Process of Materiality Analysis

Nan Pao refers to the four principles of materiality identification from AA1000 Accountability Principle (2018) and GRI Standards (2021): Inclusivity, Materiality, Responsiveness, and Impact. Nan Pao'sStakeholder Engagement Policy plays a crucial role in ensuring that we maintain open and transparent dialogue with all our stakeholders, allowing us to better understand their concerns and expectations. Every year, Nan Pao conducts materiality analysis through a structured approach that encompasses the steps of "establishment, collection, investigation, and analysis." This method allows us to examine sustainability issues, ensuring that we identify and prioritize the most relevant and impactful aspects of our operations.

Materiality Topic Identification Results

We consolidate and analyze stakeholder concerns and seek out opinions from internal and external experts. On the organizational and operational impact, and economy, environment and people impacts, we adopt the double materiality principle to assess the impact of sustainability issues within and outside of the organization. These topics are defined as "Highly Material Topics." The following are the definitions and management strategies for each level of materiality:

The result of 2023 materiality assessment is reviewed, approved, and supervised by NANPAO's Board of Directors. 

•Highly Material : Set goals and regularly monitor management efforts.

•Moderately Material : Establish management policies and assign dedicated units for control.

•Lowly Material : Low short-term impact, but continuous monitoring is maintained.

Materiality and Impacts

NANPAO refers to the Global Sustainability Standards Board (GSSB) and evaluates the economic, environmental, and social impacts, as well as human rights impacts and their scope, based on the GRI 1 Foundation and GRI 3 Material Topics standards announced by the GSSB in 2021. These impacts can have both positive and negative effects and may be potential or actual occurrences that happen at different stages of the value chain, such as upstream procurement, company operations, and customer usage.

 Nan Pao Stakeholder Engagement Programs