ETHICAL BUSINESS MANAGEMENT SYSTEM

We conduct our business activities in compliance with the legal statutes and the spirit of the
law as an enterprise that practices ‘sound ethics and morality’ and respects the order of the
free competition market oriented to transparent fair competiton.

Overview of implementation

Background of implementation

Promote balanced development by promoting free competition

The Fair Trade Act promotes fair and free competition between companies, thereby creating creative business activities and protecting consumers. It is a law aimed at promoting balanced development of the national economy.

Binggrae publishes fair trade guidelines to comply with the Fair Trade Act, and provides employees with standards of conduct for complying with the Fair Trade Act. It has been provided and has been making great efforts to eliminate business practices that violate the Fair Trade Act on a regular basis. As part of these efforts, we have introduced the Compliance Program since 2008 and are responsible for its practical operation, implementd by a self-compliance manager appointed by the board of directors.

Performance of our company's autonomous compliance program

Recommended items Performance of our company's autonomous compliance program
CEO's declaration of willingness to comply with self-regulation
  • Posting of CEO’s Fair Trade Commitment Statement (Jul. 2024)
Designation and operation of autonomous compliance managers
  • Appointment of a new Compliance Officer by Board Resolution (Feb. 2024)
Preparation and distribution of self-compliance manuals
  • Initial development of Fair Trade Voluntary Compliance Guidelines in 2008
  • Segmentation into division-specific guidelines in 2011
  • Partial manual update in 2019
  • Partial manual enactment/revision in 2021
  • Update of 2 written training materials and 4 training videos in 2022
  • Update of 1 written training material and 2 training videos in 2023
  • Update of 6 written training materials in 2024 (including the Monopoly Regulation Act, etc.)
Operation of educational programs
  • A total of 6 training sessions conducted on fair trade-related topics (including the Monopoly Regulation Act, Subcontracting Act, Agency Act, and Win-Win Cooperation Act)
  • A total of 4 Compliance Support Letters issued (sharing company-related legal issues with internal and external directors)
  • A total of 2 “Learning and Growth” sessions conducted (ISO 37301, anti-corruption, human rights, and ethical management)
  • A total of 9 written training sessions conducted (including the Monopoly Regulation Act, Terms and Conditions Act, etc.)
MONITORING SYSTEM
  • A total of 2 on-site monitoring sessions conducted in the first and second half of the year (including in-person interviews and distribution of checklists)
  • Internal audit conducted related to ISO 37301 (Compliance Management System)
  • A total of 2 rounds of self-assessment by departments on relevant laws and regulations conducted in the first and second half of the year
Establishment of a sanctions system for lawbreakers
Management of documents related to fair trade
  • Collection of Compliance and Ethics Compliance Pledges from Executives and Employees (Jan. 2024)
  • Operation of disciplinary regulations for violations in accordance with company policies
  • Prompt enforcement of sanctions against legal violators
Organization of the Self-Compliance Council
  • Operation of the Subcontract Transaction Deliberation Committee once a month regarding subcontract transactions

Autonomous Compliance Guidelines

The Fair Trade Act promotes fair and free competition between companies, thereby creating creative business activities and protecting consumers It is a law aimed at promoting balanced development of the national economy. Binggrae publishes fair trade guidelines to comply with the Fair Trade Act, and provides employees with standards of conduct for complying with the Fair Trade Act It has been provided and has been making great efforts to eliminate business practices that violate the Fair Trade Act on a regular basis. As part of these efforts, we have introduced the Compliance Program since 2008 and are responsible for its practical operation The board of directors appoints a self-compliance manager to implement the self-compliance program.

Self-compliance guidelines training

Binggrae conducted in-house education from 2008 to 2010 to form a mind to comply with fair trade by employees, and since 2011, we have been operating cyber education and attending external training conducted by fair trade experts. In the future, we will continue to provide training to improve the understanding of fair trade among executives and employees.