Risk Management Policy
Risk is an unexpected event, measured in terms of likelihood and consequences, that may adversely affect Nuvoton's operations or the achievement of Nuvoton's objectives.
Nuvoton's Risk Management Policy includes:
• Nuvoton's commitment to applying risk management practices throughout the organization;
• Nuvoton's objectives in managing corporate risks;
• Nuvoton's commitment to world best practice and continuous improvement
to achieve this nuvoton will:
• Allocate adequate resources;
• Establish and implement standard procedures;
• Monitor and review periodically risk management procedures and make appropriate modifications;
• Effectively communicate with stakeholders internally and externally, including the board;
• This policy will be reviewed and revised by management periodically.
Risk Identification and Management
Nuvoton Technology conducts the identification, assessment, response, and tracking of risks based on the core businesses internally and the circumstances externally, covering the economic, environmental, and social aspects of sustainable development.
The Company identifies key risks and formulates countermeasures in areas such as strategy, operation, finance, and technological changes in the technology industry, including significant risks pertaining to the environmental, social, or corporate governance issues related to the operations of the Company.
- Strategy: Continuously track external changes in global regulations, politics, economy, etc., assess impacts thereof on the Company, and take necessary risk responses in a timely manner.
- Operation: Fully grasp the key materials, equipment capacity statuses, and delivery timetable.
- Finance: Reduce the exchange rate risk with appropriate hedging tools, and appropriately arrange the days of liabilities as well as the fixed or floating interest rate structure to lower the interest rate risk.
Our company’s risk identification and management strategies are as follows:
Climate Change Risk Identification and Management(TCFD)
In light of the possible financial risks that climate change may pose to corporate operations, the calls for companies to disclose climate-related financial risks internationally are growing louder. Pursuant to the Recommendations of the Task Force on Climate-related Financial Disclosures (TCFD) released by the International Financial Stability Board, and the Taiwan Stock Exchange Corporation Rules Governing the Preparation and Filing of Sustainability Reports by TWSE Listed Companies stipulated by Taiwan Stock Exchange Corporation (TWSE), Nuvoton Technology identifies climate change-related risks and opportunities and incorporates the results into the risk management framework of the Company as one of the sustainable development strategies.
Nuvoton Technology adopts processes of identification, assessment, treatment, and monitoring for climate change risks so as to manage and control the possible impacts from climate change.
Climate-Related Risks
Climate-Relate Opportunities
