Board performance evaluation

In order to strengthen and implement corporate governance, our company, in reference to the guidelines issued by the stock exchange, has formulated the "Board of Directors Performance Evaluation Method" in accordance with Article 37 of the "Practical Corporate Governance Principles for Listed and OTC Companies."
To mitigate the risk of corruption within the company, in addition to the conflict of interest provisions outlined in the "Board of Directors Meeting Rules," our company practices the principles of "Integrity, Teamwork, Persistence, and Innovation." This is complemented by adherence to the "Code of Conduct for Business Integrity," "Code of Ethics," and other behavioral standards, along with appropriate compensation systems, comprehensive internal control mechanisms, and operational procedures (including management policies, authorization systems, and role delineation measures). These measures are further supported by internal audit operations to ensure effective control.
Annually, the Board of Directors and the functional committee meeting units conduct a self-assessment of the board's performance for the current year. The evaluation results are categorized based on the achievement of performance goals, with three levels: 'Achieving 90% or more – Exceeding Standards,' 'Achieving 80% to 90% or more – Meeting Standards,' and 'Not achieving 80% or more – Needs Improvement.'

    The measurement criteria for the Board of Directors' performance evaluation encompass the following five major aspects:

  • Involvement in Company Operations: Assessing the degree of the Board's participation in the company's operational activities.
  • Enhancing the Quality of Board Decision-Making
  • Composition and Structure of the Board
  • Appointment and Ongoing Education of Directors
  • Internal Control

    The measurement criteria for the performance evaluation of board members include the following six major aspects:

  • Understanding Company Goals and Objectives
  • Awareness of Directorial Responsibilities
  • Involvement in Company Operations
  • Internal Relationship Management and Communication
  • Professionalism and Ongoing Education of Directors
  • Internal Control

    The measurement criteria for the performance evaluation of functional committees include the following five major aspects:

  • Involvement in Company Operations
  • Recognition of Functional Committee Responsibilities: Awareness and understanding of the responsibilities associated with the functional committee.
  • Enhancement of Functional Committee Decision-Making Quality
  • Composition and Member Appointment of the Functional Committee
  • Our company has conducted the 2021 Board of Directors' performance evaluation, and the results for both the Board of Directors and functional committees were assessed as "Exceeding Standards." Directors and members of the functional committees demonstrated a clear understanding of their responsibilities, familiarity with company operations and the environment, effectively enhancing the overall decision-making quality of the Board. This indicates the continuous improvement in the operational performance of the Board, and a report will be submitted to the Board of Directors for the first quarter of 2022. In the future, we will continue to plan diverse director professional development programs, reinforcing corporate governance and enhancing the functionality of our Board to promote objectivity in board evaluations and operational efficiency.
Date Content File Download
2020.11.30 董事會績效評估辦法
2022.12.30 定期執行董事會及各功能性委員會內部績效評估