Stakeholder Engagement｜Materiality Assessment
Materiality Assessment
Winbond is committed to communicating with stakeholders in a transparent and open manner in order to identify all sustainability topics of concern and incorporate these topics into our corporate sustainability framework. In 2023, Winbond published its first Materiality Analysis Report, disclosing the material topics Winbond had identified and its approach to managing these issues.
Based on the GRI Standards published by the Global Sustainability Standards Board on October 2021 (GRI 3: Material Topics 2021), Winbond has conducted a materiality analysis, and defined Winbond’s material topics assessment principles as: “issues of significant impact to major stakeholders that also have a noticeable impact on Winbond operations, while staying consistent with Winbond’s sustainable development goals”. In line with our philosophy for managing material topics, Winbond has identified 9 material topics after consolidation of similar issues, no difference than that of 2022. Winbond conducts a materiality analysis every three years. During this period, Winbond continues to communicate and respond to stakeholders, implementing sustainability strategies and enhancing effectiveness.
Stakeholder and Material Topic Assessment Process
Identifying Stakeholders
Winbond’s senior management fills out a stakeholder identification survey, and material stakeholders are identified after confirming the extent of the stakeholder’s relationship with Winbond.
Investigate issues of concern
Surveys are sent out to the identified stakeholders to understand the level stakeholder is concerned with each of the 19 different sustainability topics. Based on these results, a list of the top 10 sustainability topics is ranked in order of importance.
Assess Positive and Negative Impact
Based on the definition of “Materiality” provided in the GRI Standards (2021), Winbond’s senior management fills out the operational impact assessment survey, also taking into consideration the concept of double materiality, to assess Winbond’s positive and negative economic, environmental, and social impact through these 19 sustainability topics. They would also assess the likelihood of the impact occurring, and the severity of any potential impact.
After this process, analysis of the results of the sustainability impact assessment would be conducted, organizing into sets the top 10 sustainability topics with the largest positive and negative impact. After selecting and consolidating topics, Winbond has come up with 13 internal sustainability topics.
Make Adjustments
The material topics identified in procedures 2 and 3 are organized and submitted to the ESG committee for review. Based on the priority set by Winbond for its various Sustainable Development Goals, the impact of each topic on Winbond’s internal corporate development, the external economic, environmental, and social (including human rights) impact of Winbond’s business operations, and in line with Winbond’s philosophy for managing material topics, similar material topics are consolidated into a single topic. Through this adjustment process, 9 material sustainability topics are identified this year.
Review and Approval of Material Topics
Winbond ESG committee reviews the material topics identified, and confirms that they meet sustainability context and complete disclosure requirements. A management approach will also be determined for each material topic, and submitted to the Board of Directors for approval.