethical guidelines of SHINSUNG Industrial

- Ethical guidelines

Chapter 1. Preamble  


SHINSUNG Industrial shares its unique management philosophy of value creating management, human-centered management and ethical management with the core values of the company – innovation, passion, fairness, cooperation and respect – aiming at common growth of all stakeholders.  
Such an aim can be achieved only if we create new values through fair competition and fair trade and deliver the values to our customers, shareholders, executive and employees and partner companies. Thus, we establish the guidelines for ethical management as the criteria for right behavior and value judgment by all executives and employees and promise to put them into practice. 

Article 1 [Purpose]
The purpose of these guidelines is to facilitate ethical management activities by setting the right behaviors and the criteria for value judgment at SHINSUNG Industrial and the procedures related to them. 

Article 2 [Definition of terms]
These guidelines shall be applied to all the executives and employees who work for SHINSUNG Industrial and the partner companies which conduct business with SHINSUNG Industrial. 

Article 3 [Scope of application]
1.	Money and valuables: Cash, marketable securities and other economic benefits 
2.	Treat and entertainment: Benefits such as meals, liquor, sports and amusement  
3.	Convenience: Provision of accommodations, transportation, sightseeing, sponsoring events, etc. besides money, valuables, treat and entertainment 
4.	Ordinary cases allowed according to social norms: If the offer is made out of voluntary and pure intention according to social custom without burden to either party and there is no other means or methods except the concerned behavior  


Chapter 2. Responsibilities and obligations for customers 


All the executives and employees of the company share customer-centered values and provide products and services customized for practical needs of customers in order to secure firm trust of customers. 

Article 3 [Putting priority on customers]
All the executives and employees of the company shall listen carefully to customers’ opinions all the time, actively accommodate due request of customers and put top priority on customers as the criteria for their judgment and behaviors.

Article 4 [Customer satisfaction]
1.	All the executives and employees of the company shall make efforts to find out the values needed by customers all the time and respond to customers’ due requests promptly and accurately. 

Article 5 [Responsibilities and obligations for customers]
1.	The property of customers shall be protected just like the property of the company. 
2.	The information related to customers may not be leaked or used for other purposes without prior consent of customers. 



Chapter 3. Responsibilities and obligations for shareholders 


All the executives and employees of the company shall make efforts to increase the value of the company by faithful management through change and innovation responding quickly to the rapid and extensive development of chemical technology. 

Article 6 [Faithful management]
All the executives and employees of the company shall do their best to increase the value of the company through faithful management. 

Article 7 [maintenance of transparency] 
Managerial data shall be prepared and published according to business accounting standards respecting the general principles of business management. 


Chapter 4. Basic ethics of executives and employees 


All the executives and employees of the company shall work with customer-centered mindset all the time and make effort to maintain the honor of the company and the dignity of themselves according to social norms and ethical values. 

Article 8 [Observance of rules and regulations]
1.	All the executives and employees of the company shall perform their duties in a fair and justifiable way and observe the company regulations and related laws. 
2.	All the executives and employees of the company shall not commit unethical or illegal behaviors according to social norms in their daily lives or working. 
3.	All the executives and employees of the company shall observe related laws, rules and regulations under the principle of transparency when carrying out banking and financial affairs. 
4.	All the executives and employees of the company shall not use the property of the company for personal use or leak or offer the company’s information obtained while working to a third party. 
5. The company shall conduct education for prevention of sexual harassment in order to prevent sexual harassment at workplace. All the executives and employees of the company shall complete the education and any nasty cases shall be subject to heavy punishment.

Article 9 [Basic ethics]
1.	All the executives and employees of the company shall do their best to fulfill their duties faithfully, honestly and fairly.
2.	All the executives and employees of the company shall make efforts to prevent the risk which can be caused by the decision and behavior and shall assume full responsibility for the results of their behaviors. 
3.	All the executives and employees of the company shall make efforts to actively cooperate with their colleagues and related departments and communicate smoothly with them. 
4.	All the executives and employees of the company are prohibited to borrow or lend money, stand joint surety or conduct monetary transaction among them. 

Article 10 [Mutual respect]
1.	All the executives and employees of the company shall respect the personality of one another and observe proper basic decorum. 
2.	It is prohibited to say or act to insult other people’s character or suggest unfair goals and shift responsibility on others unilaterally. 

Article 11 [Self-development]
1.	All the executives and employees of the company shall foster the ability to fulfill their duties properly and share the tangible and intangible knowledge they obtained while performing their duties with other members of the company for the development of the company.  


Chapter 5. Responsibility for executives and employees 


All the executives and employees of the company shall be treated fairly according to their ability and performance being respected for their individual dignity so that they could exert their full potentials. 

Article 12 [Talent training]
Necessary measures for system set-up, education, guidance, etc. shall be taken for the exertion of the ability of executives and employees in due ways. 

Article 13 [Fair treatment according to ability and performance]
1.	The executives and employees of the company shall be given equal opportunity according to their ability and qualifications. 
2.	Fair evaluations shall be made for the ability and performance of executives and employees and due compensations shall be given. 


Chapter 6. Fair transaction 


The company pursues win-win growth and righteous transactions with partner companies through transparent and fair dealings.  

Article 14 [Fair transaction]
The company does not commit the behaviors prohibited in fair trade-related laws. 

Article 15 [Prohibition of unethical behaviors in transaction]
1. All the executives and employees of the company shall draw a clear line between public and private matters and perform their duties fair and square. 
2. All the executives and employees of the company shall not request money, valuables, treat or entertainment from partner companies in relation to their duties. 
3. All the executives and employees of the company shall promptly report to their immediate boss of they received money, valuables, treat or entertainment from stakeholders including partner companies in relation to company work and shall not make unfair personal profits. 
4. The immediate boss who has received the report shall reject the money, valuables, treat or entertainment of the stakeholder if he/she thinks it can give damage to the company or hurt fairness, not making the concerned stakeholder feel abashed if possible.  
(Disadvantages in personnel management may be given if unreported money, valuables, gifts, treat or entertainment is taken.)


Chapter 7. Responsibility for the nation and society 


The company shall do its best to improve the quality of life of its customers and all the members of the society and contribute to the development of the society by growing to be a solid company through reasonable management and expansion of its business. 

Article 16 [Sound corporate activities]
1.	The company shall pursue business expansion on the basis of stable growth of the company.
2.	The company shall not conduct behaviors that can harm the national economy. 
3.	The company shall contribute to the development of the nation by continuous creation of jobs and faithful tax payment. 

Article 17 [Nonintervention with politics]
1.	All the executives and employees of the company shall not do political act within the company building. 
2.	SHINSUNG Industrial shall only focus on its economic activities and shall not intervene with politics.  

Article 18 [Protection of the environment]
SHINSUNG Industrial shall make efforts for prevention of environmental pollution and protection of nature and observe all the rules and regulations related to protection of the environment.  

Supplementary provisions 

Article 1 [Implementation]
This ethics code shall be implemented on MM DD, 2019. 

Article 2 [Prohibition of retroactive application]
Unethical behaviors committed before the enforcement of this ethics code shall not be an object of application of this ethics code. 

Article 3 [Operation of whistle blowing system and protection of whistleblowers]
1.	All the executives and employees of SHINSUNG Industrial shall report any matters that may give damage to the company, either big or small, without delay to OOOO Team and the manager of the concerned team, and the whistleblowing can be done anonymously. 
2.	In relation to the whistleblowing, all the executives and employees of SHINSUNG Industrial including the OOOO Team and the person in charge in the concerned department may not disclose the personal information of the whistleblower or give the whistleblower a disadvantage in personnel management or mistreatment. 

Article 5 [Reward and disciplinary action]
1.	Reward: A person who contributes to the ethical management activities of the company may be given rewards, and the level and procedures of rewarding shall be decided by the regulations of the company. 
2.	Disciplinary action: A person who hamper the ethical management activities of the company may be subject to disciplinary action, and the level and kind of punishment of the disciplinary action shall be decided by the relevant regulations of the company.