LANCHAM strives for the sustainable development that our stakeholders, customers, and community expect. Our sustainability strategy is aligned with the United Nations¡¯ Sustainable Development Goals with three key areas: environment, society, and governance. Our key priorities and commitments are as follows:
Climate change
LAMCHAM has developed a comprehensive Corporate Carbon Management Implementation Plan at the level of organization, and commits to annually account greenhouse gas (GHG) emissions in compliance with the GHG Protocol and ISO 14064 standards, with disclosure to stakeholders. The company also intends to set science-based targets (SBTi) to align with the Paris Agreement's 1.5¡ãC goal.
LANCHAM is not an energy-intensive manufacturer, but we still attach a great importance on saving energy and developing renewable energy. Our energy strategy is as follows:
Energy saving: Aligned with the GB/T 24001 Environmental Management System Standard, we have formulated the Energy and Resource Conservation Management Procedure. By optimizing production processes and improving equipment energy efficiency, we gradually reduce overall energy consumption, achieving standardized and sustainable energy management.
Renewable energy: In line with the RE100 Technical Criteria, we will develop a concrete energy transition plan. Currently, we source renewable energy indirectly through the local grid mix, which comprises over 45% renewable sources. Moving forward, we plan to install on-site solar panels to replace the mixed electricity. The remaining electricity will be offset by procuring Green Energy Certificates (GECs) or green electricity through Power Purchase Agreements (PPAs).
Renewable energy
Waste disposal
Our operations generate two main types of waste: hazardous waste and general waste. To ensure compliance and sustainability in waste management, we have established a Waste Disposal Management Procedure in accordance with the GB/T 24001 Environmental Management System Standard, preventing improper disposal and unauthorized dumping.
General waste:
Organize regular employee training to standardize waste classification, promote waste reduction, and enhance the resource utilization of recyclables.
Hazardous waste:
Disposed by a licensed third-party under full-cycle regulatory supervision, ensuring auditable processes, traceable data and mitigated risks.
We uphold a people-centric core value, building the company as a united community. Here, every employee¡¯s dignity and worth are fully respected, and individual contributions are recognized as key drivers of organizational growth. We firmly believe that protecting employee rights is not only an ethical responsibility, but a strategic imperative for sustainable development. Therefore, We adhere to UN Guiding Principles on Business and Human Rights and China¡¯s labor laws, protecting employees' rights and welfare through institutional measures and human-centered approaches.
Employee Rights and Well-being
Rights:
Well-being:
Health and Safety
We established the Health and Safety Management Procedure, upholding the "safety first" principle with the "Three Zeros" goal (zero accidents, zero injuries, zero occupational illnesses) as our standard, to build a comprehensive health and safety management system.
Management system: Implementation of Health and Safety Management Procedure, with annual management reviews chaired by the manager and 100% internal audit coverage.
Comprehensive Training: Three-tier safety training (onboarding, pre-job, and on-the-job) ensures ¡Ý8 annual training hours per employee.
Proactive Health Protection: Free annual physical examinations + occupational disease screenings, with enhanced monitoring for dust, noise, and chemical-related roles.
Suppliers and customers are key partners in our sustainability strategy. Through responsible procurement and innovative solutions, we enhance ESG performance across the supply chain while supporting clients' sustainability goals. Together, we create a more sustainable future.
Supplier: All new suppliers must complete a thorough pre-approval assessment to confirm compliance with human rights, labor standards, environmental protection, business ethics, and other key criteria. Upon contract execution, the Supplier Annual Audit Plan and Supplier Social Responsibility Commitment will be implemented, requiring regular audits, including on-site inspections and self-assessments. Additionally, we strengthen supplier partnerships through annual face-to-face meetings. These focus on addressing feedback with tailored solutions and sharing sustainable best practices to build capabilities and foster a stable relationship.
Client: We adhere to the principles of open and transparent communication and place great importance on addressing our customers' concerns regarding the ESG aspects of our products and services. We are committed to:
Supplier and Customer
1) Quality Assurance: IATF 16949-certified operations to ensure compliance with the highest quality and safety standards;
2) Shipment Protection: Comprehensive insurance coverage for all shipments to guarantee secure logistics;
3) Rapid Response: Addressing complaints within 24 hours and providing solutions within 48 hours;
4) Continuous Improvement: Assigning dedicated personnel to liaise with customers, establish regular feedback mechanisms, continuously optimize products/services.
Governance Mechanism
LANCHAM has established a top-down sustainable governance framework to advance its sustainability agenda. As a key component of this structure, the company has instituted the position of sustainability director. This executive role is held by a professional with experience in sustainability strategy and implementation. The director holds primary responsibility for developing and overseeing the corporate sustainability governance system, coordinating cross-departmental efforts to implement sustainability initiatives, and reporting directly to the General Manager to ensure strategic alignment and executive-level decision-making authority.
LANCHAM is committed to managing our businesses responsibly and ethically. We operate our business in accordance with high ethical standards and comply with the applicable laws in the regions in which we operate. Our anti-commercial bribery agreement prohibits any forms of corruption, bribery, extortion, fraud, money laundering, and unfair competition. Employees at LANCHAM are expected to conduct themselves with integrity, impartiality, and honesty. We have zero-tolerance for bribery and corruption or any other forms of behaviors that go against our agreement.
Raise a Concern
In case you witness illegal or unethical behavior, harassment or discrimination cases or have questions and feedback regarding our agreement, you are encouraged to report to us through the following channels:
Email: zhm@lanchamco.com
Anti-corruption
