Good faith is the core of everything we do at CTI.
Our Performance in 2020
Management and Policies
We have developed the Code of Business Conduct, which has explicitly defined the framework of professional ethics and laws that employees shall comply with in business activities. The document covers the basic principles and norms applicable to the behaviors inside the Group as well as those related to external partners and the public. The Code of Business Conduct, together with applicable policies and training resources, is made available in our internal system, and serves as an important part of the employee training on business ethics and compliance.
Training and Competence Improvement
All employees joining CTI are required to receive training in business ethics. Every year we organize training and themed learning activities, with frequencies and forms varying from the specific business ethics required on different positions, especially the level of integrity risks. Meanwhile, a culture of honesty and integrity has been promoted across the Group. Through education, training, and independent learning, we urge employees to comply with CTI’s code of business conducts and professional ethics.
Complaining and Whistleblowing Procedures
We permit and encourage employees to lodge complaints and reports to their supervisors or the Human Resources Department, the CEO’s Office, and the Internal Audit Department of the Board of Directors for acts and facts that violate the Code of Business Conduct and laws and regulations, or harm the interests of the Group and employees. We have compiled the Anti-fraud and Whistleblowing Management Regulations and other employee complaint and whistleblowing management procedures, and established special communication channels including a whistleblowing mailbox, a whistleblowing hotline, etc. The Internal Audit Department of the Board of Directors has been designated to be responsible for receiving, investigating, handling and responding to complaints and reports. It is expressly required that visits or calls from complainers and whistleblowers should be received or answered by specified staff, and irrelevant personnel is not allowed to receive, listen, inquire or record. For investigation and verification with whistleblowers, it is advised to choose a strictly confidential place and a time convenient for them. Although employees are encouraged to use their real names, all complaints and reports may be submitted in anonymity, and CTI promises to keep all documents confidential within the scope permitted by law, and does not tolerate any retaliation against whistleblowers.
Best Practice: Anti-corruption, and Anti-commercial Bribery
Our values include integrity, teamwork, growing, professionalism, and services. We champion a corporate culture of integrity, with “zero tolerance” for fraud and corruption.
We have formulated an array of documents such as the Integrity Manual, the Internal Audit Management Regulations, the Anti-fraud and Whistleblowing Management Regulations and the Employee Business Code of Conduct, with reference to international conventions such as the United Nations Convention against Corruption, technical guidelines for clean governance management by Transparency International, as well as applicable national laws and regulations and customer requirements. A relatively complete internal control system has been built to regulate the work behaviors of all employees and put control measures in place, preventing damage to the interests of the Group and shareholders. Through periodic publicity, training and communication, CTI conveys its policies and resolution on clean governance to all employees in laboratories or inspection organizations.
The Internal Audit Department assists the Board of Directors in establishing and improving our anti-fraud mechanism, determining the key areas, key stages and main content of fighting fraud and corruption, reviewing the operations of all departments, and promptly discovering and eliminating irregularities. All branches and departments identify and evaluate integrity risks as required by the Group’s integrity management and according to their respective conditions. They are also required to locate the positions and activities with high integrity risks, and establish and improve their integrity risk prevention and control systems, thus contributing to effective integrity management.
Employees in positions exposed to high integrity risks are subject to rigorous integrity management by CTI. Employees below the rank of engineers must sign a “zero tolerance” commitment, and staff in important positions above the level of supervisors must undergo economic accountability audits. We request the employees in all business units, laboratories or inspection organizations to follow the Group’s integrity regulations, and publicize and explain such to customers. Regarding customers, we require them to cooperate with and support the integrity behaviors of our employees engaged in testing, detection or inspection, and also sign our Integrity Statement (to Customers).
Clean procurement from suppliers. We have stipulated that only after signing the Integrity Statement on Fair Competition and Clean Procurement with a supplier can we have business transactions with it. The Integrity Statement must be signed at least once a year; and for new suppliers, it must be signed prior to the signing of procurement contracts. We require suppliers to promise to follow our integrity policies, and refrain from offering bribery and illegitimate benefits to our procurement staff, in a bid to prevent unfair competition.