Strong Customer Relationships
Technical Services
Nan Pao regarded technical services as an important part of customer relationship management and product responsibility. In addition to providing high-quality products, the Company further assisted customers in resolving material application and process issues at various stages, including product development, pilot run, mass production, and after-sales use, through its professional technical service team. Especially in the footwear materials and sports brand supply chains, we had long assigned resident or regional technical service personnel to key footwear factories, enabling us to grasp our customers' production line conditions at the earliest possible moment and provide immediate support, which was an important foundation for Nan Pao to maintain market competitiveness.
The technical service team assisted customers in improving production stability, reducing the incidence of anomalies, and shortening new product introduction lead times through on-site inspections, troubleshooting, process parameter adjustments, product usage training, and technical seminars. At the same time, client feedback was also fed back to the R&D, quality assurance, and sales units, serving as an important reference for product formulation optimization, quality improvement, and new product development, thereby forming a positive cycle of "customer needs — on-site service — technical improvement — R&D innovation."
In the future, Nan Pao will continue to strengthen its technical service database and cross-functional collaboration mechanisms, accumulate customer issue cases and optimal solutions, enhance service efficiency and knowledge transfer capabilities, and, through localized technical support and a global customer service network, help customers improve product quality, process efficiency, and sustainable supply chain competitiveness.
| Service Phase | Technical Service Items | Value to Customers |
|---|---|---|
| New product development | Provided recommendations on material selection, formulation application testing, and process condition evaluation. | Shorten the development and pilot run schedule. |
| Pilot run introduction | Assisted with on-machine testing, adjusted operating parameters, and confirmed material compatibility. | Improve the success rate of mass production introduction. |
| Mass production stage | On-site at the plant or providing nearby support to troubleshoot production line issues and improve manufacturing processes. | Reduce the anomaly rate and improve manufacturing stability. |
| Issue report | After receiving the customer's report, the technical service unit provided prompt support and coordinated across divisions. | Accelerate the resolution of problems. |
| Education and training | Provided product usage guidance, trouble-shooting training, and technical seminars. | Strengthen client-side operational capabilities. |
| Continuous improvement | Incorporated customer feedback into the R&D, quality assurance, and product improvement processes. | Promoted product optimization and new product development. |
Through standardized service procedures, client on-site issues were transformed into technical knowledge that could be tracked, improved, and accumulated, thereby continuously enhancing service quality and product competitiveness.
Customer Privacy and Rights Protection
Nan Pao placed importance on the protection of customer privacy, trade secrets, and transaction data. With respect to the business information, technical data, transaction records, and other information involving customer equity provided by customers in the course of business dealings, product development, technical services, transaction cooperation, and complaint handling, all such information was filed, archived, and subject to access control in accordance with the Company's internal management procedures.
The Company adopted an authorization management principle for access to customer data. Relevant personnel could obtain such data only in accordance with job requirements and approved access privileges, so as to reduce the risk of unauthorized access, misuse, or leakage. At the same time, the Company continued to strengthen information security and personal data protection management, required employees to comply with confidentiality obligations, and, in accordance with the Personal Data Protection Act and relevant regulatory requirements, properly managed customer data and business information. In 2025, Nan Pao did not receive any grievance cases involving customer privacy violations, customer data loss, or data leakage.
With respect to safeguarding customer equity, Nan Pao complied with relevant laws and regulations and customer requirements during product development, product registration, marketing promotion, sales, and technical services, thereby ensuring the accuracy and compliance of product information, technical data, safety data sheets, and marketing materials. With respect to product advertising, trademarks, patents, copyrights, and other intellectual property rights-related matters, the Company also required the relevant units to exercise careful verification to avoid false advertising, counterfeiting, infringement, or misleading customers. In 2025, Nan Pao did not experience any incidents involving product marketing violations, counterfeiting, or infringement.
In addition, Nan Pao continued to collect customer opinions and feedback through its business, technical service, quality assurance, and customer complaint handling mechanisms, and followed up on and improved product quality, delivery schedules, technical support, or service requirements raised by customers in order to safeguard customer equity and enhance customer satisfaction.
| Management Aspect | Major Approach | Implementation Status in 2025 |
|---|---|---|
| Customer data protection | Customer business information, transaction data, technical data, and customer complaint records were managed and archived by the dedicated unit. | No incidents of customer data loss or leakage occurred. |
| Access control management | Access to customer data was required to be based on job responsibilities and subject to authorized approval. | Continued to implement internal access rights management. |
| Personal information and trade secret management | Comply with the Personal Data Protection Act and the Company's confidentiality requirements to reduce the risk of misuse and leakage of personal data. | No customer privacy-related grievances were received. |
| Product information and marketing compliance | Product development, product registration, marketing promotion, and sales activities were conducted in accordance with the relevant laws and regulations. | No marketing compliance violations occurred. |
| Intellectual property rights protection | Product promotion and marketing content should avoid counterfeiting, infringement, or misleading information. | No counterfeiting or infringement incidents occurred. |
| Customer equity and grievance handling | Handled customer feedback through the business, technical support, quality assurance, and customer complaint processes. | Continued to track customer feedback and improvement requirements. |
Customer Satisfaction
Nan Pao placed great importance on customer feedback. Through regular customer satisfaction surveys, it understood customers' opinions regarding product quality, service efficiency, transportation and delivery, technical support, and sustainable development, and used these findings as the basis for each business unit to improve service processes and enhance customer relationship management.
In 2025, major operating sites across the Nan Pao Resins Group conducted customer satisfaction surveys targeting key customers with annual transaction values exceeding NT$1 million. The surveyed customers accounted for 51.08% of the Group's total revenue. The survey covered four dimensions: Service, Products and Quality Management, Transportation, and Sustainable Development. Overall, the average score for each dimension was 4.58 out of 5. Service received the highest average score at 4.64, followed by Products and Quality Management at 4.60, Transportation at 4.55, and Sustainable Development at 4.54. Overall, 89% of surveyed customers were satisfied with Nan Pao Resins' performance, based on respondents whose average score across the four dimensions reached 4 and above. The results indicate that customers continue to hold a positive overall view of Nan Pao Resins' products and services.
In addition to the quantitative scores, we also compiled and analyzed the areas of dissatisfaction raised by customers. In 2025, the key areas for improvement were concentrated on delivery delays, frequent inventory shortages, and quotations not being updated in a timely manner, reflecting customers' expectations regarding supply stability, lead-time management, and prompt business response. Regarding the above issue, the Company will review jointly with the Sales, Supply Chain, Quality Assurance, Technical Services, and relevant business divisions, and will continue to enhance customer service quality by strengthening demand forecasting, inventory management, delivery tracking, quotation processes, and customer communication mechanisms.
In the future, Nan Pao will continue to optimize the customer satisfaction survey mechanism. In addition to tracking changes in the scores of each dimension, it will also establish improvement actions and follow-up mechanisms for the major improvement issues, regularly review the effectiveness of improvements, and incorporate customer feedback into the continuous improvement process for product quality, technical service, delivery management, and sustainable development, thereby deepening long-term cooperative relationships with customers.
2025 Customer Satisfaction Survey Results
| Investigation | 2025 Average Score | Customer Feedback Key Points | Improvement Directions |
|---|---|---|---|
| Service | 4.64 | Quotations, order processing, communication channels, and technical support overall performed well. | Continued to improve response efficiency and cross-departmental service consistency. |
| Product and quality control | 4.60 | The customer was concerned about product quality, appearance, labeling instructions, color matching speed, and color accuracy. | Strengthening quality stability, labeling clarity, and the product anomaly feedback mechanism. |
| Transportation | 4.55 | Customers valued product integrity, driver service, and control over delivery timing. | Strengthen delivery schedule management, packaging integrity, and logistics service quality. |
| Sustainable development | 4.54 | Customers were concerned about the environmental friendliness of the products, whether they complied with environmental protection standards, and employee care. | Continued to promote products with low VOC, low-carbon, bio-based and recycled materials, and strengthened sustainability information communication. |
Major Improvement Issues and Action Plan
| Major Improvement Issues | Customer Feedback Status | Improvement Action |
|---|---|---|
| Delivery delay | The issue with the highest score among the 2025 customer dissatisfaction items. | Strengthen delivery tracking, interdepartmental scheduling coordination, and advance warning of delivery exceptions. |
| Inventory frequently out of stock | The customer reported that there was still room for improvement in the supply stability of some products. | Optimization of safety stock, demand forecasting, and key product stocking mechanisms. |
| The quotation was not updated in a timely manner | The client expected quotation information to be more timely and transparent. | Review the quotation process and the division of responsibilities to shorten quotation update time. |
| Product stability | Some customers reported that product stability still needed improvement. | Strengthened quality control follow-up, technical service feedback, and improvements to R&D formulations. |
| Packaging and labeling | The customer was concerned about the integrity of the packaging, cleanliness, and labeling instructions. | Improve the package inspection, label clarity, and pre-shipment confirmation process. |
Customer Support and Feedback
Management Philosophy and Policy Commitments
Nan Pao focused on "promptly handling customer complaints and improving service quality and efficiency," and regarded customer complaints as an important driver for the continuous improvement of product quality. The Group established the "Customer Complaint Handling Procedures," which applied to complaints and claims from domestic and overseas customers and established a comprehensive closed-loop management mechanism spanning acceptance, investigation, corrective action, and follow-up to case closure. The Company's customer complaints handling process was assessed as part of the external verification of its ISO 9001 quality management system.
Policy Objectives
- Handle customer complaints promptly, eliminate customer grievances, and ensure continued transactions.
- Continuously improve product quality and service processes through customer complaint feedback.
- Enhance clients' confidence in use and establish long-term partnerships.
- Ensure that each customer complaint is fully documented and that corrective action was completed through systematic tracking (UOF electronic system).
Customer Support and Feedback Channels
Nan Pao provided diversified customer communication channels to ensure that both domestic and overseas customers could conveniently submit inquiries, feedback, or grievances, taking into account the communication
preferences and regional characteristics of different customers:
| Communication Channel | Description |
|---|---|
| Dedicated contact by sales personnel | Sales personnel promptly went to the customer's site to understand the complaint situation firsthand, conducted face-to-face communication, and provided immediate responses as well as suggestions for improvement measures. |
| UOF electronic system (online form) | Customers or sales personnel could fill out a complaint report form through the Company's UOF system, which automatically routed the form for approval, ensuring that complaints were logged in a timely manner and that the handling process was initiated, so that no complaint cases were overlooked. |
| Hotline | The sales division had a dedicated contact telephone line. Customers could directly contact the sales supervisor or customer service personnel to make verbal reports. Sales personnel reported the actual cause and responded to the customer within 7 working days. |
| Quality abnormality customer notification form | If the sales unit and the customer have agreed that quality abnormalities are to be reported, the formal "Quality Abnormality Customer Notification Form" shall be issued and the customer shall be notified by email or in writing to ensure that the customer is informed of the product status. |
Customer Complaint Handling Procedure
Nan Pao's customer complaint handling process was carried out in accordance with the "Customer Complaint Handling Procedures" and established a five-stage standardized closed-loop mechanism from acceptance to case closure, with records retained throughout the process in the UOF electronic system to ensure traceability and the effectiveness of continuous improvement.
| Stage | Tasks | Implementation Details | Responsible Unit | Corresponding Form / System |
|---|---|---|---|---|
| ① | Complaint received and reply confirmed | Sales personnel went to the customer's site to understand the complaint situation in person, completed the UOF "Customer Complaint Report Form," and proposed an improvement plan; the system automatically routed it for signature confirmation. Customer immediate receipt of case acceptance confirmation (automated notification). | Sales personnel | Customer complaint report form (UOF) |
| ② | Supervisor review and cause investigation | The sales head approved and executed the action plan based on the customer complaint; depending on the circumstances, representatives from R&D/Engineering/QC/QA visited the customer site to investigate, and, if necessary, collected samples and brought them back to the Company for analysis and testing to confirm the cause of the issue. After the customer complaint report was submitted to the General Manager of Sales for approval, the Quality Assurance Division assigned responsible personnel to conduct root cause analysis and propose preliminary countermeasures. | Sales Director, General Manager of Business, R&D / Technical / QC / QA | Customer complaint report form (UOF) |
| ③ | Attribution of responsibility and corrective measures | The Executive General Manager confirmed the allocation of responsibility and the apportionment ratio. After the responsible unit received the "Customer Complaint Corrective and Preventive Action Form," it filled in the cause of the complaint, corrective actions, preventive measures, and completion date in detail, and replied to the Quality Assurance Division within one week to ensure that the improvements were implemented. The Quality Assurance Division followed up and issued a closure report. | Executive General Manager, Quality Assurance Division, Responsible Unit | Customer Complaint Corrective and Preventive Action Form |
| ④ | Customer response (schedule transparency) | The sales division shall report the exact cause within 7 business days after the customer complaint occurs and shall respond to the customer's reaction to the Company's disposition. The relevant information shall be entered in the "Customer Complaint Handling Report" field of the "Customer Complaint Report Form." If the customer specifies a required response period, the response shall be provided within the period requested by the customer, with the schedule kept transparent. | Sales Division | Customer complaint report form (UOF) |
| ⑤ | Follow-up and Closure | The Quality Assurance Division regularly tracked the effectiveness of improvements and submitted reports to the Quality Assurance Committee and the quality and control review meeting for discussion; if the meeting determined that the case could be closed, the Quality Assurance Division would carry out the case closure procedure. If a customer complaint recurred, the incident investigation procedure was initiated, and the relevant derelict personnel were disciplined in accordance with the resolution set forth in the incident investigation report form. | Quality Assurance Division, Quality Assurance Committee, Quality Management Review Meeting | Customer Complaint Corrective and Preventive Action Form, Quality Management Review Record |
Integrating Customer Complaints and Feedback into Product and Service Improvements
Nan Pao regarded customer complaint cases as an important source of data for product improvement, and established a systematic mechanism to integrate customer feedback into the R&D, manufacturing process, and quality management processes:
- The Quality Assurance Division assigned the responsible personnel to analyze the root cause of customer complaints. The R&D, Technical, QC, and QA units participated in the joint investigation as needed to ensure that technical improvements were implemented.
- The responsible unit completed the Complaint Correction and Preventive Action Form, listing the corrective actions, preventive measures, and completion dates item by item to establish a traceable record of improvements.
- The Quality Assurance Division regularly compiled customer complaint cases and submitted them to the Quality Assurance Committee and the Quality Management Review Meeting for systematic analysis (such as frequency, type, and root cause), serving as important input for process optimization and new product development.
- After each customer complaint, the sales division proactively confirmed the improvement results with the customer, tracked customer satisfaction, and fed back the improvement outcomes to the business side, forming a complete cycle of "customer complaint → analysis → improvement → verification → customer confirmation."
Special Customer Service Mechanism
Nan Pao's customer base consisted primarily of B2B industrial manufacturers, and all customers were corporate legal entities. Business transactions were handled through dedicated sales representatives. With respect to special customer service, the Company adopted the following mechanisms to ensure that all customers could obtain appropriate service support:
- Dedicated account representative responsibility system: Each client had a designated account representative responsible for providing service, ensuring continuity and immediacy of communication, and reducing the risk of service interruption caused by personnel changes.
- On-site visit mechanism: For customers who were unable to use the online system, sales personnel proactively visited the customers in person to understand their needs and issues, and provided a face-to-face communication channel.
- Diverse response methods: Customer complaint responses may be delivered by written notice via email or by verbal explanation by telephone, ensuring that customers received information in the most convenient manner.
- Language adaptation: For overseas clients (subsidiaries in Vietnam, Indonesia, Thailand, Malaysia, and other locations), local subsidiary sales personnel communicated in languages familiar to customers, thereby reducing language barriers.
Claims and Compensation Management Mechanism
In response to claims submitted by customers, the Company established clear review and compensation principles to ensure fair handling and avoid business losses:
| Principle | Description |
|---|---|
| With a claim policy | Compensation could only be made after approval by the Executive General Manager, thereby ensuring the rigor of the authorization hierarchy. |
| Compensation method | As a general principle, offset compensation was to be used; after compensation had been fully completed, repayments were to be resumed or the matter was to be handled through offsets. If the customer requested a deduction, the matter would be handled through offsets whenever possible, so as to avoid an outstanding balance resulting from making the deduction first. |
| Maximum amount of compensation | As a general principle, the compensation amount should not exceed 50% of the Company's average monthly purchase amount in recent years; new customers are not subject to this limitation and shall be handled on a case-by-case basis. |
| No-claim principle | Carried out in accordance with the resolution rendered by the Acting General Manager; if the customer requested a barter transaction, then it was handled in accordance with the "Sales Return Handling Procedures." |
| Subsequent actions | Sales personnel shall submit discount applications in the online "Allowance Management System." After approval, the four-part invoice or receipt shall be stamped and used for account offsetting; other forms of compensation shall be supported by vouchers before they may be used for account offsetting. |