Responsible Supply Chain
Acer Gadget is committed to delivering high-value products and services, regarding suppliers as long-term partners. We emphasize fair trade and mutual growth to strengthen shared sustainability competitiveness. We believe that only by growing together and creating shared value with suppliers can we jointly address global market shifts and sustainability challenges.
Supplier Tiered Management
To strengthen supply chain management, Acer Gadget classifies suppliers into three tiers based on transaction activity:
Tier A
Tier B
Tier C
The core supply chain partners are primarily final product assemblers, with production sites concentrated in Taiwan (15%) and China (85%).
| Number of Suppliers in 2024 | Quantity |
|---|---|
| Tier A Suppliers | 342 |
| Tier B Suppliers | 475 |
| Tier C Suppliers | 48 |
Supplier Evaluation and Audits
To ensure suppliers meet company standards, Acer Gadget conducts evaluations before the first transaction, focusing on quality, delivery, cost, and terms. Tier A and B suppliers are audited annually, while Tier C suppliers with no transactions for over five years are removed from the approved list and must undergo requalification as new suppliers before resuming business.
| Tier A Suppliers | Top 30 suppliers complete annual SAQ (Supplier Assessment Questionnaire) self-assessments, classified based on ESG scores. |
| Tier B Suppliers | Top 30 suppliers complete annual SAQ self-assessments with follow-up on improvement progress. |
| Tier C Suppliers | Automatically removed if inactive for over five years; requalification required before resuming transactions. |
Sustainability Management and Compliance
Acer Gadget requires all suppliers to meet international environmental and management standards and hold the following certifications:
– Suppliers certified to ISO 9001: 12
– Suppliers certified to ISO 14001: 13
– Suppliers certified to ISO 45001: 6
– Suppliers certified to ISO 50001: 4
● All raw materials and packaging must comply with regulations and follow green product standards (RoHS) to meet environmental requirements. New suppliers are required to complete the SAQ (Supplier Assessment Questionnaire), which includes ESG-related items such as carbon emission reduction targets.
● Use of renewable energy
● Labor rights protection
Integrity and Risk Management
Acer Gadget values integrity in its supply chain and requires suppliers to sign an integrity pledge, committing to anti-corruption and ethical business practices. Suppliers involved in environmental damage, human rights violations, or other negative social incidents will have their evaluation scores affected.
Those with strong environmental and labor practices are given priority, while those with poor records may be placed on a watchlist or suspended. Suppliers that violate Acer Gadget’s CSR policy and cause serious environmental or social impacts may be disqualified from cooperation.
Supply Chain Management Mechanism
Acer Gadget follows Acer Group’s supply chain management process under the Acer Responsible Supply-Chain Management (ARSM) framework. All suppliers are required to comply with local laws regardless of location. Annual on-site audits are conducted to review working conditions and human rights. Suppliers are also encouraged and required to take responsibility for managing social and environmental practices within their own supply chains.
Supplier Management Process
Supplier Selection
Supplier evaluation follows Acer Gadget’s process, covering operations, governance, social, and environmental aspects via SAQ.
| Supplier Selection | Risk and Evaluation Criteria | Related Issues |
|---|---|---|
| Selection Items | Regional Risk | Regulatory environment, labor conditions, resources, and geographic environment |
| Industry Risk | Industry-specific processes, workplace environment, and safety | |
| Product Risk | Low-carbon manufacturing, energy efficiency, supply chain management, and responsible minerals | |
| Evaluation Methods | Operational Factors | Market leadership, key technologies, quality, and diversified production bases |
| Governance | ESG disclosure, anti-corruption and integrity, data confidentiality, stakeholder engagement, and supply chain management policies | |
| Social | Human rights, ethics, health and safety, labor practices, responsible minerals, and labor hours management and training | |
| Environment | GHG reduction targets, carbon management performance, GHG emissions and allocation, carbon footprint, energy and renewable power use, hazardous substance control, compliance with environmental regulations, waste management, and biodiversity |
Suppliers critical to Acer Gadget’s operations and sustainability, or first-tier suppliers with high ESG risk, are classified as key suppliers. Annual audits are conducted for first-tier key suppliers, with follow-up on corrective actions.
Non-key suppliers have lower volumes or unresolved issues but may benefit Acer Gadget in the long term. They receive training to build capacity and are subject to periodic audits and follow-ups. If no improvement is made over time, they may be disqualified.
Social Management in the Supply Chain
Labor and Human Rights
Acer Gadget upholds a people-oriented approach in supply chain management, committed to protecting labor rights, safeguarding health, and ensuring safe workplaces. A complete labor and human rights management process is in place, including supplier risk assessments, audits, and training for personnel managing supplier employees to ensure compliance with international standards.
Environmental Management in the Supply Chain
Acer Gadget recognizes the environmental footprint of its supply chain as a key element of sustainable development. In line with Acer Group’s sustainability roadmap and reduction pathway, the Company evaluates ways to collaborate with key partners on low-carbon transition, gradually strengthening GHG management mechanisms. Future plans will assess long-term reduction pathways and targets based on practical conditions, advancing toward a low-carbon value chain.
To minimize supply chain environmental impacts, Acer Gadget has established a supplier audit mechanism to regularly review partners’ performance in carbon emission reduction, renewable energy use, and energy efficiency. Results are incorporated into procurement scoring as a key factor for future cooperation. This approach strengthens supply chain resilience while driving partners to align with international climate governance standards.
Although Acer Gadget did not mandate all suppliers to complete carbon inventories in 2024, a portion of core suppliers voluntarily conducted GHG inventories and set reduction targets.
The Company will continue encouraging more suppliers to adopt carbon management and renewable energy use, aiming for stronger performance in future environmental management.
Supply Chain Audits and Improvements
To ensure compliance and sustainability, Acer Gadget has established a supplier audit mechanism. Using the Supplier Assessment Questionnaire (SAQ) as a basis, we conduct risk assessments and performance reviews to strengthen environmental, social, and governance practices across the supply chain.
Suppliers are required to complete the SAQ in the first quarter each year, providing information for Acer Gadget to evaluate their labor management, environmental protection, health and safety, and ethical practices.
Supplier Self-Assessment Items
Supplier selection and evaluation follow Acer Gadget’s process, covering operations, governance, social, and environmental aspects through the SAQ.
| Evaluation Scope | Category | Key Review Items |
|---|---|---|
| Company Self-Assessment | Labor and Ethics | Management responsibility, management procedures, management systems, and implementation |
| Health and Safety | ||
| Factory Self-Assessment | Labor Management | Risk assessment, control, and management systems |
| Health and Safety | ||
| Environmental Management | ||
| Ethical Standards |
2025 Supplier Audit Plan
Starting in Q1 2025, Acer Gadget will launch non-mandatory initial audits for Tier A suppliers
based on SAQ results:
● Pass: SAQ score > 75, with ongoing ESG monitoring.
● Fail: SAQ score < 75, requiring improvement plans and follow-up.
Results will guide future supplier management and help enhance environmental and social performance.
2024 Supplier Evaluation Results
In 2024, Acer Gadget completed full evaluations of 25 suppliers:
● Passed: 17 suppliers scored above 75, meeting ESG requirements.
● Failed: 8 suppliers scored below standard and will implement improvement plans with follow-up.
Issue Tracking and Improvement Plans
In this supplier self-assessment audit, most issues were found in environmental management, energy use, and climate response. Key challenges include:
● GHG disclosure and reduction
(1) Most suppliers lack GHG inventories, so emissions data and reduction targets are missing.
(2) Some have systems but no carbon accounting, limiting reductions.
● Product carbon footprint management
(1) Many suppliers have not conducted full product carbon footprint checks, including energy use and emissions in manufacturing.
(2) Monitoring of upstream supplier emissions is lacking, limiting life-cycle carbon management.
Improvement Actions and Future Outlook
Acer Gadget will assist suppliers with annual improvement plans, including:
● GHG inventories: Provide guidance to conduct carbon checks and set reduction targets.
● Product carbon footprint: Promote lower emissions in design and stronger upstream management.
● Supervision and support: Review progress of underperforming suppliers and offer technical/ management assistance.
Integrity Disclosure
Acer Gadget recognizes the importance of sustainable supply chain management and understands that enhancing ESG transparency and compliance in a diverse supply chain is a long-term, gradual process.
We actively encourage partners to engage in sustainability practices and use the Supplier Assessment Questionnaire (SAQ) to review performance in environmental management, social responsibility, and governance. At the same time, we are gradually strengthening the following areas: